Investor Presentaiton
H1 FY24 external market drivers
Strong underlying demand continues to underpin good pricing outcomes for
HCV thermal and metallurgical coal
Supply and demand
⚫ Underlying demand for HCV thermal coal for
baseload energy and to support the energy
transition remains strong and structural supply
shortfall forecast for seaborne HCV coal
In H1 FY24 seasonal demand for thermal coal
experienced and improved mining conditions
(more favourable weather and labour supply)
⚫ Structural supply shortfall also forecast for
metallurgical coal, underpinned by India's growth
⚫ HCC demand strengthened in H1 FY24, while
spot SSCC market was impacted by Russian
volumes flowing into China and India
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Pricing
Resilient thermal coal prices with gC NEWC average of
US$141/t for H1 FY24 (WHC's average thermal coal price
was US$144/t)
Strengthened metallurgical coal market dynamics in
H1 FY24 which WHC will benefit from post acquisition
(PLV HCC Index averaged US$298/t for H1 FY24)
WHC's realised coal price of A$220/t for H1 FY24
Costs
Inflationary pressures continued to impact
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Labour costs a key driver
Electricity cost increases, diesel costs stabilising
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Safeguard Mechanism costs increasingView entire presentation