Whitehaven shares slide despite buoyant revenue
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More news: Whitahaven Coal shares fell 2.08% to $8.26 by 2:17pm AEST, despite earlier news that it had boosted its production and sales volumes for the quarter off the back of its recent Queensland mine acquisitions.
Whitehaven lifts output on the back of Queensland acquisitions
The news: Whitehaven Coal has reported higher June quarter production and sales after improved performance from its NSW operations and the first quarter of contribution from its recently acquired Daunia and Blackwater metallurgical coal mines in Queensland.
The numbers: Overall production for the three months to June more than doubled to 9.44 million tonnes, including 4.81 million tonnes from Queensland.
Sales of produced coal also doubled to 6.51 million tonnes, with an average coal price of $207 per tonne for the NSW operations and $271 a tonne from Queensland.
The context: The miner said improved performance in NSW helped it lift full-year NSW production to 19.7 million tonnes, within its guidance of 18.2 million to 20.7 million tonnes.
The company has been gearing up to significantly benefit from the long-term metallurgical coal market dynamics through the Daunia and Blackwater mines in Queensland, and said metallurgical coal contributed 59% of its revenue in the quarter, with the balance 41% coming from thermal coal sales.
Whitehaven expects it’s metallurgical coal portfolio to benefit from the supply constrained market dynamics both near- and longer-term, while demand for high CV thermal coal also remains robust in mature and emerging markets in Asia.
The source: ASX announcement
