Hallador Energy (HNRG) 10-Q 23 May 22 2022 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2022	May 20, 2022
Document Information [Line Items]
Entity Central Index Key	0000788965
Entity Registrant Name	HALLADOR ENERGY CO
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2022
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-34743
Entity Incorporation, State or Country Code	CO
Entity Tax Identification Number	84-1014610
Entity Address, Address Line One	1183 East Canvasback Drive
Entity Address, City or Town	Terre Haute
Entity Address, State or Province	IN
Entity Address, Postal Zip Code	47802
City Area Code	812
Local Phone Number	299.2800
Title of 12(b) Security	Common Shares, $.01 par value
Trading Symbol	HNRG
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		30,785,067

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 4,289	$ 2,546
Restricted cash	3,288	3,283
Accounts receivable	15,407	13,584
Inventory	8,775	7,699
Parts and supplies	11,470	10,015
Prepaid expenses	1,195	2,112
Total current assets	44,424	39,239
Property, plant and equipment:
Land and mineral rights	115,839	115,837
Buildings and equipment	346,932	342,782
Mine development	116,198	112,575
Total property, plant and equipment	578,969	571,194
Less - accumulated depreciation, depletion and amortization	(277,545)	(268,370)
Total property, plant and equipment, net	301,424	302,824
Investment in Sunrise Energy	3,695	3,545
Other assets	8,333	8,372
Total Assets	357,876	353,980
Current liabilities:
Current portion of bank debt, net	116,178	23,098
Accounts payable and accrued liabilities	47,726	41,528
Total current liabilities	163,904	64,626
Long-term liabilities:
Bank debt, net	0	84,667
Deferred income taxes	2,673	2,850
Asset retirement obligations	13,668	14,025
Other	1,475	1,577
Total long-term liabilities	17,816	103,119
Total liabilities	181,720	167,745
Redeemable noncontrolling interests	4,000	4,000
Stockholders' equity:
Preferred stock, $.10 par value, 10,000 shares authorized; none issued and outstanding	0	0
Common stock, $.01 par value, 100,000 shares authorized; 30,785 issued and outstanding	308	308
Additional paid-in capital	104,181	104,126
Retained earnings	67,667	77,801
Total stockholders’ equity	172,156	182,235
Total liabilities, redeemable noncontrolling interests, and stockholders’ equity	$ 357,876	$ 353,980

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares shares in Thousands	Mar. 31, 2022	Dec. 31, 2021
Preferred stock, par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock, shares authorized (in shares)	10,000	10,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	100,000	100,000
Common stock, shares issued (in shares)	30,785	30,785
Common stock, shares outstanding (in shares)	30,785	30,785

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Mar. 31, 2022	Mar. 31, 2021
SALES AND OPERATING REVENUES:
Coal sales		$ 57,010	$ 45,879
Other revenues		1,897	816
Total revenue		58,907	46,695
EXPENSES:
Operating expenses		54,601	34,009
Depreciation, depletion and amortization		9,531	10,307
Asset retirement obligations accretion		246	363
Exploration costs		57	58
General and administrative		3,149	2,821
Total operating expenses		67,584	47,558
LOSS FROM OPERATIONS		(8,677)	(863)
Interest expense	[1]	(1,784)	(1,898)
Equity method investment income		150	0
LOSS BEFORE INCOME TAXES		(10,311)	(2,761)
Current		0	0
Deferred		(177)	(1,729)
Total income tax benefit		(177)	(1,729)
NET LOSS		$ (10,134)	$ (1,032)
NET LOSS PER SHARE:
Basic and diluted (in dollars per share)		$ (0.33)	$ (0.03)
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic and diluted (in shares)		30,785	30,611
(1) Interest Expense:
Bank interest		$ 1,710	$ 2,135
Non-cash interest:
Change in interest rate swap valuation		(617)	(848)
Amortization of debt issuance costs		691	611
Total non-cash interest		74	(237)
Total interest expense	[1]	$ 1,784	$ 1,898
[1]	Interest Expense

