{"id":959135,"date":"2026-05-06T16:35:33","date_gmt":"2026-05-06T20:35:33","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/hallador-energy-company-signs-12-year-capacity-agreement-for-over-1-billion-reports-first-quarter-2026-financial-and-operating-results\/"},"modified":"2026-05-06T16:35:33","modified_gmt":"2026-05-06T20:35:33","slug":"hallador-energy-company-signs-12-year-capacity-agreement-for-over-1-billion-reports-first-quarter-2026-financial-and-operating-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/hallador-energy-company-signs-12-year-capacity-agreement-for-over-1-billion-reports-first-quarter-2026-financial-and-operating-results\/","title":{"rendered":"Hallador Energy Company Signs 12-Year Capacity Agreement for Over $1 Billion; Reports First Quarter 2026 Financial and Operating Results"},"content":{"rendered":"
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\n – Q1 Total Revenue of $101.8 Million, with Operating Cash Flow of $20.5 Million –<\/em>
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\n – Q1 Net Loss of $9.3 Million, with Adj. EBITDA of $5.5 Million –<\/em>
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\n – On May 1, Hallador Signed a Capacity Agreement, for years 2028 \u2013 2040, at More Than 2x Historical Capacity Pricing, Expected to Generate Over $1 Billion of Contracted Revenue –<\/em>\n <\/p>\n

TERRE HAUTE, Ind., May 06, 2026 (GLOBE NEWSWIRE) — Hallador Energy Company (Nasdaq: HNRG) (\u201cHallador\u201d or the \u201cCompany\u201d) today reported its financial and operating results for the first quarter ended March 31, 2026.\u00a0The Company is also announcing a newly signed 12-year capacity agreement with a subsidiary of a utility, which is further detailed below.<\/p>\n

\u201cIn the last few months, we have made significant progress advancing our long-term contracting strategy, together with the three-year capacity agreement we announced in March for planning years 2026, 2027 and 2028, culminating now with the execution of a 12-year capacity agreement selling approximately 2\/3rds<\/sup> of our accredited capacity starting in late 2028 through mid-2040. Together, these two capacity-only sales total approximately $1.1B, nearly doubling our forward sales book and making the Company substantially sold-forward on accredited capacity across the next fourteen consecutive years. We continue to see strong pricing signals for our remaining unsold capacity and continue to pursue opportunities in the market to add to our already substantial forward sales positions,\u201d said Brent Bilsland, President and Chief Executive Officer. \u201cThese agreements provide durable revenue visibility and balance sheet support and are expected to convert to cash flow at a very high rate, enabling the company to focus on disciplined capital allocation across potential growth initiatives such as our proposed 515MW gas plant project and our dual-fuel ambitions for our existing 1-GW Merom Power Plant.\u201d<\/p>\n

\u201cFrom an operating standpoint, first quarter results were generally in-line with expectations and reflect the impact of our previously disclosed availability constraints at Merom. With our planned plant outage now underway, emphasizing key reliability upgrades, we expect a meaningful improvement in performance as we move through the year and into the peak demand seasons.\u201d<\/p>\n

\n Capacity Agreement Overview<\/strong>\n <\/p>\n

Hallador signed a 12-year agreement to sell a substantial portion of its accredited capacity to a subsidiary of a utility for planning years 2028 through 2040. The agreement initially covers a smaller volume of accredited capacity in 2028, increasing to approximately 2\/3rds<\/sup> of the company\u2019s accredited capacity beginning in 2029 through 2040. The sale is priced above the recent three-year agreement signed in March, and pricing is the same for all 12 years of the contract. Hallador expects to generate more than $1 billion in cumulative revenue from the agreement, nearly doubling its forward sales book, and is expected to convert to free cash flow at a very high rate. The structure is capacity-only and does not include the sale of energy, allowing the Company to retain flexibility to optimize future energy sales. The agreement is subject to customary regulatory approvals anticipated to be received in the second half of 2026.<\/p>\n

\n First Quarter 2026 Highlights\u00a0<\/strong>\n <\/p>\n