Shipments were 2.23 million tons compared to 2Mt in the previous quarter, and the average sales price increased from $US37.60 per ton for the 2004 fourth quarter to $US43.27/t for the 2005 first quarter.
Net income available to common shareholders for the quarter was $US309,000.
"The coal markets remain very robust, and have actually strengthened during the traditional shoulder season. We expect this will have a positive impact on our open contract position for expected shipments in 2006 and 2007,” James River chief Peter Socha said.
Total production from company and contractor mines was about 180,000t below internal goals for the quarter. More than half of the shortfall was from a contractor surface mine delaying ramp-up from January to April due to inclement winter weather and delays in obtaining production equipment.
Higher mining costs continued to be a challenge for James River. Increases in mining costs were attributed to rising costs in materials including steel-based products, labour and benefits, and trucking costs.
Mining type also affected mine productivity and costs. During the first quarter, a higher proportion of mines were conducting new advancement operations within individual mine panels.
James River’s Mine 15 development at the McCoy Elkhorn complex remained on schedule with the slope and shaft of the mine reaching the bottom of the coal seam.
Limited coal production from the mine will begin in the 2005 fourth quarter with full ramp-up to 1.5Mt expected by the end of 2006.