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
OPERATING ACTIVITIES:
Net loss	$ (10,134)	$ (1,032)
Deferred income taxes	(177)	(1,729)
Equity income – Sunrise Energy	(150)	0
Depreciation, depletion and amortization	9,531	10,307
Loss on sale of assets	57	0
Amortization of debt issuance costs	691	611
Asset retirement obligations accretion	246	363
Cash paid on asset retirement obligation reclamation	(703)	0
Stock-based compensation	55	282
Provision for loss on customer contracts	159	0
Change in current assets and liabilities:
Accounts receivable	(1,823)	781
Inventory	(1,076)	(9,373)
Parts and supplies	(1,455)	(385)
Prepaid expenses	1,647	(242)
Accounts payable and accrued liabilities	6,563	4,342
Other	163	135
Cash provided by operating activities	2,977	2,973
INVESTING ACTIVITIES:
Capital expenditures	(9,082)	(5,720)
Proceeds from sale of equipment	131	0
Cash used in investing activities	(8,951)	(5,720)
FINANCING ACTIVITIES:
Payments on bank debt	(9,188)	(9,188)
Borrowings of bank debt	17,500	7,500
Debt issuance costs	(590)	0
Taxes paid on vesting of RSUs	0	(2)
Cash provided by (used in) financing activities	7,722	(1,690)
Increase (decrease) in cash, cash equivalents, and restricted cash	1,748	(4,437)
Cash, cash equivalents, and restricted cash, beginning of period	5,829	12,071
Cash, cash equivalents, and restricted cash, end of period	7,577	7,634
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH CONSIST OF THE FOLLOWING:
Cash and cash equivalents	4,289	3,863
Restricted cash	3,288	3,771
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Ending Balance	7,577	7,634
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	2,044	2,145
SUPPLEMENTAL NON-CASH FLOW INFORMATION:
Change in capital expenditures included in accounts payable and prepaid expense	(641)	(1,872)
Change in capital expenditures included in accounts payable and prepaid expense	641	1,872
Interest Rate Swap [Member]
OPERATING ACTIVITIES:
Change in fair value of derivative	(617)	(848)
Fuel Hedge [Member]
OPERATING ACTIVITIES:
Change in fair value of derivative	$ 0	$ (239)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Dec. 31, 2020	30,610
Balance at Dec. 31, 2020	$ 306	$ 103,399	$ 81,555	$ 185,260
Stock-based compensation		282		282
Net loss	$ 0	0	(1,032)	(1,032)
Stock issued on vesting of RSUs (in shares)	4
Stock issued on vesting of RSUs	$ 0	0	0	0
Taxes paid on vesting of RSUs (in shares)	(1)
Taxes paid on vesting of RSUs		(2)		(2)
Balance (in shares) at Mar. 31, 2021	30,613
Balance at Mar. 31, 2021	$ 306	103,679	80,523	184,508
Balance (in shares) at Dec. 31, 2021	30,785
Balance at Dec. 31, 2021	$ 308	104,126	77,801	182,235
Stock-based compensation		55		55
Net loss	$ 0	0	(10,134)	(10,134)
Balance (in shares) at Mar. 31, 2022	30,785
Balance at Mar. 31, 2022	$ 308	$ 104,181	$ 67,667	$ 172,156

Note 1 - General Business

Note 1 - General Business	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Significant Accounting Policies [Text Block]	$10 June. ● We anticipate completing the acquisition of the Merom Generating Station (Merom) in the third 2022, ● We also expect the dramatically stronger coal markets to contribute to an increase in our EBITDA in 2023. ● In May, four one March 31, 2022 $20.6MM. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. Although we are confident that the actions we have taken and are taking will alleviate the substantial doubt, no not not March 31, 2022. " id="sjs-B4" xml:space="preserve">( 1 GENERAL BUSINESS The interim financial data is unaudited; however, in our opinion, it includes all adjustments, consisting only of normal recurring adjustments necessary for a fair statement of the results for the interim periods. The condensed consolidated financial statements included herein have been prepared pursuant to the Securities and Exchange Commission's ( the "SEC") rules and regulations; accordingly, certain information and footnote disclosures normally included in generally accepted accounting principles ("GAAP") financial statements have been condensed or omitted. The results of operations and cash flows for the three March 31, 2022 not December 31, 2022 Our organization and business, the accounting policies we follow, and other information are contained in the notes to our consolidated financial statements filed as part of our 2021 Annual Report on Form 10 10 The condensed consolidated financial statements include the accounts of Hallador Energy Company (hereinafter known as “we, us, or our”) and its wholly-owned subsidiaries Sunrise Coal, LLC (Sunrise) and Hourglass Sands, LLC (Hourglass), and Sunrise’s wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Sunrise is engaged in the production of steam coal from mines located in western Indiana. As announced in our Form 8 February 18, 2022, February 14, 2022, 1 July 2022 Going Concern In accordance with ASU 2014 15, 205 40 one March 31, 2022, During our analysis and overall assessment as we were preparing our Form 10 April, one March 31, 2022 not 10 March 28, 2022 twelve The Company has embarked on the following actions to address the concerns: ● We executed an amendment to our credit agreement loosening our debt to EBITDA covenant for the three March 31, 2022 June 30, 2022. not ● We have improved production productivity by 20% April May. ● We have modified existing sales contracts, resulting in our average sales price increasing for the balance of 2022 2025. 2022 2023 o We expect the production cost improvements we have experienced that started in the second 2022, >$10 June. ● We anticipate completing the acquisition of the Merom Generating Station (Merom) in the third 2022, ● We also expect the dramatically stronger coal markets to contribute to an increase in our EBITDA in 2023. ● In May, four one March 31, 2022 $20.6MM. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. Although we are confident that the actions we have taken and are taking will alleviate the substantial doubt, no not not March 31, 2022.

