Cloud Peak Energy Inc
Latest Cloud Peak Energy Inc News and Updates
Challenges before Peabody Energy’s US operations in fiscal 2015
The retirement of coal-fired power plants and the impact of new regulations proposed by the EPA present two major blows to the US thermal coal industry.
Must-know: Why Peabody Energy fell 1.9% on July 22
Wall Street analysts’ consensus estimate for loss per share was $0.289.
Why Most Analysts Recommend a ‘Hold’ for Cloud Peak Energy
Of the nine analysts covering Cloud Peak Energy (CLD), seven analysts rated its stock as a “hold,” and two gave CLD a “buy” or “strong buy” rating.
Analysts Expect Peabody Energy’s Revenues to Rise in 3Q17
In 3Q15, Peabody Energy (BTU) reported $1.42 billion in revenues. Analysts anticipate that it will post $1.46 billion in 3Q17 compared to $1.26 billion in 2Q17.
Understanding Arch Coal’s Financial Position
Arch Coal’s leverage On June 30, 2017, the book value of Arch Coal’s (ARCH) long-term debt was about $315.6 million, of which ~$297 million is due for payment in 2024. Arch Coal’s leverage, which is its net debt divided by EBITDA (earnings before interest, tax, depreciation, and amortization), has increased since the acquisition of International […]
Why we’re not seeing capacity additions from coal-fired plants
The first half of 2014 saw 4,350 MW (megawatts) of new electricity generating capacity, according to the EIA (Energy Information Administration). Of this, 2,319 MW, or 53.3%, was natural gas–fired.
A lower-than-expected natural gas draw-down – what does it mean?
According to the EIA, 115 Bcf of natural gas was drawn out during the week ending January 30. It was a lower-than-expected draw-down.
How Westmoreland Coal Maintains Positive Cash Flow Each Quarter
Range-bound margins Since the majority of Westmoreland Coal’s (WLB) contracts are long-term cost-protected contracts, its margins are protected. Many contracts have high-margin reclamation. The company’s EBITDA[1.earnings before interest, tax, depreciation, and amortization] margins have remained between 10% and 26% during the last six quarters. This trend contrasts with that followed by other major coal producers (KOL) such as […]
Uptick in price of natural gas gives hope to coal producers
The marginal increase in natural gas prices last week is good news for coal producers (KOL), especially the ones in the Appalachians and the Midwest.
Must-know: Why coal producers are wary of the EPA’s proposal
Generally, natural gas burns more cleanly than coal. Coal has the highest carbon intensity among major fossil fuels.
PRB coal producers may benefit from restocking at utilities
At the beginning of winter, the PRB coal producers are struggling to get enough rail cars to meet utilities’ demand. The PRB coal producers may see increased demand well into 2015.
Coal Prices Stabilized Last Week after the Previous Week’s Fall
PRB coal prices have remained under pressure since the start of the year due to low natural gas prices.
Natural gas prices stay pressured on a predicted warmer winter
Natural gas prices and coal’s market share in electricity generation highly correlate. When natural gas prices rise, coal gains market share.
Appalachian Coal Price Rose in the Last Week of September
During the week ended September 29, 2017, spot coal prices for the Powder River Basin and the Illinois Basin closed at the same price as the previous week.
Powder River Basin Coal Breaks the $10 Barrier: Will It Stay Up?
Powder River Basin coal prices averaged $10.55 per ton for the week ended July 24. Prices averaged above $10 a ton for the first time in the last five weeks.
US Electricity Generation Rises in Week Ended September 4
Electricity generation in the US increased to 86.8 million MWh for the week ended September 4, a 4% increase from the previous week’s 83.5 million MWh.
Crude oil prices recover a bit—what does it mean for coal?
Crude oil prices as of January 22 Crude oil prices recovered marginally during the week ended January 22, 2016. WTI (West Texas Intermediate) crude oil prices closed at $30.99 per MMBtu (million British thermal units) on January 22, 2016, compared to the closing price of $29.42 per barrel on January 15, 2016. Meanwhile, Brent crude […]
What Are Analysts’ Ratings for Westmoreland Coal?
Of the four analysts covering Westmoreland Coal (WLB), 100% or four analysts gave the company a “buy” rating. There weren’t any “sell” or “hold” ratings.
Coal producers are feeling the heat
So far, the milder weather this winter kept natural gas prices subdued. As a result, coal producers (KOL) are under pressure. The current environment isn’t encouraging for coal.
