Peabody Energy Corporation (BTU), Alpha Natural Resources, Inc. (ANR), Arch Coal Inc (ACI): Don’t Count Coal Stocks Out Yet

The Powder River Basin produces 500 million tons of coal annually, most of it for domestic consumption, but only because there’s not enough of an export infrastructure in place to support it. While there had been six export terminals planned for the West Coast, after Kinder Morgan Inc (NYSE:KMI) cancelled its plans for a terminal in northern Oregon, it marked the third one that had been cancelled.

These are hurdles the coal industry can surmount, even in the fog of battle. The International Energy Association says the world will burn around 1.2 billion more tons of coal per year by 2017 than it does today, equal to the coal Russia and the U.S. combined are currently consuming. It will almost surpass oil as the world’s top energy source.That’s a trend I’d still be willing to count on, even if the miners themselves are fighting with one hand tied behind their backs.

The article Don’t Count Coal Stocks Out Yet originally appeared on Fool.com.

Fool contributor Rich Duprey has no position in any stocks mentioned. The Motley Fool recommends Goldman Sachs. It recommends and owns shares of Kinder Morgan.

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