Coal is a tough industry in the market right now, and a lot of small companies are faltering. James River Coal has already stumbled into bankruptcy; Walter Energy (NASDAQOTH:WLTGQ) might be next to keel over.

In this "Digging for Value" video, Fool energy and materials analysts Joel South and Taylor Muckerman talk about liquidity issues among coal companies and how if prices and demand don't improve within the next few years it's possible debtors won't offer more money, which means these businesses would have to halt operations.



Joel South has no position in any stocks mentioned. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.