Gauging Arch Coal’s Net Losses and EBITDA in 3Q15
Arch Coal reported adjusted EBITDA of $134.8 million in 3Q15 compared to $71.9 million in 3Q14 despite the pricing pressure it experienced during 3Q15.
What Could Drive Arch Coal Stock in 2017?
Although the majority of coal (KOL) stocks began 2016 on a weak note, they outperformed the broader market in 2016.
Falling Temperatures Give Energy to Coal Producers and Utilities
More than 90% of the coal produced in the US is used for the generation of electricity, meaning that the power utility segment is coal’s largest end user.
Why the Powder River Basin produces more coal with fewer mines
The western region in the U.S. includes the area west of the Mississippi River. The region produced 520 million tons of coal for the 12 months ending September 11, 2014. The entire U.S. produced 974 million tons of coal during the same period. The western region accounted for 53% of the total coal production in the U.S. It’s important to note that 13 out of 24 western states produce coal.
Why Cloud Peak Energy is well positioned to survive the downturn
Unlike its peers (KOL) like Walter Energy (WLT), Alpha Natural Resources (ANR), and Arch Coal (ACI), Cloud Peark doesn’t have any exposure to metallurgical coal.
What to Expect from Major Coal Mining Companies in Their Future Earnings
Alliance Resource Partners (ARLP) revised its fiscal 2016 shipments guidance to 36.5 million–37.0 million tons from its prior guidance of 35.0 million–36.0 million tons.
Introducing Alliance Resource Partners: A Company Overview
In this series, we’ll explore how Alliance Resource Partners has expanded its business and evaluate its key operational metrics and financial position.
Factors Driving Major Coal Company Stocks So Far in 4Q16
Stocks of all major coal mining companies remained upbeat after the US election results on November 9, 2016. The recent rally in natural gas prices helped coal stocks continue their momentum so far in December 2016.
Coal Spot Prices Remain Steady for the Second Month
On December 18–22, the PRB and Illinois Basin coal prices remained at $12.10 per short ton and $32.60 per short ton, respectively.
Why thermal coal industry indicators are important for investors
Currently, the coal industry is going through heightened volatility. As a result, it makes even more sense for us to cover the short-term indicators.
Why survival is for the fittest of US coal producers
Met coal producers are the worst hit in the current energy environment. Based on our analysis so far, we can conclude that the higher the revenue share of met coal, the steeper the stock prices fell in 2014.
Why Rio Tinto’s Kestrel Ramp-Up Keeps Coal Volumes Going
RIO’s hard coking coal production was up 10% YoY to 4 million tons in 9M15 due to improved production rates at Kestrel.
What Factors Drove the Major Coal Company Stocks in 1Q16?
Uncertainty surrounding the recovery of coal prices and the enactment of environmental regulations such as the Clean Power Plan impacted coal stocks in 1Q16.
A Closer Look at Arch Coal’s Financial Position and 2017 Guidance
Arch Coal’s (ARCH) 4Q16 earnings were driven by a strong rebound in metallurgical coal prices.
What Factors Could Drive Arch Coal Stock in 2H17?
1H17 in review Majority of the coal (KOL) stocks began 2017 on a weak note. The stocks have not been able to recoup from the slump until now. They have been outperformed by the broader market and the VanEck Vectors Coal ETF so far in 2017. On September 19, 2017, Arch Coal (ARCH) has fallen […]
Indicators affect regional coal producers differently
Peabody Energy (BTU), Arch Coal (ACI), and Cloud Peak Energy (CLD) are major coal producers that operate in the Powder River Basin region.
Did last week’s indicators impact thermal coal prices?
Central Appalachian thermal coal prices came in at $50.90 per ton for the week ending February 6. Coal prices increased—despite the fall in natural gas prices.
Coal Prices Stay Put in Winter 2017
For the week ended December 15, Powder River Basin (or PRB) coal prices came in at $12.10 per short ton. PRB coal prices have remained at the same rate since November 10.
Where Cloud Peak Energy’s Stock Is Trading next to Peers
On August 17, 2017, Cloud Peak Energy (CLD) had a forward EV-to-EBITDA multiple of 5.5x.
Why natural gas injections affect thermal coal demand
Coal’s share in electricity generation is down from over 50% in 2004 to 39% in 2013. During the same period, natural gas’ share increased from 18% to 27.5%.
What’s Driving Rio Tinto’s Energy and Minerals Division?
Rio Tinto’s (RIO) Energy and Minerals division now includes coal, iron ore pellets, titanium dioxide, borates, salt, and uranium.