Note 2 - Long-lived Asset Impai

Note 2 - Long-lived Asset Impairments	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Asset Impairment Charges [Text Block]	( 2 LONG-LIVED ASSET IMPAIRMENTS Long-lived assets are reviewed for impairment whenever events or changes in circumstance indicate that the carrying amount of the assets may not three March 31, 2022 March 31, 2021,

Note 3 - Inventory

Note 3 - Inventory	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Inventory Disclosure [Text Block]	( 3 INVENTORY Inventory is valued at lower of average cost or net realizable value (NRV). As of March 31, 2022 December 31, 2021

Note 4 - Other Long-term Assets

Note 4 - Other Long-term Assets	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Other Assets Disclosure [Text Block]	( 4 OTHER LONG-TERM ASSETS (in thousands) March 31, December 31, 2022 2021 Advanced coal royalties $ 6,668 $ 6,678 Other 1,665 1,694 Total other assets $ 8,333 $ 8,372

Note 5 - Bank Debt

Note 5 - Bank Debt	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Debt Disclosure [Text Block]	( 5 BANK DEBT On March 25, 2022, December 31, 2021 September 30, 2022, March 31, 2022. On May 20, 2022, June 30, 2022 Bank debt is comprised of term debt ($22.1 million as of March 31, 2022 March 31, 2022 March 2023. September 2023. three September 30 December 31, 2021, Liquidity As of March 31, 2022 March 31, 2022 Fees Unamortized bank fees and other costs incurred in connection with the initial facility and subsequent amendments totaled $4.0 million as of December 31, 2021. March 25, 2022 March 31, 2022 December 31, 2021 March 31, December 31, 2022 2021 Current bank debt $ 120,050 $ 25,725 Less unamortized debt issuance cost (3,872 ) (2,627 ) Net current portion $ 116,178 $ 23,098 Long-term bank debt $ — $ 86,013 Less unamortized debt issuance cost — (1,346 ) Net long-term portion $ — $ 84,667 Total bank debt $ 120,050 $ 111,738 Less total unamortized debt issuance cost (3,872 ) (3,973 ) Net bank debt $ 116,178 $ 107,765 Covenants The credit facility includes a Maximum Leverage Ratio (consolidated funded debt/trailing twelve twelve not Fiscal Periods Ending Ratio March 31, 2022 3.50 to 1.00 June 30, 2022 6.00 to 1.00 September 30, 2022 3.00 to 1.00 December 31, 2022 and each fiscal quarter thereafter 2.50 to 1.00 As of March 31, 2022 Beginning September 30, 2022, twelve 1.00 September 30, 2022, 1.00 Interest Rate The interest rate on the facility ranges from LIBOR plus 2.75% to LIBOR plus 4.00%, depending on our Leverage Ratio, with a LIBOR floor of 0.50%. We entered into swap agreements to fix the LIBOR component of the interest rate at 2.92% on the entire amount of the declining term loan balance and on $52.7 million of the revolver. Those agreements mature in May 2022. March 31, 2022 Paycheck Protection Program As previously reported in the Current Report on Form 8 April 16, 2020, April 15, 2020, Under the terms of the CARES Act, PPP loan recipients can apply for forgiveness. The SBA can grant forgiveness of all or a portion of loans made under the PPP if the recipients use the PPP loan proceeds for eligible purposes, including payroll costs, mortgage interest, rent or utility costs, and meet other requirements regarding, among other things, the maintenance of employment and compensation levels. The Company used the PPP Loan proceeds for qualifying expenses and applied for the forgiveness of the PPP Loan in accordance with the terms of the CARES Act. On July 23, 2021, July 26, 2021. The SBA retains the right to review the Company's loan file for a period subsequent to the date the loan is forgiven, with the potential for the SBA to pursue legal remedies at its discretion.

