KAL Energy is located in Indonesia and sales to China will be an important focus for KAL. China’s demand for coal will continue to grow and China is investing in CO2 emission controls which will sustain the coal market.
China has launched a next-generation 1,000-megawatt electricity plant located near the city of Wenzhou, in bustling, coastal Zhejiang Province. The $2.3 billion plant, which abuts the East China Sea, employs energy-saving “clean coal” technology. Its boilers can heat steam to 600 degrees Celsius–well beyond the “critical” boiling point–the plant requires 17 percent less coal than an average Chinese power plant to produce a kilowatt hour of electricity.
The plant sets new standards for pollution control. It is claimed that this plant will reduce carbon dioxide emissions (the major cause of global warming) by roughly 14 percent and almost completely eliminate sulfur dioxide discharges that pollute the air. China’s five state energy giants are building roughly 10 additional ultra-supercritical plants similar to the Wenzhou facility.
The demand for electricity has risen by 60 percent since 2000 in China and China now accounts for one third of global coal consumption, devouring 2.2 billion tons last year to generate 80 percent of its electricity and 75 percent of its home heating. China’s industry is totally dependent on the electricity generated by coal.
China has made energy efficiency and is focusing on qingjie meitan , or clean-coal technology.
Worldwide, the best hope for eliminating coal-plant C02 emissions is a costly, unproven, yet much-trumpeted technology called IGCC–Internal Gas Combined Cycle. It converts coal to gas and siphons off the carbon so that, theoretically, it can be stored underground, once “sequestration” technology hits the market. But that day is perhaps a decade off. China hopes to fire up its first three IGCC plants by 2010.
Coal will continue to be the economical fuel of choice and a focus on creating clean burning coal plants will support the coal mining industry’s efforts. KAL will find itself located in a very sweet spot … geographically and demand-wise … for many, many years.
Source: KAL Energy
Contact Info:
KAL Energy, Inc.
93-95 Gloucester Place
London, W1U 6JQ
United Kingdom
Phone: +44 20 7487 8426
Fax: +44 20 7691 9725 (direct)
Email:
a.caminschi@mininghouse.com
KAL Energy Inc. (OTCBB: KALG), through its wholly owned subsidiary Thatcher Mining Pte., has the rights to two coal concessions situated near the Mahakam River in North Eastern Kalimantan, Indonesia. This river is a main transportation system for transporting coal to nearby markets. Consulting Geologist, Jonathan O’Dell, has estimated that blocks 16 & 24 could contain over 192,000,000 tons of thermal coal. Today Indonesia is the leading exporter of thermal coal and export prices vary from $30.00 to $60.00 plus per ton. This region has been an active coal exporter since the 1990s, and in 2004 Indonesia passed Australia as the largest exporter of thermal coal. Governmental signing was achieved on Sep. 14th, 2006. Title & Ownership structure has been extensively reviewed by HHP, the in-country affiliate of Baker & McKenzie International.
Disclosure: Pentony Enterprises LLC was compensated 30,000 free trading shares from a non controlling third party for profile coverage. Pentony Enterprises LLC is not a registered investment adviser or broker/dealer. Pentony Enterprises LLC makes no recommendation that the purchase of securities of companies profiled in this web site are suitable or advisable for any person or that an investment in such securities will be profitable. In general, given the nature of the companies profiled and the lack of an active trading market for their securities, investing in such securities is highly speculative and carries a high degree of risk. It is the policy of Pentony Enterprises LLC to sell all shares of this and any company featured. Anyone considering any company we feature in consideration for free trading shares should consider this. Pentony Enterprises currently holds no shares.
Disclosure: StockGuru.com is owned and operated by Pentony Enterprises LLC,9555 Lebanon Road, Suite 103, Frisco, Texas 75035. Telephone: (214) 458-4258. Web: StockGuru.com. Email: Publisher@stockguru.com.
Forward Looking Statement: Certain sections of this report may contains forward-looking statements that are based on management’s expectations, estimates, projections and assumptions. Words such as “expects,” “anticipates,” “plans,” “believes,” “scheduled,” “estimates” and variations of these words and similar expressions are intended to identify forward-looking statements, which include but are not limited to projections of revenues, earnings, segment performance, cash flows, contract awards, aircraft production, deliveries and backlog stability. Forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual future results and trends may differ materially from what is forecast in forward-looking statements due to a variety of factors, including, without limitation:
General and international political and economic conditions; All forward-looking statements speak only as of the date of this report or, in the case of any document incorporated by reference, the date of that document. All subsequent written and oral forward-looking statements attributable to the company or any person acting on the company’s behalf are qualified by the cautionary statements in this section. The company does not undertake any obligation to update or publicly release any revisions to forward-looking statements to reflect events, circumstances or changes in expectations after the date of this report.
S&P GICS: 10102050
Sector: Basic Materials
Industry: Coal