Hallador Energy (HNRG) has formed a cup base with a buy point of 22.01. Shares logged a five-session winning streak on Thursday, according to IBD MarketSurge chart analysis tools. On the weekly chart, shares of the energy company offer a lower handle entry at 20.05. However, shares are in a late-stage, base-on-base pattern. Earlier-stage bases have been known to net… Related news 9/15/2023Peabody Energy shows rising price performance, earning an upgrade to its IBD Relative Strength Rating 9/15/2023Peabody E ...

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Hallador Energy (HNRG) - Hallador Energy currently holds a Momentum Style Score of B, indicating potential for strong performance based on price changes and earnings estimate revisions [3] - The company has a Zacks Rank of 1 (Strong Buy), suggesting it is expected to outperform the market [4] Performance Metrics - HNRG shares have increased by 9.8% over the past week, significantly outperforming the Zacks Alternative Energy - Other industry, which rose by 1.14% [6] - Over the past month, HNRG's price change is 16.73%, compared to the industry's 2.96% [6] - In the last quarter, HNRG shares rose by 18.02%, and over the past year, they gained 117.27%, while the S&P 500 only increased by 8.73% and 17.21%, respectively [7] Trading Volume - The average 20-day trading volume for HNRG is 496,924 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, two earnings estimates for HNRG have been revised upwards, raising the consensus estimate from -$0.11 to $0.57 [10] - For the next fiscal year, two estimates have also moved upwards, with no downward revisions noted [10] Conclusion - Given the strong performance metrics and positive earnings outlook, Hallador Energy is positioned as a 1 (Strong Buy) stock with a Momentum Score of B, making it a compelling investment opportunity [12]

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgent need for energy to support its growth [1][2][3] - A specific company is highlighted as a key player in the AI energy sector, owning critical energy infrastructure assets that are essential for meeting the increasing energy demands of AI technologies [3][7][8] Investment Landscape - Wall Street is investing hundreds of billions into AI, but there is a looming question regarding the energy supply needed to sustain this growth [2] - AI data centers consume energy equivalent to that of small cities, indicating a significant strain on global power grids [2] - The company in focus is positioned to benefit from the surge in demand for electricity driven by AI advancements [3][6] Company Profile - The company is described as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and benefiting from the onshoring trend due to tariffs [5][6] - It possesses a unique footprint in nuclear energy, which is crucial for America's future power strategy [7] - The company is debt-free and has a substantial cash reserve, equating to nearly one-third of its market capitalization, making it financially robust compared to its peers [8][10] Market Position - The company is noted for its ability to execute large-scale engineering, procurement, and construction projects across various energy sectors, including oil, gas, and renewables [7] - It has an equity stake in another AI-related venture, providing investors with indirect exposure to multiple growth opportunities in the AI sector [9][10] - The stock is considered undervalued, trading at less than seven times earnings, which presents a compelling investment opportunity [10][11] Future Outlook - The ongoing AI infrastructure supercycle, combined with the onshoring boom and increased U.S. LNG exports, positions the company favorably for future growth [14] - The influx of talent into the AI sector is expected to drive continuous innovation and advancements, further solidifying the importance of energy infrastructure [12][13]

Financial Data and Key Metrics Changes - The company reported total operating revenue of $102.9 million for Q2 2025, down from $117.8 million in Q1 2025 and up from $93.8 million in the prior year period [19] - Net income for Q2 2025 was $8.2 million, compared to $10 million in Q1 2025 and a loss of $10.2 million in the prior year period [20] - Adjusted EBITDA for Q2 2025 was $3.4 million, down from $19.3 million in Q1 2025 and a loss of $5.8 million in the prior year period [20] - Operating cash flow for Q2 2025 was $11.4 million, compared to $38.4 million in Q1 2025 and $23.5 million in the prior year period [20] - Total bank debt increased to $45 million as of June 30, 2025, from $23 million at March 31, 2025 [21] Business Line Data and Key Metrics Changes - Electric