Aussie mining swagman defies plunging met coal markets with do-over for Grassy Mountain’s second-rate coal
Northback CEO Mike Young admits to Globe and Mail that Grassy Mountain coal is not top quality.
In another stunning show of incompetence, serial failure Northback CEO Mike Young admits Grassy Mountain coal is not the best.
The Globe and Mail reports today that, even as he outlined a new scheme to evade the reasons Grassy Mountain was rejected by both levels of government in 2021, Young conceded that coal from the clapped-out mine is less than the best.
“Even if demand does fall, the quality of Grassy Mountain coal means it would be one of the last to leave the market; comparing it with beef, Mr. Young said, ‘It’s not Wagyu, but it’s triple A.’”
The same Globe article noted that prices for metallurgical coal are plunging as global demand for steel shrinks impressively.
“The proposal comes in the shadow of various forecasts that paint a gloomy picture for metallurgical coal prices.
“S&P Global said in a recent analysis that low steel demand, exacerbated by recent uncertainty around global trade policy, has weighed heavily on the companies that dig up the commodity. As a result, the U.S. East Coast benchmark price was US$172 per million tonnes on May 14, down 42.7 per cent from the two-year high of US$300 per million tonnes in October, 2023.”
According to the Globe, Northback’s will hack together a new scheme based upon the results of current exploratory drilling approved earlier this year by the Alberta Energy Regulator, itself under withering fire for conflict of interest directly rooted in the office premier Danielle Smith and administrative capture by foreign coal speculators.
Read full Globe and Mail article (requires Globe subscription) . . .
The Dunning-Kruger effect states that people who know little about their subject, while at the same time holding an overly confident of their knowledge, actually don't even know enough to realize how little they know.
This response is a perfect example.