[Cautionary Note Regarding Forward-Looking Statements](index=4&type=section&id=CAUTIONARY%20NOTE%20REGARDING%20FORWARD-LOOKING%20STATEMENTS) This section cautions readers that forward-looking statements in the report are subject to risks and uncertainties, potentially causing actual results to differ materially - This section highlights that the Quarterly Report includes forward-looking statements, which are based on management's current expectations and assumptions about future events. It cautions readers that actual results may differ materially due to various risks and uncertainties, including those detailed in 'Item 1A. Risk Factors' and the Annual Report[11](index=11&type=chunk)[13](index=13&type=chunk) - Forward-looking statements cover a wide range of topics, including anticipated production levels, costs, sales volumes, revenue, timing of capital projects, economic conditions in the metallurgical coal and steel industries, estimated coal reserves, financing ability, regulatory compliance, and risks related to global economic conditions and the Company's CORE assets[12](index=12&type=chunk) [PART I. FINANCIAL INFORMATION](index=5&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents unaudited condensed consolidated financial statements, offering a detailed financial overview for periods ended June 30, 2025, and December 31, 2024 [Unaudited Condensed Consolidated Balance Sheets](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) Condensed Consolidated Balance Sheets (In thousands) | (In thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $28,130 | $33,009 | | Accounts receivable | 55,943 | 73,582 | | Inventories | 59,310 | 43,358 | | Total current assets | 154,910 | 167,634 | | Property, plant, and equipment, net | 487,334 | 482,019 | | Total Assets | $674,646 | $674,686 | | **Liabilities and Stockholders' Equity** | | | | Accounts payable | $56,271 | $48,855 | | Accrued liabilities | 47,591 | 61,659 | | Total current liabilities | 113,787 | 122,428 | | Long-term borrowings on revolving credit facility | 25,000 | — | | Senior notes, net | 88,606 | 88,135 | | Total liabilities | 327,207 | 311,880 | | Total stockholders' equity | 347,439 | 362,806 | | Total Liabilities and Stockholders' Equity | $674,646 | $674,686 | - Total assets remained stable at **$674.6 million** as of June 30, 2025, compared to December 31, 2024. Current assets decreased by **$12.7 million**, primarily due to a decrease in accounts receivable and cash, while inventories increased[18](index=18&type=chunk) - Total liabilities increased by **$15.3 million**, driven by an increase in long-term borrowings on the revolving credit facility and financing lease obligations, partially offset by a decrease in current liabilities[18](index=18&type=chunk) - Total stockholders' equity decreased by **$15.4 million**, from **$362.8 million** at December 31, 2024, to **$347.4 million** at June 30, 2025, mainly due to net losses and dividend payments[18](index=18&type=chunk) [Unaudited Condensed Consolidated Statements of Operations](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) Condensed Consolidated Statements of Operations (In thousands, except per-share amounts) | (In thousands, except per-share amounts) | Three months ended June 30, 2025 | Three months ended June 30, 2024 | Six months ended June 30, 2025 | Six months ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $152,959 | $155,315 | $287,615 | $327,991 | | Total costs and expenses | 166,803 | 149,900 | 313,481 | 319,302 | | Operating (loss) income | (13,844) | 5,415 | (25,866) | 8,689 | | Net (loss) income | $(13,974) | $5,541 | $(23,431) | $7,573 | | Basic - Class A EPS | $(0.29) | $0.08 | $(0.48) | $0.08 | | Basic - Class B EPS | $(0.12) | $0.18 | $(0.31) | $0.42 | | Diluted - Class A EPS | $(0.29) | $0.08 | $(0.48) | $0.08 | | Diluted - Class B EPS | $(0.12) | $0.18 | $(0.31) | $0.41 | - Revenue decreased by **1.5%** for the three months ended June 30, 2025, and by **12.3%** for the six months ended June 30, 2025, compared to the same periods in 2024, primarily due