Yancoal Australia Ltd (HKEX: 03668) saw its shares rise more than 4% in morning trading, extending a weekly gain of over 12%. At the time of writing, the stock was up 4.10% to HK$33.02, with a turnover of HK$24.453 million.

The company reported second-quarter saleable coal production of 10.8 million tonnes, a 15% year-on-year increase. Saleable coal sales for the quarter jumped 43% year-on-year to 11.6 million tonnes. For the first half of the year, saleable coal production rose 5% to 19.8 million tonnes, while sales increased 20% to 19.8 million tonnes. The company attributed the significant production improvement primarily to better weather conditions and the smooth operation of production equipment.

An institutional research report noted that Yancoal Australia's second-quarter production and sales exceeded expectations. The report pointed out that recent signs of inventory drawdowns in downstream sectors are supporting a rebound in coal prices. As the rainy season gradually ends and temperatures rise, coupled with increased geopolitical uncertainties, thermal coal prices are expected to resume their upward trend, which would benefit the company's earnings performance. Considering the strong production performance in the second quarter and the potential completion of the Kestrel coal mine acquisition in the third quarter, the company's production volume in the second half of the year is expected to increase further, creating conditions for simultaneous growth in both coal volume and prices.