Coal Sector Becoming a Hotbed of Acquisition Speculation
The Bedford Report Provides Analyst Research on Patriot Coal Corp & Arch Coal

NEW YORK, NY -- (Marketwire) -- 05/24/11 -- Growth in emerging markets has led to a boost in steel demand, which in turn has increased prices for the hot-burning metallurgical (met) coal used to make steel. Analysts claim that quality met coal is in short supply, and argue that companies with ample steelmaking coal reserves are likely takeover targets. The Bedford Report examines the outlook for companies in the Coal Industry and provides research reports on Patriot Coal Corporation (NYSE: PCX) and Arch Coal, Inc. (NYSE: ACI). Access to the full company reports can be found at:

www.bedfordreport.com/2011-05-PCX
www.bedfordreport.com/2011-05-ACI

Arch Coal recently started a tender offer to buy rival International Coal Group for $3.4 billion. Arch says the acquisition would create the nation's second-largest supplier of metallurgical coal. International Coal Group recently posted a net first quarter profit of $22 million, or 10 cents a share, compared with a net loss of $8.9 million, or 5 cents a share, last year. "Metallurgical coal demand improved throughout the quarter, with prices reaching near-record levels," International Coal Group Chief Executive Ben Hatfield said in a statement.

Metallurgical coal commands a significant price premium over thermal coal used for power generation and has risen sharply on world markets because of strong global demand for steel.

The Bedford Report releases regular market updates on the Coal Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.bedfordreport.com and get exclusive access to our numerous analyst reports and industry newsletters.

A research note from Brean Murray Carret & Co analyst Jeremy Sussman said that Patriot Coal looks ripe for a takeover, given its high-quality reserves of the steelmaking coal. Patriot recently said it would ship 3 million tons of metallurgical coal this year and in 2012 -- up from a previous guidance of 2 million tons -- and that it expects to sell that coal at $173 per ton, up significantly from a prior estimate of $135 per ton.

The Bedford Report provides Analyst Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. The Bedford Report has not been compensated by any of the above-mentioned publicly traded companies. The Bedford Report is compensated by other third party organizations for advertising services. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at http://www.bedfordreport.com/disclaimer

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