Business
American Resources Corporation Acquires Additional Equipment to Expand Production
Strength of balance sheet has enabled the Company to be opportunistic in expanding its base of production equipmentMarket fundamentals is giving Company
About this update from American Resources Corporation
[{"type":"text","content":"Strength of balance sheet has enabled the Company to be opportunistic in expanding its base of production equipmentMarket fundamentals is giving Company comfort in considering expanding accretive productionFISHERS, IN / ACCESSWIRE / February 1, 2021 / American Resources Corporation (NASDAQ:AREC) (\"American Resources\" or the \"Company\"), a next generation and socially responsible supplier of raw materials to the new infrastructure marketplace, today announced that it has acquired additional production equipment to expand its base of carbon production and efficiencies at Perry County Resources as well as prepare for the potential opportunity to bring other complexes online in the future.The worldwide market for metallurgical carbon is showing strength in terms of long-term fundamental demand as COVID-19 vaccines have begun to be administered. With this, the Company have seen economies begin to prepare and activate economic stimulus to pull their economies forward to a more modern-day economy, which requires a significant infrastructure spend. The Company had the opportunity to acquire this expansive fleet of equipment at a very attractive price, and what it believes to be a fraction of its marketable value given its ability to act quickly due to the strength of its balance sheet.Thomas Sauve, President of American Resources said, \"We have some of the highest quality, lowest cost and longest life assets in the country for producing metallurgical carbon. Our efforts to acquire, restructure and reposition our assets enables us to move swiftly to bring operations online when the market dictates. Given our cost structure and financial flexibility, we are excited to closely monitor the markets and utilize our advantages to expand our production base in the near future. This spread of equipment we have acquired, and the price we paid, showcases our extremely low capex model of accretive expansion of production. We look forward to the years ahead of us and putting this equipment to work.\"American Resources Corporation, with its three divisions, American Carbon, American Rare Earth and American Metals is built to leverage the growth of infrastructure and electrification markets that are predicted to see significant expansion over the next decade. The current administration in United States has stated its intention to advance a green e...