Slide 1: Earnings Release 1st Quarter 2019
Earnings Release 1st Quarter 2019 May 8, 2019
Slide 2: Disclaimer
Disclaimer Forward Looking Statements The information in this presentation includes “forward-looking statements.” All statements, other than statements of historical fact included in this presentation, regarding our strategy, future operations, financial position, estimated revenues and losses, proj
Slide 3: Key Investment Highlights
RAMACO Key Investment Highlights
Slide 4: Ramaco Resources - At a Glance
Ramaco Resources- At a Glance At its core, Ramaco is a “pure play” metallurgical coal company with over 250 million tons of high-quality metallurgical coal reserves (more than a 50-year production life) with advantaged geology expected to yield low cash mining costs. We have among the lowest leverag
Slide 5: Met Asset Portfolio with Competitive Advantages
Met Asset Portfolio with Competitive Advantages By 2023, we expect a 4.5 million ton annual production profile of high quality met coal with advantaged costs and logistics 5
Slide 6: First Quarter 2019 Results At a Glance
First Quarter 2019 Results At a Glance Randall Atkins, Ramaco Resources’ Executive Chairman remarked, “I am extremely proud that we’ve emerged from the operational challenges of the November silo failure at Elk Creek as an even stronger and more resilient company. I am also pleased to say that we no
Slide 7: Strong METC Margin Growth
Strong METC Margin Growth 2017 2018 1Q19 50 80 70 $39 40 60 $30 Cash Margins Per Ton ($) 30 Cash Costs Per Ton ($) 50 20 40 30 10 20 0 10 -10 ($7) 0 Source: Ramaco (Excludes Berwind Development Mine) 7
Slide 8: METC Production Growth Profile
METC Production Growth Profile 8
Slide 9: Operational Updates
RAMACO Operational Updates
Slide 10: Elk Creek — Current Infrastructure & New Bypass Discharge
Elk Creek — Current Infrastructure & New Bypass Discharge 10
Slide 11: 2019 Coal Sales Commitments – Domestic, Fixed Price Business
2019 Coal Sales Commitments – Domestic, Fixed Price Business Buyer 1 - HV 98,511, 6% Buyer 2 - HV 30,000, 2% 100,000, 6% 340,000, 22% Buyer 3 - HV 80,000, 5% Buyer 1 - LV Buyer 4 - LV 200,000, 13% 150,000, 10% Buyer 5 - HV Buyer 6 - HV Misc. 2018 Carry Forward Tons 550,000, 36% Total Domestic Tons 1
Slide 12: Competitive Advantages
RAMACO Competitive Advantages
Slide 13: Peer Comparison: Cash Costs
Peer Comparison: Cash Costs 2018 Met Coal Cash Costs $90 $87 $85 $81 $80 $79 $/Short Ton FOB Mine $75 $70 $69 $67 $65 $60 $60 $55 $50 METC Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Source: Ramaco and Company Documents (Excludes Berwind Development Mine For METC) Peer group includes Arch, Contura, Coronado,
Slide 14: Peer Comparison: Net Debt
Peer Comparison: Net Debt Net Debt To EBITDA* 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 (0.2) (0.4) Peer 1 METC Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Source: Ra ma co a nd Bl oomberg Peer group i ncl udes Arch, Cons ol , Contura , Corona do, Pea body, Wa rri or (l i s ted a l pha beti ca l l y) *EBITDA b
Slide 15: Peer Comparison: Legacy Liabilities
Peer Comparison: Legacy Liabilities Legacy Liabilities $1,600 $1,400 $1,200 $1,000 $ MM $800 $600 $400 $200 $0 METC Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Source: Ramaco and Company Documents Note: Legacy liabiltiies include AROs, workers' comp, black lung, pension & post-retirement benefits, and
Slide 16: Peer Comparison: EV/EBITDA
Peer Comparison: EV/EBITDA 2020 EV/EBITDA Based On Consensus 5.0 4.5 4.0 3.5 3.0 2.5 2.0 Peer 1 METC Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Source: Ramaco and Bloomberg Peer group includes Arch, Consol, Contura, Coronado, Peabody, Warrior (listed alphabetically) Current as of 5/3/2019 16
Slide 17: Ramaco Resources, Inc. Contact
Ramaco Resources, Inc. 250 West Main Street, Suite 1800 Lexington, Kentucky 40507 POINT OF CONTACT: Brandy Pennington, Director of SEC and Financial Reporting bnp@ramacocoal.com 859-244-7455 17