Commitments

6 Months Ended

Jun. 30, 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	$	4,182
2023		4,984
2024		4,891
2025		4,752
2026		4,684
Thereafter		23,666
Total	$	47,159
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 June 30, 2022, purchase commitments for capital expenditures were $27.8 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 June 30, 2022, these Australian and U.S. commitments under take-or-pay arrangements totaled $1.1 billion, of which approximately $91.9 million is obligated within the next twelve months.