Atlantic Coal anthracite sales jump in 3Q15

Pennsylvania anthracite producer, Atlantic Coal, has reported a dramatic increase in coal sales and ROM production in the nine months to September 2015, setting the company up for a successful year as its goes into the peak demand period for its product.

Sales were up 65% to 186 186 short t compared to 112 831 short t over the same period last year, while ROM production jumped by over 50% to 365 985 short t.

"I am pleased to report an excellent production and sales performance during 3Q15, said Steve Best, Atlanic Coal's Managing Director. "This is particularly pleasing when viewed against the very challenging market conditions for commodities, in particular for thermal and metallurgical coals, the prices of which have plunged dramatically." In contrast, Atlantic Coal is planning on raising its prices for all of its products by US$10/short t.

The company is also set to take advantage of favourable geological conditions to help it maintain its high production levels.

"We are […] very near to reaching the bottom of the coal basin in the current cut and, according to indications from old underground mine maps, we are due to enter the almost solid 30 ft thick Mammoth seam, which will further assist in maintaining our high production levels,” said company managing director, Steve Best.

The historic Pennsylvania anthracite industry is experiencing something of a revival in recent time with fellow miner, Blaschak Coal, also announcing plans to expand production in response to strong demand.

And with the next quarter seeing the start of the industrial and domestic heating season – when demand for anthracite peaks – Atlantic Coal is positive for the remainder of the year: “For the first time going into the winter, we have a very healthy inventory of clean coal which means that we have the confidence to supply our traditional customer base and also to go out and seek new customers," said Best.

“We therefore look forward with confidence to the final quarter of 2015 and the directors are confident that the financial performance of the company for the remainder of H2 will match the results reported in H1."

Edited by Jonathan Rowland.

Read the article online at: https://www.worldcoal.com/mining/01102015/atlantic-coal-anthracite-sales-jump-in-3q15-2939/