Business
American Resources Corporation Secures Base Load Sales Commitments for Infrastructure Raw Materials
Committed Production Will Be Delivered During 2021 via Company Owned Infrastructure to Both Domestic and International CustomersCompany Will Maximize Price
About this update from American Resources Corporation
[{"type":"text","content":"Committed Production Will Be Delivered During 2021 via Company Owned Infrastructure to Both Domestic and International CustomersCompany Will Maximize Price Realization by Expanding Production in Current Year To Take Advantage of Market StrengthFISHERS, IN / ACCESSWIRE / January 6, 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 secured base load orders for production of raw materials servicing the infrastructure marketplace at its Perry County Resources (\"PCR\") mining complex. The Company has previously announced that its contractor has commenced production at the restructured PCR complex under the Company's streamlined, low-cost operating model. The secured commitments and contracts represent product that will be delivered to one of the largest steel companies in the world, as well as specialty alloy metal producers and industrial companies domestically and abroad.Mark Jensen, CEO of American Resources Corporation commented, \"As a company we were very careful to balance committed production with maximizing value for our shareholders given the volatility in the market during 2020. Our strategy appears to be paying off whereby we locked in base load production in 2020 but also have additional production capacity available to sell in the upcoming strength that we are seeing in the market. We look forward to expanding production in 2021 and meeting the needs of our customers and future customers\".The Company has taken a risk-based approach to its committed sales. The Company looks to contract its sales in the range of 60% to 70% of its potential production from a complex, with balance being sold to partners on the international marketplace and on the shorter-term market. This strategy was held consistent for 2021 sales, ensuring the Company has commitments for production needed to be profitable, yet having additional availability of production that can be used to maximize value as well as fulfill additional needs of our customers as they come up throughout the year.American Resources continues to focus on running efficient streamlined operations in being a new-aged supplier of raw materials to the infrastructure and electrification marketplace in...