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Poland faces coal shortages as the biggest miner may miss its output targets for 2017. The chief executive at state owned coal miner PGG said last month the company was struggling to meet demand for coal from its major clients after cost cutting led to lower investment.There are quite a few influential investors in the Polish coal industry. Aviva has invested 372 million in Polish coal through its Polish pension fund OFE Aviva. It increased its holding in Polish coal companies by more than 45 million between 2016 and 2017. Europe's biggest insurer Allianz is leading a consortium underwriting the biggest coal plant under construction in Europe at Opole near Katowice project which is due to start operation next year. Up front capital costs for the development of Jan Karski mine totalling 630 Million Dollars with Chines banks expecting to finance 85% will be a major investment which in my opinion would be too expensive for JSW to get involved with along with the Polish government if they intervened. Remember they are closing a lot of mines and need new ones to replace old and unprofitable ones. Most of the sell off has been the comments made by a Polish geologist and may not be the stance of the MOE or JSW. We have already been to court once to protect our interests from another mining company that wanted to steal our mining assets and was up held in our favour by the MOE. The Polish coal industry also needs updating its coal mining methods and Australia and China can supply this technology. A joint venture could be probably the most sensible solution to all parties concerned if it was to get nasty! How that would work i don't know at this stage. IMO GLA

Listened to the Vox Podcast, interesting.

If i was JSW i would be buying up stock at this price?

In January 2018 a new minister of environment was appointed Mr Henryk Kowalczyk as part of a re shuffle of the cabinet. Could this be part of the delay?

From RNS 8th August 2017 Prairie note that Bogdanka Mine has unsuccessfully challenged Prairie's rights to Jan Karski in the past. Bogdanka's claim have been consistently and vigorously rejected by the Polish courts and also the Polish Government in multiple decisions. The MOE rejected Bogdanka's mining concession application over K-6-7 and officially rejected an appeal by Bogdanka following which the administrative court in Poland upheld the MOE'S decisions.It is beyond doubt that Prairie has the exclusive Priority Rights over Jan Karski. In fact in March 2016 Poland's chief national geologist confirmed the legally binding status of the Priority Right when he stated that "Binding law is constructed so that the entrepreneur that holds a licence for prospecting or exploration of deposits after documenting and being granted the geological documentation approval decision, gains priority in being granted a mining licence. Australia and Poland also signed a Promotion and Protection of investment agreement in 1991 (a Bilateral Investment Treaty) which provides reciprocal protection of investments made by residents and entities of both countries. including licences for exploration and mining of natural resources

Government may not take this well but they won't come out of this smelling of roses either.

This is n ow 30% cheaper than a couple of weeks ago.

At these prices JP Morgan and Lansdowne could pick up some cheap shares

Informative post -Thanks

Extract from an earlier RNS from Prairie Mines " The company can now advance discussions with regional steel makers and coke producers for future coking coal sales and off take on the basis of selling ultra low ash semi soft /type 34 coking coals from Jan Karski. Arcelor Mittal is reportedly considering further investment into steel making capacity in Poland. Arcelor have mills in eleven countries so need a constant supply of Coking coal,

JSW's coke production was down 16.6% in 2017 compared to 2016

Spread is so tight 48.750 to Buy and 48.695 to sell

As part of its new strategy which is expected to be presented in November 2017, JSW plans to increase its coking coal output by 2030 by 38% to around 16 million tonnes while cutting its production thermal coal by over 60 % to 2 million tonnes. last year JSW produced 11.6 million tonnes of coking coal and 5.2 million tonnes of hard coal, but that included production at the Krupinski mine, which was transferred this year to state mining restructuring firm SRK that will eventual shut it down. It just makes more and more sense for JSW to get involved with Prairie to achieve the above targets.

Ended the day with more large trades?

This company is like a jig saw, trying to put all the pieces together with so many scenarios.

Buy at 48.99 sell at 49,085 Strange

One of the biggest trades so far 300,000 �144,000

Now we are on the leaderboard should push us up

Surprised how under the radar this share is at the moment. HIgh class coking coal In demand Geographically well placed Interested parties Talks going on

Looks like business as usual today. No large orders so far