Ramaco Resources (METC) 4 May 232023 Q1 Earnings call transcript

Welcome to the Ramaco Resources First Quarter 2023 Earnings Conference Call. At this time, our participants have been placed in a listen-only-mode, and the floor will be open for your questions following the presentation. [Operator Instructions]

I would now like to turn the call over to Jeremy Sussman, Chief Financial Officer. Sir, please go ahead.

you. Thank Ramaco first to call. quarter of you all I'd our to XXXX Resources, behalf welcome like of On earnings conference me Chief Randy and is this Chairman With CEO; and Atkins, Chris Officer. Operating our our Blanchard, morning

and statements Before Litigation cautionary Certain we XXXX. Reform constitute statements Act items normal of meaning forward-looking call statements statement. could statements. concerning results many subject to are within today's other future uncertainties of of start, which factors, the which the to risks, control, represent on the differ our These like forward-looking I'd cause outside Ramaco's share expectations are discussed forward-looking events. Private discussed in the These Securities of to results materially Ramaco's from actual

you I'd call to the website on measures website, to and Lastly, today's we plan under be on only is or future of everyone which whether forward-looking by our non-GAAP remind you as on as obligation that today undertake required on which as our any of can in a result speaks that made, discuss viewed press presentation investor the information, ramacoresources.com, also except financial Ramaco update to of date it release, events does law, find not statements, otherwise. to a to I'd go any the forward-looking like this Any encourage reconciliation revise can and Calendar. download our or statements Events new

With that said, let Chairman Randy introduce me CEO, our and Atkins.

and to morning call. everyone, Good thanks for Jeremy. the joining Thanks,

morning. unpack lot to a have this We

QX. First off, in we executed well

investors separate to the direction us. happy deposits Wyoming. news independent to incurred Also managed to to goal ahead quarterly this that we unique from the bit yesterday, 'XX discovery much in to with a on our setbacks with new lead is reverse rails, performance, quarter help Start, on that shareholder our in terms working letter quarter, per jumped significant year-end, We XX% told are also expected. related had far, operational In for I'm the was per achieved our note a some coal ship our QX, share confirmation I press this from to strong of of in we may earnings and steadily Thus to QX and a year, discuss will we up Fortunately, we railroad release $XX Last better XX% results. ended to million execute. we in jumped adjusted share. in and filed production both EBITDA a 'XX. the what $X.XX we sales. record and

result more are guidance, year As in better-than-expected our we talk a of performance, increasing detail about will sales Jeremy in moment. full production a our which and

cash mine In to QX. continued cash sequentially out likely declined Creek addition, among puts the inflationary almost per $XX QX fell and costs our costs wage Elk XX% cash from to in country. ton the per despite cost in mines than more ton $XX pressures, which lowest QX,

at tonnage on mid-'XX, costs and with than this the further. start 'XX of mine second forward extra as year, started ramping add decline reduce pleased to section that from Board basis the the of to I expectations. production which in company-wide tons annualized Berwind late of cost. will an additional March production and Berwind, has pulling second mine XXX,XXX approved cash addition, note continue am at Berwind the the recently should into mine earlier overall approximately section should half In by ramps line been even since anticipated first our production #X we

We first can our report also its Maben mine tons. that recently produced

capacity Elk tons by prep X X on annualized roughly project plant year-long startup Creek's increase addition, million basis. is an million the our In from imminently XX% from to to

that with ramp will at Elk commence We production capacity. processing

forecasted with under our On production of almost sold the per a million $XXX marketing tons X just contracted XX front, at price ton. have of we XX% fixed now

new our out now continues our Our pricing. year, reach to first index is contracted and markets team have Overall, India, of the tons increase guidance, aggressively and production at have Japan global Indonesia. tons footprint. the to which will to about we we sales of at sold for sold to XXX,XXX start And of not midpoint since be

pricing than position contracted our a our continues more While peer strong worldwide benchmark group. bit insulates to Ramaco lower, somewhat move

as at the balance in received the week, a we unconventional and As contain far production sales Washington good which rate. second play our recorded got some my Hamilton, running concentration with China. from say Energy highest as assessment Laboratory. as found should independent indeed the States high ETL strategic that of substantial the like largest million have with have RIEs moment increase research annualized of now the of in would U.S. Department plant. to Blanchard more exceptionally the in Elk a will They well is today's X.X of Berwind about our in I guidance shareholder ton to they elements deposits, part This road be rare down this a and our elements. operations on to a performing per back will surprised started rare of to an to found deposits that letter. turn the Energy's us of side. sales your the I've By in properties. us United mines as our the out one Mine areas in came looking year this of on half QX, an rare led major provided perhaps we of point background in of our laid significant major samples with later, have all years in Chris ramp as a identify well. had a deposits Technology to critical X our as Brook magnetic may million we year announcement. partnership Mine and country up one we this production for ago, assessment 'XX, we bar Brook nice earth earth coal valuable most containing That levels levels National The national Several in of candidly the phrase magnetic to were concentrations and they of of on deal it line clearly The journey to attention.

