Stanmore Resources is pushing ahead with its Bowen Basin development projects at a time when PCI coal, which makes up the majority of its sales mix, is in favour.

The company is ramping up Eagle Downs development studies, while infrastructure planning and design for the Isaac Downs Extension project are ongoing.

Stanmore chief executive officer and executive director Marcelo Matos said the company had delivered a strong operational performance in the past quarter, with ROM production up 27 per cent as the group’s mines recovered from considerable first-quarter wet weather impacts.

Saleable production of 3.3Mt had year-to-date volumes tracking well within full-year guidance, he said.

“Market conditions remained supportive for Stanmore’s products during the quarter, particularly PCI coal,” Mr Matos said.

“Steelmakers have been continuing to prioritise cost efficiency and, along with seaborne supply tightness generally, this has contributed to an improvement in Australian PCI pricing relative to premium hard coking.”

Stanmore was well placed to capture this relative strength, he said.

“Subsequent to quarter-end, we were pleased to secure binding commitments to refinance Stanmore’s senior corporate debt facilities. The refinancing lowers our debt funding cost, removes $US70 million per annum of scheduled amortisation and supports near-term cash flows, providing the opportunity to optimise capital allocation during a period of operational stability.”

The Isaac Downs Extension environmental impact statement (EIS) was submitted in June, a milestone in its approvals pathway.

The company aims to minimise the disruption between the current Isaac Downs operation reaching its economic limits and the ramp-up of the extension project.

Meanwhile Stanmore is targeting early 2027 completion for its Eagle Downs development studies.

It acquired the site and Eagle Downs South from South32 and Aquila in 2024. Two underground access drifts were partially completed before Eagle Downs went into care and maintenance in late 2015.

Stanmore’s quarterly report noted that surface infrastructure design layouts there had been finalised and underground studies were recommencing.

“Environmental approvals have also progressed, with a minor amendment relating to underground panel alignment finalised during the quarter,” the company said.

“Ecological surveys have been completed on the interconnecting infrastructure between Eagle Downs and existing Stanmore facilities.”