Coronado Global Resources Inc. operates as a global producer, marketer, and exporter of Met coals assets.
The company’s coals, transformed in the steelmaking process, support the manufacture of everyday steel-based products, including steel required in the manufacture of renewable energy infrastructure. The company’s mining operations and development projects are located in Queensland in Australia, and in Virginia, West Virginia and Pennsylvania in the United States.
The company’s Australian O...
Coronado Global Resources Inc. operates as a global producer, marketer, and exporter of Met coals assets.
The company’s coals, transformed in the steelmaking process, support the manufacture of everyday steel-based products, including steel required in the manufacture of renewable energy infrastructure. The company’s mining operations and development projects are located in Queensland in Australia, and in Virginia, West Virginia and Pennsylvania in the United States.
The company’s Australian Operations consist of a 100%-owned Curragh producing mining property located in the Bowen Basin of Queensland, Australia. The Curragh complex consists of two open cut mines, Curragh North Mine and Curragh South Mine, and one underground mine, Mammoth Underground. With approximately 22 years of reserve life, the Curragh complex is a key supplier to steelmakers in Asia, Europe, and South America.
The company’s U.S. Operations consist of two producing mining properties (Buchanan and Logan) and two development mining properties (Mon Valley, and Russell County), primarily located in the Central Appalachian region of the U.S., or CAPP, all of which are 100%-owned. Buchanan and Logan, with approximately 24 and 30 years of reserve life, respectively.
On January 14, 2025, the company successfully completed the sale of its idled Greenbrier property, which formed part of the U.S. Operations.
In addition to Met coal, the company’s Australian Operations sell thermal coal, under a long-term legacy contract assumed in the acquisition of Curragh, to Stanwell Corporation Limited, or Stanwell, a Queensland government-owned entity and the operator of the Stanwell Power Station located near Rockhampton, Queensland, and some thermal coal in the export market. The company’s U.S. Operations also produce and sell some thermal coal that is extracted in the process of mining Met coal.
Segments
The company operates through Australia and United States segments.
Operations
Australian Operations—Curragh
Curragh is located in Queensland’s Bowen Basin, one of the world’s premier Met coal regions. Curragh produces a variety of high-quality, low-ash Met coal products. The company’s HCC product is recognized by steelmakers for its low-ash content, consistency of quality and favorable coking attributes. Met coal products are exported globally to a diverse customer base located primarily in Asia. Curragh also produces thermal coal, which is primarily sold domestically under a long-term contract with Stanwell, with a limited amount of such thermal coal being exported.
Revenues from the company’s Australian Operations represented 63.6% of its total revenue for the year ended December31, 2024.
For the year ended December 31, 2024, 70.9% of the total volume of coal sold by the company’s Australian Operations was Met coal and 29.1% of the total volume of coal sold by its Australian Operations was thermal coal, the majority of which is sold to Stanwell. For the year ended December 31, 2024, Curragh sold 7.2 MMt of Met coal into the seaborne coal markets. The majority of customers purchase multiple grades or products and has purchased Curragh coal continuously through all stages of the coal/commodity pricing cycle. In 2024, substantially all of Curragh’s Met coal export sales were made under term contracts.
The U.S. Operations—Buchanan and Logan
The company’s producing mining properties in the United States are located in the CAPP region, specifically in Virginia and West Virginia, which is a highly-developed and active coal-producing region. Met coal produced by the company’s U.S. Operations is consumed regionally by North American steel producers or exported by seaborne transportation to steel producers (primarily in Asia, Europe, and South America). The U.S. Operations also produce small quantities of thermal coal that is extracted in the process of mining Met coal, which is sold predominantly to global export markets. The company’s U.S. Operations offer a range of Met coal products, with significant production of HCC, comprising coal with High-Vol (including HVA and HVB), and coal with Low-Vol. Sales from its U.S. Operations to export markets are typically priced with reference to a benchmark index.
For the year ended December 31, 2024, 94.6% of the total volume of coal sold by the company’s U.S. Operations was Metcoal and 5.4% was thermal coal. The company sold 64.2% of total Met coal from its U.S. Operations into the seaborne Met coal markets for the year ended December 31, 2024.