to drilling deposits. That reserve past report discovered chemical today on track have than encompasses production later area in Mine. geological years, in our report the the recognize on of site is extent the we ultimate is the website. the fast we is initial Brook X/X It area X what technical permitted, we is the analysis Over the on could target reporting now on subject have core and an assessment. by extensive and That embarked contained engineers. international this less to to year, of chemical important detail of determine independent exploration analysis on The where that further from our and the

will to work and entire property. also the the We the of future deposit here. the we whole across determine additional do go That contained dimension question begs from scale where then

scope analysis so assessment, will we others, continue can the of NETL overall with the chemical and drilling geological and the property deposit. on working we entire further understand First,

that process and into it largely type will typical the will in found structures. clay given best to softer what less to manner costly a friendly more also plays, harder concentrate. of process deposit REE REEs conventional We the the be an news The is environmentally study nature is and mineral good

mining. the We be as on the also I intend is Overall, we our REE call. to unique really clay States this less approach basically play of might the around And which we And only mining a study the much was at diligence, it mining more matter of first capture will this as we the we the and be I entire this economics techniques, what meant certainly be impression. will doing proceed perhaps will When old-fashioned proposition. processing in study of some course, of said on time. surface novel deploy straightforward United a to with find, will the unconventional

development not although the it lead my valuable will financial all met a a I said that This approach, we at to be in have same discipline eventually, very we this our with might business. farm. coal letter, developing in Ramaco will deployed bet-the-farm As look shareholder

is area of new step-by-step sure discussed that through on position make conservatism other a are cash to critical modular a mineral we And same and ready mining permitted, fund this currently intend the minerals. one is year, and in choose. a should take many we shovel idea we approach We unlike fast-moving this most what already this projects, critical to later flow to so by to is discipline development begin and projects. our have proceeding from Our apply correctly internal project in this

for could team a that important They producer also I floor turn I there company materially forward. solely into more And constituent would techniques as by the benefit a to and new National out turn companies. also to basis but will, products, the currently very a door valued into markets. not process. that and We they update would unfolds, coal, DOE's closing, In like are REE have REE could discovery become We in and to many hope hope in visibility the this new to on on magnetics. standpoint to well to be we mineral this rest will a the over be note of its regular with of from be partnership to producers Ramaco we say, be for as as this and a longer brave the as than critical the the REE experience minerals transform to met important type we discuss space Ramaco course, of investment our would their differently shareholders whole operating opens an move We detail overall investors, for very positive our very no unique But they going a tend an also different forward. science and operations as U.S., that, helped coal of finance, summary, with world. access Labs. especially

with please financial Jeremy, the rundown on in start our metrics overall So market. a

you, Thank Randy.

As to quarter beat have expectations that noted, a earnings you growth. is it a nice saw meaningful sequential and

tons the up on in compared XX% pricing railroad in was improvement tons up up costs first from production. we applaud the the XXX,XXX our $XXX per XXXX quarter the fourth We saw production, net and a which X% Company Overall Total with the first up better quarter QX of mine production quarter. from XX% than partners. of XXX,XXX fourth produced new cash meaningful ramped was XX% QX rail better ton, was sales service across mines income were was Our of cost metrics board. efforts in as of and QX. quarter, volume sales,

$XX were per ton ton, Creek Elk to cost cash per down mentioned, Randy As sequentially. $XX

