Commitments and Contingencies

6 Months Ended

Jun. 30, 2026

Commitments and Contingencies Disclosure [Abstract]

(a) General

Estimated losses from loss contingencies are accrued by a charge to income when information available indicates that it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated.

If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the Condensed Consolidated Financial Statements when it is at least reasonably possible that a loss may be incurred and that the loss could be material.

(b) Commitments and Contingencies

Commitments

The Company leases coal mining and other equipment under long-term financing and operating leases with varying terms. In addition, the Company leases mineral interests and surface rights from landowners under various terms and royalty rates.

Coal royalty expense was $26,611 and $26,402 for the three months ended June 30, 2026 and 2025, respectively, and $53,850 and $50,487 for the six months ended June 30, 2026 and 2025, respectively.

Other Commitments

Under the terms of its partnership-related agreements with respect to its investment in DTA, the Company is required to fund its proportionate share of DTA’s ongoing operating and capital costs. In November 2023, the Company, together with DTA management, announced a multi-year capital investment plan to refurbish DTA’s infrastructure. Beyond the Company’s share of routine operating costs, as of June 30, 2026, it expects to have significant additional investment per year over the next 5 years related to the existing infrastructure and equipment upgrade program at DTA. Additionally, in June 2026, the Company announced a key piece of equipment, a stacker reclaimer machine, at DTA sustained significant damage due to high winds from a storm. DTA leadership, as part of DTA’s insurance claims process, is in contact with its insurance providers to evaluate its options and work on developing an action plan. The terminal remains operational, but the damage to the stacker reclaimer will likely result in a slowdown in handling coal from certain areas of the stockpile yard until equipment replacement or repairs and/or other workarounds can be put in place. The equipment damage’s impact on the timing and cost of DTA’s upgrade program is currently unknown and will depend on factors such as the result of the insurance claim process as well as equipment and contractor availability.

In April 2026, the Company committed to invest up to $9,408 for a 49% partnership interest in Centauri Ground Support LLC. The newly formed entity plans to develop a manufacturing facility in Putnam County, West Virginia, to produce ground support products primarily to be sold to the Company for use in its mining operations.

Contingencies

Extensive regulation of the impacts of mining on the environment and of maintaining workplace safety has had, and is expected to continue to have, a significant effect on the Company’s costs of production and results of operations. Further regulations, legislation or litigation in these areas may also cause the Company’s sales or profitability to decline by increasing costs or by hindering the Company’s ability to continue mining at existing operations or to permit new operations.

During the normal course of business, contract-related matters arise between the Company and its customers. When a loss related to such matters is considered probable and can reasonably be estimated, the Company records a liability.

In the normal course of business, the Company is a party to certain guarantees and financial instruments with off-balance sheet risk, such as bank LCs, performance or surety bonds, and other guarantees and indemnities related to the obligations of affiliated entities which are not reflected in the Company’s Condensed Consolidated Balance Sheets. However, the underlying

liabilities that they secure, such as asset retirement obligations, workers’ compensation liabilities, and royalty obligations, are reflected in the Company’s Condensed Consolidated Balance Sheets.

The Company is required to provide financial assurance in order to perform the post-mining reclamation required by its mining permits, pay workers’ compensation claims under workers’ compensation laws in various states, pay federal black lung benefits, and perform certain other obligations. In order to provide the required financial assurance, the Company generally uses surety bonds for post-mining reclamation and workers’ compensation obligations. The Company can also use bank LCs to collateralize certain obligations and commitments.

As of June 30, 2026, the Company had $40,710 LCs outstanding under the ABL Facility.

As of June 30, 2026, the Company had outstanding surety bonds with a total face amount of $171,479 to secure various obligations and commitments. To secure the Company’s reclamation-related obligations, the Company has $28,562 of collateral in the form of restricted cash and restricted investments supporting these obligations as of June 30, 2026.

The Company meets frequently with its surety providers and has discussions with certain providers regarding the extent of and the terms of their participation in the program. These discussions may cause the Company to shift surety bonds between providers or to alter the terms of their participation in the Company’s program. To the extent that surety bonds become unavailable or the Company’s surety bond providers require additional collateral, the Company would seek to secure its obligations with LCs, cash deposits, or other suitable forms of collateral. The Company’s failure to maintain, or inability to acquire, surety bonds or to provide a suitable alternative would have a material adverse effect on its liquidity. These failures could result from a variety of factors including the lack of availability, higher cost or unfavorable market terms of new surety bonds, and the exercise by third-party surety bond issuers of their right to refuse to renew the surety bonds.

Amounts included in restricted cash provide collateral to secure the following obligations:


	June 30, 2026		December 31, 2025
Workers’ compensation and black lung obligations	$	118,045	$	117,150
Reclamation-related obligations	1,294		959
Financial payments and other performance obligations	8,880		8,802
Total long-term restricted cash	$	128,219	$	126,911

Amounts included in restricted investments provide collateral to secure the following obligations:


	June 30, 2026		December 31, 2025
Workers’ compensation obligations	$	3,168	$	3,172
Reclamation-related obligations	27,268		27,238
Financial payments and other performance obligations	4,017		3,946
Total long-term restricted investments (1)	$	34,453	$	34,356

(1) Classified as long-term trading securities as of June 30, 2026 and December 31, 2025.

