Foresight Energy generated fiscal-year coal sales revenues of $834 million on sales volumes of 19.7 million tons, resulting in a net loss of $320 million, and adjusted EBITDA of $185 million. Foresight mines produced nearly 19.9 million tons during the year, according to the company.
In March, Foresight resumed longwall mining production at its Hillsboro complex and idled continuous mining production at its Macoupin complex. It also filed petitions for Chapter 11 bankruptcy in the United States Bankruptcy Court for the Eastern District of Missouri.
Coal sales totaled $834.4 million for 2019 compared to $1.097 billion for 2018, representing a decrease of nearly $263 million or 24%. The decrease in coal sales revenue from the prior year was due to lower coal sales volumes combined with lower coal sales realization per ton sold, according to the company. Coal sales volumes for the current year were lower as compared to the prior year due primarily to lower sales volumes placed into the export market.
The decrease in cost of coal produced from the prior year was due to an overall decrease in produced tons sold, offset by a higher cash cost per ton sold, according to the company. The increase in cash cost per ton sold resulted primarily from reduced production at the Williamson complex during the fourth quarter in response to challenging export market conditions.
Coal sales were $161.1 million for the three months ended December 31, 2019 compared to $297 million for the three months ended December 31, 2018. The decrease in coal sales revenue from the prior period was due decreased coal sales volumes combined with lower coal sales realization per ton sold. Coal sales volumes for fourth quarter 2019 were lower as compared to fourth quarter 2018 due primarily to lower sales volumes placed into the export market.
Cost of coal produced for the three months ended December 31, 2019 was $118.8 million compared to $135.8 million for the three months ended December 31, 2018.
Based on the Foresight Chapter 11 cases and the uncertainty, social and economic, surrounding the domestic and global impact the coronavirus disease (COVID-19) pandemic will have on coal markets, the company said it is not providing guidance for 2020 at this time.
Foresight Energy is a leading producer and marketer of thermal coal controlling nearly 2.1 billion tons of coal reserves in the Illinois Basin. Foresight Energy operates three longwall mining complexes with four longwall mining systems (Williamson (one longwall mining system), Sugar Camp (two longwall mining systems), and Hillsboro (one longwall mining system), which has fully resumed longwall mining operations in March, and the Sitran River terminal on the Ohio River. With the resumption of longwall mining at Hillsboro, Foresight Energy has temporarily idled continuous miner production at its Macoupin complex.