to lower metallurgical coal prices[19](index=19&type=chunk) - The Company reported a net loss of **$14.0 million** for Q2 2025 and **$23.4 million** for the six months ended June 30, 2025, a significant decline from net income of **$5.5 million** and **$7.6 million** in the respective prior-year periods[19](index=19&type=chunk) - Operating income shifted to a loss of **$13.8 million** in Q2 2025 and **$25.9 million** for the six months ended June 30, 2025, from positive operating income in the prior year, reflecting the impact of decreased revenue and increased costs[19](index=19&type=chunk) [Unaudited Condensed Consolidated Statements of Stockholders' Equity](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) Condensed Consolidated Statements of Stockholders' Equity (In thousands) | (In thousands) | Balance at January 1, 2025 | Stock-based compensation | Shares surrendered for withholding taxes payable | Cash dividends and dividend equivalents declared | Non-cash dividends declared and distributed | Non-cash dividends declared but not distributed | Net (loss) | Balance at June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Class A Common Stock | $438 | $6 | $0 | $0 | $0 | $0 | $0 | $444 | | Class B Common Stock | $95 | $1 | $0 | $0 | $7 | $0 | $0 | $103 | | Additional Paid-in Capital | $292,739 | $8,105 | $(2,680) | $0 | $16,177 | $0 | $0 | $314,341 | | Retained Earnings | $69,534 | $0 | $0 | $(3,718) | $(6,556) | $(3,278) | $(23,431) | $32,551 | | Total Stockholders' Equity | $362,806 | $8,112 | $(2,680) | $(3,718) | $9,628 | $(3,278) | $(23,431) | $347,439 | - Total stockholders' equity decreased from **$362.8 million** at January 1, 2025, to **$347.4 million** at June 30, 2025, primarily due to a net loss of **$23.4 million** and cash/non-cash dividends declared[23](index=23&type=chunk) - Additional paid-in capital increased by **$21.6 million**, driven by stock-based compensation and non-cash dividends declared and distributed, partially offset by shares surrendered for withholding taxes[23](index=23&type=chunk) - Retained earnings decreased significantly from **$69.5 million** to **$32.6 million**, reflecting the net loss for the period and dividend declarations[23](index=23&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Condensed Consolidated Statements of Cash Flows (In thousands) | (In thousands) | Six months ended June 30, 2025 | Six months ended June 30, 2024 | | :--- | :--- | :--- | | Net cash from operating activities | $21,779 | $59,602 | | Net cash used in investing activities | $(36,355) | $(39,983) | | Net cash from (used in) financing activities | $9,697 | $(34,010) | | Net change in cash and cash equivalents and restricted cash | $(4,879) | $(14,391) | | Cash and cash equivalents and restricted cash, end of period | $28,944 | $28,390 | - Net cash from operating activities decreased significantly to **$21.8 million** for the six months ended June 30, 20

[Second Quarter 2025 Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Ramaco reported a net loss of $14.0 million and Adjusted EBITDA of $9.0 million in Q2 2025, achieving record production despite market weakness and revising full-year guidance Q2 2025 Key Financial Metrics | Metric | Value | | :--- | :--- | | Net Loss | $(14.0) million | | Diluted EPS (Class A) | $(0.29) | | Adjusted EBITDA | $9.0 million | | Non-GAAP Cash Cost per Ton | $103 | - Achieved a quarterly production record for the second consecutive quarter, producing approximately **1.0 million tons**[6](index=6&type=chunk) - Full-year 2025 production and sales guidance is now anticipated to be at the low end of the ranges (**3.9–4.3 million tons** and **4.1–4.5 million tons**, respectively), reflecting the temporary idling of the Rockhouse Eagle mine[6](index=6&type=chunk) - Increased 2025 SG&A guidance from **$36 - $40 million** to **$39 - $43 million** to support the accelerated development of the Brook Mine rare earth operation[7](index=7&type=chunk) - As of June 30, 2025, total sales commitments for the year reached **3.9 million tons**, representing