Customers
The company is well-positioned in the key high-growth Asian markets (Japan, South Korea, and India) as sales to direct end users in the region represented 58.5% of its total revenue, including Tata Steel Limited and TS Global Procurement Company Pte Ltd, collectively Tata Steel, which accounted for 20.1%of total revenue, in 2024.
Tata Steel
The company’s U.S. Operations and Australian Operations are parties to Long Term Coal Sale and Purchase Agreements with TS Global Procurement Company Pte Ltd, or Tata Steel, with terms ending March 31, 2025. These Long Term Agreements provide for the sale of a minimum aggregate total of 2.25 metric tons (MMt) of coal per contract year across the Group, consisting of certain specific quantities of HCC, and pulverized coal injection, or PCI, Coal.
Stanwell
The company is party to contractual arrangements with Stanwell, including Amended Coal Supply Agreement (ACSA). Under the ACSA, the company delivers thermal coal from Curragh to Stanwell at an agreed price and quantity. Stanwell may vary the quantity of thermal coal purchased each year so the total quantity to be delivered to Stanwell each year cannot be precisely forecast. The coal that the company supplies to Stanwell constitutes the majority of the thermal coal production from Curragh.
The Supply Deed grants company the right to mine the coal reserves in the Stanwell Reserved Area, or the SRA. In exchange, it has entered into the NCSA with Stanwell, that will commence upon the expiration of the ACSA.
As part of the NCSA, Coronado and Stanwell entered into an Option Coal Supply Agreement, or the OCSA in respect of the supply of certain additional coal to Stanwell during the term of the NCSA. Thermal coal supplied to Stanwell under the OCSA will be at the higher of cost or market value at the time of sale.
Transportation
Coal produced at the company’s mining properties is transported to customers by a combination of road, rail, barge and ship. Rail and port services are typically contracted on a long-term, take-or-pay basis in Australia, while these contracts are typically negotiated on a quarterly basis in the United States.
Australian Operations
The company’s Australian Operations typically sell export coal FOB, with the customer paying for transportation from the outbound shipping port. The majority of Curragh’s export Met coal is railed approximately 300 kilometers to the Port of Gladstone for export via two main port terminals, RG Tanna Coal Terminal, or RGTCT, and Wiggins Island Coal Export Terminal, or WICET. Curragh also has capacity available to stockpile coal at the Port of Gladstone. For sales of thermal coal to Stanwell, Stanwell is responsible for the transport of coal to the Stanwell PowerStation.
Rail Services
Curragh is linked to the Blackwater rail line of the Central Queensland Coal Network, or CQCN, an integrated coal haulage rail system owned and operated by Aurizon Network Pty Ltd, or Aurizon Network. Curragh has secured annual rail haulage capacity of up to 11.5 MMtpa (plus surge capacity) under long-term rail haul age agreements with Aurizon Operations Limited, or Aurizon Operations, and Pacific National Holdings Pty Limited, or Pacific National.
The RGTCT Coal Transport Services Agreement with Aurizon Operations is for 8.5 MMtpa of haulage capacityto RGTCT. Curragh pays a minimum monthly charge (components of which are payable on a take-or-pay basis), which is calculated with reference to the below-rail access charges, haulage/freight charges, a minimum annual tonnage charge and other charges. The RGTCT Coal Transport Services Agreement terminates on June 30,2030.
The Coal Transport Services Agreement with Pacific National is for 1.0 MMtpa of haulage capacity to RGTCT. Curragh pays a minimum monthly charge (components of which are payable on a take-or-pay basis), which is calculated with reference to the below-rail access charges, haulage/freight charges, a minimum annual tonnage charge and other charges. The Coal Transport Services Agreement with Pacific National terminates on July 31,2029.
The Wiggins Island Rail Project, or WIRP, Transport Services Agreement with Aurizon Operations is for 2.0MMtpa of capacity to WICET. This contract is effectively 100% take-or-pay (for a portion of the rail haulage and all capacity access charges). This agreement expires on June 30, 2030.
