Wesfarmers has cut its coking coal sales forecast after flooding down the east coast
January 30, 2013
Wesfarmers has revised its expected coking coal sales after torrential rain slowed haulage from rail to port.
Wesfarmers Resources Managing Director Stewart Butel announced today the company now expects sales of around 7.5 million to 8 million metric tonnes of coking coal in the 2013 financial year, down from a forecast of 8 million to 8.5 million tonnes.
“Recent high rainfall and localised flooding experienced in the aftermath of Cyclone Oswald has, in late January, affected mine site production and rail and port availability,” Butel says.
“As a result, Curragh’s metallurgical coal sales volume is forecast to be in the range of 7.5 to 8 million tonnes for the 2013 financial year. This revised forecast is subject to no further significant wet weather and the satisfactory recommencement of rail and port operations.”
The cut follows a 49.5 percent increase in metallurgical coal production for 2012, off the back of the completion of Curragh’s new coal handling and preparation plant in June 2012.
For the 12 months to December 31, 2012, metallurgical coal production increased to 7,997,000 tonnes.
Meanwhile, in Wesfarmers’ retail division, the company’s home improvement supply chain
has been
praised
in the company’s retail sales results for the second quarter ending December 31, 2012.
“We continue to make good progress on our key strategic priorities – delivering better service, improving our consumer and commercial offers, expanding the store network, optimising the supply chain and reducing our cost of doing business,” Home Improvement and Office Supplies Managing Director John Gillam says.