What Does a Spike in Coal Power Plant Utilization Rates Mean?
The EIA published its latest report on capacity factors for power plants on July 27. Coal-based power plants surpassed natural gas-based power plants in utilization.
Why Are Analysts Rating Westmoreland Coal a ‘Buy’?
Of the three analysts covering Westmoreland Coal (WLB), 100% (three analysts) gave the company a “buy” recommendation.
Why Did Coal Stocks Soar after the US Election Results?
The Republicans won the majority of the major coal-producing (KOL) states in the United States such as Wyoming, West Virginia, Kentucky, Pennsylvania, and Montana.
Cloud Peak Energy’s 2Q15 Shipments: Potential Risk Factors
Cloud Peak Energy (CLD) shipped 16.0 million tons of coal from its three owned and operated mines in the Powder River Basin (or PRB) in 2Q15.
Overview: Ambre Energy—a coal and oil shale export company
Ambre Energy was founded in June 2005. It’s an Australian-American coal and oil shale company. The company’s Australian headquarters are located at Brisbane. The head American office is located at Salt Lake City, Utah. The company operates in three business lines—U.S. coal export infrastructure, international coal marketing and trading, and U.S. thermal coal production.
Coal Prices in All Major Regions Remain Steady
For the week ending September 4, Powder River Basin spot coal prices averaged $10.7 per ton—$0.17 higher than the price for the week ending August 28.
The Flip Side of Alliance Resource Partners’ Business: Key Risks
As of June 30, 2017, ARLP’s long-term contracts totaled ~38.0 million tons for 2017, 20.1 million tons for 2018, and 11.0 million tons for 2019.
What Could Drive Alliance Resource Partners Stock in 2017?
The majority of coal stocks began 2016 on a weak note. But they outperformed the broader market in 2016—mostly through gains in the second half of 2016.
Rio Tinto’s Coal Production Went On as Expected in 1H15
A sustained rise or fall in coal shipments is a significant indicator that affects the stock value of coal producers (KOL).
Why the RAAX ETF Has Reduced Its Exposure to Coal Equities
At launch, RAAX had a small weighting to coal, but in May, this exposure was completely eliminated based on falling coal equity prices and weakening supply and demand data.
Must-know: China’s additions to its power generation capacity
China’s installed capacity has grown 10.8% every year over the last decade. It adds 80–90 GW every year—this is equal to the United Kingdom’s entire installed capacity.
BHP Billiton Revised Its Coal Costs. Here’s Why
Coal is one of the key commodities for BHP and contributes 21% of its revenues and 20% if its underlying EBITDA.
How Arch Coal’s Leverage and Liquidity Compare
Arch Coal’s debt According to Arch Coal’s (ARCH) latest 10-Q filings, the book value of its long-term debt is ~$315 million, of which a term loan of ~$297 million is due for payment in 2024. It is also subject to quarterly principal amortization payments of $750,000. Arch Coal’s interest expenses were ~$6.0 million in 2Q17 […]
Could Arch Coal’s Debt Lead the Company to Bankruptcy?
Most American coal producers are building liquidity through various means to make sure they survive the downturn and avoid bankruptcy.
US Electricity Generation Remains Steady, But Will Coal Producers?
The latest EEI report for the week ending January 15, shows that US electricity generation jumped to 79.7 million MWh from 79.2 million MWh the week before.
Are Rio Tinto’s Coal Volumes Expected to Increase in 2016?
Rio’s hard coking coal production was 8% lower YoY (year-over-year) in the first half of 2016.
Interpreting BHP Billiton’s Declining Coal Production: More to Come?
BHP Billiton’s coal business is the world’s largest supplier of seaborne metallurgical coal. Metallurgical coal production is vital to steel production.
Why natural gas will spearhead growth for CONSOL Energy
CNX has a joint venture with Noble Energy (NBL) in the Marcellus Shale, which drilled 117 gross wells in 2013.
Why you should care about the EPA’s war on coal
Coal is the cheapest energy source. But it’s also the most polluting fossil fuel. Power plants emit harmful airborne pollutants like mercury, arsenic, nickel, and sulfur dioxide.
Will a Republican majority affect the coal industry?
Deadlock may continue The Republican majority in Congress can create trouble for President Obama’s projects. These projects include an immigration bill, Obamacare, and a quest for cleaner energy. But Obama has vowed to use his executive powers to make way for some of these bills. With the next presidential elections two years away, we may see a […]
Must-know: ANR’s thermal coal business in 3Q14
ANR produces thermal coal from its mines in the Appalachian and Powder River Basin (or PRB). The company had around three billion tons of thermal coal reserves.
