(Alliance News) - Bens Creek Group PLC said on Monday it will supply 264,000 tonnes of raw coal to New York-based coal supplier Integrity Coal Sales Inc on monthly basis beginning from April.
Shares in Bens Creek were up 9.7% at 82.30 pence on Monday morning in London.
The expected selling price of this agreement will be closely linked to the S&P Global Platts price of the Hi Vol B coal which on Friday stood at USD450 per metric tonne.
The London-based coal mining company focused on North America explained that this deal followed an initial agreement to deliver raw tonnes until the end of 2022 with Integrity. Two purchase orders were made in February and March under this agreement thus far, delivering a combined total 40,000 raw tonnes to Integrity.
Bens Creek added that a highwall miner purchased earlier in the year is now on route to the company's site. It is expected to be delivered by the end of March.
The company continued that underground mining is anticipated to begin during April. Bens Creek expects that this will allow access to higher quality coal and command a premium price.
By Heather Rydings; heatherrydings@alliancenews.com
Copyright 2022 Alliance News Limited. All Rights Reserved.
