A total recordable injury frequency rate below industry average and an improved output were among the highlights from Yancoal’s September quarter.
White the quarter started off rocky for the coal miner, improved coal market conditions by the end of September saw Yancoal finish strong, with a $324 million increase in cash holding.
“Output from our mines continued to improve as we deliver on our recovery initiatives across our operations,” Yancoal chief executive officer David Moult said.
“The trend of increased output each quarter this year is a direct result of the dedication of our people across all our sites.
“We aim to extend the positive trend into the fourth quarter, as our recovery initiatives progress towards completion.”
Attributable coal production increased nine per cent on the second quarter (Q2) of 2023, with Q3 bringing an average realised coal price of $197 per tonne average.
“Thermal coal markets appear balanced,” Moult said. “Restocking ahead of the Northern Hemisphere winter by power generators, domestic supply disruptions in China, increased demand from India due to lower hydro generation and some buyers reducing Russian coal imports, all appeared to bolster market sentiment through the period.”
Yancoal also ended the quarter debt free with a September 30 cash balance of $920 million, and its total recordable injury frequency rate was 5.1, below industry average.
“A continuing strong revenue profile is likely to result in ongoing corporate tax payments and franking credit accumulation,” Moult said.
“Yancoal remains focused on bolstering production and reducing cash operating costs to drive continued cash generation in all coal market conditions – as we always have.”
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