over **95%** of the midpoint of 2025 production guidance. This includes **2.9 million tons** at a combined average fixed price of **$133 per ton**[6](index=6&type=chunk) [Management Commentary](index=2&type=section&id=Management%20Commentary) Management discusses the strategic shift to a dual-platform model, balancing metallurgical coal challenges with accelerated rare earth development and government support [Rare Earths and Critical Minerals Business](index=2&type=section&id=Rare%20Earths%20and%20Critical%20Minerals%20Business) Ramaco is accelerating its Brook Mine rare earth project, with mining commencing and commercial production targeted for 2027, supported by a PEA showing a **$1.197 billion** NPV8 and **38%** IRR - The company is evolving into a dual-platform company, combining its metallurgical coal operations with the development of the Brook Mine rare earth project to support U.S. strategic supply chain goals[9](index=9&type=chunk)[11](index=11&type=chunk) Brook Mine Preliminary Economic Assessment (PEA) Summary | Metric | Value | | :--- | :--- | | NPV (8% discount rate, pre-tax) | $1.197 billion | | NPV (10% discount rate, pre-tax) | $898 million | | IRR (Internal Rate of Return) | 38% | | Initial Capital Cost Estimate | $473 million | - The commercial timeline for the rare earth operation has been accelerated, with initial commercial production now anticipated in **2027**, a year earlier than previously planned[11](index=11&type=chunk) - The deposit is described as "massive" with an estimated **1.7 million tons** of Total Rare Earth Oxide (TREO) from exploring only one-third of the site. It contains unique heavy REEs and critical minerals not currently produced in commercially feasible deposits in the U.S.[16](index=16&type=chunk) [Metallurgical Coal Business and Market Outlook](index=4&type=section&id=Metallurgical%20Coal%20Business%20and%20Market%20Outlook) The metallurgical coal business faces macroeconomic headwinds and weak pricing, leading to reduced guidance, but shows signs of potential recovery in H2 2025 with rebounding Chinese coking coal prices - The metallurgical coal industry has been negatively affected by macroeconomic headwinds and weak pricing in export spot markets, prompting the company to reduce guidance[18](index=18&type=chunk)[19](index=19&type=chunk) - Encouraging market signs have emerged, with Chinese domestic coking coal prices rebounding approximately **38%** in July 2025, suggesting a potential for a firmer pricing environment in the second half of the year[20](index=20&type=chunk) - Despite current market weakness, Ramaco remains operationally prepared to grow its production profile from **4 million tons** to approximately **7 million tons** once market clarity improves[23](index=23&type=chunk) [Corporate Strategy and Government Initiatives](index=4&type=section&id=Corporate%20Strategy%20and%20Government%20Initiatives) Ramaco's strategy focuses on becoming a dual critical minerals producer (coal and rare earths), supported by government initiatives like the 45X tax credit for metallurgical coal - The company is coordinating with the White House's National Energy Dominance Council, Dept. of Interior, Dept. of Defense, and National Security Council to fast-track the REE and critical minerals development[17](index=17&type=chunk) - Metallurgical coal has been declared a critical mineral, and the "One Big Beautiful Bill Act" adds it to the list of minerals eligible for the section 45X Advanced Manufacturing Tax Credit, which is expected to positively impact Adjusted EBITDA and Net Income from **2026**[24](index=24&type=chunk)[25](index=25&type=chunk) - The company is rapidly transitioning into the only major U.S. operator of two forms of critical minerals—rare earths and metallurgical coal—with significant long-term growth prospects[29](index=29&type=chunk) [Financial and Operational Performance](index=5&type=section&id=Financial%20and%20Operational%20Performance) Ramaco achieved record Q2 2025 production of **999,000 tons** but faced lower pricing and reduced cash