Arch: Fourth-quarter production levels below expectations - WOWK 13 Charleston, Huntington WV News, Weather, Sports

Arch: Fourth-quarter production levels below expectations

Posted: Updated:
  • EnergyEnergyMore>>

  • UPDATE: WV leaders applaud possible energy company expansion

    UPDATE: WV leaders applaud possible energy company expansion

    Tuesday, September 2 2014 11:05 AM EDT2014-09-02 15:05:44 GMT
    House Speaker Tim Miley, D-Harrison, said the announcement of four major energy companies partnering to build a proposed natural gas Atlantic Coast Pipeline is another step toward expanding West Virginia's economy.
    House Speaker Tim Miley, D-Harrison, said the announcement of four major energy companies partnering to build a proposed natural gas Atlantic Coast Pipeline is another step toward expanding West Virginia's economy.
  • WV Wilderness group fights against gas companies over pipeline in Pocahontas County

    WV Wilderness group fights against gas companies over pipeline in Pocahontas County

    Tuesday, September 2 2014 10:40 AM EDT2014-09-02 14:40:53 GMT
    The West Virginia Wilderness group has been fighting three gas companies for months, who want to put a pipeline in Pocahontas County .Lauren Ragland is the founder of West Virginia Wilderness and said the pipeline does not belong in Pocahontas County.
    The West Virginia Wilderness group has been fighting three gas companies for months, who want to put a pipeline in Pocahontas County .Lauren Ragland is the founder of West Virginia Wilderness and said the pipeline does not belong in Pocahontas County.
  • Dominion, Duke to build $5B natural gas pipeline

    Dominion, Duke to build $5B natural gas pipeline

    Tuesday, September 2 2014 9:20 AM EDT2014-09-02 13:20:59 GMT
    Dominion Resources, Duke Energy and other partners have proposed building a $5 billion natural gas pipeline to connect the Southeast with the prodigious supplies of natural gas being produced in Pennsylvania, Ohio and West Virginia.
    Dominion Resources, Duke Energy and other partners have proposed building a $5 billion natural gas pipeline to connect the Southeast with the prodigious supplies of natural gas being produced in Pennsylvania, Ohio and West Virginia.

Arch Coal notified investors and analysts Jan. 21 that lower-than-planned shipment levels in the Powder River Basin and reduced production levels at the Mountain Laurel complex in Appalachia will affect its fourth quarter 2013 financial results.   

Arch's fourth-quarter 2013 shipment levels in the Powder River Basin decreased by more than 15 percent from third quarter levels due to rail service issues on the Joint Line,the company said. Shipments fell because Arch's current mix of sales contracts skews more heavily toward customers utilizing the rail operator with the majority of the shortfall. The lower-than-expected shipments in the fourth quarter caused thermal volumes for 2013 to be below the company's previous expectations.

"Although rail disruptions impacted our PRB operations in the fourth quarter, we would expect to make up a majority of those shipments during 2014 as rail service improves throughout the year," said John W. Eaves, Arch's president and chief executive officer, said in a news release.

At the Laurel Mountain complex, fourth quarter 2013 production at the mine decreased by 40 percent as compared to third quarter levels. As a result, the company's full year 2013 metallurgical coal sales volumes were slightly below the low end of its previous expectations.

Arch Coal's fourth quarter 2013 earnings release will be issued before the market opens on Tuesday, Feb. 4. Management's conference call with analysts is scheduled for 10 a.m. that day.