Welcome to our dedicated page for Ramaco Resources news (Ticker: METC), a resource for investors and traders seeking the latest updates and insights on Ramaco Resources stock.
Ramaco Resources, Inc. (NASDAQ: METC) is a leading operator and developer of high-quality, low-cost metallurgical coal. Founded in 2015 and headquartered in Lexington, Kentucky, Ramaco Resources focuses on serving blast furnace steel mills and coke plants in both North America and international markets.
The company's core business revolves around its extensive portfolio of metallurgical coal properties across southern West Virginia, southwestern Virginia, and Pennsylvania. Notable projects include:
- Elk Creek Project: Encompassing approximately 20,552 acres of controlled mineral, this project is situated in southern West Virginia and features 24 seams of metallurgical coal.
- Berwind Coal Property: Located on the border of West Virginia and Virginia, this property comprises roughly 31,200 acres of controlled mineral and key Squire Jim seam coal deposits.
- Knox Creek Property: Spanning approximately 61,343 acres in Virginia, this property is another significant asset in Ramaco’s portfolio.
- Ram Mine Property: This project covers around 1,567 acres of controlled mineral in southwestern Pennsylvania.
Additionally, Ramaco controls mineral deposits in Sheridan, Wyoming, where they are exploring potential opportunities in rare earth elements and coal-to-carbon-based products. The company's operations are strategically located to capitalize on delivery advantages and market accessibilities.
In recent years, Ramaco Resources has undergone significant growth and development in its operations:
- In 2023, the company reported improvements in its financial metrics, including achieving significant reductions in term debt and increases in liquidity.
- The acquisition and upgrading of a coal preparation plant will enhance operational efficiency and reduce costs, particularly at the Maben Complex.
- Ramaco has expanded its banking facility to $200 million with a potential increase to $275 million, underscoring its strong financial standing.
Ramaco is also making strides in rare earth elements exploration. In 2023, they discovered a substantial deposit of primary magnetic rare earths at their Brook Mine near Sheridan, Wyoming. This initiative includes a research and pilot facility for advanced carbon products and materials from coal.
Continuous advancements and strategic expansions have positioned Ramaco Resources as a significant player in the metallurgical coal industry. With a focus on enhancing production, reducing costs, and exploring new opportunities, the company aims to sustain its growth trajectory.
Ramaco Carbon, in collaboration with Oak Ridge National Laboratory, is launching a two-year project to develop large-scale methods for producing graphite from coal, addressing the U.S.'s need for domestically sourced graphite for electric vehicle (EV) batteries. This initiative stems from a prior partnership focused on alternative coal uses and aims to make the U.S. less reliant on foreign graphite supply. The joint effort will utilize coal from Ramaco's parent company, enhancing potential cost-efficiency compared to petroleum-derived graphite. Successful commercialization could significantly impact the EV industry's supply chain and energy transition.
Ramaco Resources reported Q4 2022 financial results, revealing a net income of $14.4 million, down from $18.6 million a year earlier. The diluted EPS was $0.32 compared to $0.42 in Q4 2021. Full-year net income reached $116 million, reflecting a remarkable 192% increase from 2021. However, Q4 results were impacted by severe weather and transportation issues, causing delays in shipping 150,000 tons and a significant drop in API2 index pricing. Despite challenges, the company anticipates production growth in 2023, expecting an increase to over 4 million tons per year, alongside a decrease in cash mine costs and capital expenditures.
Ramaco Resources, Inc. (NASDAQ: METC) is set to report its fourth quarter and full year 2022 financial results on March 8, 2023, after market close. An investor conference call will follow on March 9, 2023, at 9:00 AM ET, featuring CEO Randall W. Atkins and other executives discussing the results. The call can be accessed via phone or webcast. Ramaco operates high-quality, low-cost metallurgical coal mines in West Virginia, Virginia, and Pennsylvania and holds numerous intellectual property assets related to advanced carbon products.