sales for Q2 2025 were $60 million, unchanged from the prior year period but down from $85.9 million in Q1 2025, primarily due to seasonal factors and a planned maintenance outage [19] - Third-party coal sales increased to $38.1 million in Q2 2025, up from $30.2 million in Q1 2025 and $32.8 million in the prior year period, driven by higher shipments [19] Market Data and Key Metrics Changes - The company expects to produce approximately 3.7 million tons of coal in 2025, with 2.1 million tons already produced in the first half of the year [16] - The average contracted sales price for coal in 2026 is projected to be approximately $4 per ton higher than in 2025 [12] Company Strategy and Development Direction - The company is focusing on securing long-term power purchase agreements (PPAs) and has expanded its discussions with multiple counterparties, including utilities [9][10] - There is an ongoing evaluation of opportunities to acquire additional dispatchable generation assets to diversify the portfolio and enhance financial profiles [10][13] - The company is considering adding natural gas capabilities at its Merrell facility to create a dual fuel configuration [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the current market conditions, driven by increasing demand for accredited capacity and resilient baseload power [9] - The company is encouraged by the growing policy support for coal and coal-fired generation at both federal and state levels [15] - Management believes that the shift towards intermittent renewables will create long-term imbalances and greater market volatility, increasing the value of reliable baseload assets [10] Other Important Information - The company appointed Todd Talez as the new Chief Financial Officer, bringing extensive experience in the power and utility sectors [17] - The company has secured a $35 million prepaid firm energy sale with delivery scheduled throughout 2025 and 2026, which will enhance operational flexibility [6] Q&A Session Summary Question: Are you open to multiple agreements to avoid customer concentration? - Management indicated that they are open to multiple agreements and have been encouraged by the aggressive bids from utilities [26] Question: Should we expect the end user to fund the co-firing upgrade? - Management stated that some customers are interested in co-firing, while others are not, and the decision will depend on the offers received [29] Question: What are your thoughts on liquidity management? - The CFO mentioned opportunities to execute on prepays and refinance the existing capital structure [33] Question: What is the status of the larger scale PPA? - Management noted that while the pricing curve has dropped slightly, the capacity markets have strengthened, leading to competitive conversations [36] Question: Are you actively looking for acquisitions? - Management confirmed they are having conversations and are positioned to take advantage of potential acquisitions in coal-fired assets [41] Question: Will you provide economics around the co-firing opportunity soon? - Management indicated that they are gathering information but will not disclose costs until the project becomes more actionable [48] Question: What is your appetite for reentering exclusivity with counterparties? - Management expressed no current appetite for exclusivity, preferring to gather as much information as possible from various parties [52]

[PART I - FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Financial Statements](index=3&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS) Hallador Energy reported a **$18.2 million** net income for the six months ended June 30, 2025, reversing a prior-year loss due to higher revenues and operational efficiencies [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$409.5 million** and stockholders' equity improved to **$122.2 million** as of June 30, 2025, reflecting recent profitability Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $139,874 | $104,858 | | **Total Assets** | $409,513 | $369,120 | | **Total Current Liabilities** | $209,255 | $152,903 | | **Total Liabilities** | $287,360 | $264,835 | | **Total Stockholders' Equity** | $122,153 | $104,285 | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company achieved profitability in H1 2025 with **$18.2 million** net income, reversing prior-year losses due to increased revenues and decreased operating expenses Statement of Operations Summary (in thousands, except per share data) | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Total sales and operating revenues | $220,676 | $205,619 | | Income (Loss) from Operations | $25,808 | $(4,553) | | Net