Australian coal miner Stanmore Resources reported higher run-of-mine (RoM) second-quarter production, zero serious safety incidents, and positive operating cash flows as operations recovered from severe weather disruptions earlier in the year.

The ASX-listed company reaffirmed its 2025 saleable production guidance despite ongoing macroeconomic volatility and subdued coal pricing.

“We are proud to have recovered strongly from the first quarter, increasing our run-of-mine production by 15% with saleable production remaining stable,” CEO Marcelo Matos said. “Most notably, our serious accident frequency rate has returned to zero for the first time since late 2023, reflecting our continued commitment to safety and proactive risk management.”

Quarterly RoM coal production rose to 4.9-million tonnes, up from 4.3-million tonnes in the March quarter, with saleable coal production holding steady at 3.2-million tonnes. The production increase came despite rainfall of nearly 600 mm by the end of April – 97% of Moranbah’s five-year yearly average – impacting mining areas.

Mine plans were adjusted to manage the weather disruptions, enabling progressive recovery in output. South Walker Creek recorded a quarterly site record, producing 2.3-million tonnes of RoM coal and more than 1-million tonnes in June alone.

Total coal sales reached 3.3-million tonnes in the quarter, with an average sales price of $127/t, down from $139/t in the March quarter.

Stanmore generated positive operating cash flows and reduced net debt to A$99-million as of June 30, compared with A$146-million at the end of March. Consolidated cash was reported at A$181-million. “While cash preservation remains paramount throughout the industry, we are pleased to report that Stanmore has generated positive operating cash flows and reduced net debt quarter-on-quarter,” Matos said.

Total liquidity stood at A$401-million, including A$220-million in undrawn credit facilities. The company also noted a A$48-million income tax refund and a A$35-million term loan repayment during the quarter.

Stanmore’s rolling twelve-month Serious Accident Frequency Rate dropped to zero from 0.15, below the latest industry average of 0.68. “This performance is especially commendable given the continued impact of wet weather early in the second quarter,” Matos said.

Looking ahead, Stanmore reiterated its 2025 saleable production guidance of 13.8-million tonnes to 14.4-million tonnes, with higher output expected in the second half. “Recovery plans have been enacted, with higher production performance in the second half anticipated to deliver the stated full-year guidance,” the company said.