Dost16 Dec 2009 09:36
A buying opportunity has been presented in Australian coking coal producer Caledon Resources. Its shares have plunged more than 40% over the past 10 days. Coking coal prices are set in the annual round of negotiations in April, the same as with iron ore. This April, there should be a substantial increase in the price of the contracts as China continues to soak up raw materials and coking coal is extremely important in construction. As one of the few independent coking coal plays anywhere in the world, the stance is buy, says the Telegraph