Ann: Blair Athol Result - July 2021, page-7

BLAIR ATHOL RESULT this announcement is from 9th of july
The full year coal sales for Blair Athol (BA) have been extremely pleasing. The
successful transition to owner operator occurred at the end of July 2020 with initial
projections of a reduced coal sales production profile of 2Mtpa. However, the team
has implemented numerous operational efficiency gains and consistently delivered
above expectation to achieve total coal sales of 2.2Mt for the 2021 financial year.
Significant and sustained cost reductions were implemented at BA following the
transition, resulting in BA achieving a 17% reduction to Free on Board (FOB) operating
costs. The substantial reduced FOB cost base of approximately A$60 per tonne (since
August 2020) enables BA to sustain strong margins at long run coal prices and
capitalise on market upturns, which are currently being experienced.