margins, while maintaining strong liquidity post-debt refinancing Key Financial and Operational Metrics | Metric | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Total Tons Sold (thousands) | 1,079 | 915 | +18% | | Revenue ($ millions) | $153.0 | $155.3 | -2% | | Net (Loss) Income ($ millions) | $(14.0) | $5.5 | -362% | | Adjusted EBITDA ($ millions) | $9.0 | $28.8 | -69% | | Non-GAAP Revenue ($/Ton) | $123 | $143 | -14% | | Non-GAAP Cash Cost ($/Ton) | $103 | $108 | -5% | | Non-GAAP Cash Margin ($/Ton) | $20 | $35 | -43% | [Q2 2025 Performance Analysis](index=5&type=section&id=Q2%202025%20Performance%20Analysis) Q2 2025 saw record production but reduced cash margins year-over-year due to lower pricing, and sequentially, higher cash costs impacted profitability - **Year-over-Year:** Quarterly production increased **11%** to a record **999,000 tons**. However, average pricing fell **14%** to **$123 per ton**, while cash costs decreased **5%** to **$103 per ton**, resulting in cash margins of **$20 per ton** (down from **$35**)[34](index=34&type=chunk)[35](index=35&type=chunk)[36](index=36&type=chunk) - **Sequential Quarter:** Production increased **1%** from Q1 2025. Realized pricing was up **1%** to **$123 per ton**. Cash costs increased **5%** to **$103 per ton**, causing cash margins to decrease to **$20 per ton** from **$24 per ton** in Q1[37](index=37&type=chunk)[38](index=38&type=chunk)[39](index=39&type=chunk)[40](index=40&type=chunk) [Balance Sheet and Liquidity](index=7&type=section&id=Balance%20Sheet%20and%20Liquidity) As of June 30, 2025, liquidity was **$87.3 million**, increasing to **$105 million** post-July debt refinancing, with Q2 capital expenditures at **$15.1 million** and expected to decline - As of June 30, 2025, liquidity was **$87.3 million** (**$28.1 million** cash + **$65.7 million** revolver availability), up **22%** YoY[41](index=41&type=chunk) - Post-quarter end, the company refinanced debt, increasing liquidity to roughly **$105 million** as of July 31, 2025[42](index=42&type=chunk) - Q2 2025 capital expenditures were **$15.1 million**, down **25%** sequentially and **29%** YoY. Capex is expected to decline in H2 2025[43](index=43&type=chunk) [2025 Outlook and Guidance](index=8&type=section&id=2025%20Outlook%20and%20Guidance) Ramaco updated its full-year 2025 guidance, projecting production and sales at the low end of ranges, with increased SG&A for rare earth development and significant sales commitments secured [Full-Year 2025 Guidance](index=8&type=section&id=Full-Year%202025%20Guidance) Full-year 2025 guidance anticipates production and sales at the low end of ranges, with cash costs between **$96** and **$102** per ton, and SG&A increased to **$39-$43 million** Full-Year 2025 Guidance | Metric | 2025 Guidance | 2024 Actual | | :--- | :--- | :--- | | Company Production (million tons) | 3.9 - 4.3 (f) | 3.671 | | Sales (million tons) | 4.1 - 4.5 (f) | 3.989 | | Cash Costs Per Ton Sold ($/Ton) | $96 - $102 | $105 | | Capital Expenditures ($ millions) | $55 - $65 | $68.842 | | SG&A Expense ($ millions) | $39 - $43 | $31.820 | | Effective Tax Rate (%) | 25 - 30 | 25 | (f) Low end of the range [Committed Sales Volume](index=9&type=section&id=Committed%20Sales%20Volume) As of June 30, 2025, Ramaco committed **3.9 million tons** for the year, including **2.9 million tons** at a fixed average price of **$133 per ton** Committed 2025 Sales Volume (as of June 30, 2025) | Customer/Pricing Type | Volume (million tons) | Average Price ($/ton) | | :--- | :--- | :--- | | North America, fixed priced | 1.6 | $152 | | Seaborne, fixed priced | 1.3 | $109 | | **Total, fixed priced** | **2.9** | **$133** | | Index priced | 1.0 | N/A | | **Total committed tons** | **3.9** | N/A | [Consolidated Financial Statements (Unaudited)](index=11&type=section&id=Consolidated%20Financial%20Statements%20(Unaudited)) This section presents the unaudited consolidated financial statements for Q2 and H1 2025, including Statements of Operations, Balance Sheets, and Cash Flows [Statements of