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Peabody provides an update on cyclone Debbie

Published by
World Coal,

Peabody Energy provided an update on effects of Cyclone Debbie in Australia on the logistics chain related to the company's metallurgical coal mines in Queensland, following the announcement by the third-party rail provider serving the region.

While Peabody's mines have recommenced operations, outages of the rail system are preventing coal shipments from mine to port. Rail services provider Aurizon announced today that initial assessments indicate that recovery of the Goonyella system, which connects Bowen Basin mines to the Dalrymple Bay Coal Terminal and Hay Point Coal Terminal, is expected to take approximately five weeks.

Peabody noted that it is still too early to assess impacts on volume and results, as well as any effects on second quarter price negotiations with metallurgical coal customers. Queensland accounts for more than half of the world's seaborne metallurgical coal supplies.

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