Ann: 31 December 2021 Half Year Result, page-41

The last time I felt great about AHQ was with Black Warrior purchase and before that was bring New Elk to production early.

Based on last 6 months’ performance, the optic is not great. The whole plan to mix New Elk with Mary’s Pratt then NPA did not happen due to poor New Elk output and run away coal price. Bye bye 1.6mtpa.

Black Warrior was slow to ramp up as AHQ ran out of cash and unable to obtain equipment finance for the larger trucks and end up went to loan shark with 66% and full repayment due in 2 months.

AHQ could not seek additional CR due to Short Creek purchase destroyed SP. Was Short Creek a good purchase? Probably it is but we got blindsided and incurred a paper loss of 30%.

Couple of weeks ago I thought Q3 will be an inflection point and had hoped to see $10m gross profit, now I have to temper my expectations and hope for June.

Before that elusive production and sales guidance in June there will be couple of painful/volatile months.

Good luck to all holders, I know why I am in AHQ and can live with 20% swings. If you don’t have the stomach for it then come back in June.