Port Services
Curragh exports coal through two terminals at the Port of Gladstone, RGTCT and WICET. At RGTCT, Curraghand Gladstone Port Corporation Limited, or GPC, are parties to a coal handling agreement that expires on June 30, 2030. The agreement may be renewed at its request and, subject to certain conditions, GPC is required to agree to the extension if there is capacity at RGTCT to allow the extension. The company has the right to export between 7.7 metric tons per annum (MMtpa) and 8.7 MMtpa at its nomination on a take-or-pay basis.
The company has a minority interest in WICET Holdings Pty Ltd, whose wholly-owned subsidiary, Wiggins Island Coal Export Terminal Pty Ltd, or WICET Pty Ltd, owns WICET. Other coal producers who export coal through WICETalso hold shares in WICET Holdings Pty Ltd. In addition, the company and the other coal producers (or shippers) have take-or-pay agreements with WICET Pty Ltd and pay a terminal handling charge to export coal through WICET. The company’s take-or-pay agreement with WICET Pty Ltd, or the WICET Take -or-Pay Agreement, provides Curragh with export capacity of 1.5 MMtpa.
U.S. Operations
The company’s U.S. Operations’ domestic contracts are generally priced FOR at the mine with customers bearing the transportation costs from the mine to the applicable end user. For direct sales to export customers, the company holds the transportation contract.
Rail Services
The company’s U.S. Operations are served by Norfolk Southern and CSX Transportation railroads.
Norfolk Southern railroad serves the company’s Buchanan mining property and transports Buchanan’s coal to Lamberts Point Coal Terminal Pier 6 and to CNX Marine Terminal for export customers and to its domestic customers either directly or indirectly via inland river dock facilities where the coal is transloaded on to barges and then transported to the customer’s facilities.
CSX Transportation railroad serves the company’s Logan. CSX transports Logan and Greenbrier’s coal to Kinder Morgan Pier IX Terminal or CNX Marine Terminal or Dominion Terminal Associates (DTA) for export customers and either directly to the customers or to inland river dock facilities for domestic customers.
Port Services
Norfolk Southern’s Lamberts Point Coal Terminal Pier 6 is the largest coal loading facility in the Northern Hemisphere with 48 million tons of annual export capacity and is the main terminal at Lamberts Point located in Norfolk, Virginia. Kinder Morgan’s Pier IX is a coal export terminal with an annual export capacity of 16 million tons located in the Port of Hampton Roads in Newport News, Virginia.
The company’s U.S. Operations have dedicated inventory capacity and a take-or-pay obligation to transload one million net tons per year through Kinder Morgan’s Pier IX Terminal to the end of March 2024. On November 1, 2022, the company extended its arrangement with Kinder Morgan from April 2024 to March 2027, with an option to extend for and additional three years, for a dedicated inventory capacity and take-or-pay obligation to transload 650,000 net tons per year. The company’s U.S. Operations also have alternate port access through CNX Marine Terminal which is a transshipping terminal at the Port of Baltimore owned by CONSOL Energy.
Regulatory Matters
The company’s Australian Operations are regulated by the laws and regulations of the Commonwealth of Australia, or Cth, the State of Queensland, or Qld, and local jurisdictions. Most environmental laws are promulgated at the state level, but the Australian federal government has a role in approval of actions which have national environmental significance.
The U.S. Clean Water Act of 1972 and corresponding state laws affect coal mining operations by imposing restrictions on discharges of wastewater into waters of the United States through the National Pollutant Discharge Elimination System, or NPDES, or an equally stringent program delegated to a state agency. The company’s surface mining operations are subject to numerous regulations relating to blasting activities, including the Federal Safe Explosives Act, or SEA.
The primary health and safety legislation that applies to Curragh are the Coal Mining Safety and Health Act 1999(Qld) and the Coal Mining Safety and Health Regulation 2001 (Qld), which the company refers to, together, as the Coal Mining Safety Legislation.
The company controls the coal mining rights at Curragh under 14 coal and infrastructure mining leases, or MLs, and three mineral development licenses, or MDLs, granted pursuant to the Mineral Resources Act 1989 (Qld). All at the company’s Australian Operations, were covered by a single, federally-certified collective Enterprise Agreement, or the EA, for specified groups of mining and maintenance employees.
History
Coronado Global Resources Inc. was founded in 2011. The company was incorporated in 2017 pursuant to the laws of the state of Delaware.