Commitments

3 Months Ended

Mar. 31, 2022

Commitments [Abstract]

Commitments

13. Commitments

(a) Mineral Leases

The Company leases mineral interests and surface rights from land owners under various terms and royalty rates. The future minimum royalties under these leases are as follows:

(in US$ thousands)		Amount
Year ending December 31,
2022	$	5,265
2023		5,145
2024		5,056
2025		4,893
2026		4,813
Thereafter		24,695
Total	$	49,867
Mineral leases are not in scope of ASC 842 and continue to be accounted for under the guidance in ASC 932, Extractive Activities – Mining.

(b) Other commitments

As of March 31, 2022, purchase commitments for capital expenditures were $26.2 million, all of which is obligated within the next twelve months.

In Australia, the Company has generally secured the ability to transport coal through rail contracts and coal export terminal contracts that are primarily funded through take-or-pay arrangements with terms ranging up to 9 years. In the U.S., the Company typically negotiates its rail and coal terminal access on an annual basis. As of March 31, 2022, these Australian and U.S. commitments under take-or-pay arrangements totaled $1.1 billion, of which approximately $89.5 million is obligated within the next twelve months.