American Resources Corporation · NASDAQ:AREC
American Resources — 2019 Disruptive Growth Conference
14 slides from American Resources's conference presentation, Sep 9, 2019
Slide 1: American Resources Corporation – 2019 Disruptive Growth Conference
AMERIGAN RESOURCES CORPORATION (NASDAQ: AREC) A leading supplier of raw material to the growing infrastructure market 2019 Disruptive Growth Conference September 2019
Slide 2: Disclaimer
DISCLAIMER This document contains may include predictions, estimates or other information that might be considered forward-looking. While these forward-looking statements represent our current judgment on what the future holds, they are subject to risks and uncertainties that could cause actual resu
Slide 3: American Resources Corporation
AMERICAN RESOURCES CORPORATION Ticker: AREC (NASDAQ) + Market Capitalization: $20.2 million + Current Shares Outstanding: 26.9 million + Price: $0.75 (as of 8/27/2019) + Transfer Agent: VStock Transfer + Website: www.americanresourcescorp.com McCoy Elkhorn, Mine #15 Raw Material Stockpile American R
Slide 4: Why Infrastructure? Why Now?
Why INFRASTRUCTURE? WHY Now? = The infrastructure market is experiencing worldwide growth with demand for raw materials projected to significantly outpace supply. = In todays modern society there is no substitute for the input of metallurgical carbon in the new steel production process. * Metallurgi
Slide 5: Company Summary
Slide 6: Delivering on Accretive Growth
DELIVERING ON ACCRETIVE GROWTH American Resources is a low-cost supplier of metallurgical Carbon used in steel production for the growing infrastructure market. Y Owns all the infrastructure with ample capacity required to rapidly expand production at already approved mines. Y Five permits in produc
Slide 7: Operating Subsidiaries: Kentucky
OPERATING SUBSIDIARIES: KENTUCKY All the Company’s operations are non-union and the platforms are highly scalable, running profitably at less then 25% of their name plate capacity. Metallurgical (High Vol) mining operations Location: Pike County, KY - 2 operating mines (underground (u/g)) - 4 mines
Slide 8: Substantial Asset Ownership
SUBSTANTIAL ASSET OWNERSHIP American Resources has amassed a substantial base of assets with very low leverage in the heart of metallurgical carbon country which provides the platform to support massive growth. ‘American Resources Corporation Asset Values Total Value: $327,650,000 American Resources
Slide 9: Metallurgical Carbon Market Overview
7 Ae eo , METALLURGICAL CARBON MARKET OVERVIEW McCoy Elkhorn, Bevins Branch Prep Plants
Slide 10: Metallurgical Carbon Market Overview: Well Positioned for Growth
METALLURGICAL CARBON MARKET OVERVIEW: WELL POSITIONED FOR GROWTH Industry experts project that 84 million tons of additional annual global coking carbon capacity is needed by 2025 to meet the growing seaborne demand. American Resources is in position to supply the growing need of the global coking c
Slide 11: Metallurgical Carbon Market Overview: Well Positioned for Growth
METALLURGICAL CARBON MARKET OVERVIEW: WELL POSITIONED FOR GROWTH India is on track to become the world’s largest importer of coking carbon in the near future Indian Hot Metal Production (in millions of tons) = India has embarked on a massive infrastructure improvement initiative 78 = Indian steel ou
Slide 12: Metallurgical Carbon Market Overview: Well Positioned for Growth
METALLURGICAL CARBON MARKET OVERVIEW: WELL POSITIONED FOR GROWTH The global demand for metallurgical carbon is robust and the economics are favorable to our business model and expansion. METALLURGICAL CARBON SuPPLY/DEMAND & HISTORICAL PRICING METALLURGICAL CARBON PRODUCTION Cost CURVE Demand for met
Slide 13: AMERICAN
AMERICAN
Slide 14: Comparable Company Valuations
COMPARABLE COMPANY VALUATIONS Revenue EBITDA EV/EBITDA Compa Ticker __| Market Ca EV 2019E 2020E 2019E 2020E 2019E 2020E ‘Arch Coal ARCH $1,222 $1,140 $2,317 $2,245 $430 $366 2.7 3.1 Warrior Met Coal HCC $1,070 $1,290 $1,328 $1,155 $543 $390 2.4 3.3 Peabody Energy BTU $1,858 $2,440 $4,821 $4,570 $93
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