Ask Matt From Lehigh Anthracite Coal

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LehighanthraciteMatt
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Post by LehighanthraciteMatt » Thu. Jun. 23, 2022 10:24 am

freetown fred wrote:
Thu. Jun. 23, 2022 10:04 am
M, did ya ever hear of a "gradual increase"??????????? I just picked up 2 ton of BLASCHAK bulk for $305.00 per ton
For many years we were LESS than Blaschak, gradual does no good if you are losing money on every ton sold and it’s all gone before you can raise.


 
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warminmn
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Post by warminmn » Thu. Jun. 23, 2022 10:34 am

I can get 2 other brands cheaper delivered all the way to Minnesota (Im almost exactly 1000 miles away) right now than I would pay at your mine in PA right now. You can charge whatever you want but its going to be a hard sale. But if you can make up for it with foreign sales then I guess you'll still have good business and make money. Sounds like thats what you have to do.

For the record and to be fair I do think 450 is still a better bargain than other bought heating sources in the east. Here I have propane at a much cheaper price (about 1.58 here last I heard) if I want to go that route. I would still use coal at that price here but not as much of it. I'd save it for the coldest days and burn wood otherwise. I'll always keep coal to use in my Chubby Jr no matter the cost for the coldest days as that stove is 4 feet from my chair and I love it.

 
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freetown fred
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Post by freetown fred » Thu. Jun. 23, 2022 10:46 am

Matt, that was then & this is NOW. People are hurtin all around money wise! Sounds like poor managment if you're losin on every ton. Just sayin.
LehighanthraciteMatt wrote:
Thu. Jun. 23, 2022 10:24 am
For many years we were LESS than Blaschak, gradual does no good if you are losing money on every ton sold and it’s all gone before you can raise.

 
coalfan
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Post by coalfan » Thu. Jun. 23, 2022 10:53 am

well said fred !!!

 
russocw75
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Post by russocw75 » Thu. Jun. 23, 2022 11:31 am

LehighanthraciteMatt wrote:
Thu. Jun. 23, 2022 9:55 am
Not everyone in the industry has the same cost structure. Some companies don’t even have mining costs. Others may have locked in materials they use at lower cost. There are many other factors that affect cost of goods sold. I will say if we didn’t raise price and closed the doors there would be one less choice and even bigger supply shortage in the industry. Use the provided calculator on this site, even at $450 per ton it’s a bargain to other heat sources.
In a commodity market, the high cost supplier seldom fares well unless they can command higher pricing for a better product. I don't think Lehigh can do that. That means your demand declines as other suppliers' market increases. If you are unable to supply the market with what is demanded, by all means, raise prices so you can sell all your coal.

The feedback from this forum indicates a readiness for users to seek cheaper sources for coal, or for other methods of heating (wood, gas, and even oil). That means your market share declines. The real variable is how much world demand for alternative energy supply is increasing. I don't sense there are supply shortages if your competitors are not willing to match your huge price increase.

 
LehighanthraciteMatt
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Post by LehighanthraciteMatt » Thu. Jun. 23, 2022 12:01 pm

To think about burning anything but coal and think you will save money is inaccurate but someone’s choice.
If people decide they don’t need to raise pricing because their costs are lower that is their decision and not ours.
Domestic steel producers were importing 500,000 tons per year from Russia, we as an industry cannot make up those tons without capital and time. So there will be a shortage.
I am not going to say anything else on the forum. I’m not one to try to argue with someone. If anyone has further questions feel free to reach out to me via telephone.
570-621-8871

 
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anthony7812
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Post by anthony7812 » Thu. Jun. 23, 2022 3:23 pm

I wouldn’t view this as being argumentative. At the end of the day, thank you Lehigh for providing jobs and energy needed to move the world. It’s good to hear the costs are incurred from things such as capital projects to improve and grow. Being in the energy sector I get how sometimes folks think we are funding our 3 islands in the caymans. Well maybe Aubrey McClendon did but that’s another story. Haha. The high price compared to other operations is a tough pill for us to swallow when we see inflation in ALL sectors of LIFE happening. If your car insurance went from 180 bucks to 450, you would be shopping around and unhappy. It’s just how the pendulum swings.


 
waytomany?s
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Post by waytomany?s » Thu. Jun. 23, 2022 8:41 pm

You guys read earlier in the thread where Lehigh had a huge landslide that they had to recover from, right? How many man hours and gallons of fuel and, and, and. Hello! Can anyone do some simple math and some contemplating and come up with a friggen light bulb moment to see that the price they are charging is what they have to get to survive! Do you think they are a big enough company not to fail? Wait where have we heard that before? How much money did Lehigh lose trying to move dirt and stone to find the coal seam again? Did they lose a week of production? Did they lose 2,3,4, months of production. Did they dig 24/7 and pay double overtime? Listen, I don't like paying more either, but I can deal with a company saying we are sorry, but that is what we have to charge. I think they should have had a press release with some details about why there was such a significant increase in the pricing, but I'm not going to accuse them of price gouging.

