For the most recent 1QFY2021 ended March 31, 2021, the company reported a record revenue of US$114.5 million ($153.85 million), up 30% y-o-y. Despite a strong monsoon and extreme weather leading to a 17% decline in coal production in Indonesia, it managed to increase production and sales “due to prior mine planning and utilisation of our coal exposed”.
As governments, companies, and various bodies push for sustainability to be a key agenda, the investment community has generally avoided coal companies and other investments deemed unfriendly to the environment. Local banks, for example, have joined their global counterparts in cutting back lending to coal-related companies.
Yet, coal remains a desired commodity in today’s energy landscape. Bloomberg reported that coal usage in Europe jumped 10% to 15% this year, amid reports of gas supplies running low due to a longer winter. As such, Tung Kum Hon, CEO of Geo Energy Resources, believes that his SGX-listed company, which operates coal mines in Indonesia, is not going to wither on the vine.