Operations](index=11&type=section&id=Statements%20of%20Operations) The Statements of Operations show a Q2 2025 net loss of **$14.0 million** and a H1 2025 net loss of **$23.4 million**, driven by lower revenues and higher costs Consolidated Statements of Operations Highlights (in thousands) | In thousands | Three months ended June 30, 2025 | Three months ended June 30, 2024 | Six months ended June 30, 2025 | Six months ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $152,959 | $155,315 | $287,615 | $327,991 | | Total costs and expenses | $166,803 | $149,900 | $313,481 | $319,302 | | Operating (loss) income | $(13,844) | $5,415 | $(25,866) | $8,689 | | Net (loss) income | $(13,974) | $5,541 | $(23,431) | $7,573 | | Diluted EPS - Class A | $(0.29) | $0.08 | $(0.48) | $0.08 | [Balance Sheets](index=12&type=section&id=Balance%20Sheets) The Balance Sheet shows total assets of **$674.6 million** as of June 30, 2025, with increased liabilities due to a **$25.0 million** revolver draw and decreased equity Consolidated Balance Sheets Highlights (in thousands) | In thousands | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $28,130 | $33,009 | | Total current assets | $154,910 | $167,634 | | Total Assets | $674,646 | $674,686 | | **Liabilities and Stockholders' Equity** | | | | Total current liabilities | $113,787 | $122,428 | | Long-term borrowing on revolving credit facility | $25,000 | $— | | Total liabilities | $327,207 | $311,880 | | Total stockholders' equity | $347,439 | $362,806 | | Total Liabilities and Stockholders' Equity | $674,646 | $674,686 | [Statement of Cash Flows](index=13&type=section&id=Statement%20of%20Cash%20Flows) For H1 2025, net cash from operating activities was **$21.8 million**, with **$36.4 million** used in investing and **$9.7 million** provided by financing, resulting in a **$4.9 million** net cash decrease Statement of Cash Flows Highlights (Six months ended June 30, in thousands) | In thousands | 2025 | 2024 | | :--- | :--- | :--- | | Net cash from operating activities | $21,779 | $59,602 | | Net cash used for investing activities | $(36,355) | $(39,983) | | Net Provided by (used) for financing activities | $9,697 | $(34,010) | | Net change in cash and cash equivalents | $(4,879) | $(14,391) | | Cash and cash equivalents, end of period | $28,944 | $28,390 | [Reconciliation of Non-GAAP Measures](index=14&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) This section reconciles non-GAAP measures like Adjusted EBITDA, non-GAAP revenue per ton, and non-GAAP cash cost per ton to provide clearer operational insights [Adjusted EBITDA Reconciliation](index=14&type=section&id=Adjusted%20EBITDA%20Reconciliation) Adjusted EBITDA for Q2 2025 was **$9.0 million**, a decrease from Q2 2024, reconciled from a net loss of **$14.0 million** by adjusting for non-cash and non-operating items Reconciliation of Net (Loss) Income to Adjusted EBITDA (in thousands) | In thousands | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net (loss) income | $(13,974) | $(9,457) | $5,541 | | Depreciation, depletion, and amortization | $17,038 | $17,542 | $15,879 | | Interest expense, net | $2,818 | $2,230 | $1,481 | | Income tax (benefit) expense | $(2,030) | $(4,290) | $915 | | Stock-based compensation & other | $5,153 | $3,763 | $4,983 | | **Adjusted EBITDA** | **$9,005** | **$9,788** | **$28,799** | [Non-GAAP Revenue and Cash Cost Per Ton](index=14&type=section&id=Non-GAAP%20Revenue%20and%20Cash%20Cost%20Per%20Ton) Q2 2025 non-GAAP revenue per ton was **$123** and cash cost per ton was **$103**, yielding a **$20** cash margin, derived by adjusting GAAP figures for mine-level profitability Non-GAAP Revenue Per Ton Reconciliation (Q2 2025, in thousands) | Metric | Value | | :--- | :--- | | Revenue (GAAP) ($ thousands) | $152,959 | | Less: Transportation ($ thousands) | $20,608 | | **Non-GAAP revenue (FOB mine) ($ thousands)** | **$132,351** | | Tons sold (thousands) | 1,079 | | **Non-GAAP revenue per ton sold ($/ton)** | **$123** | Non-GAAP Cash Cost Per Ton Reconciliation (Q2 2025, in thousands) | Metric | Value | | :--- | :--- | | Cost of sales (GAAP) ($ thousands) | $134,182 | | Less: Transportation costs ($ thousands) | $20,673 | | Less: Alternative mineral development costs ($ thousands) | $1,918 | | Less: Idle and other costs ($ thousands) | $686 | | **Non-GAAP cash cost of sales ($ thousands)** | **$110,905** | | Tons sold (thousands) | 1,079 | | **Non-GAAP cash cost per ton sold ($/ton)** | **$103**

