Anglo Pacific is a little-known mining stock that has been listed on the LSE's main board since 1989. Although the group keeps a low profile, its shares have put in a dramatic performance during the past12 months on the back of rising coal prices. Anglo Pacific derives most of its income from royalties paid by Rio Tinto and BHP Billiton on coal sales from two mines in Queensland, Australia. Strong Chinese demand has meant prices have risen and Rio and BHP have expanded their Australian production, resulting in more royalties for Anglo Pacific. This month, the group unveiled first half pre-tax profit of £5.4m, up from £2.7m in the same period of 2004, giving the stock a further boost. Anglo Pacific passes most of its profit on to shareholders through dividends. The company is essentially a punt on commodity prices and is therefore a risky and highly cyclical stock. Commodity prices are likely to fall from these levels at some point but Anglo Pacific still looks a good bet as the outlook for coal remains strong. The group also has exposure to the uranium market, where demand and prices are rising. Rebecca Bream