Income (Loss) | $18,227 | $(11,900) | | Diluted EPS | $0.42 | $(0.32) | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations was **$49.8 million** for H1 2025, leading to a **$20.2 million** increase in cash, cash equivalents, and restricted cash Cash Flow Summary (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $49,783 | $39,891 | | Net cash used in investing activities | $(24,897) | $(25,570) | | Net cash used in financing activities | $(4,669) | $(10,716) | | **Increase in cash, cash equivalents, and restricted cash** | **$20,217** | **$3,605** | [Notes to Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Key notes detail the company's two operating segments, a **$215.1 million** impairment charge, a credit agreement amendment, a new **$35.0 million** prepaid power contract, and a 2024 Coal segment restructuring - The company's business is organized into two reportable segments: **Electric Operations** (Merom Power Plant) and **Coal Operations** (Oaktown 1 mining complex)[21](index=21&type=chunk)[23](index=23&type=chunk) - In 2024, the company recorded a **$215.1 million** non-cash impairment charge in its Coal Operations segment due to lower quality coal at the Oaktown 2 mine, leading to its temporary sealing[32](index=32&type=chunk) - On June 27, 2025, the company amended its credit agreement for additional operating flexibility, with total bank debt at **$45.0 million** as of June 30, 2025[37](index=37&type=chunk)[38](index=38&type=chunk) - During Q2 2025, the company entered into a 17-month, **$35.0 million** prepaid physically delivered power contract with a significant financing component[59](index=59&type=chunk) - In February 2024, the company reorganized its Coal Operations segment, reducing its workforce by approximately **110 employees (12%)** and idling higher-cost surface mines to improve efficiency[83](index=83&type=chunk) Unsatisfied Performance Obligations as of June 30, 2025 (in thousands) | Revenue Stream | Total Remaining Obligation | | :--- | :--- | | Delivered energy revenues | $436,530 | | Capacity revenues | $183,200 | | Coal Operations revenues | $371,540 | | **Total Revenue** | **$991,270** | [Management's Discussion and Analysis (MD&A)](index=23&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Management reported strong Q2 2025 results, pursuing long-term PPAs and strategic acquisitions, benefiting from Coal Operations restructuring, and maintaining **$42.0 million** total liquidity - Q2 2025 generated **$102.9 million** in revenue with a **$17.6 million** EBITDA margin, an improvement of **$9.1 million** year-over-year[110](index=110&type=chunk) - The company is in discussions with data center developers and utilities for a long-term PPA for the Merom plant's capacity and energy[113](index=113&type=chunk) - Strategic initiatives include seeking acquisitions of additional dispatchable generation and evaluating natural gas co-firing capability at the Merom plant to enhance flexibility and reliability[114](index=114&type=chunk)[116](index=116&type=chunk) - The 2024 organizational restructuring in the Coal Operations segment has led to improved operational expenses, more efficient recoveries, and accelerating shipments[119](index=119&type=chunk) Liquidity Position as of June 30, 2025 | Metric | Amount (in millions) | | :--- | :--- | | Cash provided by operations (YTD) | $49.8 | | Bank Debt | $45.0 | | Additional borrowing capacity | $32.8 | | **Total Liquidity** | **$42.0** | [Results of Operations - Electric Operations](index=29&type=section&id=Results%20of%20Operations%20-%20Electric%20Operations) The Electric Operations segment's income before income taxes increased **41.9%** to **$30.8 million** for H1 2025, driven by new PPA contracts and lower fuel costs Electric Operations Performance (YTD 2025 vs YTD 2024) | Metric | Six Months Ended June 30, 2025 (in millions) | Six Months Ended June 30, 2024 (in millions) | | :--- | :--- | :--- | | Electric Sales | $145.9 | $120.9 | | EBITDA Margin | $41.8 | $31.3 | | Income before Income Taxes | $30.8 | $21.7 | | MWh Sold (thousands) | 2,392 | 1,730 | - The increase in delivered energy revenue for YTD 2025 is attributed to new PPA contracts that started in Q1 2025[149](index=149&type=chunk) [Results of Operations - Coal Operations](index=31&type=section&id=Results%20of%20Operations%20-%20Coal%20Operations) The Coal Operations segment significantly reduced its loss before income taxes to **$3.7 million** for H1 2025, driven by decreased depreciation from the 2024 asset impairment and reduced labor costs Coal Operations Performance (YTD 2025 vs YTD 2024) | Metric | Six Months Ended June 30, 2025 (in