Peabody Energy Corporation (NYSE:BTU) Q1 2024 Earnings Call Transcript

Katja Jancic: Okay. Thank you.

Mark Spurbeck: Okay.

Karla Kimrey: Thank you, Katja.

Operator: [Operator Instructions] Our next question is a follow-up from Lucas Pipes from B. Riley Securities. Please go ahead.

Lucas Pipes: Thank you very much for taking my follow-up question. I’ll start with a quick one. The high ash product could you remind us what pricing has been quarter-to-date for that API 5? And then where does Wilpinjong typically price as a percentage against that that index? Thank you.

Malcolm Roberts: In short span from here, we will go 5% to 20% discount against the API 5 index, which is the China Index which is a 5500 k. cal, 22% ash product. We supply highest a product slightly higher than that. So that represents a discount that we go on to.

Lucas Pipes: All right. That’s helpful. And Shoal Creek in Q1 MSHA data was very helpful. Was very, very strong on. And so I wondered if you could maybe comment it on on kind of the operational outlook from here. I assume there’s maybe a little bit of a normalization, but would be helpful to hear how you think about operations at Shoal Creek for the remainder of the year? Thank you.

Jim Grech: Lucas, I think, MSHA data had about 600,000 tonnes in Q1 which again is a very, very strong quarter for the mine. Very, very happy with what the team has done down there and show that new fit for purpose longwall that we had down there. It’s really making a difference. But we do have a longwall move later in the year we have miners’ vacation and so on for us to content with leading and we didn’t have all of those things occurring in the first quarter. So — to keep that pace up is would be very challenging and later in the year with all the things that we have I just don’t see it staying at that pace in the following quarter with the longwall moves and the miners’ vacation that we have ahead of us.

Lucas Pipes: I appreciate the color. Thank you very much and again best of best of luck.

Jim Grech: Thank you, Lucas.

Operator: There are no more questions in the queue. This concludes our question-and-answer session. I would like to turn the conference back over to Jim Grech for any closing remarks.

Jim Grech: Thank you all for joining us today. I’d especially like to thank our employees for remaining focused on safety and for continuing to execute on our various initiatives. I’d also like to thank our investors, customers and vendors for your continued support. Operator that concludes our call. Thank you.

Operator: Conference has now concluded. And thank you for attending today’s presentation. You may now disconnect.