 
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anthony7812
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Post by anthony7812 » Fri. Jun. 24, 2022 8:04 am

waytomany?s wrote:
Thu. Jun. 23, 2022 8:41 pm
You guys read earlier in the thread where Lehigh had a huge landslide that they had to recover from, right? How many man hours and gallons of fuel and, and, and. Hello! Can anyone do some simple math and some contemplating and come up with a friggen light bulb moment to see that the price they are charging is what they have to get to survive! Do you think they are a big enough company not to fail? Wait where have we heard that before? How much money did Lehigh lose trying to move dirt and stone to find the coal seam again? Did they lose a week of production? Did they lose 2,3,4, months of production. Did they dig 24/7 and pay double overtime? Listen, I don't like paying more either, but I can deal with a company saying we are sorry, but that is what we have to charge. I think they should have had a press release with some details about why there was such a significant increase in the pricing, but I'm not going to accuse them of price gouging.
This isn’t directed towards Lehigh. But a response to this post.

This explanation is a crock of bull. If your not insured for disasters like this then it’s on your dollar. I’ve sadly watched farmers who saved the money by not having insurance and then have their livestock suffer an illness pay the price of losing there business. Whether the livestock dies or perhaps the livestock doesn’t produce. You don’t pass along a price increase because your negligence to prepare. Some items such as market price of a commodity you can’t control so it is what it is …. Like oil or gas and agricultural products. But to say … hey we burned up some equipment or our operational facility took a crap so we are gonna make you pay for it is petty. Sure go for it, but I don’t feel bad if you lost business because of that. I hate paying insurance like the next guy but I’m not gonna take it out on other people because of my lack of preparedness. There are reasons one supplier costs more than the other. Usually it isn’t far off. Quality usually drives a higher price. Think of Scott TP vs Charmin lol

 
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Retro_Origin
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Post by Retro_Origin » Fri. Jun. 24, 2022 9:20 am

Well when it comes to TP, always go organic and natural, but only if you care about your well being.

https://www.youtube.com/watch?v=BpXtAhiKHBE

 
waytomany?s
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Post by waytomany?s » Fri. Jun. 24, 2022 2:35 pm

anthony7812 wrote:
Fri. Jun. 24, 2022 8:04 am
This isn’t directed towards Lehigh. But a response to this post.

This explanation is a crock of bull. If your not insured for disasters like this then it’s on your dollar. I’ve sadly watched farmers who saved the money by not having insurance and then have their livestock suffer an illness pay the price of losing there business. Whether the livestock dies or perhaps the livestock doesn’t produce. You don’t pass along a price increase because your negligence to prepare. Some items such as market price of a commodity you can’t control so it is what it is …. Like oil or gas and agricultural products. But to say … hey we burned up some equipment or our operational facility took a crap so we are gonna make you pay for it is petty. Sure go for it, but I don’t feel bad if you lost business because of that. I hate paying insurance like the next guy but I’m not gonna take it out on other people because of my lack of preparedness. There are reasons one supplier costs more than the other. Usually it isn’t far off. Quality usually drives a higher price. Think of Scott TP vs Charmin lol
so how do you feel about the government bailing out the automotive industry? Didn't they have insurance?

 
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anthony7812
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Post by anthony7812 » Fri. Jun. 24, 2022 2:40 pm

I think it was a bunch of bull crap they bailed them out. That’s not how a free market should work.

 
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warminmn
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Post by warminmn » Fri. Jun. 24, 2022 2:41 pm

Retro_Origin wrote:
Fri. Jun. 24, 2022 9:20 am
Well when it comes to TP, always go organic and natural, but only if you care about your well being.

https://www.youtube.com/watch?v=BpXtAhiKHBE
Im not going to poo for a week after watching that! :lol:

 
waytomany?s
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Post by waytomany?s » Fri. Jun. 24, 2022 8:57 pm

warminmn wrote:
Fri. Jun. 24, 2022 2:41 pm
Im not going to poo for a week after watching that! :lol:
Hahaha! I'm going to grab more tomorrow after watching that.

 
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CoalHeat
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Post by CoalHeat » Sun. Jun. 26, 2022 10:28 am

Historically speaking I believe more people used leaves or pages from the Sears catalog than tree bark.


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