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Paringa ships more coal

25th September 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Coal miner Paringa Resources has started coal shipping from its Poplar Grove mine, in Kentucky, to its second customer.

The first shipment to Indiana-Kentucky Electric Corporation, a wholly owned subsidiary of Ohio Valley Electric Corporation, was made this week.

Under the terms of the offtake agreement struck in 2018, Paringa will supply 650 000 t of coal to Indiana-Kentucky Electric Corporation between 2019 and 2020.

The ASX-listed company on Wednesday said that it continued to ramp up sales to its cornerstone customer Louisville Gas and Electric Company and Kentucky Utilities Company, with August shipping rates reaching 700 t/y on an annualised basis.

The company said that it was maintaining a strong pipeline of forward sales, with 100% of the 2019 production and 75% of the 2020 production already accounted for, along with 50% of production over the next five years having been pre-sold.

The 2.8-million-tonne-a-year Poplar Grove thermal coal mine forms part of Paringa’s 40 000-acre Buck Creek complex, which also contains the 3.8-million-tonne-a-year Cypress mine, where construction is set to begin in 2019.

Edited by Creamer Media Reporter

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