Clean Coal in your stocking
I have been watching Synthesis Energy Systems (SES) for a little while now. The stock ticker is SYMX. The stock is suddenly on a tear and I have been looking into reasons why. For some background, here is a snippet about their clean coal technology:
SES is a technology company that builds and operates coal gasification plants utilizing the companies proprietary U-Gas Technology. The U-Gas technology is a fluidized bed gasification process that converts low rank coal and coal wastes into higher value products. SES has offices in Houston, Texas and Shanghai, China and licenses the technology from the Gas Technology Institute. The U-Gas technology has the feedstock flexibility to use low rank coal, high ash coal and high moisture coals as well as biomass. The technology can be deployed efficiently on a smaller scale which enables the company to construct plants quickly and in many cases in close proximity to the coal source.
Apparently the Japan disaster is creating an increased emphasis on coal companies in general, and I believe the alternative energy aspect of coal gasification has generated exceptional interest in this company, especially with their presence in China and plans to expand into India.
The company has been around for a few years but the stock has languished for the past several years, until this month. I have seen price targets ranging anywhere from $3 by the end of this year to more than $20. I'm not sure if the recent interest is sustainable, but it certainly bears watching.
Does anyone in the CAPS community have additional insights into this dramatic pop (up more than 30% today)?