Macarthur mines profit guidance lift

Macarthur Coal Ltd, the supplier of more than a third of the world's pulverised coal, has increased its annual profit guidance after a rise in expected sales.

The Queensland-based coal miner has forecast net profit after tax (NPAT) of between $80 million to $90 million for 2007/08, less than two months after providing guidance of $67 million to $75 million for the year.

"The revised NPAT forecast follows increased coal sales and shipments in June, due to a reduction in the vessel queue at Dalrymple Bay Coal Terminal, providing the ability to load more vessels than forecast," acting chief executive Peter Kane said in a statement.

Macarthur shares gained eight cents to $15.38 by 1110 AEST.

Mr Kane said the revised forecast demonstrated a substantial improvement in the second half of the year for the company, compared to the first half profit of $13.5 million.

Macarthur has been the focus of corporate action over recent months, with steelmakers ArcelorMittal, the world's biggest, and Korea's Posco acquiring significant positions in the company.

Steelmakers are buying into coal and iron ore companies to secure supply as commodity prices climb higher, underpinned by the industrialisation of China and other developing nations.

Corporate interest was sparked after former Macarthur chief executive Ken Talbot started selling down his major stake in the company he founded.

Macarthur's largest customer ArcelorMittal is now the company's biggest single shareholder with a 19.9 per cent stake.

Chinese group CITIC has a 17.7 per cent interest, while Posco - another Macarthur customer - has a 10 per cent stake.

Mr Talbot's holding in Macarthur now sits at 4.76 per cent.

Macarthur supplies more than a third of the world's pulverised coal from its two operations, Coppabella and Moorvale, which are in Queensland's Bowen Basin.