TORONTO (miningweekly.com) – Alpha Natural Resources on Friday said it planned to notify the NYSE of its intent to cure the deficiency with regard to its share price and restore its compliance, and would submit a plan outlining the actions it intended to take to do so.
The NYSE notified the US coal producer that its common stock had not satisfied one of the exchange’s standards for continued listing, which required the average closing price of a listed company's common stock to be at least $1 a share over any consecutive 30-day trading period.
As of Monday, the average closing price a share of Alpha's common stock over the previous 30-day trading period was $0.99.
Under the NYSE's rules, the company had six months to regain compliance with the listing standards. The company's common stock would continue to be listed and traded on the NYSE during this period, subject to the company's compliance with other continued listing standards.
The deficiency did not affect the company's business operations or its Securities and Exchange Commission reporting requirements.
Coal miners across the globe were finding little respite in the current low oil prices, as stubbornly low coal prices, a global supply glut and competition from natural gas had forced cash-strapped miners to idle unprofitable mines and retrench thousands of miners. In the US, increasingly strict environmental legislation also had a stranglehold on the coal industry’s growth prospects.