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Atlantic production up

AIM-listed anthracite coal miner Atlantic Coal has grown run-of-mine production 24.4% quarter-on-...

Noel Dyson

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ROM stockpiles were 91.599 tons, a 265% increase on the quarter-one stockpile figure.

The company has been building its stockpile to take advantage of the improved pricing environment expected later this year.

Clean coal production for the period was 30,641t, up from the 53,131t in the first quarter.

Sales of clean coal were 23,671t in response to a combination of the usual demand drop off in the spring and also to softening prices.

The average anthracite sales price was $126.40 a tonne. In the first quarter it was $139.84.

However, Atlantic Coal managing director Steve Best said while the anthracite prices had been depressed over the past year, he expected prices to improve in the second half of 2013.

“We have taken the decision to decrease costs by significantly reducing overburden removal but continued strong ROM production demonstrates the ongoing effectiveness of our operations at Stockton,” he said.

“We have also taken the decision to stockpile ROM production rather than process it at current price levels in order to take advantage of an anticipated improved pricing environment in the second half of 2013 as demand typically increases during the winter months.”

Best said the mine’s ability to rapidly modify its production, processing and sales in reaction to soft prices was testament to the flexible operational model Atlantic had built at Stockton.

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