Veteran players, new firms move into Central App to work smaller projects

摘要

While Central Appalachian coal producers have been preparing for a mining decline in the region due to higher costs and a softened market, there are new Central App projects afoot - some with new players. While bearish sentiment about Central App has been prevalent during earnings conference calls - most recently, during International Coal Group's call late last week (PCT 2/9) - Massey Energy has maintained that there is still much opportunity left to mine in Central App, and Consol Energy, wed to the promise of growth in the high-sulfur Northern App market, has said that opportunities remain in Central App in the long term, if not the short term (CO 1/29). Arch Coal, meanwhile, sold off a chunk of its Central App properties last year to the newly formed Magnum Coal, but is keeping a heavy interest in the region (CO 2/5, 1/9/06).