Continental Coal (ASX: CCC) is set to see its thermal coal production and exports soar. The thermal coal exports for the company have risen by 52% compared to just three months ago. The South Africa focused miner says that its Ferreira Coal mine has lived up to the promises that it saw last quarter.
In a market update the company said that exports of thermal coal went up from 31,875 tonnes in November 2010 to 48,532 tonnes in February 2011. The company also earned an average net sales price of $118 per tonne in the March quarter on the sales of approximately 88,980 tonnes.
Chief Executive Officer for Continental Coal, Don Turvey said that it was pleasing to see that the tough decisions made at Ferreira in the last quarter are already beginning to have results. He added that the company sales of export thermal coal through Richards Bay Coal Terminal have increased demonstrably and at a time of increasing coal prices and also when heavy rains and derailments have materially impacted other export coal producers.
The Australian listed company also benefited from the decision to appoint a new mining contractor and begin the development of the Northern Pit opencast operations. This has seen increased production through February 2011 for the firm. Mr Turvey said that the outlook for the balance of the quarter is positive and that they anticipate that they will meet their targeted sales of 141,000 tonnes.