Yancoal upped coal production by four per cent in the December quarter, closing out the year with a $477 million cash boost.
The miner hit its stride with an average realised coal price of $196 per tonne (t) for the quarter and $232/t for the year.
“Output from our mines improved for the fourth consecutive quarter as we delivered on recovery initiatives across our operations,” Yancoal chief executive officer David Moult said.
“Almost 13 million tonnes of saleable coal production was our best achievement over the past three years.”
At the end of 2023, Yancoal was sitting on a cash balance of $1.4 billion thanks to elevated exports from Australia and Indonesia.
“This is a clear demonstration of the quality of Yancoal’s assets and their capacity to generate positive cash flows,” Moult said.
The company celebrated a year marked by a commitment to safety with its total recordable injury frequency rate of 5.3 remaining below the industry average.
Yancoal was also able to maintain its operations in the face of unfavourable weather conditions hampering operations earlier in the year.
“2023 was a very successful year with strong recovery from the operational impacts associated with an extended period of above average rainfall,” Moult said.
“We prioritised recovery works in the early part of the year that allowed us to build momentum and deliver a solid performance in the second half.
“We are focused on maintaining production around the fourth quarter rate through 2024 and further reducing cash operating costs, so that our cash generation capabilities continue irrespective of coal market conditions.”