Geo Energy Resources booked a net profit of US$15.6 million for the six months ended 30 June, down 22.4 per cent year-on-year, as higher selling prices for its Indonesian thermal coal cushioned the impact of lower sales volumes.
The Singapore-listed miner did not disclose group revenue for the period. Its coal-mining segment generated cash profit of US$47.5 million, while average cash profit per tonne improved to US$13.30 from US$10.19 a year earlier, helped by a 20 per cent rise in benchmark ICI4 prices. The board declared a second interim dividend of 0.10 Singapore cent a share for the April-June quarter, matching the payout made in the first quarter. Together with July share buy-backs, capital returned to investors represents about 33 per cent of first-half earnings. Payment details will be announced separately.
Coal sales slipped to 3.6 million tonnes from 6.3 million tonnes a year ago, reflecting the planned sequencing of mining at the Tanah Raja (TRA) pit ahead of new infrastructure coming on line. Depreciation and amortisation fell to US$14.6 million from US$19.9 million, partly offsetting higher general and administrative expenses, which rose to US$10.6 million following expansion of mining, logistics and infrastructure operations.
Lower volumes and higher stripping and inventory costs weighed on the bottom line, but these headwinds were mitigated by the late-half rally in coal prices. The full benefit of the stronger market—ICI4 averaged US$58.13 a tonne in 1H2026 and climbed to US$63.14 in July—is expected to flow through in the third quarter, the company said.
During the half, Geo Energy advanced several strategic projects. Its 92-kilometre PT Marga Bara Jaya (MBJ) hauling road and jetty became operational on 16 July, unlocking a pathway to boost TRA’s output capacity to 20-25 million tonnes per year and generate up to US$350 million in annual EBITDA savings. The group also invested about US$20 million to ramp up TRA, spent roughly US$35 million on overburden removal at the TBR highwall, and paid some US$23 million for controlling stakes in two Indonesian marine-logistics firms to strengthen its coal-transport chain.
Executive chairman and chief executive Charles Antonny Melati said the first-half performance marked “a transformative chapter” for the group. He noted that the MBJ start-up, coupled with logistics acquisitions, has “unlocked the full potential” of the flagship TRA mine. Melati added that management expects a “meaningful increase” in output during the second half and remains confident of meeting the 2026 production target of 11.5-12.5 million tonnes, with a medium-term goal of lifting capacity to 25 million tonnes annually.
Looking ahead, Geo Energy pointed to resilient Asian demand for low-sulphur 4,200 kcal/kg Indonesian coal and industry forecasts that peg ICI4 prices at US$63-65 per tonne for the rest of 2026 and into 2027. The company said it will revisit its dividend policy after assessing full-year results and continues to evaluate additional growth and capital-management opportunities.