The Indian-controlled Gujarat Coking Coal MD came out with some very very bullish forecasts on Indian steel-production and therefore its needs for iron ore and coking coal ( the same does apply for thermal coal, but nothing directly to do with steel ). From 55 millt of steel production now, he does expect 100 millt in three years, and at least 200 millt in 10 years time possibly much higher. That is not a huge surprise the Indian PM had said last week, that India must spend 1 trillion $ between 2012 and 2017 on roads, power and ports While India has enough iron ore ( but probably not that much left for export to China as in the past ! ) , it has to import ALL coking coal, needed for steel production! No wonder that every second Indian company is searching the world for coal-investments! Bad news for our kids they will get much less fresh air to breeze! but good news for our pockets..
RIV Price at posting:
$8.74 Sentiment: Buy Disclosure: Held