millions) | Six Months Ended June 30, 2024 (in millions) | | :--- | :--- | :--- | | Coal Sales | $100.3 | $111.7 | | EBITDA Margin | $8.3 | $(4.0) | | Loss before Income Taxes | $(3.7) | $(29.2) | | Tons Sold (thousands) | 1,961 | 2,063 | - Labor costs decreased by **$8.8 million** YTD due to the February 2024 restructuring, which reduced the segment's headcount from **924 to 655**[162](index=162&type=chunk) - Depreciation, depletion, and amortization costs decreased by **$9.5 million** YTD as a direct result of the **$215.1 million** non-cash impairment charge recognized in Q4 2024[165](index=165&type=chunk) [Critical Accounting Estimates](index=34&type=section&id=Critical%20Accounting%20Estimates) The company's critical accounting estimates, requiring significant judgment, include coal reserves, asset retirement obligations, deferred taxes, inventory valuation, and long-lived asset impairment analysis - Key critical accounting estimates include **coal reserves**, **asset retirement obligations**, **deferred taxes**, **inventory valuation**, and **impairment analysis**[173](index=173&type=chunk) - Asset retirement obligations are discounted using credit-adjusted risk-free rates ranging from **7% to 10%**[176](index=176&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) There have been no material changes to the company's market risk disclosures since its 2024 Annual Report on Form 10-K - There were no material changes from the market risk disclosure in the 2024 Annual Report on Form 10-K[182](index=182&type=chunk) [Controls and Procedures](index=35&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) The CEO and CFO concluded the company's disclosure controls and procedures were effective, with no material changes to internal controls over financial reporting during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures are effective[184](index=184&type=chunk) - No changes to internal control over financial reporting occurred during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[185](index=185&type=chunk) [PART II - OTHER INFORMATION](index=37&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Mine Safety Disclosures](index=37&type=section&id=ITEM%204.%20MINE%20SAFETY%20DISCLOSURES) Exhibit 95.1 provides a comprehensive listing of the company's mine safety violations - A listing of the company's mine safety violations is provided in Exhibit 95.1 to the Form 10-Q[193](index=193&type=chunk) [Exhibits](index=37&type=section&id=ITEM%206.%20EXHIBITS) This section lists all exhibits filed with the Form 10-Q, including the Third Amendment to the Credit Agreement and required SOX certifications - Key exhibits filed include the Third Amendment to the Fourth Amended and Restated Credit Agreement and SOX 302 and 906 certifications[194](index=194&type=chunk)

[Q2 2025 Financial and Operating Results](index=1&type=section&id=Hallador%20Energy%20Company%20Reports%20Second%20Quarter%202025%20Financial%20and%20Operating%20Results) [Management Commentary](index=1&type=section&id=Management%20Commentary) Management reported strong Q2 results with increased revenue and net income, driven by improved coal cost efficiency and active pursuit of a long-term PPA - The company delivered strong Q2 results, including increased revenue and net income, despite a scheduled outage at a generating unit and seasonal softness in the energy market[2](index=2&type=chunk) - Coal operations benefited from improved cost efficiency and stronger recovery rates, leading to higher inventory levels that position the company for a strong second half[2](index=2&type=chunk) - Hallador is seeing increased momentum in its strategy to secure a long-term PPA, engaging with a broad range of potential partners, including utilities, in a market with ramping demand for accredited capacity and baseload power[2](index=2&type=chunk) [Second Quarter 2025 Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Q2 2025 highlights include **10% revenue growth** to **$102.9 million**, **$8.2 million net income**, and **$11.4 million operating cash flow** Q2 2025 Key Financial Metrics (YoY, $ in Millions) | Metric | Q2 2025 | Change (YoY) | | :--- | :--- | :--- | | Total Revenue | $102.9 Million | +10% | | Net Income | $8.2 Million | Increase from loss | | Adjusted EBITDA | $3.4 Million | Increase from loss | | Operating Cash Flow | $11.4 Million | - | Debt and Liquidity (as of June 30, 2025, $ in Millions) | Metric | Q2 2025 | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | :--- | | Total Bank Debt | $45.0 Million | $23.0 Million | $44.0 Million | | Total Liquidity | $42.0 Million | $69.0 Million | $37.8 Million | - In June 2025, the company