Core Insights - Ramaco Resources, Inc. has received a second 5-year mine permit approval for the Brook Mine, allowing continued coal mining and reclamation activities across 4,548.8 acres in Wyoming [1][2] - The permit signifies compliance with regulatory requirements, enhancing stakeholder confidence in the company's operational capabilities [2] - The Brook Mine Carbon Ore Rare Earth project marks the first new rare earth mine in the U.S. in over 70 years and the first new coal mine in Wyoming in over 50 years, contributing to national efforts to reduce reliance on foreign critical minerals [3] Company Developments - Wyoming Governor Mark Gordon approved a $6.1 million Energy Matching Fund grant to support the construction of a pilot-scale processing facility at the Brook Mine, with construction set to begin later this year [4] - Ramaco Resources operates and develops high-quality metallurgical coal and is also a developing producer of coal, rare earth, and critical minerals in Wyoming [5] - The company has discovered a major deposit of primary magnetic rare earths and critical minerals at its mine near Sheridan, Wyoming, and operates a carbon research and pilot facility related to advanced carbon products [5]

Core Insights - Ramaco Resources, Inc. has released a summary of the independent Preliminary Economic Assessment (PEA) for its Brook Mine, prepared by Fluor Corporation, indicating the mine's commercial and technological feasibility [1][2] - The company is optimistic about the future, with a ribbon-cutting ceremony for the Brook Mine scheduled, marking a significant milestone for both Ramaco and the nation [2] Company Overview - Ramaco Resources, Inc. operates and develops high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia, and is also involved in coal, rare earth, and critical minerals production in Wyoming [3] - The company has four active metallurgical coal mining complexes in Central Appalachia and is in the initial stages of production for a coal mine and rare earth development in Wyoming [3] - In 2023, Ramaco discovered a major deposit of primary magnetic rare earths and critical minerals at its Wyoming mine, and operates a carbon research facility related to advanced carbon products from coal [3] Future Prospects - The results of the PEA suggest that the Brook Mine will contribute positively to the company's growth and operational capabilities, aligning with its strategic objectives in the coal and rare earth sectors [2][3]

Core Insights - Ramaco Resources, Inc. will receive a Preliminary Economic Assessment (PEA) of its Brook Mine from Fluor Corporation on July 9, 2025, which will be presented to the Board of Directors [1] - Following the presentation, Ramaco expects to release a summary of the updated information on its website within the week [1] Company Overview - Ramaco Resources, Inc. operates and develops high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia, and is also a developing producer of coal, rare earth, and critical minerals in Wyoming [2] - The company has four active metallurgical coal mining complexes in Central Appalachia and is in the initial stages of production at a coal mine and rare earth development near Sheridan, Wyoming [2] - In 2023, a major deposit of primary magnetic rare earths and critical minerals was discovered at the Wyoming mine [2] - Ramaco operates a carbon research and pilot facility related to the production of advanced carbon products and materials from coal, holding approximately 76 intellectual property patents and various licensing agreements [2]

