By David Winning
SYDNEY–Whitehaven Coal said fourth-quarter coal production rebounded amid drier weather along Australia’s east coast, while a record average coal price across its fiscal 2023 has strengthened its cash position.
Whitehaven reported run-of-mine coal output of 5.1 million metric tons in the three months through June, up 19% on the prior quarter. That brought annual production to 18.2 million tons, which was toward the low end of company guidance for 18.0 million-19.2 million tons.
“During FY23, production and sales volumes were impacted by 1H flooding and weather delays, labor shortages and operational constraints at Maules Creek,” Chief Executive Paul Flynn said. “However, a stronger June quarter relative to the March period helped deliver our overall FY23 guidance for both production and sales.”
Whitehaven said its coal fetched an average price of 445 Australian dollars (US$298) a ton in the 2023 fiscal year, compared to a previous high of A$325/ton in fiscal 2022. That drove cash generation of A$4.2 billion across the year, and supported an effort to buy back shares worth nearly A$950 million.
Whitehaven said its net cash totaled A$2.65 billion at the end of June and management had decided not to renew a A$1 billion undrawn finance facility as part of a broader refinancing.
Write to David Winning at [email protected]
Read the full article here
