Wedoany.com Report-Mar 14, Australian miner Bowen Coking Coal has reported a significantly improved financial performance for the first half of 2025, narrowing its loss to A$8.7-million, a substantial reduction from a A$65.1-million loss in the same period last year.
The positive result comes on the back of a record six-month earnings before interest, tax, depreciation, and amortisation, which surged from a negative A$57-million in the first half of 2024 to a positive A$23.7-million in the first half of 2025. The performance was achieved despite a 16% decline in premium low-volatile coking coal prices.
Bowen delivered positive cashflow generation, improved its liquidity and reduced its unit costs by 10.4% to A$148.9/t freight on board compared with the previous comparative period.
CEO Daryl Edwards said Bowen had turned a corner during the six months under review. “The company rallied together and delivered upon a shared objective to improve our operational and financial performance,” he stated.
The company's operational improvements were key to its strong results. Bowen reported a 9% increase in run-of-mine (RoM) production, reaching 1.6-million tonnes, at a 10% lower unit cost of A$148.9/t compared with the previous period. These gains were driven by efficiencies in waste removal, coal mining, processing, and haulage, as well as a 57% reduction in strip ratios.
“These productivity improvements have allowed the group to invest in future growth at the Plumtree North operation where box-cut development works remain on track,” said Edwards.
At corporate level, Bowen also successfully completed several transactions to strengthen the balance sheet and improve liquidity including a A$70-million equity raise, 10% sale of its Broadmeadow East mine, and successful restructuring of existing debt arrangements and extension of repayment terms.
As Bowen moves into the second half of the year, Edwards reaffirmed the company’s previously announced market guidance of 2.7-million to 3-million RoM coal mined and coal sales of 1.6-million to 1.9-million tonnes.
The unit cost guidance for the year is A$145/t to A$165/t.
Bowen is firmly positioned within Queensland’s world-class Bowen basin, a key area for the production of high-quality coking coal used in steelmaking globally. The company’s flagship Burton mine complex near Moranbah is home to multiple operations, including the Ellensfield South Mine and Plumtree North development, which are connected to a centralised coal handling and preparation plant and train load-out facility. The company also owns undeveloped opencut projects, including the co-located Lenton and Isaac pits, which will ensure production continuity at Burton.
In addition to its flagship assets, Bowen holds several other valuable projects, including the Broadmeadow East mine, which is near Moranbah, and the Bluff Mine near Blackwater, both of which are currently under care and maintenance. Bowen is also advancing its Isaac River, Hillalong, Cooroorah, Carborough, and Comet Ridge coking coal development projects and holds joint venture interests in the Lilyvale (15%) and Mackenzie (5%) projects with Stanmore Resources.
