Pembroke Olive Downs reports negative EBITDA despite stable operations

Pembroke Olive Downs Pty Ltd announced stable operational performance for Q3-2025. ROM production reached 1.9 million tonnes, and CHPP throughput consistently exceeded nameplate capacity. Shipments for the quarter increased by 7% compared to Q2-2025. The average realised steelmaking coal price was approximately $146/tonne, maintaining a price relativity of around 100% against the HCCAU00 index, despite marginal declines in major coal indices.

Financially, the company reported a negative EBITDA of $29m for Q3-2025, primarily attributed to a $34m provision for historical contractor claims. Excluding these claims, EBITDA would have been $6m. The cash balance as of September 30, 2025, stood at $179m. The company affirmed that financial covenants were met, with a cash balance of $154,387,937 exceeding the minimum cash threshold of AUD25,000,000.

Management emphasized strong operational discipline, focusing on improving coal mining practices, optimizing yield, maximizing CHPP performance, and maintaining competitive production costs. Strategic changes include office closures by CY26Q1 and a flattened reporting structure to enhance decision-making.