NEW YORK -- Shares of some of the nation's biggest coal companies rose Friday after an analyst gave a bullish 2013 forecast for the struggling industry.
Dahlman Rose & Co. analyst Daniel Scott wrote in a note to investors that the sector should see gradually increasing volumes for its products. He expects to see rising prices for thermal coal in the U.S., which is used to generate electricity. Prices for hot-burning metallurgical coal used to make steel will remain flat in 2013 after dropping from current high levels into 2012, Scott wrote. "We see future thermal export volumes helping offset potential eastern volume declines stemming from new sulfur regulations on coal (electricity) generation facilities," Scott wrote. Scott wrote that producers suffered from high costs, but he sees cost inflation moderating from current levels. He released his 2013 earnings forecasts, ratings and 12-month price targets for U.S. coal producers: http://www.forbes.com/feeds/ap/2011/08/26/business-materials-us-coal-sector-snap_8644393.html '+'
