Corsa Coal Corp., a premium quality metallurgical coal producer, has announced its guidance for 2018.
"2017 has been a year of tremendous growth and record profitability for Corsa, driven by strong volume growth across all of our metallurgical segments as well as a healthy pricing environment," said George Dethlefsen, CEO of Corsa.
Dethlefsen noted that the company intends to continue to expand and grow in 2018, as its Acosta mine nears full production and as it commences production at the Horning mine.
“In 2018, we are guiding towards metallurgical coal production growth of over 60% and an overall increase in premium low volatile metallurgical coal sales of over 50% as compared to 2017 forecasted levels,” he stated.
In terms of finance, cash flow and expenditure, Dethlefsen informed that the company’s “priorities for allocating free cash flow include metallurgical coal production growth and investing in our mining equipment to position the company for the future. Our 2018 capital expenditure program is focused on growing production from existing mines, new mine development, maintenance capital at existing operations and maintaining our preparation plants to support the Company's goal of doubling low volatile metallurgical coal production over the next two years.”
Concluding the announcement, Dethlefsen looks to 2018 with optimism, stating: “The global supply and demand fundamentals for metallurgical coal remain very positive. The steel industry is enjoying high levels of production growth and profitability, and on the supply side, premium quality metallurgical coal remains in a supply deficit. We have built a diversified sales order book with exposure to Pacific basin prices, US East Coast pricing and fixed prices domestically. With metallurgical coal prices at profitable levels and our growth story continuing to move forward, Corsa is well positioned for another outstanding year ahead."
Read the article online at: https://www.worldcoal.com/coal/27122017/corsa-coal-positioned-for-continued-growth-in-2018/