These markets included India, China, Taiwan and Southeast Asia as well as the traditional markets of Japan and Korea, the company said in its latest quarterly report.

“Management notes the increasing media coverage of coal-fired power plant construction as numerous countries around the world choose to restructure the composition of their energy mix towards coal as a cheaper and more reliable supply, particularly in developing nations,” it said.

“Management has also observed a renewed level of public commentary from the major miners who, like Stanmore Coal, believe that thermal coal is a critical foundation energy source for the developing world.

“The company’s diversified portfolio of development and exploration projects puts it in a strong position to benefit as coal markets recover.”

The company said it was in a strong financial position with no material commitments or take or pay liabilities and it remained sufficiently resourced to respond quickly in an environment of increasing opportunities.

“Management and the board completed another review of the company’s cost structure during the period and sharply reduced its overheads and ongoing running costs in recognition of current coal market weakness and to ensure capital is preserved,” it said.