TerraCom Limited (ASX: TER), an Australian-based mining resources company with a global footprint comprising a large portfolio of operating assets in Australia and South Africa within the coal sectors, has released its quarterly report for the period ending June 30, 2025. The report highlights total coal sales of 1.68Mt, with equity coal sales reaching 1.1Mt. The average coal price achieved was A$128.01 per tonne, a decrease from A$165.4 per tonne in the previous quarter. Elevated rainfall levels in Central Queensland impacted operations at the Blair Athol mine and across the supply chain during the quarter.
At the Blair Athol mine, ROM production reached 526kt, with saleable coal at 403kt and coal sales of 498kt. Total coal sales for FY25 aligned with sales guidance at 1.54Mt. South African operations maintained steady coal sales, predominantly within the domestic market, while export volumes faced ongoing rail constraints. Closing cash at bank stood at $12.7 million, supplemented by $58.2 million of restricted cash. Directors have decided against declaring a dividend for the three months ending June 30, 2025, in response to the current thermal coal pricing environment.
Managing Director Danny McCarthy noted the company’s operational resilience and financial discipline amid weather disruptions and a softer thermal coal pricing environment. For FY26, TerraCom plans to prioritise value over volume, implementing a responsive mine plan and a lean cost structure. Forecast coal sales for FY26 are set at 1.6Mt. The company is also progressing the Moorlands Thermal Coal Project in partnership with Wintime, positioning it as a key element of its Australian growth pipeline.
In corporate updates, TerraCom announced an agreement with ASIC to resolve a case against the company, pending court approval scheduled for August 25, 2025. Megan Etcell has stepped down from her role as Chief Financial Officer and Company Secretary, with the company actively recruiting a Brisbane-based replacement. Effective August 1, 2025, the registered office for TerraCom and its subsidiaries has moved to Level 6, 307 Queen Street, Brisbane QLD 4004.