amended its credit agreement to enhance operating flexibility by redefining covenants and deferring a debt repayment from October 2025 to January 2026[5](index=5&type=chunk) - Capital expenditures for Q2 2025 were **$13.1 million**, nearly flat compared to **$13.2 million** in the same period last year[6](index=6&type=chunk) [Financial Summary and Outlook](index=2&type=section&id=Financial%20Summary%20and%20Outlook) [Financial Summary](index=2&type=section&id=Financial%20Summary) Q2 2025 saw total revenue rise to **$102.9 million**, a turnaround to **$8.2 million net income**, and positive **$3.4 million Adjusted EBITDA** Q2 Financial Summary ($ in Millions) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Electric Sales | $60.0 | $60.0 | | Coal Sales - 3rd Party | $38.1 | $32.8 | | **Total Sales and Operating Revenue** | **$102.9** | **$93.8** | | **Net Income (Loss)** | **$8.2** | **($10.2)** | | Operating Cash Flow | $11.4 | $23.5 | | **Adjusted EBITDA** | **$3.4** | **($5.8)** | [Reconciliation of GAAP to non-GAAP "Adjusted EBITDA"](index=3&type=section&id=Reconciliation%20of%20GAAP%20to%20non-GAAP%20Adjusted%20EBITDA) This section reconciles GAAP Net Income to non-GAAP Adjusted EBITDA, showing a positive **$3.4 million** in Q2 2025 from **$8.2 million net income** Adjusted EBITDA Reconciliation - Q2 (In $ Thousands) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **NET INCOME (LOSS)** | **$8,248** | **($10,204)** | | Interest expense | $3,819 | $3,735 | | Income tax expense (benefit) | — | ($3,011) | | Depreciation, depletion and amortization | $5,542 | $13,649 | | EBITDA | $17,609 | $4,169 | | Other Adjustments | ($14,211) | ($9,965) | | **Adjusted EBITDA** | **$3,398** | **($5,796)** | [Forward Sales Position](index=2&type=section&id=Solid%20Forward%20Sales%20Position) Hallador holds a strong forward sales position with **$1.0 billion** in total contracted third-party revenues through 2029 - At quarter-end, Hallador had total forward energy, capacity, and coal sales to 3rd party customers of **$1.0 billion** through 2029[7](index=7&type=chunk) Total Contracted Revenue (Consolidated, in Millions) | Year | 2025 | 2026 | 2027 | 2028 | 2029 | Total | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | $197.33 | $361.59 | $290.53 | $124.58 | $17.24 | $991.27 | [Condensed Consolidated Financial Statements](index=5&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to **$409.5 million**, total liabilities to **$287.4 million**, and equity to **$122.2 million** Balance Sheet Summary (in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total current assets | $139,874 | $104,858 | | Total assets | $409,513 | $369,120 | | Total current liabilities | $209,255 | $152,903 | | Total liabilities | $287,360 | $264,835 | | Total stockholders' equity | $122,153 | $104,285 | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2025 total revenues reached **$102.9 million**, resulting in **$8.2 million net income** or **$0.19 diluted EPS**, a significant improvement year-over-year Statement of Operations Summary - Q2 (in thousands) | Account | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total sales and operating revenues | $102,889 | $93,825 | | Total operating expenses | $91,019 | $101,111 | | Income (Loss) from Operations | $11,870 | ($7,286) | | **Net Income (Loss)** | **$8,248** | **($10,204)** | | **Diluted EPS** | **$0.19** | **($0.27)** | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For H1 2025, operating cash flow was **$49.8 million**, with **$24.9 million** used in investing and **$4.7 million** in financing, ending with **$32.4 million** cash Cash Flow Summary - Six Months Ended June 30 (in thousands) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $49,783 | $39,891 | | Net cash used in investing activities | ($24,897) | ($25,570) | | Net cash used in financing activities | ($4,669) | ($10,716) | | **Cash, cash equivalents, and restricted cash, end of period** | **$32,370** | **$10,728** | [Other Information](index=4&type=section&id=Other%20Information) [About Hallador Energy Company & Contact Information](index=4&type=section&id=About%20Hallador%20Energy%20Company%20%26%20Contact%20Information) Hallador Energy is an Indiana-based vertically-integrated IPP, operating the Merom Generating Station and Sunrise Coal for power and fuel production - Hallador Energy is a vertically-integrated IPP with two core businesses: Hallador Power Company, LLC (electricity production) and Sunrise Coal, LLC (fuel production and supply)[14](index=14&type=chunk) [Conference Call and Forward-Looking Statements](index=4&type=section&id=Conference%20Call%20and%20Forward-Looking%20Statements) A conference call is scheduled for August 11, 2025, to discuss results, with the report also containing forward-looking statements - Management will host a conference call and webcast on August 11, 2025, at 5:00 p.m. Eastern time to discuss the financial and operational results[13](index=13&type=chunk) - The press release includes forward-looking statements concerning the company's ability to secure a long-term PPA and unlock asset value, which are subject to risks and uncertainties[12](index=12&type=chunk)

