SunCoke Energy extends 3-year cokemaking agreement with Cleveland-Cliffs

LISLE, Ill. - SunCoke Energy, Inc. (NYSE:SXC) announced Tuesday it has extended its cokemaking agreement with Cleveland-Cliffs Inc. for three years. Under the extended contract, SunCoke will provide 500,000 tons of metallurgical coke annually from its Haverhill facility in Franklin Furnace, Ohio.

The agreement will commence on January 1, 2026, with key provisions similar to existing Haverhill contracts, according to the company's press release statement.

"This contract affirms the long-term partnership of SunCoke and Cleveland-Cliffs," said Katherine Gates, President and CEO of SunCoke.

SunCoke Energy supplies coke primarily used in blast furnace production of steel and foundry production of cast iron. The company operates facilities in Illinois, Indiana, Ohio, Virginia, and Brazil, utilizing heat-recovery technology that captures excess heat for steam or electrical power generation.

The company's industrial services business provides material handling services to various bulk customers and operates logistics terminals with a collective capacity to mix and transload more than 40 million tons of material annually.

SunCoke Energy shares closed at $6.37 on the New York Stock Exchange, trading near its 52-week low of $6.40 and well below its 52-week high of $12.82. The stock offers a substantial 7.49% dividend yield and trades at a P/E ratio of 8.5, suggesting potential value. According to InvestingPro analysis, SunCoke appears undervalued based on its Fair Value assessment. InvestingPro offers 8 additional insights on SXC, including detailed financial health metrics and comprehensive Pro Research Reports available for over 1,400 US equities.

In other recent news, SunCoke Energy Inc. reported its third-quarter 2025 earnings, surpassing analysts' expectations. The company achieved an earnings per share (EPS) of $0.26, which was notably higher than the forecasted $0.17. SunCoke Energy also reported revenue of $487 million, exceeding the anticipated $349.3 million. These figures highlight a strong performance for the quarter. Despite the positive earnings and revenue results, there are concerns among investors about future challenges and lower transloading volumes. This sentiment reflects a cautious outlook on the company's future prospects. The recent developments underscore the importance of monitoring SunCoke Energy's performance in upcoming quarters.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.