The Stanmore Resources Ltd (ASX: SMR) share price is in focus after the company reported record quarterly production at South Walker Creek and declared a fully franked interim dividend of 2.2 US cents per share.
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What did Stanmore Resources report?
- Run of Mine (ROM) coal mined increased to 5.3 million tonnes in the quarter
- Saleable coal production lifted to 3.4 million tonnes, with South Walker Creek setting new records
- Average sales price climbed to US$163 per tonne, up 6% quarter-on-quarter
- Total cash rose to US$231 million; net debt reduced by US$53 million over the quarter to US$19 million
- Fully franked interim dividend of 2.2 US cents per share declared
- Agreement to acquire Moranbah South tenements for US$105 million, adding significant coal resources
What else do investors need to know?
Stanmore's safety performance remained strong, with no serious accidents recorded for the quarter and the Serious Accident Frequency Rate staying well below the industry average. The company's balance sheet was further strengthened by a successful refund of US$26 million in stamp duty from the Eagle Downs acquisition.
On the growth side, Stanmore's acquisition of the Moranbah South tenements will add 724 million tonnes of measured and indicated coal resources adjacent to key operations, supporting long-term production. Completion of this deal is expected in the fourth quarter of 2026.
What did Stanmore Resources management say?
Chief Executive Officer & Executive Director Marcelo Matos said:
Stanmore delivered another strong operational performance in the third quarter, with South Walker Creek achieving new quarterly records for both ROM and saleable production following our deliberate prioritisation of stripping and pit preparation earlier in the year. Most importantly, these outcomes were achieved with no serious accidents during the quarter… With a strong third quarter now delivered, improved year-to-date cash generation, supportive market conditions and robust liquidity, we are pleased to report that the Board has resolved to declare a fully franked interim dividend of 2.2 US cents per share.
What's next for Stanmore Resources?
Stanmore expects to end the year with production at the top end of its full-year guidance. The company is finalising the Moranbah South acquisition, which is set to expand its resource base near existing mines and support future growth opportunities.
Management remains focused on disciplined capital allocation, safety, and operational efficiency, aiming to deliver value for shareholders. With robust cash flow and strong liquidity, the company is well positioned to navigate market conditions and fund major commitments.
Stanmore Resources share price snapshot
Over the past 12 months, Stanmore Resources shares have risen 28%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has fallen 3% over the same period.
