Coal company to resume exports to Asia
CASPER, Wyo. (AP) – Gillette-based Cloud Peak Energy will again export coal to Asia, a positive sign in a troubled industry.
Some coal companies filed for Chapter 11 and prices fell to their lowest level in three decades over the last year, reported the Casper Star-Tribune.
“The last few months has been very positive for Cloud Peak Energy and certainly a big improvement from the first half of the year,” Cloud Peak President Colin Marshall said during an analysts’ call. “At the same time, the recent dramatic improvement in international thermal coal prices has allowed us to contract to export approximately one million tons between November and February next year.”
The company’s third quarter losses totaled $1.6 million compared to last year’s $9 million gain during the same time period.
Marshall said the company will export about a million tons from November to February.
“Demand growth in South Korea, Vietnam, and Taiwan continues its forecast, giving an overall positive outlook,” he said. “At the same time supply from Indonesia and Australia appears to be constrained due to low capital spending in recent years.”
He noted no injuries among the 1,200 workers in the third quarter.
“There were no environmental citations at any of our sites during the quarter,” he said. “It is now over two years since our last environmental citation.”
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