We Berwind throughout meaningfully At anticipate year this expect and to Creek near scale to at to whole. better the to level Elk overall operate and the a time, achieved as cash fall both we throughout continue as of same fall year. ramp we economies Maben up production, the costs

ton ton in Pricing up QX, $X Realized per $X due shipped impacted per index negatively pricing cargo in was our per by APIX fourth was final the was quarter. early to January. $XXX from linked that ton

to Now key to I on the a like our our few guidance turning in tables. areas outlook, touch of would

anticipate first sales First, full with to the million and tons quarter. these back of production of strong board of raising and we X.X tons to now of tons. across of a we our sales, guidance XXX,XXX million million the exception are X.X We on XXXX maintaining X.X by million are X.X metrics both production year the

tax our to be is Second, around of while are would XX%. tax rate to point I XX%, we book that rate out just likely to X% cash our XX% maintaining

expected modestly it XXX,XXX relates Third, as are quarter sales second to levels tons. quarter, to first versus the of increase

first about down first from $XXX our In from levels metallurgical current averages. remain X% if ton. indices QX quarter at Thus, of is XX% average spot of we levels pricing for addition, QX, would to currently coal U.S. a pricing duration roughly fall anticipate quarter the realized XX%

to going update give currently this Asia. my sales with and remarks, marketing traveling in financial our While now concludes I'm Jason

structurally team our inroads solid is Randy to coal sales continues world demand growing. noted, high-quality where steel parts production As into of make and the for metallurgical

the production our new business, back now our of committed. have of tons XX% million we Asian On forecasted or X.X

in layer business export up continue throughout year we to ramp to continue will production. as the We new

weakness the In we signs strength signs are and out both of seeing market, terms overall of of there. some

So let's positives. with start

close year-to-date Chinese U.S. First, highs. and steel production to are

up prices steel hot it while is per to their more rolled U.S., X-month the is As than good at are above recent the pricing see high U.S. Indeed, capacity and a moving relates it XX%. same XX% to direction. lows, capacity $XX.XX both ton, around in steel utilization utilization from

total has coal. first throughout Second, overall an a would growth credit is year activity, to course, the increasing been Strong Chinese credit often with increase the hitting in all-time Chinese which metallurgical indicator growth of an in for be quarter. economic high lending positive leading

industry-wide fraction a space strong barriers been permitting been margins, despite of global coal have Third, CapEx what never ESG historically, given financing, challenges, into the higher. has overall entry and just it coal remains increased to

XX.X% declining China any bit, economic the None to Western backdrop PMI on providing is a Since there economic XX.X% and world, contraction bank of in market. in Now failures to into March. April, in concerns increased this the the headlines. negative uplift quarter, fell Expanding the in of near-term and western unexpectedly been inflation from on the both course, last in have, territory have side. dominated China. world In

production the lackluster year-to-date met prices steel are iron currently coal steel, on remains of lows in combination and strong, China ore demand. While near

current increasing talk steel there steel which could met margins, Given weak of demand. production in is coal reduce near-term cuts China,

In especially up, Australia. cleared the in this supply year disruptions we of addition, saw have some earlier

As offered a had met more has a for which result, negative prices recently. impact sale, we seeing on coal are

with However, Chinese lead strong pricing control factors mills into should and activity, sales demand inventories begin rebound year. look Furthermore, turn looking meantime, generally would we downstream the we pretty to later to have the costs. a which suggests met coal low. of once to which generally indeed this execute as we production in stabilize housing will that such ahead, year. heading we steel increased and to We next curve, better growth infrastructure credit agree expect believe prices and we In which to those into forward on to are XX% the met XX% as control stock coal would continue hope new of lead will shape

like to Operating now would I to turn Blanchard. over Officer, said, the call Chris. that With Chris our Chief

Jeremy. you, Thank

the steps As the number steel, Economies though, ramp-up continue these costs at will and of prep in XXXX new completed productivity steady of all levels through balance that the importantly, periods hitting state at we operational a per our drive quarter yet Elk wage increases levels Both the Creek and workforce all competition, the and training our ramp start reached on second and the and products. growth Randy the coal ongoing. of production on new added in ton in range additional stabilization scale, at production. expansion in have and alluded, of the of fuel, sections we accelerating costs the subsided of our inflationary Creek. sales-related $XX employees with consumable our and passed higher in Even into while higher chemicals pressures other first quarter, led Elk and pressures the plant the year. mines Creek of to helped haven't Most milestones Elk

final were last the The of upgrade will installation the place project week critical this itself, this month. made X anticipate stages deliveries Elk late next plant a its final to is entering tie-in and this equipment of weeks. weekends. over the Creek earlier Relating We take

