CONSOL Energy Issues Notice on Francis Scott Key Bridge Collapse in Baltimore, MD

Rhea-AI Summary

A tragedy occurred as a container ship struck a support column of the Francis Scott Key Bridge in Baltimore, impacting vessel access at CONSOL Marine Terminal. Operations are delayed, and restoration efforts are ongoing.

Positive

• None.

Negative

• Vessel access and normal operations at CONSOL Marine Terminal are currently delayed with no definitive timeline for resumption, potentially impacting the Company's operations.

Supply Chain Analyst

The incident at the Francis Scott Key Bridge has immediate implications for the supply chain operations of businesses reliant on the CONSOL Marine Terminal. The disruption in vessel access could lead to delays in shipments and a potential backlog of goods, affecting inventory levels and order fulfillment. Companies may experience short-term operational inefficiencies and increased transportation costs, as they seek alternative routes or modes of transport. This event underscores the vulnerability of supply chains to unforeseen incidents and the importance of contingency planning.

In the long term, businesses may reassess their dependency on specific transportation hubs and diversify their logistics strategies to mitigate similar risks in the future. The financial impact on affected companies will depend on the duration of the disruption and their ability to adapt swiftly to changing circumstances.

Risk Management Consultant

The collapse of the Francis Scott Key Bridge presents a significant risk management challenge. Companies must now navigate the operational and financial uncertainties stemming from this event. The immediate establishment of a safety zone by the Coast Guard is a necessary response to ensure public safety and prevent further accidents. However, this response also indicates the severity of the situation and the potential for extensive operational disruptions.

From a risk management perspective, the lack of a definitive timeline for the resumption of normal operations at the CONSOL Marine Terminal is concerning. Companies should review their risk exposure and insurance coverage to address any potential claims or losses. Additionally, proactive communication with stakeholders, including investors and customers, is important to maintain trust and mitigate reputational damage during the recovery period.

Financial Analyst

The unforeseen event at the Port of Baltimore has immediate financial implications for companies with operations tied to the CONSOL Marine Terminal. Investors should monitor the situation closely, as the disruption may affect quarterly earnings and operational costs for the companies involved. The delay in vessel access could lead to a temporary decrease in revenue for businesses that rely on timely shipments.

While the company's statement expresses a commitment to minimizing the impact, the lack of a clear timeline for the resumption of normal operations introduces uncertainty into the market. Investors may react to this uncertainty, potentially affecting stock prices in the short term. Companies with robust contingency plans and the agility to adapt to such disruptions may fare better in maintaining their market position and investor confidence.

CANONSBURG, Pa., March 26, 2024 /PRNewswire/ -- Early this morning, a tragedy occurred after a container ship struck a support column of the Francis Scott Key Bridge in Baltimore causing it to collapse. The ship was not owned or operated by, or carrying materials bound to or from the CONSOL Marine Terminal. Our primary concern is for the safety of everyone affected.

The Coast Guard has established a safety zone for all navigable waters of the Chesapeake Bay within a 2,000 yard radius around the Francis Scott Key Bridge. As a result, vessel access in and out of the CONSOL Marine Terminal, which is located in the Port of Baltimore, has been delayed.

We are working closely with the Coast Guard, transportation authorities and city officials to safely restore vessel access to and resume normal operations at our CONSOL Marine Terminal. However, at this moment, we do not have a definitive timeline of when vessel access or normal operations will resume. We are looking at all available options to us to minimize or address direct and indirect impacts to the Company and its operations.

Our thoughts and prayers go out to the Baltimore community, the emergency response teams and all of those impacted by this heartbreaking incident.

Contacts:

Investor:
Nathan Tucker, (724) 416-8336
nathantucker@consolenergy.com

Media:
Erica Fisher, (724) 416-8292
ericafisher@consolenergy.com

Cautionary Statement Regarding Forward-Looking Statements

Certain statements in this press release are "forward-looking statements" within the meaning of the federal securities laws. With the exception of historical matters, the matters discussed in this press release are forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) that involve risks and uncertainties that could cause actual results to differ materially from results projected in or implied by such forward-looking statements. These forward looking statements include statements about CEIX's options and ability to minimize or address direct and indirect impacts to the company, its business, operations, financial conditions or otherwise relating to the collapse of the Francis Scott Key Bridge near the Baltimore Port including, but not limited to, the ability to move coal tons through open terminals, increasing domestic shipments, asserting force majeure under applicable contracts and successfully recovering insurance with respect to any losses or other damages as a result of the impact of the collapse of the bridge on our business, operations and financial conditions.  Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The forward-looking statements may include projections and estimates concerning the timing and success of specific projects and our future production, revenues, income and capital spending. When we use the words "anticipate," "believe," "could," "continue," "estimate," "expect," "intend," "may," "plan," "predict," "project," "should," "will," "would," "target," or their negatives, or other similar expressions, the statements which include those words are usually forward-looking statements. When we describe our expectations with respect to the direct or indirect impact from the collapse of the bridge that involves risks or uncertainties, we are making forward-looking statements. We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. Specific risks, contingencies and uncertainties are or may be discussed in the future in more detail in our filings with the Securities and Exchange Commission. The forward-looking statements in this press release speak only as of the date of this press release and CEIX disclaims any intention or obligation to update publicly any forward-looking statements, whether in response to new information, future events, or otherwise, except as required by applicable law.

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SOURCE CONSOL Energy Inc.

What caused the vessel access delay at CONSOL Marine Terminal?

The delay was caused by a container ship striking a support column of the Francis Scott Key Bridge in Baltimore.

Where is the CONSOL Marine Terminal located?

The CONSOL Marine Terminal is located in the Port of Baltimore.

Who is leading the restoration efforts at CONSOL Marine Terminal?

CONSOL Energy is working closely with the Coast Guard, transportation authorities, and city officials to restore vessel access and resume normal operations.

What safety measures have been implemented following the incident?

The Coast Guard has established a safety zone within a 2,000 yard radius around the Francis Scott Key Bridge in Chesapeake Bay.

How can investors stay informed about the situation?

Investors can contact Nathan Tucker at (724) 416-8336 or nathantucker@consolenergy.com for updates.

Who can the media reach out to for inquiries regarding the incident?

Media inquiries can be directed to Erica Fisher at (724) 416-8292 or ericafisher@consolenergy.com.