Financial Performance - Total revenue for Q2 2025 increased by 10% year-over-year to $102.9 million, driven by a strong increase in coal sales to $38.1 million [1][5][7] - Net income for Q2 2025 was $8.2 million, translating to earnings per share of $0.19, a significant improvement from a net loss of $10.2 million in Q2 2024 [1][7][21] - Adjusted EBITDA for Q2 2025 rose to $3.4 million, compared to a loss of $5.8 million in the same quarter last year [1][7][21] Cash Flow and Liquidity - Operating cash flow for Q2 2025 was $11.4 million, which was utilized to partially fund capital expenditures of $13.1 million [1][4][6] - Total liquidity at the end of Q2 2025 was $42.0 million, down from $69.0 million at the end of Q1 2025 [5][7] Debt and Financing - Total bank debt increased to $45.0 million as of June 30, 2025, up from $23.0 million at March 31, 2025, primarily due to a higher revolver balance related to planned maintenance [5][7] - The company amended its credit agreement in June 2025 to enhance operating flexibility, deferring certain covenant requirements and moving a scheduled debt repayment to January 2026 [5][7] Operational Highlights - The company experienced operational resilience despite seasonal softness in the energy market and a scheduled outage at one of its generating units [2][5] - Hallador is actively pursuing long-term power purchase agreements (PPAs) and has engaged with various potential partners, indicating a positive outlook for future revenue generation [2][5] Strategic Positioning - Hallador has a solid forward sales position with total forward energy, capacity, and coal sales to third-party customers amounting to $1.0 billion through 2029 [7][12] - The company is focused on unlocking the full value of its dispatchable generation assets while evaluating strategic acquisitions and enhancements [2][5]

Core Viewpoint - Hallador Energy Company will host a conference call on August 11, 2025, to discuss its financial results for the second quarter ended June 30, 2025 [1] Company Overview - Hallador Energy Company is a vertically-integrated Independent Power Producer (IPP) based in Terre Haute, Indiana [3] - The company operates two core businesses: Hallador Power Company, LLC, which produces electricity at its one-Gigawatt (GW) Merom Generating Station, and Sunrise Coal, LLC, which supplies fuel to the Merom Generating Station and other companies [3] Conference Call Details - The conference call will take place on Monday, August 11, 2025, at 5:00 p.m. Eastern time [2] - Interested parties can submit questions prior to the call via email to the investor relations team [2] - The call will be broadcast live and available for replay on the company's investor relations website [2]

Group 1 - Hallador Energy Company is under investigation by Pomerantz LLP for potential securities fraud or unlawful business practices involving its officers and/or directors [1] - On May 23, 2025, Hallador announced the termination of its exclusivity agreement with a datacenter developer regarding a power supply deal, leading to a stock price decline of $1.38 per share, or 7.33%, closing at $17.45 [3]

Core Viewpoint - Hallador Energy Company is under investigation for potential violations of federal securities laws and unlawful business practices following the termination of an exclusivity agreement with a datacenter developer, which led to a significant drop in its stock price [1][2]. Company Developments - On May 23, 2025, Hallador announced the termination of its exclusivity agreement with a datacenter developer regarding a potential power supply deal, which has raised concerns among investors [2]. - Following the announcement, Hallador's stock price decreased by $1.38 per share, representing a 7.33% decline, closing at $17.45 per share [2]. Legal Investigation - Bragar Eagel & Squire, P.C. is investigating potential claims on behalf of Hallador stockholders who may have suffered losses due to the company's actions [1][3]. - The law firm is seeking information from long-term stockholders and those who have acquired Hallador shares regarding their rights and interests in this matter [3].