Note 6 - Accounts Payable and A

Note 6 - Accounts Payable and Accrued Liabilities	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	( 6 ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (in thousands) March 31, December 31, 2022 2021 Accounts payable $ 30,029 $ 27,835 Accrued property taxes 2,897 2,529 Accrued payroll 5,014 2,413 Workers' compensation reserve 3,034 2,560 Group health insurance 1,800 1,800 Fair value of interest rate swaps 250 867 Other 4,702 3,524 Total accounts payable and accrued liabilities $ 47,726 $ 41,528

Note 7 - Revenue

Note 7 - Revenue	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	( 7 REVENUE Revenue from Contracts with Customers We account for a contract with a customer when the parties have approved the contract and are committed to performing their respective obligations, the rights of each party are identified, payment terms are identified, the contract has commercial substance, and collectability of consideration is probable. We recognize revenue when we satisfy a performance obligation by transferring control of a good or service to a customer. We utilize the normal purchase normal sales exception for all long-term sales contracts. Our revenue is derived from sales to customers of coal produced at our facilities. Our customers typically purchase coal directly from our mine sites or our Princeton Loop, where the sale occurs and where title, risk of loss, and control pass to the customer at that point. Our customers arrange for and bear the costs of transporting their coal from our mines to their plants or other specified discharge points. Our customers are typically domestic utility companies. Our coal sales agreements with our customers are fixed-priced, fixed-volume supply contracts, or include a pre-determined escalation in price for each year. Price re-opener and index provisions may may Coal sales agreements will typically contain coal quality specifications. With coal quality specifications in place, the raw coal sold by us to the customer at the delivery point must be substantially free of magnetic material and other foreign material impurities and crushed to a maximum size as set forth in the respective coal sales agreement. Price adjustments are made and billed in the month the coal sale was recognized based on quality standards that are specified in the coal sales agreement, such as Btu factor, moisture, ash, and sulfur content, and can result in either increases or decreases in the value of the coal shipped. Disaggregation of Revenue Revenue is disaggregated by primary geographic markets, as we believe this best depicts how the nature, amount, timing, and uncertainty of our revenue and cash flows are affected by economic factors. 87% of our coal revenue for the three March 31, 2022 three March 31, 2021 Performance Obligations A performance obligation is a promise in a contract with a customer to provide distinct goods or services. Performance obligations are the unit of account for purposes of applying the revenue recognition standard and therefore determine when and how revenue is recognized. In most of our contracts, the customer contracts with us to provide coal that meets certain quality criteria. We consider each ton of coal a separate performance obligation and allocate the transaction price based on the base price per the contract, increased or decreased for quality adjustments. We recognize revenue at a point in time, as the customer does not We have remaining performance obligations relating to fixed-priced contracts of approximately $624 million, which represent the average fixed prices on our committed contracts as of March 31, 2022 2022 2023, We have remaining performance obligations relating to contracts with price re-openers of approximately $166 million, which represents our estimate of the expected re-opener price on committed contracts as of March 31, 2022 2024. The tons used to determine the remaining performance obligations are subject to adjustment in instances of force majeure and exercise of customer options to either take additional tons or reduce tonnage if such option exists in the customer contract. For the three March 31, 2022, one Contract Balances Under ASC 606, January 1, 2021, not not

Note 8 - Income Taxes

Note 8 - Income Taxes	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Income Tax Disclosure [Text Block]	( 8 INCOME TAXES For the three March 31, 2022 2021, three March 31, 2022 2021 ~ 2% ~63%, not

Note 9 - Stock Compensation Pla

Note 9 - Stock Compensation Plans	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	( 9 STOCK COMPENSATION PLANS Non-vested grants at December 31, 2021 183,000 Awarded - price $ 2.42 10,000 Vested — Forfeited (4,500 ) Non-vested grants at March 31, 2022 188,500 For the three March 31, 2022 2021 Non-vested RSU grants will vest as follows: Vesting Year RSUs Vesting 2023 188,500 The outstanding RSUs have a value of $0.7 million based on the March 31, 2022 At March 31, 2022

Note 10 - Leases

Note 10 - Leases	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Lessee, Operating Leases [Text Block]	( 10 LEASES We have operating leases for office space with remaining lease terms ranging from 17 months to 28 months. As most of the leases do not not Information related to leases was as follows (in thousands): Three Months Ended March 31, 2022 2021 Operating lease information: Operating cash outflows from operating leases $ 58 $ 47 Weighted average remaining lease term in years 1.97 2.94 Weighted average discount rate 6.0 % 6.0 % Future minimum lease payments under non-cancellable leases as of March 31, 2022 Year Amount (In thousands) 2022 $ 156 2023 174 2024 59 Total minimum lease payments $ 389 Less imputed interest (13 ) Total operating lease liability $ 376 As reflected on balance sheet: Accounts payable and accrued liabilities $ 207 Other long-term liabilities 169 Total operating lease liability $ 376 At March 31, 2022 December 31, 2021

Note 11 - Self-Insurance

Note 11 - Self-Insurance	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Self Insurance [Text Block]	( 11 SELF-INSURANCE We self-insure our underground mining equipment. Such equipment is allocated among seven March 31, 2022 December 31, 2021 Restricted cash of $3.3 million as of March 31, 2022 December 31, 2021 third

