Walter Energy Inc. is looking for ways to reduce costs after
posting a second-quarter net loss of $34.5 million, which it
attributed to lower metallurgical coal prices and sales
"In a difficult met
coal pricing environment, we continue to pursue measures to
reduce operating costs, selling, general and administrative
expenses, and capital spending," chief executive officer Walter
J. Scheller said in the statement Aug. 1.
Walter Energy sold 2.4 million tonnes of metallurgical coal
during the quarter, down 14.1 percent from 2.8 million tonnes a
year earlier. Sales prices averaged $150.41 per tonne, down
22.2 percent from $193.31 per tonne in the same comparison.
Walter Energy produced
2.9 million tonnes of metallurgical coal during the quarter, up
9.2 percent from 2.7 million tonnes seen in the second quarter
The company said it
expects to reach its full-year production target of around 11
million tonnes despite expectations of lower output in the
third quarter due to a planned longwall move at its Alabama
underground mines and its Wolverine Mine in Canada moving into
a less favorable phase of its mining cycle.
A version of this
article was first published in AMM sister publication Steel