American Resources Corp., through its subsidiary, American
Carbon Corp., a leading producer of high quality metallurgical and specialty
carbon, has 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 9000 to 12 000 additional tpm.
Mark Jensen, CEO of American
Resources, comments:
“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 capitalise 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 minimise capex costs and maximise
speed to market.”
American Resources Corp. over the
years has acquired a significant fleet of underground and surface equipment
that it can utilise to expand production. This new expansion at Carnegie 2 is
utilising 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.