Group 1 - Peabody Energy Corporation is a U.S. listed coal mining company with most production from U.S. operations, but the majority of earnings and cash flow typically come from international markets [1] - The company focuses on turnarounds in natural resource industries, with a typical holding period of 2-3 years [2] - The portfolio of the company has achieved a compounded annual growth rate of 29% over the last 6 years [2]

Core Insights - Peabody reported a net loss of $27.6 million for Q2 2025, a significant decline from a net income of $199.4 million in the same quarter last year, with Adjusted EBITDA dropping to $93.3 million from $309.7 million [1][7][23] - The company experienced strong performance in the Powder River Basin (PRB) segment, driven by robust U.S. thermal coal demand and effective cost management [2][7] - Peabody has raised its full-year volume guidance for Seaborne Thermal and PRB coal while lowering cost-per-ton targets across multiple segments [7][14] Financial Performance - Q2 2025 Adjusted EBITDA was $93.3 million, down from $309.7 million in Q2 2024, reflecting lower shipments and pricing pressures [1][23] - The company reported total revenue of $890.1 million for Q2 2025, compared to $1,042.0 million in Q2 2024 [23][32] - Operating costs for Q2 2025 were $789.4 million, slightly lower than $803.9 million in the same quarter last year [23][32] Segment Performance - Seaborne Thermal segment sold 3.6 million tons in Q2 2025, down from 4.1 million tons in Q2 2024, with an Adjusted EBITDA of $33.5 million [4][32] - Seaborne Metallurgical segment sold 2.2 million tons, with an Adjusted EBITDA loss of $9.2 million, impacted by a challenging pricing environment [5][32] - The PRB segment achieved an Adjusted EBITDA of $43.0 million, benefiting from strong demand and lower costs [8][32] Operational Updates - The Centurion Mine's longwall production start has been accelerated to February 2026 due to effective execution and development progress [12] - Peabody expects to benefit from federal royalty reductions, estimating an impact of $15 to $20 million in the second half of 2025 [7][14] Guidance and Outlook - Full-year 2025 guidance for Seaborne Thermal is now set at 14.6 to 15.2 million tons, with a cost target of $45.00 to $48.00 per ton [20] - PRB volume guidance has been raised to 80.0 to 84.0 million tons, with an average cost target of $11.50 to $12.00 per ton [20] - The company maintains its full-year volume and cost guidance for Other U.S. Thermal coal [9][20]

Core Insights - Alliance Resource Partners, L.P. (ARLP) reported a resilient performance in Q2 2025 despite facing challenges such as lower coal pricing and decreased transportation revenues [1][8] - The company experienced a 7.7% year-over-year decline in total revenues, amounting to $547.5 million, primarily due to an 11.3% drop in average coal sales prices [1][8] - Net income for the quarter decreased to $59.4 million from $100.2 million in Q2 2024, influenced by lower revenues, increased depreciation, and a $25 million non-cash impairment on a battery materials equity investment [1] - Adjusted EBITDA was reported at $161.9 million, reflecting a 1.2% sequential increase [1][8] - The company updated its FY25 guidance, anticipating improved production at Tunnel Ridge and higher sales from the Illinois Basin, alongside cost efficiencies and strong contracted commitments [1] Revenue and Sales Performance - Total revenues for Q2 2025 were $547.5 million, down 7.7% year-over-year [1][8] - Average coal sales prices fell by 11.3%, contributing to the revenue decline [1] - Oil & Gas royalty volumes increased by 7.7% year-over-year, indicating a positive trend in this segment [8] Financial Metrics - Net income for Q2 2025 was $59.4 million, a significant decrease from $100.2 million in the same quarter of the previous year [1] - Adjusted EBITDA for the quarter was $161.9 million, showing a slight increase of 1.2% sequentially [1][8] - The company declared a quarterly cash distribution of $0.60 per unit [8] Future Outlook - Alliance Resource Partners added 17.4 million committed and priced tons for 2025-2029, enhancing long-term sales visibility [8] - The company remains optimistic about production improvements and cost efficiencies, which are expected to support its updated FY25 guidance [1]

