Peabody Energy said it has completed $250 million of the anticipated $489 million of initial development capital to achieve longwall production at its Centurion hard coking coal project in March 2026.
The company has so far commissioned two continuous miner units with a third unit expected to be commissioned in the fourth quarter. Centurion successfully produced its first development coal in June and expects to ship the first cargo of coal later this year.
Centurion is set to significantly enhance Peabody’s metallurgical coal production with an average volume of 4.7 million tons per year at expected costs of $105 per ton. Centurion will also reposition Peabody’s metallurgical coal portfolio toward higher quality premium met coals.
“We anticipate demand for premium hard coking coals to grow significantly,” said Peabody Chief Marketing Officer Malcolm Roberts. “While demand for this product continues to grow, new projects are increasingly rare, making Centurion’s product highly sought after.”
Centurion is located in Australia’s Bowen Basin, near Moranbah, Queensland.
Source: Peabody Energy