ARA coal prices crossed yesterday a Rubicon of 50 USD/Mt. Few days ago CEO of Katowicki Holding Węglowy said, that if the prices will fall bellow this magic line, the existence of Polish mines will be at stake. Commentators in Poland are panicking, reminding everyone that in 2008 prices were three times higher and saying that today’s level is the lowest in history. To all the coal industry Leonards Shelby (from Christopher Nolan’s Memento), just for the record: in 2003 CIF ARA prices were at a level of 44 USD/Mt (check the map bellow).
Prairie Mining Limited, a company that plans to build a mine in LZW got injected with 83 million AUD from CD Capital, British investment fund. The money though are not suppose to be spend on the first stages of establishing the mine itself, but on further plans and projects, that will help in making the final decision on whether Praire Mining will actually build the mine or not. If you read our report on Australian involvement in Polish mining, we leave the conclusions to you.
The negotiations over who is going to take over Brzeszcze mine from SRK will last longer for 2-3 more days. The first deadline was set for Friday, but the final decision could be expected no sooner than in the next week. Meanwhile FTF Columbus (company owned by Michał Sołowow, who’s another company, Synthos is interested in methane and coal from Brzeszcze) approached RSG (SPV formed by Tauron, which also submitted its offer for Brzeszcze) with proposal for cooperation in acquisition of the SRK’s mine. Tauron announced that RSG is interested in this plan and the further negotiations will take place in following days.