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Stocks

Cashing In on Coal Stocks

April 29, 2008

By Richard Young, Editor, Intelligence Report

Meet the Expert
Richard Young

Richard Young

Richard Young began his investment career in 1963 with Clayton Securities in Boston, and founded Young Research & Publishing, Inc. in 1978 to publish Young's World Money Forecast. In 1989, Dick founded Richard C. Young & Co., Ltd. (Newport & Naples) to manage portfolios for substantial investors.

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The country runs on coal and coal alone. Remember the headlines just two months ago coming out of China? The middle of the country was hit by blizzards that froze trains tracks and sent most of the country into darkness. And why was that? Trains couldn't deliver the coal the country's top producers needed to burn to heat the more than a billion Chinese homes.

In fact, my Intelligence Report's top coal miner has just contracted to build K-fuel conversion plants across China. Nearly 20 plants have already come on line in the last two years, and the pace is quickening as China struggles to keep lights on!

3 Reasons Why Coal Is the New "Black Gold"

Without a doubt, coal is the burning briquette of opportunity for investors in the good ol' U.S. of A. In fact, I expect to double my own money in this form of black gold in the next six months. If you don't believe me yet, here are three more reasons you need to add some Kingsford to your portfolio:

1. Oil at $100. At these levels, power stations switch out of oil, out of natural gas and hand out shovels. (I'm actually not joking.) Coal is the cheapest energy on the plant now and, happily, most of it can be found in our own backyard.

2. Coal got green (as "green" as it's going to get). Coal's big drawback has always been that it burns dirty. Clean it up, convert in into liquid diesel, and you've turned low-grade coal you'd otherwise discard in slag heaps into a $3-a-gallon at the pump high-test.

3. China and India need it big-time. When the lights in China go out, the "Miracle" comes to a spluttering halt real quick. But China ruined its only real resource by strip mining and became dependent on others for coal. "Others"…like us.

Double or Nothin' with Down and Dirty Coal

Without a doubt, coal is the biggest and brightest energy play we've seen in decades.

Not solar power…

Not ethanol…

Not wind or grass clippings…

Coal.

The coal supply crisis I've outlined briefly here has the potential to double your money in 6 months, just as food did for my Intelligence Report subscribers over the past 6 months and oil did this time last year. Stop burning a hole in your portfolio with overpriced oil plays.

Coal is back. And it's hotter than ever!

Sign up for your risk-free trial subscription to Richard Young's Intelligence Report and he'll show you which top coal producers are raking it in for his Intelligence Report subscribers!