Note 12 - Net Loss Per Share

Note 12 - Net Loss Per Share	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Earnings Per Share [Text Block]	( 12 NET LOSS PER SHARE We compute net loss per share using the two The following table (in thousands, except per share amounts) sets forth the computation of net loss per share: Three Months Ended March 31, 2022 2021 Numerator: Net loss $ (10,134 ) $ (1,032 ) Less loss allocated to RSUs 61 11 Net loss allocated to common shareholders $ (10,073 ) $ (1,021 )

Note 13 - Fair Value Measuremen

Note 13 - Fair Value Measurements	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block]	( 13 FAIR VALUE MEASUREMENTS We account for certain assets and liabilities at fair value. The hierarchy below lists three one three Level 1: no 1 Level 2: not no 2 Level 3: no 3 March 31, 2022 May 2022. third not 2. 3 The following table summarizes our financial assets and liabilities measured on a recurring basis at fair value at March 31, 2022 December 31, 2021 Level 1 Level 2 Level 3 Total December 31, 2021 Liabilities: Interest rate swaps $ — $ — $ 867 $ 867 March 31, 2022 Liabilities: Interest rate swaps $ — $ — $ 250 $ 250 The table below highlights the change in fair value of the fuel hedges and interest rate swaps which are based on a discounted future cash flow model (in thousands): Ending balance, December 31, 2021 $ (867 ) Change in estimated fair value 617 Ending balance, March 31, 2022* $ (250 ) *Recorded in accounts payable and accrued liabilities in the Condensed Consolidated Balance Sheets.

Note 14 - Equity Method Investm

Note 14 - Equity Method Investments	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Equity Method Investments and Joint Ventures Disclosure [Text Block]	( 14 EQUITY METHOD INVESTMENTS We own a 50% interest in Sunrise Energy, LLC, which owns gas reserves and gathering equipment and generates revenue from gas sales. Sunrise Energy plans to continue developing and exploring for oil, gas, and coal-bed methane gas reserves on or near our underground coal reserves. The carrying value of the investment included in our condensed consolidated balance sheets as of March 31, 2022 December 31, 2021

Note 15 - Subsequent Events

Note 15 - Subsequent Events	3 Months Ended
	Mar. 31, 2022
Notes to Financial Statements
Subsequent Events [Text Block]	( 15 SUBSEQUENT EVENTS On May 2, 2022, 8 May 6, 2022, four On May 20, 2022, Note 5 On May 20, 2022, three one

Significant Accounting Policies

Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Going Concern [Policy Text Block]	Going Concern In accordance with ASU 2014 15, 205 40 one March 31, 2022, During our analysis and overall assessment as we were preparing our Form 10 April, one March 31, 2022 not 10 March 28, 2022 twelve The Company has embarked on the following actions to address the concerns: ● We executed an amendment to our credit agreement loosening our debt to EBITDA covenant for the three March 31, 2022 June 30, 2022. not ● We have improved production productivity by 20% April May. ● We have modified existing sales contracts, resulting in our average sales price increasing for the balance of 2022 2025. 2022 2023 o We expect the production cost improvements we have experienced that started in the second 2022, >$10 June. ● We anticipate completing the acquisition of the Merom Generating Station (Merom) in the third 2022, ● We also expect the dramatically stronger coal markets to contribute to an increase in our EBITDA in 2023. ● In May, four one March 31, 2022 $20.6MM. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. Although we are confident that the actions we have taken and are taking will alleviate the substantial doubt, no not not March 31, 2022.

Note 4 - Other Long-term Asse_2

Note 4 - Other Long-term Assets (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Schedule of Other Assets, Noncurrent [Table Text Block]	March 31, December 31, 2022 2021 Advanced coal royalties $ 6,668 $ 6,678 Other 1,665 1,694 Total other assets $ 8,333 $ 8,372

Note 5 - Bank Debt (Tables)

Note 5 - Bank Debt (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Schedule of Debt [Table Text Block]	March 31, December 31, 2022 2021 Current bank debt $ 120,050 $ 25,725 Less unamortized debt issuance cost (3,872 ) (2,627 ) Net current portion $ 116,178 $ 23,098 Long-term bank debt $ — $ 86,013 Less unamortized debt issuance cost — (1,346 ) Net long-term portion $ — $ 84,667 Total bank debt $ 120,050 $ 111,738 Less total unamortized debt issuance cost (3,872 ) (3,973 ) Net bank debt $ 116,178 $ 107,765
Schedule of Line of Credit Facilities [Table Text Block]	Fiscal Periods Ending Ratio March 31, 2022 3.50 to 1.00 June 30, 2022 6.00 to 1.00 September 30, 2022 3.00 to 1.00 December 31, 2022 and each fiscal quarter thereafter 2.50 to 1.00

