PERTH (miningweekly.com) – Coal miner New Hope Corporation has reported a significant drop in net profit after tax for the first half of 2013, while revenue for the period also declined.

The miner on Tuesday told shareholders that net profit after tax for the first six months reached A$68.8-million, compared with the A$101.1-million reported in the previous corresponding period, while revenue for the first-half was down to A$322.9-million, compared with the A$388.5-million delivered in the first half of 2012.

The decrease in net profit and revenue were driven by lower export thermal coal prices, the higher Australian/US dollar exchange rate, as well as increasing pressure on off-site transportation costs.

“Our continued emphasis on cost management has helped New Hope to remain profitable and to withstand many of the external headwinds affecting the sector,” said MD and CEO Rob Neale.

“Management will continue to focus on operational efficiency and prudent fiscal management to ensure the company is well positioned to weather the current downturn in global coal markets and take advantage of future improvements in market conditions.”

During the first half of the year, New Hope produced some three-million tons of coal, exporting 2.7-million tons. This was a decrease of 5.2% and 13.4% respectively.

The lower clean coal production was attributed to a planned shutdown over December and January, as well as the impact of unusually high rainfall during the period.

Export sales were lower, owing to the deferrals in customer shipping schedules.

“The first half of the 2013 financial year also saw the first revenue contribution from Bridgeport Energy. We are optimistic of future growth from Bridgeport’s operations and will continue to explore opportunities to increase New Hope’s exposure to the oil and gas sector,” Neale noted.

Bridgeport Energy was acquired in August last year and, since the acquisition was completed, has produced some 16 833 bbl of oil.

Looking ahead, Neale said New Hope expected the weak thermal coal markets and the exchange rate would continue to have a negative impact on revenue and margins in the second half of the year, with coal production for the full-year expected to be between 5.8-million and 6-million tons.

He said the company would remain focused on cost reduction initiatives, but would also continue to seek attractive acquisition opportunities and would look to grow the scale of its oil, gas and energy business.