#United States #Ramaco Resources #Lexington #Class A Dividend #Coal Industry

Ramaco Resources Provides Guidance for 2025

Ramaco Resources, Inc., trading under NASDAQ symbol METC and METCB, is a prominent figure in the metallurgical coal industry, particularly in Central Appalachia. Recently, the company shared its preliminary operational and financial outlook for the year 2025, raising expectations of significant growth amidst fluctuating market conditions.

2025 Guidance Overview

Ramaco forecasts its sales volume for 2025 to be between 4.4 million and 4.8 million tons. This projection could exceed 5 million tons, depending heavily on the market dynamics. Meanwhile, production is estimated to range from 4.2 to 4.6 million tons, providing flexibility based on market demands.

Notably, Ramaco's Elk Creek and Berwind complexes are expected to experience production increases. However, production at the Knox Creek Complex may decline due to the closure of the Jawbone Mine. The anticipated midpoint of both production and sales suggests a remarkable annual growth of over 15% compared to 2024 figures.

As of November 30, 2024, the company secured sales commitments totaling approximately 2.9 million tons, or about 66% of the expected production at the midpoint guidance. Of this, 1.6 million tons are earmarked for North American markets at an average price of $152 per ton, while 1.3 million tons are linked to export markets with index-based pricing.

Financial projections indicate that cash costs of sales per ton are likely to fall between $97 and $103, reflecting the pressures of continuing inflation but also the benefits of increased production volumes. Ramaco plans to allocate $60 to $70 million for capital expenditures, with approximately $20 million dedicated to enhancing production capacity at both the Elk Creek and Berwind mines.

Dividend Announcements

In addition to guidance, Ramaco declared a quarterly Class A dividend of $0.1375 per share for the first quarter of 2025. This dividend will be payable on March 14, 2025, to stockholders of record as of February 28, 2025, and will be distributed in the form of Class B shares. Investors can expect the specifics on the Class B dividend amount following the completion of the company’s year-end financial review.

Moreover, the fourth quarter dividend details reveal that Class A shareholders who owned shares as of December 2, 2024, will also receive dividends on December 16, 2024. The dividends for Class A and Class B shares will be given in shares of Class B common stock, calculated based on the share price on the record date.

About Ramaco Resources

Ramaco Resources operates actively in the development of high-quality metallurgical coal, and plans to expand into the production of rare earth elements and critical minerals from its site in Wyoming. The company, headquartered in Lexington, Kentucky, oversees multiple mining complexes and is at the forefront of coal innovation and sustainability initiatives, holding several patents and licenses.

For more information and updates on Ramaco Resources, shareholders can visit Ramaco Resources' Official Website or reach out through investor relations at (859) 244-7455 for any inquiries regarding their investment or recent corporate developments.

Cautionary Notes

It is crucial for investors to consider that forward-looking statements made by Ramaco regarding financial estimates and operational goals come with inherent risks and uncertainties. Potential challenges include market fluctuations, regulatory pressures, and operational setbacks, which could impact actual performance compared to the company’s projections. Investors are advised to stay informed of these factors and regularly consult SEC filings for thorough insights into the company's outlook.

Conclusion

As Ramaco Resources moves into 2025, it stands at a pivotal moment that combines expansion efforts with a commitment to shareholder returns. With production enhancements and sound dividend strategies, the company aims to solidify its position in the competitive coal and mineral market, promising significant potential for both growth and investor reward.