Core Insights - Ramaco Resources, Inc. has received a second 5-year mine permit approval for the Brook Mine, allowing continued coal mining and reclamation activities across 4,548.8 acres in Wyoming [1][2] - The permit signifies compliance with regulatory requirements, enhancing stakeholder confidence in the company's operational capabilities [2] - The Brook Mine Carbon Ore Rare Earth project marks the first new rare earth mine in the U.S. in over 70 years and the first new coal mine in Wyoming in over 50 years, contributing to national efforts to reduce reliance on foreign critical minerals [3] Company Developments - Wyoming Governor Mark Gordon approved a $6.1 million Energy Matching Fund grant to support the construction of a pilot-scale processing facility at the Brook Mine, with construction set to begin later this year [4] - Ramaco Resources operates and develops high-quality metallurgical coal and is also a developing producer of coal, rare earth, and critical minerals in Wyoming [5] - The company has discovered a major deposit of primary magnetic rare earths and critical minerals at its mine near Sheridan, Wyoming, and operates a carbon research and pilot facility related to advanced carbon products [5]

Financial Data and Key Metrics Changes - Total revenues for Q2 2025 were $547.5 million, down from $593.4 million in Q2 2024, primarily due to lower coal sales prices and transportation revenues, partially offset by higher coal sales volumes [4] - Average coal sales price per ton decreased by 11.3% year-over-year to $57.92, driven by the roll-off of higher-priced legacy contracts and a higher proportion of Illinois Basin tons [4] - Net income for Q2 2025 was $59.4 million, compared to $100.2 million in Q2 2024, reflecting variances in revenues and higher depreciation expenses [9] - Adjusted EBITDA for the quarter was $161.9 million, down 10.8% year-over-year but up 1.2% sequentially [10] Business Line Data and Key Metrics Changes - Coal production in Q2 2025 was 8.1 million tons, a decrease of 3.9% compared to Q2 2024, while coal sales volumes increased by 6.8% to 8.4 million tons [4] - In the Illinois Basin, coal sales volumes increased by 15.2% year-over-year, driven by record shipments from Riverview and Hamilton mines [5] - Coal sales volumes in Appalachia decreased by 16.8% year-over-year due to challenging mining conditions at Tunnel Ridge [5] - Segment adjusted EBITDA expense per ton sold for coal operations was $41.27, a decrease of 9% year-over-year [6] Market Data and Key Metrics Changes - Total coal inventory at the end of Q2 2025 was 1.2 million tons, down 200,000 tons from the previous quarter [5] - Year-to-date electricity generation in key Eastern regions was up over 18% compared to last year, with utility inventories 18% below the prior year [18] - The domestic coal market is showing strong fundamentals, driven by increased demand for electricity and natural gas prices remaining elevated [18] Company Strategy and Development Direction - The company is optimistic about long-term growth opportunities, having committed an additional 17.4 million tons for delivery from 2025 to 2029 [12] - The company is increasing its volume guidance for the Illinois Basin to 25 to 25.75 million tons based on solid domestic demand [12] - The company is focused on maintaining margins through cost savings and is exploring investments in high-quality basins for oil and gas royalties [20][76] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the domestic coal market, citing supportive actions from the current administration and increased demand from AI data centers and manufacturing [18][21] - The company anticipates improved results from Appalachia in the second half of 2025 following the completion of a longwall move at Tunnel Ridge [5] - Management noted that the current regulatory environment is the most favorable for coal in decades, which is expected to support demand [23] Other Important Information - The company generated free cash flow of $79 million after investing $65.3 million in coal operations [11] - The quarterly distribution rate was adjusted to $0.60 per unit, reflecting a strategic decision to strengthen the balance sheet and provide financial flexibility for growth opportunities [22][32] Q&A Session Summary Question: Can you provide more details on the $25 million investment for the acquisition of the Gavin Power plant? - The investment was made to participate as a limited partner in a fund set up to acquire the Gavin Power plant, which is expected to be accretive upon closing [28] Question: What is the rationale behind the distribution cut despite a strong outlook for domestic coal? - The distribution was adjusted to align with a more sustainable operating margin and to provide flexibility for growth opportunities, not due to declining fortunes [32] Question: What growth opportunities are being considered? - The company is exploring investments in minerals, energy infrastructure for data centers, and potential acquisitions of coal plants [36] Question: How many customers will benefit from the recent legislation? - The legislation is expected to help utilities maintain and operate fossil fuel plants, which could stabilize and potentially increase demand for coal [40] Question: What is the outlook for coal pricing given the decline in Chinese demand for seaborne coal? - Domestic pricing remains prioritized, and there are signs of improved pricing for exports, which could lead to higher export tonnage next year [74] Question: Will there be continued investments in royalty assets? - The company plans to invest in its royalty segment, primarily targeting the Permian and Delaware Basins, with a goal of over $100 million in investments annually [76]

