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Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?

To: Land Shark who wrote (122720)	7/10/2008 10:31:45 AM
From: Rocket Red	Read Replies (1) \| Respond to of 314692

with 2007 sales of 238 million tons and $4.6 billion in revenues. Its coal products fuel approximately 10 percent of all U.S. electricity and more than 2 percent of worldwide electricity.

To: Land Shark who wrote (122720)	7/10/2008 10:35:36 AM
From: Claude Cormier	Read Replies (1) \| Respond to of 314692

Exact.. time and studies will tell.

To: Land Shark who wrote (122720)	7/10/2008 1:51:56 PM
From: Proud Deplorable	Read Replies (1) \| Respond to of 314692

re GXS:_____"The Long and Short of it goldwatch691 7/10/2008 8:37:01 AM \| \| 102 reads \| Post #23546885 "Long" means buying (owning) shares. "Short" means selling (owing) shares you don't have. A short seller must have the money to cover before he/she can sell short... and the institution (broker) must have shares in their pool to do so. Essentially, someone else's shares are being "borrowed" and sold, either the institution's shares or their clients' shares. When things go wrong in a short position, you are called to cover or the institution will automatically clear the position for you... like a margin call. As to valuation, most of what is on this board is valid. I was going to say $500 a share based on 5% of a 2 billion tonne asset but I remained rather conservative. I think I once mentioned this in an earlier post, thinking people might label me as being out to lunch. Here's the truth. To measure any resource requires certain guidelines to follow. With many minerals, it takes a long time to size up a resource since its difficult to establish continuity throughout an area. The beauty with coal is it doesn't take long at all, since its consistent over large areas and long distances. That's why the two GXS holes were spread so far apart (1.6 km.). To measure an "indicated" resource, the standards allow companies to use a circular area with a radius of 1.2 km. from the drill hole (U.S. rules ... see tonto.eia.doe.gov page 10). To keep it simple, a 1 km. radius circle has an area of 3.14 square km. or roughly 3 million square meters. Twenty-two metres of coal would therefore have a volume of roughly 66 million cubic meters. How many tonnes is that? Coal is heavier than water, with a specific gravity of 1.3... 1 cubic metre of water is exactly 1 tonne (1000 kilograms). Coal is 1.3 times heavier (i.e. more dense). So, the 66 million cubic metres of coal above is roughly 100 million tonnes... that's per drill hole. The price of coal has been soaring... who knows where its going, we just know its going up. Coal is basically one fifth the price of oil for the equivalent energy and about a third of the price of natural gas. Using $100 a tonne, one of these 22 metre solid coal drill holes represents $10 billion in coal. Yes, that is $10 billion per hole and that's only including the solid continuous layer. I'm not including the coal with partings. Now you see why its worth keeping this stock. The company is not kidding when they are after 2 to 4 billion tonnes. Coal seams stretch for long distances... their initial drill program starting next week is covering an area 9x17 kim. -- a 22 meter continuous coal seam in this area would be 4.375 billion tonnes. So the answer is YES, hold on to your shares and buy more. Two billion tonnes equals 100 tonnes per share or $10,000 at $100 a tonne. Take 1% to be conservative ... that's $100 a share. Five percent is more realistic... $500 a share... but then you'll think I'm crazy. Is Potash (POT) crazy? Its over two hundred bucks a share because they were the first ones in on the Saskatchewan potash explosion. Coal next... thank you very much." ============== From someone on SH Hey I thought it would be interesting. I'm learning too