Ramaco Resources (NASDAQ: METC) announced on March 1, 2023, the promotion of four executives to senior roles. John Marcum becomes Executive Vice President and continues as Chief Accounting Officer. Sabrina Duba is now Senior Vice President - Operations, Toby Edwards is Senior Vice President - Mining Operations, and Scott Spears is Senior Vice President - Finance. CEO Randall W. Atkins acknowledged their contributions to the company's success. The company operates in Central Appalachia, with three active mining complexes and a research facility in Wyoming, focusing on advanced carbon products and holding numerous intellectual property assets.
Ramaco Resources (NASDAQ: METC) has successfully increased its revolving credit facility from $40 million to $175 million. The new facility includes a $125 million revolving commitment and a $50 million accordion feature. The maturity date has been extended to 2026. This financing aims to enhance liquidity for managing working capital and refining capital structure by retiring higher interest debt from previous acquisitions. Chairman Randall Atkins highlighted the importance of this facility in supporting the company's growth, especially in export markets and initiatives related to rare earth development and advanced carbon products.
Ramaco Resources, Inc. (NASDAQ: METC) has announced the establishment of the Ramaco Foundation to support coal-producing communities in West Virginia, Virginia, and Wyoming. The Foundation will provide grants, starting with $100,000 for initiatives against childhood hunger in Wyoming and for education in West Virginia. Key donations include $50,000 each to The Food Group Wyoming and Jobs for West Virginia's Graduates. The Foundation aims to strengthen local economies through meaningful partnerships with nonprofit organizations that have proven success records.
Ramaco Resources (NASDAQ: METC) announced a 10% increase in its cash dividend, raising it to $0.125 per share for Q1 2023, payable on March 15, 2023. The fourth quarter earnings are projected between $0.50 to $0.60 per diluted share, with full-year 2022 earnings expected at $2.77 to $2.87. The company anticipates $40 million to $50 million in Adjusted EBITDA for Q4 2022, impacted by $6 million in idle costs. Full-year 2023 guidance includes production of 3.0-3.5 million tons.
Ramaco Resources (NASDAQ: METC) has been recognized for its exemplary operational safety with multiple awards. At a ceremony in Washington, D.C., the Company received the prestigious Sentinels of Safety Award from the National Mining Association for its Elk Creek Preparation Plant, noted as the top performer in the Large Coal Preparation category for 2021. Additionally, the Virginia Department of Energy honored Ramaco's operations for Excellence in Mining, Reclamation, and Safety. This acknowledgment reflects Ramaco's strong commitment to employee safety and environmental concerns.
In Q3 2022, Ramaco reported a net income of $26.9 million (EPS: $0.60), a 282% increase from Q3 2021, primarily driven by higher prices. Adjusted EBITDA reached $50.7 million, up 185% YOY, although impacted by $3.9 million in idle costs from the Berwind mine ignition event. The company is fully sold out for 2022 at an average price of $210 per ton and has committed 1.8 million tons for 2023 deliveries. Capital expenditures were $37.6 million for Q3. Looking ahead, management plans to progressively increase cash dividends in 2023.
Ramaco Resources, Inc. (NASDAQ: METC) announced the appointment of A. Jerald Hylton as Vice President for Sales of Ramaco Coal Sales, LLC, a subsidiary of the Company. Hylton brings over 30 years of experience in coal sales, marketing, and logistics, having previously held leadership roles at Carbon Partners, Booth Energy Group, and White Oak Resources. His expertise is expected to bolster Ramaco's domestic and international sales efforts as the Company aims to expand its production and market reach.
FAQ
What is the current stock price of Ramaco Resources (METC)?
What is the market cap of Ramaco Resources (METC)?
What is Ramaco Resources' primary business?
Where are Ramaco Resources' key projects located?
What recent financial improvements has Ramaco Resources reported?
What is unique about Ramaco's Elk Creek project?
What exploration initiatives is Ramaco Resources involved in?
Who are Ramaco Resources' main customers?
How is Ramaco Resources expanding its financial capabilities?
What are some of Ramaco's key operational achievements?
Where are Ramaco Resources' executive offices located?
What is Ramaco's strategy for future growth?
