Puda Coal Inc (PUDA)

[BiotechValues]

bunky

With the Jianhe mine giving them coal to increase margins (which is badly needed) in their washing side of the business, I'd say yes..if not by 2010 then by 2011.

The Jianhe mine minority ownership allows PUDA to skim profits off the top with zero operational cost- (see the pr)
"Shanxi Coal will not take part in the operational management of the coal mine but will be paid dividends semiannually based on its 18% ownership in Jianhe Coal. In addition, as part of the Agreement, the stockholder owning the other 82% of Jianhe Coal guarantees that such dividends will be no less than 80% of annual net profits of Jianhe Coal."

http://www.pudacoalinc.com/images/5-15-09_Puda_Coal_Press_Release_coal_mine_acquisition_final.pdf


I see it as money in the bank for them), plus as mentioned in the conf. call it opens up another province for them to apply to be a consolidator in- and they also have first rights to buy out the remainder of that mine.

This is the one PUDA stated they believe will be in thier hands completely by the eoy. My understanding from the CFO is that the mine (like the first two they are looking to consolidate) is in operational condition already- so revenue could begin flowing from at least the Jianhe mine by Jan 1.