Core Natural updates efforts to resume longwall operations at Leer South mine

Core Natural Resources (CNR) provided an update on its ongoing efforts to resume longwall operations at its Leer South mine following a combustion-related event at the mine in mid-January. Consistent with the previously provided timeline, Core personnel and regulatory officials re-entered the sealed area of the mine on June 10th, and thereafter re-established ventilation to the full mine, restored hydraulic pressure along the longwall face, and conducted an extensive evaluation of the major equipment and infrastructure. As expected, the longwall was largely unaffected by the combustion event and major components and systems remain in good condition. On June 26th, after more than two weeks in the mine, the operating team found it necessary to evacuate the mine and begin restoring pumpable seals to the affected area in the wake of an increase in carbon monoxide levels. The Core team is working closely with federal and state officials on a plan to recover and reposition the longwall equipment in an effort that is expected to be completed within four months. “Core maintains a property damage / business interruption insurance program and placed insurance carriers on notice immediately after the Leer South event occurred earlier this year,” said Mitesh Thakkar, Core’s president and CFO. “Core has kept the carriers updated on developments to date and anticipates an insurance recovery in excess of $100 million.” Core is reiterating its 2025 coking coal sales volume guidance despite the delayed restart of the Leer South mine and expects to provide a more detailed update on ongoing efforts at Leer South in its second quarter earnings release in early August.