Newspaper article The Observer (Gladstone, Australia)

Aurizon Toughing It out; Recent Surge in Coal Prices May Not Last

Newspaper article The Observer (Gladstone, Australia)

Aurizon Toughing It out; Recent Surge in Coal Prices May Not Last

Article excerpt

Byline: Declan Cooley Declan.Cooley@gladstoneobserver.com.au

DESPITE a recent surge in thermal coal prices Aurizon chairman Tim Poole said the outlook for coal prices remained shaky.

Given the tough environment the coal freighting company would be hoping for coal prices to rebound to a sustainable level to help turn its fortunes around.

Thanks to a deal with the Japanese government thermal coal prices were trading about $US80 a tonne compared to lows of about $50 a tonne earlier in the year.

In an address to shareholders Mr Poole said the 2016 financial year had been "challenging".

"Market conditions in the resources and freight sectors were tough for our customers and this resulted in flat or lower volumes across our businesses," Mr Poole said.

"In this difficult environment, the development plans the company had been advancing in...Queensland were wound back.

"The asset impairments that partly flowed from these decisions were disappointing and were largely the reason for a decline in statutory net profit," he said. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.