Ramaco Resources Inc. Announces Reduced Operations At Berwind

Rhea-AI Summary

Ramaco Resources (NASDAQ: METC) announced a partial closure of its Berwind mine due to the downturn in the metallurgical coal market, primarily influenced by the COVID-19 pandemic. This decision impacts approximately 44 miners as operations are reduced. The company remains committed to the Berwind project, aiming to resume full capacity once the market stabilizes. Currently, the mine will continue to operate at a lower rate to meet existing commitments.

Positive

• Ramaco plans to resume full capacity at the Berwind mine when market conditions improve.

Negative

• Approximately 44 miners will be impacted by the immediate personnel reductions.
• The decision reflects ongoing challenges in both domestic and export metallurgical coal markets.

LEXINGTON, Ky., July 13, 2020 /PRNewswire/ -- Ramaco Resources, Inc. ("Ramaco" or the "Company") (NASDAQ: METC) announced today a partial closure of its Berwind low volatile development mine complex on the border of Virginia and West Virginia.  Ramaco has taken this reduction measure to align current production to the weakened metallurgical coal market.

Approximately 44 miners will be impacted. These personnel reductions are effective immediately. 

"The continued deterioration of both the domestic and export metallurgical coal markets, driven in large part by the COVID-19 pandemic have led us to make this difficult decision," said Randall Atkins, Ramaco's Executive Chairman. "We remain committed to the completion of our Berwind slope development to full capacity when the market has more clarity. We want to recognize the efforts of all of our coal miners who have advanced this project to date."

"We believe that ultimately the Berwind mine will be amongst the lowest cost, high-quality low volatile coal in the Central Appalachian region," said Michael Bauersachs, CEO and President of Ramaco. "Once the coal markets stabilize and return to rational pricing levels, the full development and production at the Berwind mine can be restarted."

The Berwind mine will continue to run at a reduced rate to service existing customer commitments. 

About Ramaco Resources, Inc.

Ramaco Resources, Inc. is an operator and developer of high-quality, low cost metallurgical coal in southern West Virginia, southwestern Virginia and southwestern Pennsylvania. Its executive offices are in Lexington, Kentucky, with operational offices in Charleston, West Virginia. The Company has five active mines within two mining complexes at this time.

News and additional information about Ramaco Resources, including SEC filings, are available at www.ramacoresources.com.

Cautionary Statement Regarding Forward-Looking Statements

Certain statements contained in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent Ramaco Resources' expectations or beliefs concerning future events, costs and expectations regarding operating results, and it is possible that the results described in this press release will not be achieved. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of Ramaco Resources' control, which could cause actual results to differ materially from the results discussed in the forward-looking statements. These factors include, without limitation, Ramaco Resources' beliefs concerning future events, including the COVID-19 pandemic, failure of our sales commitment counterparties to perform, increased government regulation of coal in the United States or internationally, or unexpected decline of demand for coal in export markets and underperformance of the railroads. Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, Ramaco Resources does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for Ramaco Resources to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements found in Ramaco Resources' filings with the Securities and Exchange Commission ("SEC"), including its Annual Report on Form 10-K. The risk factors and other factors noted in Ramaco Resources' SEC filings could cause its actual results to differ materially from those contained in any forward-looking statement.

INVESTOR CONTACT:
859-244-7455
info@ramacocoal.com

MEDIA CONTACT:
304-923-2821
media@ramacocoal.com  

 

View original content:http://www.prnewswire.com/news-releases/ramaco-resources-inc-announces-reduced-operations-at-berwind-301092462.html

SOURCE Ramaco Resources, Inc.

FAQ

What recent changes did Ramaco Resources announce regarding the Berwind mine?

Ramaco Resources announced a partial closure of the Berwind mine, impacting about 44 miners due to weak metallurgical coal market conditions.

How many miners will be affected by the closure of the Berwind mine?

The closure will impact approximately 44 miners.

What is the reason for the reduced operations at the Berwind mine?

The reduction is due to the ongoing deterioration of both domestic and export metallurgical coal markets caused by the COVID-19 pandemic.

What are Ramaco's plans for the Berwind mine after the market stabilizes?

Ramaco intends to resume full development and production at the Berwind mine once the coal markets stabilize and return to reasonable pricing levels.

When was the announcement about the Berwind mine made?

The announcement was made on July 13, 2020.