Do You Have All Your Coal?

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Rob R.
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Post Mon. Oct. 31, 2011 9:28 am

If you order your coal in the spring or summer, it is much easier on everyone. I don't think this is anything new...check out these two posters from the US Fuel Administration (courtesy of the Library of Congress).
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sweeperman
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Post Mon. Oct. 31, 2011 11:20 am

Im set for the year 3.5 tons of UAE nut if thay were open on saturday in the summer I would get it then But they need time off to :D

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RAYJAY
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Post Mon. Oct. 31, 2011 1:42 pm

7.5 tons of buck all hauled in and put to sleep for the winter ...... just have to get the dump trailer back in and stored as soon as the ground a: dry out b: freezes .........

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Chuck_Steak
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Post Mon. Oct. 31, 2011 3:05 pm

steamup wrote: 1. The price of coal is rising faster than the interest rate in my bank account.
I'm surprised no one called you out on that.
I just suggested that people may want to purchase early,
to avoid not getting it, or paying more, because prices were rising
and had people say it wasn't true.
Of course I was talking about an area not near PA.
And, I have to admit, that we don't get as much coal as others, we are small..
In the last two years, we have only bought about 400 tons.
Our price, not including delivery has gone up about 25 bucks/ton since spring.
Delivery has gone up around 150 per load, to around 1100-1200.
We are getting 2 loads in next week, that was ordered and paid for in September.
So that wait, this early in the season, is real TO US.
We are just thinking ahead as to what MAY happen.

So if a person buys 4 tons, that is about an extra 100 bucks.
While that may not seem significant to some, or call it reasonable,
to many, it represents a decent amount of money.
We have people buy 4 or 5 bags at a time in the winter,
because it is all they can afford.
Last season, when we ran out of coal, we were buying it retail from another
area, trucking it back to our yard, and selling it for the same price as our own.
Just so these customers would have heat.
So if anyone thinks that my suggestion was bogus, or not true, fine.
I really am happy that you do not see the same things as we do.
My thoughts were only based on what WE see, in our area..
Other areas obviously have different situations!
If anyone thinks that I was trying to spread fear or misinformation,
I apologize for that.... and will contain any future concerns.

Dan

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freetown fred
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Post Mon. Oct. 31, 2011 3:44 pm

Come on Dan, if we all stopped posting future or current concerns on here, what the hell would we talk about?? ;) Them that listens are about 2 steps ahead of everyone else & worry free :D We're all just talking hopefully about the areas we know about 1st hand. Facts is facts---projection is just that. I know I read your post & had purchased early & am real glad I did.

Visit Lehigh Anthracite

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Rob R.
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Post Mon. Oct. 31, 2011 3:53 pm

Dan, I don't think anyone was questioning the costs and delays you have observed...I know I wasn't. Maybe prices haven't changed much in some areas, but only you know the finances on your end. I also encourage people to buy early...the suppliers I talked to in the spring were very clear that they wanted the orders early. Bagged coal seems to be the farthest behind right now, and that makes sense...there are only a few bagging plants.

No doubt that coal and trucking costs have gone up, but the amount of increase visible to the end buyer depends on the coal source (how much that price changed), the distance from NEPA, and if the dealer was willing to absorb any of the increase. My last load of bagged coal cost $20 more per ton than in 2008...but I also worked hard to get the trucking cost down. If I hadn't held out for a better trucking cost, it would have been $25-30 per ton more. With that said, I am about 450 miles away from the Kimmel's plant; so I notice a $0.50/gal bump in diesel costs. For comparison, someone getting a bulk delivery 200 miles from NEPA may only see a few dollars per ton difference from last year...and again, that depends on the coal source since some breakers have raised their price more than others.

One fact remains the same, anthracite remains a bargain compared to current heating oil and propane costs.

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steamup
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Post Mon. Oct. 31, 2011 4:17 pm

Chuck_Steak wrote:
steamup wrote: 1. The price of coal is rising faster than the interest rate in my bank account.
I'm surprised no one called you out on that.
I just suggested that people may want to purchase early,
to avoid not getting it, or paying more, because prices were rising
and had people say it wasn't true.
Of course I was talking about an area not near PA.
And, I have to admit, that we don't get as much coal as others, we are small..
In the last two years, we have only bought about 400 tons.
Our price, not including delivery has gone up about 25 bucks/ton since spring.
Delivery has gone up around 150 per load, to around 1100-1200.
We are getting 2 loads in next week, that was ordered and paid for in September.
So that wait, this early in the season, is real TO US.
We are just thinking ahead as to what MAY happen.

So if a person buys 4 tons, that is about an extra 100 bucks.
While that may not seem significant to some, or call it reasonable,
to many, it represents a decent amount of money.
We have people buy 4 or 5 bags at a time in the winter,
because it is all they can afford.
Last season, when we ran out of coal, we were buying it retail from another
area, trucking it back to our yard, and selling it for the same price as our own.
Just so these customers would have heat.
So if anyone thinks that my suggestion was bogus, or not true, fine.
I really am happy that you do not see the same things as we do.
My thoughts were only based on what WE see, in our area..
Other areas obviously have different situations!
If anyone thinks that I was trying to spread fear or misinformation,
I apologize for that.... and will contain any future concerns.

Dan
I am suggesting here that the problem is not with rising coal prices but poor interest rate performance. Might get 0.5% (.005) rate of return on a savings account. Maybe a little over 1% on a 1 year CD. Then again you can get an auto loan at 4%. A $10 +/- a ton increase that we have seen in the past few years may very well be justified and still will make coal a bargin. But increase a bulk load price from $200 to $210 is a 5% increase. It is better to take money out of savings and buy coal and storing it if you think you will be using it in the years to come. Some people have the luxury of doing this, others do not.

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freetown fred
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Post Mon. Oct. 31, 2011 4:33 pm

:help2: WHAT??? :? :surrender:

CapeCoaler
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Post Mon. Oct. 31, 2011 8:26 pm

Chuck
I see the same thing down here on The Cape...
Not enough cash in place to buy a pallet or a ton of bulk..
They buy 2-10 bags or 5 gal buckets worth of coal...
Pellet people the same thing...
The good dealers keep their stock...
So the cash strapped folks won't freeze...
Buy big if you have the cash and the space...

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Chuck_Steak
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Post Mon. Oct. 31, 2011 9:40 pm

freetown fred wrote:Come on Dan, if we all stopped posting future or current concerns on here, what the hell would we talk about?? ;)
Barometric dampers??

JUST KIDDING!!!! :eek2:

Dan

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CapeCoaler
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Post Mon. Oct. 31, 2011 9:53 pm

No, No...
MPD... ;)

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freetown fred
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Post Mon. Oct. 31, 2011 10:27 pm

I'll seriously second that.. But, can we make this into a 60 page topic? :clap: toothy Sorry Pierre, couldn't help myself. ;)
CapeCoaler wrote:No, No...
MPD... ;)

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Chuck_Steak
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Post Fri. Nov. 04, 2011 7:43 pm

Well.... sooner than I thought.
Blaschak going up 10 bucks Monday.

Dan

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Dennis
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Post Fri. Nov. 04, 2011 7:44 pm

i got 8.2 ton of UAE in august,cleaned out the coal bin and have 1200 lbs. of STCP nut left over from last year.
I had got all 8.2 ton in and cant seem to fit any more. burning STCP first,cant wait to see how UAE will burn.
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