The astronomical rise in global coal prices had driven up the net income of Consunji-led Semirara Mining and Power Corporation (SMPC) to a record high P16.2 billion last year, or 393 percent jump from P3.3 billion in 2020.

The firm noted that the significant income hike had been due to array of factors in coal markets last year, including the 8.0 percent jump in production at its Semirara coal mine; 16percent increase on its coal shipments; and the drastic 71 percent spike in average coal selling prices.

“For the fourth quarter alone, SMPC saw its net income expand by nearly 20 times from P297 million to P5.9 billion, its highest profit level for any given quarter,” the Consunji firm stressed.

As primarily stated, selling prices of coal on the average from October to December last year inched up by 229-percent to P4,452 from P1,354; on account of “global supply disruptions and accelerated demand from China, India and Europe pushed index prices to record levels.”

The company further conveyed that “elevated coal prices offset the impact of lower shipments, which was nearly halved (46-percent) from 4.6 million metric tons (MMT) to 2.5 MMT owing to weather-induced coal production drops in the third quarter.”

While turn of events in coal markets turned out highly favorable for their business operations, SMPC President and COO Maria Cristina C. Gotianun credited their upbeat financial performance as a milestone that “reflects the hard work of our people.”

She emphasized that “they (SMPC employees and executives) rose to the challenges of the pandemic and delivered exceptional value to our stakeholders.”

According to the company, the income contribution of its coal business segment had exponentially climbed by 535-percent to P11.4 billion versus the relatively marginal outcome of P1.8 billion in 2020.

SMPC similarly indicated that both of its power subsidiaries – Sem-Calaca Power Corporation (SCPC) and Southwest Luzon Power Generation Company (SLPGC); have “delivered improved performances.”

SCPC which owns and operates its 600-megawatt coal plant in Batangas, in particular, logged full year earnings of P3.3 billion, an uptick of 154-percent from P1.3 billion.

Additionally, its SLGPC plant which is also sited in Batangas, registered colossal income hike of 1,563-percent to P1.4 billion from the previous year’s dismal earnings of P87 million.