American Resources Corporation Provides Update on Strategic, Value-Creating Initiatives
- ReElement Technologies is converting from an LLC to a corporation in preparation for its spinoff into a standalone public company.
- The conversion will allow for the distribution of ReElement's common shares to the shareholders of American Resources Corporation.
- The spinoff will create a pure play company focused on rare earth and critical battery mineral refining.
- ReElement's refining platform has the ability to produce ultra-pure minerals in a low cost and environmentally safe manner.
- The company aims to provide an efficient solution for rare earth element and battery mineral refining outside of China.
- None.
ReElement Technologies converts to a corporation in preparation for its spinoff into a standalone public company
FISHERS, IN / ACCESSWIRE / October 11, 2023 / American Resources Corporation's (NASDAQ:AREC) ("American Resources" or the "Company") ReElement Technologies LLC ("ReElement"), a leading provider of high performance refining capacity of rare earth and critical battery elements, announced today that ReElement Technologies has filed the necessary paperwork to convert from a LLC (limited liability company) to a corporation in preparation of its spinoff into a standalone public company under the name ReElement Technologies Corporation with a reserved ticker of RLMT. Conversion of the company to a corporation will allow for the common shares of ReElement to be distributed proportionally to the shareholders of American Resources Corporation, at a record date that will be set by the Board of Directors and communicated to shareholders.
Mark Jensen, Chief Executive Officer of American Resources Corporation commented, "We are excited to announce the continued progress of our spinoff of ReElement into its own independent publicly traded company. Our strategic committee established a plan of action to unlock value for our shareholders and we remain focused on the execution of such events. We believe the dividend of ReElement shares distributed to our shareholders of American Resources will establish a uniquely positioned, pure play company focusing on rare earth and critical battery mineral refining. To date, we have been able to showcase our groundbreaking and patented refining platform's ability to produce ultra-pure minerals to battery and magnet-grade products from a variety of feedstocks in a low cost, modular-based, high performance method, which also is leading the market in terms of environmental safety. These attributes are key components of supporting our strategy to unlock value while also ensuring ReElement is well positioned for growth as one of the only premier refiners in the lithium and rare earth element space outside of China. The world cannot solely rely on China for rare earth elements and battery mineral refining, and our proven commercial scale technology provides the most efficient solution today and in the future."
The Company, its Board of Directors and Special Committee have set out the following objectives which are in process:
- Spinoff ReElement into an independently run and operated business focused on the pure play refining of battery and rare earth elements into battery and magnet grade;
- Monetization of the metallurgical carbon mining business either through the sale or spinoff of such assets; and
- Focus on American Resources, post such events, taking ownership stakes in attractive critical mineral and rare-earth element resources opportunities.
Learn more about ReElement: https://vimeo.com/reelementtech
About ReElement Technologies LLC
ReElement Technologies LLC, a majority owned subsidiary of American Resources Corporation (NASDAQ:AREC) 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.
About American Resources Corporation
American Resources Corporation (NASDAQ: AREC) 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.
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.
Investor Contact:
JTC Team, LLC
Jenene Thomas
833-475-8247
arec@jtcir.com
RedChip Companies Inc.
Todd McKnight
1-800-RED-CHIP (733-2447)
Info@redchip.com
Company Contact:
Mark LaVerghetta
Vice President of Corporate Finance and Communications
317-855-9926 ext. 0
investor@americanresourcescorp.com
SOURCE: American Resources Corporation
View source version on accesswire.com:
https://www.accesswire.com/791815/american-resources-corporation-provides-update-on-strategic-value-creating-initiatives
FAQ
What is ReElement Technologies converting into?
What will happen to ReElement's common shares?
What is the focus of the spinoff company?
How does ReElement's refining platform operate?
Why is ReElement's technology important?
