Coal Energy February output drops due to military threats

Total coal production by steam and coking coal miner Coal Energy (CLE PW) plunged 32% m/m to 8.5 kt in February, the company’s management commented in a March 16 statement. The drop ended a positive streak of recovering monthly production volumes since September, though 8MFY15 volumes fell 88% to 61 kt on a yoy basis.

The company attributed the reduced output to danger posed to its employees by the ongoing military conflict in the region. Most of Coal Energy’s mines (responsible for more than 80% of the company’s coal production in fiscal year 2012) are located on the territory that is currently occupied by pro-Russian terrorists.