American Resources(US:AREC)2024-11-14 21:12Financial Performance - American Resources Corporation reported a net loss of $9.8 million or $0.13 per share for Q3 2024, compared to a net loss of $274,167 or $0.00 per share in Q3 2023[20]. - Total revenues for Q3 2024 were $235,443, a significant decrease from $5.81 million in Q3 2023[21]. - General and administrative expenses increased to $4.37 million in Q3 2024 from $1.72 million in the prior year period[21]. - The company incurred an adjusted EBITDA loss of $6.9 million for Q3 2024, compared to an adjusted EBITDA of $1.27 million for Q3 2023[20]. - The net loss attributable to AREC shareholders for the nine months ended September 30, 2024, was $9,792,782, compared to a net loss of $21,737,543 for the same period in 2023[24]. - The company reported a net loss of $21,899,319 for the nine months ended September 30, 2024, compared to a net loss of $11,608,907 for the same period in 2023[27]. - Cash used in operating activities was $(16,552,271) for the nine months ended September 30, 2024, compared to $(15,916,641) for the same period in 2023[27]. - Adjusted EBITDA for the three months ended September 30, 2024, was $(6,929,615), a decrease from $1,265,891 in the prior year[8]. - Total adjustments to net income for the three months ended September 30, 2024, amounted to $2,878,632, compared to $1,540,058 in 2023[8]. - The company emphasizes that Adjusted EBITDA should not be considered in isolation from GAAP measures of financial performance[8]. Assets and Liabilities - Total current assets increased to $4,973,460 as of September 30, 2024, from $4,869,812 as of December 31, 2023[25]. - Cash and cash equivalents, including restricted cash, increased to $166,151,732 at the end of the period, up from $43,396,629 at the end of the same period last year[28]. - Total liabilities increased significantly to $264,949,256 as of September 30, 2024, compared to $96,285,461 as of December 31, 2023[26]. - The total stockholders' equity showed a deficit of $(51,524,856) as of September 30, 2024, compared to $(31,189,345) as of December 31, 2023[26]. - The weighted average shares outstanding for basic and diluted earnings per share was 77,400,289 for the nine months ended September 30, 2024[24]. - The company recorded total other income (expenses) of $(1,342,898) for the nine months ended September 30, 2024, compared to $(606,334) for the same period in 2023[24]. - The company reported an increase in inventories to $2,029,812 as of September 30, 2024, from $54,000 as of December 31, 2023[25]. Business Developments - ReElement Technologies commenced daily production of purified rare earth elements at 99.5%+ purity, integrating process automation to enhance capacity and efficiency[5]. - American Resources secured a $150 million bond purchase agreement for the development of the Kentucky Lithium LLC complex, the first critical mineral refining facility of its kind in the U.S.[11]. - The company announced a special dividend of shares in its subsidiary, ReElement Technologies Corporation, to be distributed on or about February 15, 2025[14]. - American Resources established a partnership with LOHUM Cleantech to develop the U.S.'s first fully integrated battery recycling and material refining entity[12]. - The company reported over 550 ppm of rare earth element deposits at its Wyoming County Coal project, verified by an independent third-party laboratory[13]. - American Resources is actively pursuing additional partnerships to enhance feedstocks for critical minerals and rare earth elements[17]. Strategic Focus - American Resources Corporation focuses on the extraction and processing of metallurgical carbon and rare earth minerals, essential for steelmaking and electrification markets[30]. - The company operates in the Central Appalachian basin, where premium quality metallurgical carbon and rare earth mineral deposits are concentrated[30]. - ReElement Technologies, a subsidiary of American Resources, provides high-performance refining capacity for rare earth and critical battery elements[32]. - ReElement's innovative process aims to create a cost-effective and environmentally safe circular supply chain for magnet and battery-grade products[32]. - The company has established a low-cost business model that allows for scaling its asset portfolio to meet global infrastructure demands[31]. Forward-Looking Statements - American Resources Corporation does not undertake any obligation to update forward-looking statements made in its communications[33].