{"id":993022,"date":"2026-08-10T18:17:39","date_gmt":"2026-08-10T22:17:39","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/hallador-reports-q2-2026-results-gas-project-budget-reduced-below-800-million\/"},"modified":"2026-08-10T18:17:39","modified_gmt":"2026-08-10T22:17:39","slug":"hallador-reports-q2-2026-results-gas-project-budget-reduced-below-800-million","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/hallador-reports-q2-2026-results-gas-project-budget-reduced-below-800-million\/","title":{"rendered":"Hallador Reports Q2 2026 Results; Gas Project Budget Reduced Below $800 Million"},"content":{"rendered":"
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\n Turtle Creek COD Expedited to the Second Half of 2028 –<\/em>\n <\/p>\n

\n – Contracted Forward Sales Reach $2.4 Billion at the Segment Level –<\/em>\n <\/p>\n

\n – Management to Host Conference Call Today at 5:00 p.m. ET –<\/em>\n <\/p>\n

TERRE HAUTE, Ind., Aug. 10, 2026 (GLOBE NEWSWIRE) — \u00a0<\/strong>Hallador Energy Company (Nasdaq: HNRG) (\u201cHallador\u201d or the \u201cCompany\u201d) today reported its financial and operating results for the second quarter ended June 30, 2026.\u00a0The Company is also providing an update on the continued advancement of its Merom natural gas generation project, now formally named Turtle Creek Gas (\u201cTurtle Creek\u201d), including progress on equipment procurement, financing and interconnection.<\/p>\n

\u201cSince our strategic update in June, we have made significant progress across key elements of the Turtle Creek project,\u201d said Brent Bilsland, Chairman and Chief Executive Officer. \u201cWe recently completed a site visit to get a firsthand update of the disassembly of the turbine equipment, which is underway with a substantial Siemens workforce on site, and we continue to be pleased with both the progress of the disassembly efforts and the condition of the turbine equipment. Shipment of the equipment remains on schedule for September, and the generator interconnection process is also advancing. As the equipment, restoration and construction scopes become more defined, the project economics have become even more compelling, and we now expect total project cost to be below $800 million, or approximately $1,700\/kW \u2014 which we believe is a significant cost advantage relative to competing new-build capacity \u2014 while moving forward our targeted commercial operation timeframe to the second half of 2028, a timeline we believe is materially ahead of comparable projects. This progress moves us closer to a final investment decision on a 460 MW peaking project that would meaningfully expand and diversify our dispatchable generation platform. At the same time, the market backdrop continues to validate the strategic rationale for that investment. We are seeing robust demand for accredited capacity and energy from a growing and increasingly diverse set of counterparties, and are working towards additional forward sales before the end of the year. With $2.4 billion of revenue already contracted through 2040, and potentially more sales on the way, we believe Hallador offers investors a degree of revenue visibility that we believe is among the strongest in the sector.\u201d<\/p>\n

“Operationally, the second quarter is traditionally our lightest period of the year, as we take one of Merom’s two units offline each spring for an approximately 60-day scheduled maintenance outage. During this year’s outage at Unit 1, we completed major reliability upgrades designed to address the unplanned downtime the unit experienced in recent quarters. Unit 2 performed well over the course of the quarter; however, the limited unplanned downtime it did experience coincided with periods of elevated market prices, which magnified the financial impact by requiring us to purchase power at high prices to meet our delivery obligations. Together, these factors weighed on our second quarter results but do not, in our view, reflect the earning power of the plant. With the scheduled outage behind us and the reliability investments in place, we believe Merom is positioned to run more reliably going forward, and we expect generation volumes to improve sequentially in the third quarter.”<\/p>\n

\n Turtle Creek Update<\/strong>\n <\/p>\n

The project\u2019s interconnection application entered MISO\u2019s Expedited Resource Addition Study (\u201cERAS\u201d) process on June 2, 2026. Hallador expects to receive the results of that process, including the required system upgrade costs, in mid-August and, following its review, is targeting a final investment decision of the project and execution of a generator interconnection agreement in September. Indications to date from the study process have been encouraging.<\/p>\n

In parallel, the Company is finalizing the construction scope and advancing financing discussions as it evaluates the appropriate capital structure for the project, with the objective of financing the project while minimizing equity dilution. Together, the interconnection, construction, and financing workstreams are among the principal remaining steps toward a final investment decision. The Company is now targeting commercial operation in the second half of 2028.<\/p>\n

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