Stanmore Resources delivers record December quarter coal production and strong cash generation

Stanmore Resources posted record production and sales in the December 2025 quarter.

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The Stanmore Resources Ltd (ASX: SMR) share price is in focus today after the company delivered record quarterly production and strong cash generation in its December 2025 report.

What did Stanmore Resources report?

  • Record quarterly run-of-mine (ROM) coal production of 6.0 million tonnes (Mt), saleable production of 3.9Mt, and sales of 4.0Mt
  • Full-year saleable coal production reached 14.0Mt, at the mid-point of revised guidance
  • Net debt reduced sharply by US$57 million in Q4, finishing the year at US$33 million
  • Total liquidity climbed to US$482 million at 31 December 2025
  • Serious Accident Frequency Rate for the year was 0.33, significantly below industry benchmarks
  • Average sales price achieved was US$133 per tonne, with a late-quarter rally in coal markets

What else do investors need to know?

Stanmore Resources overcame early-year weather disruptions to deliver operational records across all key sites, including South Walker Creek, Poitrel, and Isaac Plains Complex. The company maintained a healthy ROM inventory of 1.5Mt entering the wet season, aiming to enhance resilience against further supply interruptions.

The revolving credit facility was upsized to US$200 million, supporting liquidity and reflecting continued confidence from lenders. Exploration and project development progressed as planned, with approvals for the Isaac Downs Extension and Eagle Downs infrastructure advancing.

What did Stanmore Resources management say?

Chief Executive Officer & Executive Director Marcelo Matos said:

The December quarter marked an exceptional close to the year, with operations delivering record performances across all production metrics. Most impressively, this was achieved safely and despite the first-half challenges from adverse weather, which demonstrated operational agility and flexibility.

What's next for Stanmore Resources?

The company starts 2026 with some challenges after ex-tropical cyclone Koji impacted the Bowen Basin, though management is closely monitoring operational impacts and inventories. Stanmore plans further cost and production optimisations, particularly at the Isaac Plains Complex ahead of its planned transition to the Isaac Downs Extension project.

Shareholders can expect updated full-year financials and 2026 guidance in late February, with a continued focus on maintaining operational safety and disciplined capital management.

Stanmore Resources share price snapshot

Over the past 12 months, Stanmore Resources shares have risen 15%, outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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