American Resources Corporation (NASDAQ:AREC) announced that it has been approved by the Mine Safety and Health Administration for a deep cut plan at its Carnegie 1 mine in Kentucky, USA.
The company said the enhanced mine plan enables 30% additional production per shift and reduces maintenance expenses at the mine.
American Resources added that it was also pursuing such approvals at its newly operating Carnegie 2 mine.
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American Resources COO Tarlis Thompson said as the company continued to expand the McCoy Elkhorn complex, its mining facility centred around two state-of-the-art processing plants, it is also focused on revenue expansion and cost optimization at each of its existing mine sites.
“Having these assets in place positions our carbon platform as one of the few in the industry that can organically expand production and feed the demand, especially while older mines in our region are coming to end of life,” Thompson said.
“Over the last seven years, we have acquired, restructured and repositioned our asset base to provide substantial growth potential from high-quality assets with long operating life, high margins and require low capital investment.”
Post the start of its next two mines, the company said it will begin planning the next phase of organic growth from the McCoy Elkhorn complex.
American Resources Corporation is a next-generation, environmentally and socially responsible supplier of high-quality raw materials to the new infrastructure market. The company has a growing portfolio of operations located in the Central Appalachian basin of eastern Kentucky and southern West Virginia where premium quality metallurgical carbon and rare earth mineral deposits are concentrated.
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