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Microcap & Penny Stocks : MTEI - Mountain Energy - No BASHING Allowed -- Ignore unavailable to you. Want to Upgrade?

To: Blitz who wrote (7189)	7/30/1998 9:07:00 PM
From: Lonnie A.	Read Replies (1) \| Respond to of 11684

Time to answer some questions. Blitz to answer your question 1. I don't know anything about MTEI core business. They may be pumping the hell out of oil and gas in WVA, but I doubt it. 2.Coal bed methane, or CH4 methane gas, is liberated when mining bituminous coal. As an investor you may be glad to see methane, but I assure you coal miners don't like it. Methane is a bad boy underground. But seriously, Some companies (especially in Virginia, and some in Northern West Virginia, and South East Penn. have a real problem with methane and some have even drilled down into the coal seam in order to releave methane gas pressure in advance of mining. If you research though you will find that not enough gas is produced to try to contain it. Most of these companies just let it burn off. When the mining crew get's near the well {I think federal law is 1000 ft.) then the well is for (for lack of a better word) plugged up. 3. No she was not lying to you. I don't know of anyone who can afford to mine and sell coal for $10 per ton but I guess anything's possible, but not probable. The $70 per ton figure comes in to play when you talk about metalurgical coal there is a difference between "met coal" and bituminous. Met coal is used in the production of steel and depending upon the "coke button" (the temp. at which the coal cokes to form steel) the price could be anywhere from $30 to $70 or in some cases a little more. The $70 price per ton is for perfect coal. Not too many places produce perfect coal. According to the header MTEI has coal reserves that contain bituminous coal. Bituminous coal is very abundant (sort of the run of the mill coal, if you will) it is called "steam coal" because it is purchased by utilities to burn to produce steam. The price that utilities pay on the spot market as well as contract price is public knowledge and published in several different monthly reports. Right at this time spot market prices are around $24 to $25 per ton. Hope that answer's some of your questions. Regards, Lonnie