The company, which reported a net operating profit of $81.1 million for the half-year, said its southeast Queensland coal mining operations were also adversely affected by higher exchange rates and the increasing costs of transport.

Production was steady at 2.8 million tonnes, while revenue at $336.2 million was down 8.6% year-on-year.

When the sale of its share in coal seam gas group Arrow Energy was included, New Hope’s net profit after tax for the half was $407.4 million.

New Hope managing director Rob Neale said the company remained a low-cost producer of thermal coal and was well positioned to take advantage of firming coal prices.

“Recent acquisitions in both the coal and energy sector complement a very strong balance sheet and provide New Hope with a solid platform for growth in the short to medium term,” he said.

The company also increased export sales during the first half by 23% to 2.7Mt.

“As a result we are in a good position to take advantage of firming coal prices once transport infrastructure in the region has been repaired,” Neale said.

First-half achievements included the completion of the expansion of the QBH coal export terminal under budget estimates in December 2010. The terminal now has a nominal annual throughput of 10Mt with all capacity fully committed to existing customers.

Total coal export throughput for the six months was 3.46Mt, up 6% year-on-year.

The company also made progress with its coal-to-liquids initiatives with advances made in plans for proof-of-concept plants.

In March, New Hope concluded a successful takeover offer for Northern Energy Corporation, acquiring 80.8% of the coal exploration and development company.

The company was also working closely with QR National to maximise railings from the New Acland mine once the Western rail system is reopened. The rail line was expected to be operational by the end of March.

New Hope was also advancing exploration projects that had been planned for the first half but delayed due to continuing wet weather across Queensland.