Coronado Updates FY2023 Guidance

Coronado Global Resources Inc. (ASX: CRN) has released an update on its financial year ending December 31, 2023 (FY23) market guidance. The company faced adverse conditions at its Buchanan mine and unexpected downtime for repairs at its Curragh mining complex, leading to adjustments in its forecasts for the remainder of 2023.

Buchanan Mine Hurdles

During the September quarter, geological conditions in the coal seam at the Buchanan mine led to slowed production rates and reduced yield. The issues were related to a rock intrusion, but they have now been resolved, and operations are returning to normal. The company is actively working to recover the lost tonnes in Q4 2023 and Q1 2024.

Curragh Mining Complex Repairs

In mid-September, a mechanical failure in the propel unit of one of Curragh's draglines occurred. Repairs are underway and are expected to conclude by the end of October. This incident will impact FY23 production due to delayed waste movement. Coronado is revising its plans to mitigate these dragline repair-related disruptions.

Revised FY23 Guidance

Coronado's revised FY23 guidance in USD and metric tonnes:

• Saleable Production (Mt): 16.2 - 16.4 (revised from 16.8 - 17.2)
• Average Mining Costs Per Tonne Sold ($): AU$97.0 - AU$102.0 (revised from AU$84.0 - AU$87.0)
• Capital Expenditure ($m): AU$220 - AU$240 (revised from AU$260 - A$290)

Recovery Efforts

The company is actively pursuing strategies to recover the impacted tonnes over the next six months.

Coronado does not anticipate a significant cash impact in FY23 due to these adjustments.

Metallurgical Coal Pricing

Coronado expects further support for increasing its pricing for metallurgical coal for the remainder of 2023 and into 2024, based on the upward index trends.

Executive Chairman's Statement

Gerry Spindler, Executive Chairman of Coronado, reassured stakeholders that despite these operational challenges, the company expects a minimal impact on year-end cash on the balance sheet, estimating a maximum reduction of US$10 million, assuming none of the lost production can be recovered.

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