The utility-scale contract centers on the Merom Generating Station, where Hallador will supply an annual average of 225 megawatts. At approximately $271 million, the capacity price is the highest the company has commanded to date. A secondary energy agreement, set to run from June 2029 through May 2035, is expected to generate an additional $422 million in revenue based on current forward pricing.
In section Market Quotes
Hallador Energy Secures $3 Billion Sales Book With New Indiana Contract
Shares of Hallador Energy jumped 4% to $14.20 in premarket trading Thursday after the company locked in six-year capacity and energy agreements. The deal pushes the firm’s total forward sales book to $3 billion, signaling a recovery for a stock that had slumped 28% since the start of the year.
Following these commitments, 95% of the Merom station’s accredited capacity is now under contract through 2035. CEO Brent Bilsland attributed the deal to surging power demand in Indiana, noting that data center projects are increasingly migrating to the region as development faces hurdles elsewhere. Bilsland stated that the stability of these large, well-capitalized customers validates the company's long-term strategy and pricing power in a tightening energy market.
Comments (0)
No comments yet. Be the first!