The announcement coincided with the company’s release of its full-year and fourth-quarter results; earnings before interest, tax, depreciation and amortisation was $338.8 million for the full year.
The terminal, at Cherry Point, Washington, is expected to be capable of exporting 54 million tonnes of commodities, including 48Mt of coal.
Cloud Peak’s share of capacity will depend on the ultimate capacity of the terminal; company president and chief executive officer Colin Marshall said that could be up to 16Mt.
There has, however, been strong community opposition to the development of the terminal.
That aside, subsequent to receiving the required permits, SSA Marine anticipates about two years to build the terminal, which could accommodate cape size vessels.
Commercial operation is estimated to begin in 2018.
“In addition to our recent Spring Creek mine in the northern PRB, our Youngs Creek acquisition last year and recently announced option and exploration agreements with the Crow Tribe provide us multiple, long-term development options to meet anticipated Asian demand for our low-sulfur coal,” Marshall said.
“Development of the Gateway Pacific Terminal will bring substantial revenue to federal, state and local governments, high-paying jobs and will also help with the US balance of trade.”
On the financial front, the $338.8 million EBITDA for 2012 was down on the $351.7 million for 2011.
Net income of $173.7 million resulted in a diluted earnings per share of $2.85 compared to $3.13 in 2011.
Cash and investments for the year were $278 million and total available liquidity was $778 million as at December 31.
The company shipped 90.6Mt from its three mines; 4.4Mt of that went to Asia, down from the 4.7Mt of the previous year.
One of the achievements Marshall is no doubt proud of is the reduction of the company’s all injury frequency rate by 31% from 1.18 in 2011 to 0.82 in 2012.
“Given the challenging external environment in 2012, I am very pleased with the operational and financial performance of the company,” he said.