allow will opportunities run our the expected clean coals coal million rate per We Creek enhancements, to stage tons more better the approximately storage ground circuitry tons the final customer increase to clean per to area new expand our and to overall per this meet Later increase plant hour rate raw blending segregation expect an increase summer, X or X,XXX expect feed year at needs. recovery that levels. XX% to break to equates million further of This we Elk will annualized XXX hour. from which plant from on X the tons

not capital except mines expansion Importantly, additional at to XXXX. do the in expect and project normal Elk at any growth of or to our the through maintenance advancement CapEx remainder Creek, expand we serve plant

ball operations, mines ball low several taken the Knox our to and steps forward. Berwind positive mid Turning and we've at Creek

from on brought months our First explosion. and July X Berwind the production rehabilitating spent backing we the approximately recovering March and foremost, mine X, after

months, a buildup amongst dual electricity mine. no so the a substantial Production installing intervening the to these begun has is any mine at components that safety in routine made expectations. parallel to with in mine During we diesel our generator backup mine can will without the us upgraded ventilation. future, interrupted line ventilation enhancements or the chief allow with site of in also our on The and normal we perform fans is or whether not. few This interrupting the fan maintenance ensure Berwind to idling

on the mining that our mining the all during option of assets development should mid-summer, position, with development be combined dramatically final and the have elimination cost thick XXXX. section built of costs us Amonate allowing experienced. of the to into Feed production mine Berwind levels the the historical #X run tracking we coupled cash the plant coal to completed with of expect owned we the directly cash quarter We from lower the by third acquired prep

to We mining the with second mid-summer the of addition ramp back during Ventilation of XXXX mine the unit section This on completion quarter excavation at third puts the had the commencing are ignition events. following the share. thereafter. should with forward expansion second be also Berwind that in production production previously Berwind mine's the second shortly we moving from projected the completed mine prior

labor of the on one production training, and market. our Berwind As the complex, and areas Knox building of biggest recruiting, of the Ramaco's at competitive remains Creek the bulk in is areas at now focus a the workforce the growth medium-term Berwind in very what is

panel from the Maben earlier full the our initial month. a Berwind the product mining to plant. coals. quality call the next coal mine reached to are Maben by blends of the commenced, this will first first shipped days, at Highwall of other excellent production improve ramped our up have coal be pleased properties excellent. low June. initial end mine Surface has bits, the the and In with we Miner and in production has been mining or Lastly, standalone processed mine its from been several has conditions and the the productivity its start to operation its metallurgical The as we the expect and [indiscernible] have volatile that our

of areas year. not profit. development We are a underground examination have future included additional the Summarizing quarter will in and reserves and of X this permitting continuing that strong the for as development the production already been XXXX for capital in for set through continued mining potential and of ramp mines the our the several mining. exploration the that of started have property work this planning Engineering projects all the of hiring nearly and the and complex additional surface and this with table was advanced done the we work, operations, XXXX quarters last moved continue first

excess We to customers flexibility with million our the expect as year per -- run ton coal market makes now sense needs This of of management's to dictates. per expand best concludes XX clean the with grow our prepared running remarks. ton and year X rate the in exit is portfolio and

for the turn call call. session to I the question-and-answer will Operator? the the now over of operator

Riley ahead. go Thank coming from [Operator The Instructions] floor is B. for first with is Securities. now Our Pipes you. Lucas Please question open questions.

to would much. of Thanks of QX, the if that. over cadence very much could of you little everyone. question QX, in shipments maybe color morning really Thank good this a bit operator, course I appreciate is wondered regards year. QX, you on first provide My

Jeremy Sure, here. certainly in then a Lucas. can take I'll chime and stab, first

around be this So probably XXX,XXX tons. quarter, we'll

Elk, the processing is I ramping got which by we've As flip increase to really Berwind and we've switch just to XX%. got about mentioned,

So and and to we'll like at of tons, probably another to QX probably million $X QX top XXX roughly add $X tons million look on X then million. XXX,XXX that

then opportunity budget this capital on sort rare and to earth the helpful. both you're what of XXXX? Thank allocating That's you. XXXX opportunity, would And for say you. you Thank

testing allocated about drilling for the we've focused And analysis. Well, $X is answer we 'XX, probably million. primarily short on

of phase look We like. have the economics operational formed this what not would the yet of

this the of but like mineral, at first the lithium, uranium, really As I certainly a around in a most said, they project producers that. because is really cobalt U.S., world, hard things REE you impression are look if in

in Here, we clay. essentially would REEs softer much materials like be finding the

as So the well mining processing entirely as is obviously, both different. the

said, the create partners working, to at really go. on keep on certainly for So NETL groups. appropriate best a to we it do this, some to now with be said, investment do business as as start and step-by-step private we We're once the price I the I operation like plan this. focusing other how an way community would basis of start we'll as and

year to operations. Then Very you. this helpful. question, Thank one last back turning in