Amounts included in deposits provide collateral to secure the following obligations:


	June 30, 2026		December 31, 2025
Workers’ compensation obligations	$	4,108	$	4,108


Other operating agreements	683		684
Total deposits	4,791		4,792
Less current portion	(29)		—
Total deposits, net of current portion (1)	$	4,762	$	4,792

(1) Included within Other non-current assets on the Company’s Condensed Consolidated Balance Sheets.

DCMWC Reauthorization Process

In January 2025, the U.S. Department of Labor (“DOL”) published a final rule revising the requirements and procedures for authorizing operators to self-insure their liabilities under the Black Lung Benefits Act (the “2025 Final Rule”), and the Company anticipates it would require a substantial increase in the collateral required to secure self-insured federal black lung obligations. Under the 2025 Final Rule’s 100% minimum collateral requirement, if this requirement is not modified or stayed through legal action, the Company estimates it would be required to provide approximately $80,000 to $100,000 of collateral to secure certain of its black lung obligations. The 2025 Final Rule permits the Company to use combinations of letters of credit, surety bonds, and cash to meet the collateral requirement. The Company received a letter from the Division of Coal Mine Workers’ Compensation (“DCMWC”) dated January 14, 2025, outlining the new procedures and application process for authorizing operators to self-insure under the new regulation. The letter outlined authorization form requirements and provided a 60-day period for the submission of the required documents. Subsequently, on February 20, 2025, the Company received a letter from the DCMWC stating that the 60-day deadline to provide information was no longer applicable and no information was required to be submitted at this time. DCMWC stated that additional guidance would be provided in due course after consultation with new DOL leadership.

On July 30, 2026, the DOL published a proposed rule that would revise the 2025 Final Rule by replacing the current 100% collateral requirement with a risk-based approach, providing additional flexibility regarding acceptable forms of collateral, and extending the timeframe for satisfying collateral requirements. The proposed rule is subject to a public comment period through September 28, 2026. The Company is evaluating the proposal and its potential impact on future collateral requirements.

(d) Legal Proceedings

In December 2024, the state of New York adopted the Climate Change Superfund Act, purporting to impose significant, ongoing cash charges upon a variety of companies involved in the production and use of fossil fuels, including the Company (the “Act”). Other states have adopted or are contemplating adopting similar laws.

The Company believes that the new law is unconstitutional under the U.S. Constitution. In February 2025, the Company, along with numerous U.S. states and other entities involved in the fossil fuel industry, filed a complaint against the attorney general of New York and other New York officials. The complaint was filed in the federal district court for the Northern District of New York and requests that the court (a) declare that the Act is preempted by federal statutes and otherwise violates the U.S. Constitution, (b) declare that the Act is unenforceable, and (c) enjoin the state of New York and its officials from taking any action to implement or enforce the Act.

On May 1, 2025, the U.S. Department of Justice and the Environmental Protection Agency filed a similar complaint against the State of New York, Kathleen Hochul in her capacity as Governor, Letitia James in her capacity as New York Attorney General and Amanda Lefton in her capacity as Acting Commissioner of the New York Department of Environmental Conservation in the Southern District of New York, requesting that the court declare the Act unconstitutional and permanently enjoin its implementation or enforcement.

Although the Company believes that the Act is very unlikely to be upheld, the outcome of this litigation cannot be predicted with certainty. If the Act, or similar acts adopted in other U.S. states, were upheld, the Company’s liquidity would be materially, adversely affected.

In addition, the Company is party to other legal proceedings from time to time that occur in the ordinary course of business. These proceedings, as well as governmental examinations, could involve various business units and a variety of claims, including, but not limited to, contract disputes, personal injury claims, property damage claims (including those resulting from blasting, subsidence, trucking and flooding), environmental and safety issues, securities-related matters and employment matters. While some legal matters may specify the damages claimed by the plaintiffs, many seek an unquantified amount of damages. Even when the amount of damages claimed against the Company or its subsidiaries is stated, (i) the claimed amount may be exaggerated or unsupported; (ii) the claim may be based on a novel legal theory or involve a large number of parties; (iii) there may be uncertainty as to the likelihood of a class being certified or the ultimate size of the class; (iv) there may be uncertainty as to the outcome of pending appeals or motions; and/or (v) there may be significant factual issues to be resolved. As a result, if such legal matters arise in the future, the Company may be unable to estimate a range of possible loss for matters that have not yet progressed sufficiently through discovery and the development of important factual information and legal

issues. The Company records accruals based on an estimate of the ultimate outcome of these matters, but these estimates can be difficult to determine and involve significant judgment.