Attached files
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| EX-99.1 - PRESS RELEASE - American Resources Corp | arec_ex991.htm |
| 8-K - CURRENT REPORT - American Resources Corp | arec_8k.htm |
Exhibit 99.2
American Resources Moves to Complete Reclamation of Indiana Thermal
Coal Mine Complex
Mining complex was acquired for its asset value in September of
2019 with goal of reclaiming property and moving asset base to
Kentucky or leasing out to third party
Company has achieved positive environmental results while
bolstering its American Metals business line from the
property
November 18, 2020 | Source: American Resources
Corporation
FISHERS, INDIANA / ACCESSWIRE / November 18, 2020
/ American Resources
Corporation (NASDAQ:AREC)
(“American Resources” or the “Company”), a
next generation, socially responsible, supplier of raw materials to
the new infrastructure market, today announced the move to fully
reclaim the non-core Indiana thermal coal mine complex acquired
from a bankruptcy in September 2019 for the complex’s asset
value given American Resources’ operations focus on the
steel, infrastructure and critical elements
markets.
In 2019, the Company was approached by the trustee of a bankrupt
estate on acquiring the facility. The management made the
determination that based on the structures and asset value the
property could be reclaimed for the future at a cost that would be
lower than the acquired assets. Upon the closing of the asset
acquisition, the Company has been reclaiming the over 175 acre
property while also considering lease structures from third-party
operators in the region. Based on current market conditions,
American Resources has made the determination to continue with its
primary plan to fully reclaim the site for the future and relocate
certain assets to achieve a full bond release of approximately $1.3
million in environmental bonds.
Mark Jensen, Chairman and CEO of American Resources Corporation
commented, “When approached by the estate’s trustee,
our team analyzed and determined that by utilizing an innovative
and environmentally friendly approach, we could reclaim the
property at a cost that was less than the asset value of the
property and consideration paid as well as burning considerably
less fuel. We also saw an opportunity to clean up the environmental
liabilities that were neglected and egregiously left behind by the
prior operators. When completed we are excited and confident that
this project will prove that our model of achieving true social and
environmental goals can be achieved while also generating a
positive shareholder return to our investors.”
Once taking ownership of the site, the Company, with collaborative
efforts from its outsourced environmental solutions company Land
Betterment Corporation, implemented a plan of action to clean up
various environmental problems and bring the site back into
compliance. Its innovative plan allowed them to balance the need
for a sound reclamation plan alongside the need to do so in an
efficient, environmentally-friendly manner which allowed its team
to utilize a fraction of the fuel used in traditional
“legacy” methods. To date, the Company has finished
removing all structures out of the mine pit, removed a majority of
the overland belt and a majority of mobile structures. The Company
is now in the process of deconstructing and removing the processing
facility, mobile stackers and coal load out facility. American
Resources will be accepting bids on the following
items:
●
Processing
plant components and/or modular structures within the processing
plant
●
48
inch 120 foot rotary stacker
●
36
inch 100 foot rotary stacker
●
Power
centers and other equipment
The Company, consistent with its forward looking model, has
recently announced that it has repurposed a segment of the acquired
property for its American Metals business line to reprocess used
coal railcars for the electric ARC furnace marketplace while also
creating good paying jobs in the community.
American Resources, since inception, has strategically acquired and
restructured mining complexes to establish itself as one of the
fastest growing, lowest cost metallurgical carbon platforms in the
Central Appalachian basin. Over the next few years, through cost
cutting and right-sizing operations, the Company has become one of
the largest owners of mining infrastructure in eastern Kentucky.
The Company is focused on utilizing its vast asset base to
maximizing the value through its three core operating
divisions:
●
American
Carbon’s production and processing of metallurgical carbon to
the steel, specialty alloy metal and industrial
marketplace.
●
American
Metals’ metal aggregation and processing market to the
electric ARC furnace market.
●
American
Rare Earth’s critical elements production and processing
business line providing the electric vehicle, permanent magnet and
battery / battery storage marketplace.
About American Resources Corporation
American Resources Corporation is a supplier of high-quality raw
materials to the rapidly growing global infrastructure market. The
Company is focused on the extraction and processing of
metallurgical carbon, an essential ingredient used in steelmaking.
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 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 market 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.
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.
PR Contact:
Precision
Public Relations
Matt
Sheldon
917-280-7329
matt@precisionpr.co
Investor Contact:
JTC
Team, LLC
Jenene
Thomas
833-475-8247
AREC@jtcir.com
Company Contact:
Mark
LaVerghetta
317-855-9926
ext. 0
Vice
President of Corporate Finance and Communications
investor@americanresourcescorp.com
Source:
American Resources Corporation