With over would color the declining So year, this prices And you expect growing also I'd course to sales outlook how evolve? you. cost appreciate on with cost Thank the the that? would of I assume and would for production royalties this year. your play into

Chris. is this Lucas,

quarter the Elk as overall So or more slightly. were and in each the to company production down going less we'd sequentially stay But ramps way we'd expect Berwind costs line they pull get QX. on in as we at front, and the Creek, decline in expect up production more the Knox cost Creek those costs quarter-over-quarter with the to total

of Got and it. very luck. best you gentlemen Thank much

next from We'll go question Benchmark Nathan take ahead. Martin Company. Please with our The

is Your line open.

to got taking an sounds bit in good start morning least. It been this sure with like on side Congrats thanks for agree a at guys. of Hey, storm you logistics. rail, port and some from over And wanted maybe questions. jump your for you'd the my the XXXX help modeling I on is I'm quarter, has costs. a quarter, this rails to think I speak an transportation to noticed just then pretty in in there truck, quarter-over-quarter purposes, I service? a for the be sizable would first Anything get great or update it anomaly? but

Thanks, Martin.

with Jeremy the So I here. guess yes, transportation costs. I'll start it's

the costs. record first transportation you revenue export. know, the a business. our for And and It's in pay it X/X we was line cost quarter, on about pass-through, our So export of actually, the as volume but you

the that's a had certainly, on basis. So highest percentage portion we've that

a issue, of more little will did more say, bit. basis. rail Rail real-time rate. up I is different. necessarily each mix a go bit company was it would We're But than higher I So rates a a say

rail second going So QX not a in based is quarter, to be index. rate our the on higher

So quarter. that will help well the part Nathan? the us was a of in second as question little what And bit your first again,

Yes.

overall, from Just on a standpoint logistics of an update health rail this services Jeremy, truck report.

Yes.

So I happen mean, in job QX. were shipments listen, didn't mean, issues. first back XXXX, we where our because time the year, XX% great quarter rail did of I to this transportation of a last look the scheduled you in if we about of

really quarter, This of it was couple trains. a just

I throughout the that hope their the to they've course applaud efforts So year. off efforts certainly recent continue on the hiring rail of the and made pay really

Appreciate expansion like all things prep Creek then well, this Great. progressing Okay. that later plant up Berwind, month. color, good sounds at And starting hear Jeremy. Elk as to

about this You XXX,XXX by guys through obviously based 'XX your flowed full raised and year looks slides. to that year tons on guidance like

'XX. again, potential debt add And are even 'XX, next, the As they of at CapEx your much from you maybe to kind production that slides, here, timing think portion ahead has about and of you pig maybe the what which projects how of looking expansion look been on on approved? as of could kind

beyond about expansion. we've basically, granular. Berwind far talked the But Alright, this Randy. go Chris is the year for already we've this so all is greenlighted what let on I'll

QX. I of think stabilizes to what see is market here early in kind how the wanted into we QX and do to

probably but certainly in And you We projects little have few want bit. meaningful a in sort look Chris, elaborate to result greenlight, too much could a production become more 'XX we more that would not of 'XX. which much to

Yes. sales I mean you as did so from first one can results, little a our our we outproduce bit. thing quarter is, see

have even on, upgrade work built we And with coming we'll some So inventory. through that. planned the

free in or lot of development be we greenlight first answer mine. lower So are list, we've have And conditions on at, all is but probably approved the by those Knox Jawbone and that tier that probably move that, behind forward target. on has RAM are list that of that market slide you been X the Past on, the those a the the in earlier surface their Neither that would that. would we Board mine got then come your given the on other right that the Creek. look that would at the thing projects question to deck

Yes. in Maybe numbers, been you looking 'XX with million of it 'XX, year. CapEx the just the these that the all at high there, probably from just that's progress Board a continue And have obviously, roughly level approved. as conversations on half about round has approved. been see And we'll throughout we to

know think you're the additive Maybe to of those other working could as then comments, be and future on at Mine. deposit Appreciate way, your maybe, Advisory how also Brook update the you Great. Randy, or potentially two comment all us Ramaco a on And there. house guys. on side research. congrats, I well? by and some those thank I appointment for element development, And your on in IEA minute color thoughts pursuits could the earlier the products Board base earth the you to that spend on the rare

