Hallador Announces Modification Of Coal Contracts, Reduction In Force And 2nd Quarter Earnings Call
DENVER, July 27, 2015 /PRNewswire/ -- (Nasdaq: HNRG) -- 2015 brought mild weather and a glut of low priced nat gas. Most of our customers were surprised by these conditions and purchased too much coal for 2015. In an effort to assist our customers balance their current needs and to secure long-term fuel supply, we agreed to modify several of our contracts.
To implement these changes, production at our Oaktown Complex will be increased and production at our Carlisle Mine will be decreased. For the next couple of years, we expect Oaktown to represent more than 90% of our production. Not all changes are finalized, but we anticipate our contracted position through 2020 will be as follows:
| Last Half 2015 |
2016 |
2017 |
2018 |
2019 |
2020 |
||||||
| Tons (MM) |
3.3 |
6.1 |
4.2 |
4.7 |
5.0 |
5.0 |
|||||
| Price |
$44.57 |
$43.12 |
$42.64 |
$41.69 |
$42.30 |
$43.96 |
|||||
| % Priced |
100% |
100% |
89% |
69% |
50% |
50% |
A large number of employees will transfer from Carlisle to Oaktown. Unfortunately, a reduction in force of 175 employees is necessary, effective today. We thank these employees for their service and dedication.
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Hallador will release its second quarter results on Form 10-Q after the market closes on Friday, August 7. It can be accessed on our website under the "SEC Filings" tab.
Hallador will discuss its 2nd Quarter 2015 financial results in a conference call that will be webcast live on Tuesday, August 11, at 1:00 p.m. Eastern time. Participating on the call will be Hallador's President and CEO Brent Bilsland, CFO Andy Bishop and Sunrise Coal CFO Larry Martin. The webcast will be accessible on our website at www.halladorenergy.com under "Investor Overview". Following the live event, a replay will be available on the site until the next earnings call.
The call can be accessed toll-free at (844) 469-2526 (domestic). Callers are required to provide the conference ID #: 96311305. A transcript of the call will be available on our website after August 14, 2015.
Hallador is headquartered in Denver, Colorado and through its wholly owned subsidiary, Sunrise Coal, LLC, produces coal in the Illinois Basin for the electric power generation industry. To learn more about Hallador or Sunrise, visit our websites at www.halladorenergy.com or www.sunrisecoal.com.
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SOURCE Hallador Energy Company
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