- Hallador Energy ( NASDAQ: HNRG ) has recently added new coal contracts which materially increases Q4 through 2023 pricing and volume.
- As a result, the company is increasing its 2023 EBITDA guidance to $160M.
- The increased production from both Prosperity and Freelandville are higher cost and are expected to increase cost structure to $36/ton for Q4 through 2023.
- Hallador expects to complete its acquisition of the Merom Power Plant in Q3, subject to receiving certain governmental and financial approvals.
- The Merom Power Plant is not expected to meaningfully contribute to EBITDA in 2022 and 2023.
- The company notes the additional coal volumes create added pressure on transportation networks which if sales are not delivered timely will create a lag to achieving EBITDA guidance.
For further details see:
Hallador Energy raises FY23 EBITDA $160M