Core Insights - The Fluor Corporation will deliver a full Preliminary Economic Assessment (PEA) of Ramaco Resources' Brook Mine by July 8, 2025, indicating a significant advancement in the project [1][2] - The Brook Mine is believed to contain the largest unconventional deposit of rare earth elements and critical minerals sourced from coal, which is commercially and technologically feasible [2][4] Economic Viability - The updated PEA confirms the viability of the Brook Mine project, validating Ramaco's development strategy and providing momentum for future phases [4] - The PEA outlines a net present value (NPV) of $1.197 billion at an 8% discount rate and $898 million at a 10% discount rate, with an internal rate of return (IRR) of 38% and an initial capital cost estimate of $473 million [8][15] Production and Revenue Projections - The project anticipates an adjusted EBITDA of $134 million by 2028, reaching $143 million by 2029, with annual revenue projected at $378 million [8][15] - The Brook Mine is expected to produce 1,242 short tons of rare earth oxides annually, including 456 tons of various critical minerals [11][12] Cost Structure - The total initial capital cost is estimated at $579 million, including a 22% contingency [9] - Annual steady-state costs are projected at $235 million, with mining costs at $27 million and processing costs at $195 million [12][15] Unique Geological Profile - The Brook Mine's geological profile allows for a more efficient extraction process with lower capital intensity compared to traditional hard rock mining, significantly reducing operational complexity and costs [5][6] Strategic Importance - The Brook Mine will be one of only two domestic sources of rare earth elements and the only source of heavy rare earth elements and critical minerals vital for the U.S. defense industry [18][19] - The mine is projected to support 3-5% of total U.S. permanent magnet demand and over 30% of the demand for U.S. defense applications [18] Development Timeline - Initial mining activities have commenced to procure ore for pilot-scale testing, with a pilot plant expected to be operational by mid-2026 [16]

Company Overview - Ramaco Resources, Inc. operates and develops high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia, and is also a developing producer of coal, rare earth, and critical minerals in Wyoming [1] - The company has four active metallurgical coal mining complexes in Central Appalachia and one coal mine and rare earth development project near Sheridan, Wyoming, which is in the initial stages of production [1] - In 2023, a major deposit of primary magnetic rare earths and critical minerals was discovered at the Wyoming mine [1] Intellectual Property and Research - Ramaco Resources holds approximately 76 intellectual property patents, pending applications, exclusive licensing agreements, and various trademarks related to its operations [1] - The company operates a carbon research and pilot facility focused on producing advanced carbon products and materials from coal [1] Communication and Investor Relations - Additional information about Ramaco Resources, including filings with the Securities and Exchange Commission, is available on its website [1] - Investor relations can be contacted via email or phone for further inquiries [2]

Group 1 - Ramaco Resources, Inc. is a low-cost metallurgical coal producer with operations in Appalachia [1] - The company plans to expand into rare earth elements (REEs) and critical minerals through its Brook Mine in Wyoming [1] - Ramaco Resources is noted for its cost-efficiency in the metallurgical coal sector [1]

