Hallador Energy(NASDAQ) HNRG

Hallador Energy Company makes electricity for people in the Midwest. The company also mines coal to fuel power plants. These operations help provide reliable power to the local grid.

What Hallador Brings to Market

• Accredited Capacity: Reliable power supply availability sold to utilities within the Midcontinent Independent System Operator (MISO) network; MISO is a regional organization that manages the electric grid.
• Wholesale Energy: Electricity sold to cooperatives and market participants through long-term contracts or daily auctions.
• Thermal Coal: Fuel extracted from the Illinois Basin used primarily to generate heat for power generation plants.

Expanding the Energy Footprint

• Entered into an agreement on May 30, 2026, to acquire Siemens gas turbines and related equipment for $350 million.
• Applied for the Expedited Resource Addition Study program to expand electricity generation at the Merom Generating Station.
• Invested $8.9 million in the expansion project during the first half of 2026 to support future power capacity.
• Planned $100 million in additional spending for the transport and refurbishment of newly acquired turbine equipment.

The Integrated Advantage

Hallador operates its own coal mines just 20 miles from its primary power station. This vertical integration allows the company to supply its plant with low-cost fuel on a delivered basis.

Tracking the Finances

• Electric operations revenue was $127.3 million for the six-month period ended June 30, 2026, down 12.8% year over year.
• Coal operations reported $97.3 million in sales for the first half of 2026, a 3.0% decrease from the same period in 2025.
• The company held $34.9 million in cash and restricted cash as of June 30, 2026.
• Estimated total contracted revenue from forward sales reached $2.4 billion as of June 30, 2026.
• Net loss per diluted share was $0.32 for the three-month period ended June 30, 2026.

Bottom Line

Hallador has evolved from a coal mining business into a vertically integrated power producer. This transformation allows the company to control its own fuel supply while selling electricity directly to the regional grid.