Royal Coal (RDA.V)

This pick didn’t work out. Looked like projects would go into production. It is going to happen. It has been delayed. Would not buy here because they are going to have to raise more equity.

Likes this one a lot. With any startup project, there will inevitably be some delays. Thinks these are temporary. Tremendous value and upside here.

An emerging company in the Appalachians of purely thermal coal. Growing production by about 50%. Being overlooked because it is a new listing and also because they had some legacy contracts at lower spot prices. These are rolling off this year. Consider the 50% increase in production plus another 50%-60% increase in their realised prices. Feels the EBITDA they could generate this year is in the $40 million range. No debt.