Core Insights - Alliance Resource Partners, L.P. (ARLP) reported a revenue of $547.46 million for Q2 2025, reflecting a year-over-year decline of 7.7% and an EPS of $0.55, down from $0.79 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $583.02 million by 6.1%, and the EPS also missed the consensus estimate of $0.61 by 9.84% [1] Financial Performance Metrics - The company’s operating revenues from oil & gas royalties were $35.47 million, exceeding the average estimate of $32.49 million [4] - Transportation revenues were reported at $8.56 million, significantly lower than the estimated $28.46 million, marking a 68% decline year-over-year [4] - Other sales generated $17.96 million, slightly above the estimated $19.13 million, with a year-over-year increase of 2.3% [4] - Coal sales amounted to $485.47 million, slightly above the average estimate of $483.17 million, but represented a year-over-year decline of 5.3% [4] Stock Performance - Over the past month, shares of Alliance Resource Partners have returned +9.6%, outperforming the Zacks S&P 500 composite's +4.9% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]

Summary of Coal Tracker Conference Call Industry Overview - The conference call focuses on the coal industry, specifically the Newcastle coal market and its dynamics influenced by China and other regions. Key Points Newcastle Coal Price Recovery - Newcastle coal price has recovered to approximately 110 USD/t since May, driven by increased demand from major coal importers [1] - Despite this recovery, global coal balances are still considered soft, particularly due to weaker-than-expected coal consumption in the first half of 2025 [1] Price Forecast Adjustments - The price forecasts for Newcastle coal have been adjusted downwards by 3 USD/t for August-September and 5 USD/t for Q4, now projected at 117 USD/t and 113 USD/t respectively [1] Factors Influencing Coal Imports in China 1. **China Policy**: - Recent investigations into overproduction by the Chinese government may lead to a slowdown in coal production growth, with a projected growth rate of around 1% year-over-year in the second half of 2025 [2] - Domestic coal prices in China have decreased by 20% due to overproduction concerns [2] 2. **Inventory Levels**: - Coal inventories at Chinese power plants have been decreasing since early June, which may lead to increased coal imports in the coming months [2] - Current inventories are still above historical averages, but the early destocking poses risks to end-of-summer inventories and could increase import needs [2][7] 3. **Weather Conditions**: - Warmer-than-average temperatures in Northeast Asia since June are expected to continue, potentially increasing coal demand in China, Japan, and Korea [2] Production Growth Expectations - China’s coal production growth is expected to slow down following the government's investigations, with a significant decrease in production growth unlikely due to energy security concerns [3] Coal Price Comparisons - Newcastle and API2 prices have recovered from lows in the first half of 2025, with Newcastle prices around 110 USD/t and API2 around 100 USD/t [5] - The price spread between Newcastle and API2 has recovered to about 10 USD/t, still at the lower end of the expected range [9] Inventory Trends - Coal inventories in China have started to decrease earlier than in previous years, although they remain above historical averages [17] - Indian thermal coal inventories have also decreased since early July but are still above historical ranges [24] International Coal Production - Indonesian coal production has remained above official targets, indicating strong supply from that region [31] - Australian coal shipments have recovered from disruptions caused by floods and are now higher year-over-year [35] Demand Trends - China’s coal imports in the first half of 2025 were significantly lower year-over-year, indicating a potential shift in demand dynamics [40] - In South Asia, Indian coal consumption has increased since mid-July, suggesting a regional uptick in demand [44] Natural Gas Price Context - Natural gas prices have remained within the coal-vs-gas switching range since late June, impacting coal demand dynamics [53] Additional Insights - The coal market is influenced by a combination of policy changes, inventory management, and weather conditions, which are critical for forecasting future demand and pricing trends [2][3][44] - The interplay between domestic production policies in China and international coal prices will be crucial for market stability moving forward [2][3]