Why Cliffs wants to operate North American coal at zero EBITDA
Cliffs maintained its full-year 2014 North American coal expected sales and production volume of 7 million tons. Sales volume mix is anticipated to be ~70% low-volatile metallurgical coal, 20% high-volatile metallurgical coal, and 10% thermal coal.
Peabody Energy: Largest private coal producer’s 3Q 2014 earnings
Peabody Energy controls over 8.3 billion tons of coal reserves. Of these, ~7.3 billion tons, of thermal-grade coal reserves, are located in the United States.
Why working capital management saved the day for Peabody
The company’s accounts receivables reduced to $447 million on June 30, 2014 from $557.9 million on December 31, 2013.
Key takeaways from CONSOL Energy’s analyst day meeting
As of June 12, 2014, CNX had a market cap of ~$10.3 billion and an enterprise value of ~$13.8 billion.
Natural Gas Inventory Remains below the 5-Year Average
During the winter, the demand for natural gas increases in the US. In previous weeks, the supply continued to be below the five-year average.
Crude Oil Prices Rise: Will It Impact Coal Miners?
On December 21, 2017, the price of Brent crude oil was $64.90 per barrel—up 2.6% from $63.23 per barrel recorded on December 15.
Natural Gas Prices Continue to Fall
In the EIA’s STEO report, it predicted that the Henry Hub natural gas benchmark price would average $3.12 per MMBtu in 2018.
Analyzing Coal Production’s Recent Fall
On December 14, the EIA (Energy Information Administration) issued its coal shipment estimates for the week of December 9.
Will the Marginal Drop in Crude Oil Prices Hit Coal Miners?
On December 15, Brent crude oil settled at $63.23 per barrel—0.3% below the $63.40 per barrel reported on December 8.
Why Natural Gas Prices Keep Falling despite the Onset of Winter
The January 2018 US natural gas futures contract price settled at $2.74 per MMBtu (million British thermal units) while the Henry Hub natural gas spot price was $2.71 per MMBtu when the market closed on December 18.
Natural Gas Inventories Down: Positive for Coal?
Inventories are a significant driver of commodity prices. In this part of our series, we’ll focus on inventory levels for natural gas.
Coal Production Rebounded in the Week Ended December 2
For the week ended December 2, 2017, coal production rose sharply to 15.7 MMst (million short tons) from 14.1 MMst in the previous week.
Why Coal Production Declined in Week Ended November 25
For the week ended November 25, coal production fell sharply to 14.1 mmst (million short tons) from 14.9 mmst in the previous week.
Are Coal Miners Impacted by Volatility in Crude Oil Prices?
On December 1, 2017, the price of WTI crude oil was $58.36 per barrel. That was 1% below $58.95 per barrel when the market closed on November 24, 2017.
Natural Gas Prices Rose: How That Could Affect Coal
The EIA (U.S. Energy Information Administration), in its recent Short-Term Energy Outlook report, has projected the average Henry Hub natural gas spot price for 2018 at $3.10 per MMBtu.
Natural Gas Inventory Fell: Could Coal Benefit?
According to EIA estimates, natural gas inventory for the week ended November 24, 2017, was 3,693 Bcf, which is 0.9% lower than 3,726 Bcf for the previous week.
Coal Production Rises Marginally in Week Ended November 18
Weekly coal production Coal shipment estimates for the week ended November 18, 2017, were announced on November 22 by the EIA (U.S. Energy Information Administration). Coal acts as a key commodity for railroad companies such as Kansas City Southern (KSU) and Union Pacific (UNP). The report on weekly US coal production is based on railcar […]
Natural Gas Prices Falls despite Strong Demand
Natural gas prices December US natural gas futures closed at $2.93 per MMBtu (million British thermal units), while Henry Hub natural gas settled at $2.82 per MMBtu on November 27, 2017. The Henry Hub figure was lower than the $3.05 per MMBtu reported on November 20, 2017. In its latest short-term energy outlook report, the […]
Natural Gas Inventories Fall: What Now for Coal?
In this series, we’ll review the natural gas inventory levels as reported by the EIA (U.S. Energy Information Administration), and how they have impacted natural gas and coal prices.