Note 6 - Accounts Payable and_2

Note 6 - Accounts Payable and Accrued Liabilities (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block]	March 31, December 31, 2022 2021 Accounts payable $ 30,029 $ 27,835 Accrued property taxes 2,897 2,529 Accrued payroll 5,014 2,413 Workers' compensation reserve 3,034 2,560 Group health insurance 1,800 1,800 Fair value of interest rate swaps 250 867 Other 4,702 3,524 Total accounts payable and accrued liabilities $ 47,726 $ 41,528

Note 9 - Stock Compensation P_2

Note 9 - Stock Compensation Plans (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Disclosure of Share-Based Compensation Arrangements by Share-Based Payment Award [Table Text Block]	Non-vested grants at December 31, 2021 183,000 Awarded - price $ 2.42 10,000 Vested — Forfeited (4,500 ) Non-vested grants at March 31, 2022 188,500
Share-Based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block]	Vesting Year RSUs Vesting 2023 188,500

Note 10 - Leases (Tables)

Note 10 - Leases (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Lease, Cost [Table Text Block]	Three Months Ended March 31, 2022 2021 Operating lease information: Operating cash outflows from operating leases $ 58 $ 47 Weighted average remaining lease term in years 1.97 2.94 Weighted average discount rate 6.0 % 6.0 %
Lessee, Operating Lease, Liability, Maturity [Table Text Block]	Year Amount (In thousands) 2022 $ 156 2023 174 2024 59 Total minimum lease payments $ 389 Less imputed interest (13 ) Total operating lease liability $ 376 As reflected on balance sheet: Accounts payable and accrued liabilities $ 207 Other long-term liabilities 169 Total operating lease liability $ 376

Note 12 - Net Loss Per Share (T

Note 12 - Net Loss Per Share (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended March 31, 2022 2021 Numerator: Net loss $ (10,134 ) $ (1,032 ) Less loss allocated to RSUs 61 11 Net loss allocated to common shareholders $ (10,073 ) $ (1,021 )

Note 13 - Fair Value Measurem_2

Note 13 - Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2022
Notes Tables
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]	Level 1 Level 2 Level 3 Total December 31, 2021 Liabilities: Interest rate swaps $ — $ — $ 867 $ 867 March 31, 2022 Liabilities: Interest rate swaps $ — $ — $ 250 $ 250
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	Ending balance, December 31, 2021 $ (867 ) Change in estimated fair value 617 Ending balance, March 31, 2022* $ (250 )

Note 1 - General Business (Deta

Note 1 - General Business (Details Textual) - USD ($) $ in Millions	1 Months Ended
	Jul. 31, 2022	May 31, 2022	Mar. 31, 2022
Liquidity			$ 20.6
Convertible Debt [Member] | Four Board Members and One Unrelated Party [Member] | Subsequent Event [Member]
Proceeds from Issuance of Long-Term Debt, Total		$ 10
Hoosier Energy [Member] | Forecast [Member]
Long-Term Contract for Purchase of Electric Power, Term (Year)	3 years 6 months

Note 2 - Long-lived Asset Imp_2

Note 2 - Long-lived Asset Impairments (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Asset Impairment Charges, Total	$ 0	$ 0

Note 3 - Inventory (Details Tex

Note 3 - Inventory (Details Textual) - USD ($) $ in Millions	Mar. 31, 2022	Dec. 31, 2021
Inventory Adjustments, Total	$ 5	$ 3.8

Note 4 - Other Long-term Asse_3

Note 4 - Other Long-term Assets - Other Long-term Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Advanced coal royalties	$ 6,668	$ 6,678
Other	1,665	1,694
Total other assets	$ 8,333	$ 8,372

