Bens Creek Group PLC (AIM:BEN, OTC:BENCF) said it has completed the delivery of circa 44,000 tonnes of coal for the largest steel producer in India.
It is the first time that the company has taken the lead in alone filling a ship, which is berthed at Virginia’s Norfolk International Terminals.
The order is being carried out by offtake partner Integrity Coal Sales, and is part of a larger order to be completed by the end of July.
After July, the steelmaker customer has the right to order up to double the current order. Bens Creek said it is confident the customer will do so.
Being able to start directly filling a ship on a monthly basis with between 40,000 and 70,000 tonnes is “a milestone achievement providing validation of the quality of our coal product, as well as confirming our ability to complete substantial orders to a marque customer on time”, said Bens Creek chief executive Adam Wilson ina statement.
“For the first time, Bens Creek is able to sell its sought after branded coal product directly to the customer, clean and undiluted by other producers, thus firmly establishing the Bens Creek coal brand, for which the company is seeing significant demand from the largest steel company in India," he added.
The company is also confident that there will more orders and that sufficient coal will be produced, as it said it is close to having a second operational highwall miner to increase mining output and fill a ship each month.