Company Overview - Ramaco Resources, Inc. operates and develops high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia, and is emerging as a producer of rare earth elements and critical minerals [3] - The company has active mining complexes in Central Appalachia and the Brook Mine in Sheridan, Wyoming, where significant deposits of rare earth elements have been discovered [3] - Ramaco holds approximately 50 intellectual property patents, pending applications, exclusive licensing agreements, and various trademarks related to its operations [3] Leadership Changes - Aurelia Skipwith Giacometto has joined Earth & Water Law, LLC as a partner while continuing her role on the Board of Directors of Ramaco Resources [1][2] - Aurelia has over 20 years of experience in agriculture, wildlife conservation, and energy development, including her recent position as the 14th Secretary of the Louisiana Department of Environmental Quality [1] - The leadership of Aurelia has been recognized for driving innovation and fostering collaboration within the company, contributing significantly to its direction and success [2]

Revenue Performance - Revenue for the first three months of 2025 was $134.7 million, approximately 22% lower than the same period in 2024, driven by a decrease in pricing despite a 2% increase in tons sold [125]. - Total revenue for the three months ended March 31, 2025, was $134.7 million, a decrease of 22% compared to $172.7 million for the same period in 2024 [157]. - Non-GAAP revenue (FOB mine) for the three months ended March 31, 2025, was $115.6 million, down from $144.4 million in 2024, reflecting a decrease of approximately 20% [157]. - The average revenue per ton sold decreased by 24% from $186 in Q1 2024 to $142 in Q1 2025, attributed to variability in index-based pricing for export sales [128]. Sales and Production - The company sold 0.9 million tons of coal in Q1 2025, with 67% of revenue from export markets, compared to 0.9 million tons sold in Q1 2024, where 69% of revenue was from exports [115]. - The company produced 1.0 million tons in Q1 2025, up from 0.8 million tons in Q1 2024, with full-year production expected between 3.9 and 4.3 million tons [121]. - As of March 31, 2025, the company had outstanding performance obligations of approximately 1.5 million tons at an average fixed sales price of $154 per ton [118]. Financial Performance - Adjusted EBITDA for the three months ended March 31, 2025, was $9.8 million, significantly lower than $24.2 million in the same period of 2024, representing a decline of about 60% [156]. - The company reported a net loss of $9.5 million for the three months ended March 31, 2025, compared to a net income of $2.0 million in 2024 [156]. - Cash flows from operating activities were $26.0 million in Q1 2025, driven by net earnings adjusted for non-cash expenses [141]. Capital Expenditures - Total capital expenditures in Q1 2025 were $20.3 million, an increase from $18.7 million in Q1 2024, primarily due to strategic growth projects at the Maben preparation plant [120]. - Capital expenditures for the period totaled $20.3 million, with significant investments in the preparation plant and Maben complex expansion [145]. - Future capital expenditures may be adjusted based on liquidity needs and market conditions, with potential funding through debt or equity securities if cash flows are insufficient [147]. Cash and Financing - The company had $43.5 million in cash and cash equivalents and $74.9 million of remaining availability under its Revolving Credit Facility as of March 31, 2025 [140]. - Cash inflows from financing activities totaled $6.7 million, including net proceeds from borrowing of $15.9 million [145]. - The company filed a shelf registration statement on September 1, 2023, to sell securities with an aggregate initial offering price of up to $400 million [148]. Taxation - The effective tax rate for Q1 2025 was 31%, compared to 21% in Q1 2024, influenced by state taxes and non-deductible expenses [136]. Dividends - The company anticipates declaring similar dividends on a quarterly basis, with 20% of cash available for dividend for Class B common stock amounting to $1.9 million for the current period [144]. Grants and Development - The company received a $6.1 million matching grant from the Wyoming Energy Authority for the development of a pilot processing facility for rare earth elements and critical minerals [122]. Cost Efficiency - Non-GAAP cash cost per ton sold (FOB mine) was $98 for the three months ended March 31, 2025, down from $118 in 2024, indicating improved cost efficiency [158].