Note 5 - Bank Debt (Details Tex

Note 5 - Bank Debt (Details Textual) $ in Thousands	Apr. 15, 2020USD ($)	Mar. 31, 2022USD ($)	Jun. 30, 2022	Mar. 25, 2022USD ($)	Dec. 31, 2021USD ($)	Jul. 23, 2021USD ($)
Long-Term Debt, Gross		$ 120,050			$ 111,738
Debt Issuance Costs, Net, Total		$ 3,872			3,973
Leverage Ratio		3.03
Interest Rate Swap [Member]
Derivative, Fixed Interest Rate		2.92%
Derivative, Variable Interest Rate		6.92%
Derivative, Amount of Hedged Item		$ 74,800
Interest Rate Swap [Member] | Not Designated as Hedging Instrument [Member]
Debt Instrument, Interest Rate, Effective Percentage Unhedged Amount		4.00%
London Interbank Offered Rate (LIBOR) [Member] | Interest Rate Swap [Member]
Derivative, Basis Spread on Variable Rate		4.00%
Credit Agreement [Member]
Debt Instrument, Unused Borrowing Capacity, Amount		$ 16,300
Debt Instrument, Liquidity		20,600
Letters of Credit Outstanding, Amount		5,700
Debt Issuance Costs, Net, Total		$ 3,900		$ 600	$ 4,000
Debt Instrument, Covenant, Maximum Total Leverage Ratio		3
Debt Instrument, Unhedged Portion		$ 45,300
Credit Agreement [Member] | Interest Rate Swap [Member]
Derivative, Fixed Interest Rate		2.92%
Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Variable Rate Floor	0.50%
Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member]
Debt Instrument, Basis Spread on Variable Rate	2.75%
Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member]
Debt Instrument, Basis Spread on Variable Rate	4.00%
Credit Agreement [Member] | Through September 30, 2022 [Member]
Debt Instrument, Covenant, Minimum Debt Service Coverage Ratio			1.05
Credit Agreement [Member] | After September 30, 2022 [Member]
Debt Instrument, Covenant, Minimum Debt Service Coverage Ratio			1.25
Credit Agreement [Member] | Term Loan [Member]
Long-Term Debt, Gross		$ 22,100
Credit Agreement [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity		120,000
Long-Term Line of Credit, Total		98,000
Credit Agreement [Member] | Revolving Credit Facility [Member] | Interest Rate Swap [Member]
Derivative, Notional Amount		$ 52,700
Paycheck Protection Program CARES Act [Member]
Proceeds from Notes Payable, Total	$ 10,000
Notes Payable, Total						$ 10,000

Note 5 - Bank Debt - Bank Debt,

Note 5 - Bank Debt - Bank Debt, Less Debt Issuance Costs (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current bank debt	$ 120,050	$ 25,725
Less unamortized debt issuance cost	(3,872)	(2,627)
Net current portion	116,178	23,098
Long-term bank debt	0	86,013
Less unamortized debt issuance cost	0	(1,346)
Net long-term portion	0	84,667
Total bank debt	120,050	111,738
Less total unamortized debt issuance cost	(3,872)	(3,973)
Net bank debt	$ 116,178	$ 107,765

Note 5 - Bank Debt - Maximum Le

Note 5 - Bank Debt - Maximum Leverage Ratio (Details) - Credit Agreement [Member]	Mar. 31, 2022
March 31, 2022	3.50
Period Ending June 30, 2022 [Member]
March 31, 2022	6
Period Ended September 30, 2022 [Member]
March 31, 2022	3
Period Ended December 31, 2022 And Thereafter [Member]
March 31, 2022	2.50

Note 6 - Accounts Payable and_3

Note 6 - Accounts Payable and Accrued Liabilities - Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Accounts payable	$ 30,029	$ 27,835
Accrued property taxes	2,897	2,529
Accrued payroll	5,014	2,413
Workers' compensation reserve	3,034	2,560
Group health insurance	1,800	1,800
Fair value of interest rate swaps	250	867
Other	4,702	3,524
Total accounts payable and accrued liabilities	$ 47,726	$ 41,528

Note 7 - Revenue 1 (Details Tex

Note 7 - Revenue 1 (Details Textual) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Jan. 01, 2021
Provision for Loss on Contract, Recognized During Period	$ 0.2
Coal [Member]
Accounts Receivable, after Allowance for Credit Loss, Total			$ 14.4
Coal [Member] | Revenue from Contract with Customer Benchmark [Member] | Geographic Concentration Risk [Member] | INDIANA
Concentration Risk, Percentage	87.00%	77.00%

Note 7 - Revenue 2 (Details Tex

Note 7 - Revenue 2 (Details Textual) - USD ($) $ in Millions	Mar. 31, 2022	Mar. 31, 2021
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | Fixed-Price Contract [Member]
Revenue, Remaining Performance Obligation, Amount	$ 624
Revenue, Remaining Performance Obligation, Percentage		79.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period (Year)	2 years
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | Contracts with Price Reopeners [Member]
Revenue, Remaining Performance Obligation, Amount	$ 166
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period (Year)	1 year

Note 8 - Income Taxes (Details

Note 8 - Income Taxes (Details Textual)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Effective Income Tax Rate Reconciliation, Percent, Total	2.00%	63.00%

Note 9 - Stock Compensation P_3

Note 9 - Stock Compensation Plans (Details Textual) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 21, 2022
Share-Based Payment Arrangement, Expense	$ 0.1	$ 0.3
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding			$ 0.7
Share Price (in dollars per share)	$ 3.50
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares)	1,395,671

Note 9 - Stock Compensation P_4

Note 9 - Stock Compensation Plans - RSU Activity (Details) - Restricted Stock Units (RSUs) [Member]	3 Months Ended
	Mar. 31, 2022shares
Non-vested grants (in shares)	183,000
Awarded - price $2.42 (in shares)	10,000
Forfeited (in shares)	(4,500)
Non-vested grants (in shares)	188,500