Coal Production Falls in the Week Ended November 10
Weekly coal production Coal shipment metrics for the week ended November 10, 2017, were released by the EIA (US Energy Information Administration) on November 16, 2017. Coal is a primary commodity for railway companies such as Union Pacific (UNP) and Kansas City Southern (KSU). Each week, US coal production information is issued based on railcar loadings. In […]
How Lower Crude Oil Prices Could Affect Coal Miners
Crude oil prices On November 17, 2017, WTI (West Texas Intermediate) was at $56.55 per barrel, 0.3% lower than the $56.74 per barrel reported when the market closed on November 10, 2017. On November 17, 2017, Brent crude oil was down 1.3% week-over-week, settling at $62.72 per barrel. Prices fell partially due to doubts on whether […]
Coal Production Rebounded in Week Ended November 4
The week ended November 4 witnessed an increase of 3.9% in coal production, from 14.5 mmst (million short tons) in the previous week to 15.0 mmst.
Natural Gas Prices Rose in the Wake of Winter
As of November 10, 2017, December US natural gas futures contract price closed at $3.21 per MMBtu. The Henry Hub natural gas spot price settled at $3.14 per MMBtu.
How Natural Gas Inventories Are Affecting Coal
The EIA issued its natural gas inventory report on November 9, 2017. Natural gas inventory was 3,790 Bcf which is 0.4% more than 3,775 Bcf for the week ended October 27, 2017.
Coal Production Fell during the Week Ending October 28
The week ending October 28 witnessed a fall of 3.1% in coal production from 14.9 million short tons in the previous week to 14.5 million short tons.
Winter Is Coming: How Will Natural Gas Prices React?
Strong natural gas prices might encourage utilities to use coal instead of natural gas. It could help coal (KOL) increase its market share.
Westmoreland Coal Missed 3Q17 Earnings Estimates
Westmoreland Coal’s Coal-U.S. segment reported adjusted EBITDA of $34.3 million in 3Q17 compared to $38.0 million in 3Q16 and $23.7 million in 2Q17.
Peabody Energy’s Future Earnings: What the Company Expects
After its 3Q17 earnings release, Peabody Energy (BTU) increased its 2017 US sales guidance to 151 million–158 million short tons, from 148 million–153 million short tons.
A Look at Peabody Energy’s Liquidity Position
According to recent company filings, the book value of Peabody Energy’s (BTU) indebtedness is ~$1.7 billion. In 3Q17, BTU repaid $300 million of its term loan.
Peabody Energy Stock Fell Marginally after 3Q17 Earnings Release
On October 25, 2017, Peabody Energy (BTU) announced its 3Q17 earnings results. It reported adjusted diluted EPS of $1.47 against analysts’ estimate of $1.18.
What to Expect for Arch Coal’s 3Q17 Earnings
Arch Coal (ARCH) is expected to announce its 3Q17 earnings results on October 31, 2017, before market hours.
Could Arch Coal’s Margins Improve in 3Q17?
Arch Coal’s earnings estimates In 3Q16, Arch Coal’s (ARCH) adjusted EBITDAR (earnings before interest, tax, depreciation, amortization, and restructuring) were about $81.3 million, and its EBITDAR margin was 14.8%. Analysts expect the company to report EBITDAR of about $95 million in 3Q17 and an EBITDAR margin of 17.3%. A higher EBITDAR figure suggests higher income from […]
What to Expect from Cloud Peak Energy’s 3Q17 Earnings
Cloud Peak Energy (CLD) is expected to announce its 3Q17 earnings on October 27, 2017, after market hours.
Coal Production Fell Marginally Last Week
Coal is an important commodity for railway companies such as Union Pacific (UNP) and Genesee & Wyoming (GWR).
Natural Gas Inventory Falls below 5-Year Average
Price fluctuations of natural gas affect US coal miners such as Arch Coal (ARCH), Cloud Peak Energy (CLD), Natural Resource Partners (NRP), and Peabody Energy (BTU).
Why We Should Watch Peabody Energy’s Leverage and Liquidity
According to the latest company filings, the book value of Peabody Energy’s (BTU) debt as of June 30, 2017, after exiting from bankruptcy is $1.77 billion.
How Crude Oil Indirectly Impacts Coal Prices
On September 29, 2017, Brent crude oil prices closed at $57.54 per barrel compared to $56.86 the previous week.
Can Natural Gas Inventory Rebalancing Affect Coal?
For the week ended September 22, natural gas inventory came in at 3,466 Bcf (billion cubic feet), which was higher than 3,408 Bcf one week earlier.
Are Coal Mines Affected by Higher Crude Oil Prices?
On September 22, Brent crude oil prices closed at $56.86 per barrel, compared with the closing price of $55.62 per barrel one week previously.