Bulletin: Coronado Global Resources' Liquidity Remains Tight

MELBOURNE (S&P Global Ratings) Aug. 11, 2020--S&P Global Ratings today said that Australia-based metallurgical coal miner Coronado Global Resources Inc.'s (B/Watch Neg/--) first-half 2020 results reflect the company's weak operating performance and external operating environment. In our opinion, there is an elevated risk that the COVID-19 pandemic and recessionary economic conditions will continue to pressure the group's free cash flow generation, liquidity, and access to funding markets. We believe it is unlikely that Coronado will generate positive free operating cash flows for the year ending Dec. 31, 2020, absent a swift recovery of metallurgical coal prices toward the long-term average of about US$160 per ton. However, the group's focus on operating cost control and reducing capital expenditure by 40% in

...August 11, 2020 MELBOURNE (S&P Global Ratings) Aug. 11, 2020--S&P Global Ratings today said that Australia-based metallurgical coal miner Coronado Global Resources Inc.'s (B/Watch Neg/--) first-half 2020 results reflect the company's weak operating performance and external operating environment. In our opinion, there is an elevated risk that the COVID-19 pandemic and recessionary economic conditions will continue to pressure the group's free cash flow generation, liquidity, and access to funding markets. We believe it is unlikely that Coronado will generate positive free operating cash flows for the year ending Dec. 31, 2020, absent a swift recovery of metallurgical coal prices toward the long-term average of about US$160 per ton. However, the group's focus on operating cost control and reducing capital expenditure by 40% in fiscal 2020 should help mitigate the downward pressure on free cash flows. We placed Coronado on CreditWatch with negative implications on July 7, 2020, reflecting...

Bulletin