Note 9 - Stock Compensation P_5

Note 9 - Stock Compensation Plans - RSU Activity (Details) (Parentheticals)	3 Months Ended
	Mar. 31, 2022$ / shares
Restricted Stock Units (RSUs) [Member]
Award Price Per Share (in dollars per share)	$ 2.42

Note 9 - Stock Compensation P_6

Note 9 - Stock Compensation Plans - Vesting of Non-vested RSU Grants (Details)	Mar. 31, 2022shares
Restricted Stock Units (RSUs) [Member] | Vesting in 2023 [Member]
RSUs vesting (in shares)	188,500

Note 10 - Leases (Details Textu

Note 10 - Leases (Details Textual) - USD ($)	Mar. 31, 2022	Dec. 31, 2021
Operating Lease, Right-of-Use Asset	$ 376,000
Buildings and Equipment [Member]
Operating Lease, Right-of-Use Asset		$ 424,000
Minimum [Member]
Lessee, Operating Lease, Remaining Lease Term (Month)	17 months
Maximum [Member]
Lessee, Operating Lease, Remaining Lease Term (Month)	28 months

Note 10 - Leases - Information

Note 10 - Leases - Information Related to Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating cash outflows from operating leases	$ 58	$ 47
Weighted average remaining lease term in years (Year)	1 year 11 months 19 days	2 years 11 months 8 days
Weighted average discount rate	6.00%	6.00%

Note 10 - Leases - Future Minim

Note 10 - Leases - Future Minimum Lease Payments (Details) $ in Thousands	Mar. 31, 2022USD ($)
2022	$ 156
2023	174
2024	59
Total minimum lease payments	389
Less imputed interest	(13)
Accounts Payable and Accrued Liabilities and Other Noncurrent Liabilities [Member]
Total operating lease liability	376
Accounts Payable and Accrued Liabilities [Member]
Accounts payable and accrued liabilities	207
Other Noncurrent Liabilities [Member]
Other long-term liabilities	$ 169

Note 11 - Self-Insurance (Detai

Note 11 - Self-Insurance (Details Textual) $ in Thousands	Mar. 31, 2022USD ($)item	Dec. 31, 2021USD ($)	Mar. 31, 2021USD ($)
Restricted Cash and Cash Equivalents, Total	$ 3,288	$ 3,283	$ 3,771
Future Workers' Compensation Claim Payments [Member]
Restricted Cash and Cash Equivalents, Total	$ 3,300	3,300
Mining Properties and Mineral Rights [Member]
Number of Mining Units	7
Area of Real Estate Property | item	10
Operating Lease, Liability, Total	$ 262,000	$ 260,000

Note 12 - Net Loss Per Share -

Note 12 - Net Loss Per Share - Computation of Net Income(Loss) Allocated to Common Shareholders (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Net loss	$ (10,134)	$ (1,032)
Less loss allocated to RSUs	61	11
Net loss allocated to common shareholders	$ (10,073)	$ (1,021)

Note 13 - Fair Value Measurem_3

Note 13 - Fair Value Measurements (Details Textual) $ in Millions	Mar. 31, 2022USD ($)
Interest Rate Swap [Member]
Derivative, Number of Instruments Held, Total	2
Interest Rate Swap, One [Member]
Derivative, Notional Amount	$ 52.7
Interest Rate Swap, Two [Member]
Derivative, Notional Amount	$ 22.1

Note 13 - Fair Value Measurem_4

Note 13 - Fair Value Measurements - Financial Assets and Liabilities Measured on a Recurring Basis at Fair Value (Details) - Interest Rate Swap [Member] - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Derivate liabilities	$ 250	$ 867
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Derivate liabilities	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Derivate liabilities	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Derivate liabilities	$ 250	$ 867

Note 13 - Fair Value Measurem_5

Note 13 - Fair Value Measurements - Change in Fair Value of the Fuel Hedges and Interest Rate Swaps (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)
Balance	$ (867)
Change in estimated fair value	617
Balance	$ (250)

Note 14 - Equity Method Inves_2

Note 14 - Equity Method Investments (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Equity Method Investments	$ 3,695	$ 3,545
Sunrise Energy, LLC [Member]
Equity Method Investment, Ownership Percentage	50.00%
Equity Method Investments	$ 3,700	$ 3,500

Note 15 - Subsequent Events (De

Note 15 - Subsequent Events (Details Textual) - Senior Unsecured Convertible Notes [Member] - Subsequent Event [Member] - USD ($) $ in Millions	May 20, 2022	May 02, 2022
Four Board Members [Member]
Proceeds from Issuance of Unsecured Debt		$ 5
Three Board Members and One Unrelated Party [Member]
Proceeds from Issuance of Unsecured Debt	$ 5