Stanmore Resources (SMR) Q2 2025 Earnings Call July 27, 2025 08:00 PM ET Company ParticipantsMarcelo Matos - CEO & Executive DirectorShane Young - CFOBrett McKay - Head - Mining ResearchTim Elder - Equity Research AssociatePaul McTaggart - Head of ResearchGlyn Lawcock - Head - Resources ResearchOperatorI would now like to hand the conference over to Mr. Marcelo Matos, Executive Director and CEO. Please go ahead.Marcelo MatosGood morning, everyone. Welcome to today's call, where Shane and I will present the ...

Core Viewpoint - Mongolian Mining Corporation reported a significant decrease in coal production and sales for the quarter ended June 30, 2025, while also providing updates on its gold mining operations, particularly the commissioning of the Bayan Khundii gold mine [2][5][12]. Group 1: Coking Coal Operations - The Group is the largest producer and exporter of washed coking coal products in Mongolia, operating the Ukhaa Khudag and Baruun Naran coking coal mines [4][3]. - The combined output of run-of-mine (ROM) coal from UHG and BN mines was 3,428.4 thousand tonnes, reflecting a 7% quarter-on-quarter (QoQ) and 28% year-on-year (YoY) decrease [5]. - A total of 3,605.7 thousand tonnes of ROM coking coal was processed, resulting in 2,178.1 thousand tonnes of washed coking coal products, which is a 3% QoQ increase but a 2% YoY decrease [6][10]. - The total sales of washed coking coal products were 1,739.7 thousand tonnes, showing a 9% QoQ increase but a 25% YoY decrease [7][10]. Group 2: Gold and Metals Operations - The Group holds a 50% equity stake in Erdene Mongol LLC, which is developing the Bayan Khundii gold mine [11]. - The commissioning of the BKH gold mine processing plant and related facilities was conducted, with commercial production expected to start in the third quarter of 2025 [12].

Company Highlights - Forge Resources Corp. has encountered a coal seam during the underground decline development at its La Estrella coal project in Colombia, with selective extraction for lab analysis currently underway [1][2] - The coal seam measures approximately 0.5 to 1.0 meters in thickness, and channel samples are being taken to determine if it is a new seam or part of known seams [2][5] - The CEO of Forge Resources Corp. emphasized the near-term potential of the deposit and the efficiency of the decline strategy, expressing optimism for further sampling and characterization of the coal [5] Industry Context - The coal sector has seen a resurgence, with the VanEck Coal ETF reflecting strong performance due to rising global demand and tightening supply [9] - Factors contributing to this trend include sustained industrial activity in Asia, energy security concerns in Europe, and resilient thermal coal pricing [9] - The metallurgical coal markets remain robust, supported by ongoing steel production and infrastructure investment, indicating a broader recovery in the coal resource market [9]