Development expected to double the production at Carnegie 2 metallurgical carbon mine
Company is utilizing existing equipment from its fleet to efficiently expand production and minimize the capex thereby increasing rate of return to shareholders
FISHERS, IN / ACCESSWIRE / March 2, 2023 / American Resources Corporation (NASDAQ:AREC) ("American Resources" or the "Company"), through its subsidiary, American Carbon Corporation, a leading producer of high quality metallurgical and specialty carbon, announced that it has expanded production at its Carnegie 2 metallurgical carbon mine in Pike County, Kentucky, by adding a second operating section. It is expected that the production from this section will initially ramp up to approximately 9,000 to 12,000 additional tons per month.
Mark Jensen, CEO of American Resources commented, "Our McCoy Elkhorn complex is a showcase operation that possesses a significant opportunity for growth from our internal portfolio of assets. We applaud the hard work that the men and women onsite have put forth and the effort to achieve this growth safely and efficiently and to capitalize on the strength of the metallurgical carbon market. Adding a second operating section at this already producing mine is one of the highest margin growth opportunities we can execute upon as a company, given no additional fixed costs and minimal additional variable costs are needed to achieve the incremental growth of production. Now that this has been achieved, we look forward to focusing on additional growth expansion at the McCoy Elkhorn complex, while we continue to minimize capex costs and maximize speed to market."
American Resources Corporation over the years has acquired a significant fleet of underground and surface equipment that it can utilize to expand production. This new expansion at Carnegie 2 is utilizing almost entirely owned equipment that the Company has been able to acquire over the years. The Company is still in possession of over three additional full operating sections of equipment that it intends to use for Carnegie 1 expansion, the Company's upcoming Mine #15A expansion, as well as its Wyoming County Coal LLC complex that it is currently developing. In the current market, owning quality assets and equipment for efficient growth offers a significant competitive advantage, given the current tightness in the equipment and infrastructure marketplace.
About American Resources Corporation
American Resources Corporation is a next-generation, environmentally and socially responsible supplier of high-quality raw materials to the new infrastructure market. The Company is focused on the extraction and processing of metallurgical carbon, an essential ingredient used in steelmaking, critical and rare earth minerals for the electrification market, and reprocessed metal to be recycled. American Resources has a growing portfolio of operations located in the Central Appalachian basin of eastern Kentucky and southern West Virginia where premium quality metallurgical carbon and rare earth mineral deposits are concentrated.
American Resources has established a nimble, low-cost business model centered on growth, which provides a significant opportunity to scale its portfolio of assets to meet the growing global infrastructure and electrification markets while also continuing to acquire operations and significantly reduce their legacy industry risks. Its streamlined and efficient operations are able to maximize margins while reducing costs. For more information visit americanresourcescorp.com or connect with the Company on Facebook, Twitter, and LinkedIn.
About ReElement Technologies LLC
ReElement Technologies LLC is redefining how critical and rare earth elements are both sourced and processed while focusing on the recycling of end-of-life products such as rare earth permanent magnets and lithium-ion batteries, as well as coal-based waste streams and byproducts to create a low-cost and environmentally-safe, circular supply chain. ReElement has developed its innovative and scalable "Capture-Process-Purify" process chain in conjunction with its licensed intellectual property including 16 patents and technologies and sponsored research partnerships with three leading universities to support the domestic supply chain's growing demand for magnet and battery metals. For more information visit reelementtech.com or connect with the Company on Facebook, Twitter, and LinkedIn.
Special Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks, uncertainties, and other important factors that could cause the Company's actual results, performance, or achievements or industry results to differ materially from any future results, performance, or achievements expressed or implied by these forward-looking statements. These statements are subject to a number of risks and uncertainties, many of which are beyond American Resources Corporation's control. The words "believes", "may", "will", "should", "would", "could", "continue", "seeks", "anticipates", "plans", "expects", "intends", "estimates", or similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Any forward-looking statements included in this press release are made only as of the date of this release. The Company does not undertake any obligation to update or supplement any forward-looking statements to reflect subsequent events or circumstances. The Company cannot assure you that the projected results or events will be achieved.
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SOURCE: American Resources Corporation
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