Newsroom

North Goonyella Update

*excerpt from Peabody's Feb. 6 Earnings press release


With regard to the company's North Goonyella Mine, Peabody has now identified a base case that targets limited continuous-miner volumes in 2019 with longwall production beginning to ramp up in early 2020.  The base case contemplates approximately 2 million tons of sales from North Goonyella in 2020.  

As part of Peabody's recovery plan for North Goonyella, the team is executing a multi-phased re-ventilation and re-entry project targeted to commence in the first quarter 2019.  The stage-gate approach provides an opportunity to periodically re-evaluate progress, costs and investments. 

At this time, Peabody expects idling and project costs to average $30 to $35 million per quarter in 2019, with first quarter costs expected to come in above the high-end of that range.  The company is targeting approximately $110 million in capital for North Goonyella, including previously planned new longwall equipment.  In addition, the company expects cash outlays associated with leased equipment settlements.  Peabody also is anticipating recovery of $125 million in insurance proceeds in 2019.  Peabody will continue to provide periodic updates on North Goonyella on PeabodyEnergy.com.

 

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the securities laws. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words or variation of words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "projects," "forecasts," "targets," "would," "will," "should," "goal," "could" or "may" or other similar expressions. Forward-looking statements provide management's current expectations or predictions of future conditions, events or results. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future are forward-looking statements. They may include estimates of revenues, income, earnings per share, cost savings, capital expenditures, dividends, share repurchases, liquidity, capital structure, market share, industry volume, or other financial items, descriptions of management's plans or objectives for future operations, or descriptions of assumptions underlying any of the above. All forward-looking statements speak only as of the date they are made and reflect the company's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance or events. Furthermore, the company disclaims any obligation to publicly update or revise any forward-looking statement, except as required by law. By their nature, forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Factors that might cause such differences include, but are not limited to, a variety of economic, competitive and regulatory factors, many of which are beyond the company's control, that are described in our Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2017, as well as additional factors we may describe from time to time in other filings with the SEC. You may get such filings for free at our website at www.peabodyenergy.com.  You should understand that it is not possible to predict or identify all such factors and, consequently, you should not consider any such list to be a complete set of all potential risks or uncertainties.
 

Media Contacts

Vic Svec
Senior Vice President - Global Investor and Corporate Relations

Michelle Constantine
Vice President - Corporate Communications

Charlene Murdock
Director - Corporate Communications

Kellie Schneider
Director - Corporate Communications, Australia

+1-314-342-3400
U.S. PR@PeabodyEnergy.com
AUS media_au@peabodyenergy.com

For our 24-hour media hotline, please call +1-314-342-4351. Please note that the communications team can only answer inquiries from media professionals. All non-media related inquiries should contact 314-342-3400.

Email Alerts

Get the latest news and updates from Peabody sent directly to your email by clicking the sign up button below and selecting the alerts you wish to receive.

Peabody is the leading global pure-play coal company and a member of the Fortune 500, serving power and steel customers in more than 25 countries on six continents. The company offers significant scale, high-quality assets, and diversity in geography and products. Peabody is guided by seven core values: safety, customer focus, leadership, people, excellence, integrity and sustainability.