Sure.

obviously to month processes. of advanced purposes. be have coal which we feedstock value covers know, So on as historically press to most intellectual we're use XX-odd in that. operations, the now, the do whole of make used to feel which think have stock, of we or make interest, earth, more a basically, as, carbon. carbon frankly, in we testing And as are secret on types a The Labs of with than a you in out which the a a various a probably lot that we but Oak and on. ago we Ridge the size beyond conventional in a take ability our blanket lot know, that properties that rare the coal don't also products we've property, got could both coal ones not use filed they're sauce, processing working got in a focused that. so development They on along equipment have and right kind some patents uses on basically we got on on I both was Ramaco IP which that as where different graphite. called it's much for There and And about, higher of only materials, S-X release around some have far that tracking detail certainly We're from more of the of of of carbon well National put to synthetic potential that. terms a

we're on to with a probably to thermal, So some could applications be meaningful but of be use it able development, path do a coal, use which met in may would that very moving coal. but have principally them

fiber. The carbon other is

this to So in instead were back has you business. to take the from That and use amounts fiber materials make cost substance what a a XXs, on petroleum. like goes as can to processes impact, the potential coal basically that where frankly game-changing of pitch a carbon developed, that frankly, precursor

important substitute longer-term If aluminum, could you could use some for and implications. carbon have fiber as steel a that

first commercial time to future, Oak we've to So stuff near to working both both been commercialization able projects say, those a that from that as ink fronts. used some I a relative make on as out will other the well to standpoint, XX-month graphites ability to that as coal potentially with some of be not possibilities exciting injection. working carbon in look in the lastly, can hopefully, of along we would concrete well. frame on have And are additives as probably meaningful be I use such some mentioned, are X those have those but the on come of as would Ridge. quite actually And implications far as I from things And then

So it's very an but perhaps interested I'm area a obviously bit long-winded, that in.

business that to point? this platform just capital I how that's guys quick And at you are investing curious Yes. much this how and give want you in

because labs million frankly, research sophisticated a $X heavy-duty Really $X equipment this Most the million lot manpower. from requires less probably than, would to heavy lifting, extremely spending say, of and We're a comes of nominal and capital. national the year. some pretty I

operation equipment a the on the national amounts We immense labs lot out to have at we but who Sheraton, manpower lifting. the do of talent of capital relying heavy were a have equipment, some our and in of and lot

Got then it. And one last Appreciate just item. that.

You up are for S-X did looks the to It tracking expected stock. the bring vote on like XX. June holders

can first, through expected then revenue shares? flow new just maybe you of what those So streams that or to remind are correct? is royalties kind And us

Sure.

be So correct. approve you have distribution able the the is indeed the to which shareholder that the vote, we stock. of XXth date tracking will are The will

where communications too because the in we'll of amounts think doing about before you on terms that referring our proxy to S-X But right of going advance tied legally rest distributions I be and kind the the tracking that, the me, dividend much the in what's be the in cash rollout. have of expected terms we be to back I'd distributions we've will doing actual right to that stock refer further shareholder of explicit on proxy assured, -- pardon boat. much dividend be the to terms of potential will discussion solicitation more meeting, hands involved in beyond the got in in before

Got it. guys. Best of those thoughts. Very luck going forward, helpful. Appreciate

Thank you.

ahead. take with Suisse. Thank next you. Curt from We'll our Woodworth Credit question Please go

Your open. is line

potentially to would Randy, the for language months. around admittedly follow the you've to largest wanted one at track but morning of kind approach. you could decent team. Jeremy of I shovel-ready, the it, kind rare on and same And modular similar you of you to said Good I you. being salable and you're thank also XX you that In potential been fast just go you've up unconventional and this. on a idea it's a And when slow it got conversation time, of discovered it's a production. drilling then noted of this have said Yes, permitted. going deposits comes think kind

any manufacturing cash of terms magnetic products need I also like which milestones economic what the producing to potentially, of guess could was EBITDA the the you steps think sort it's would So And curious in frame you terms I'm you I potential see, element. or create? flow to your just you I are potentially that talked realize in downstream upside assume days. accelerate of constituent more products, I comment mean would early production. Could when then about of next this

again, can of more helpful. I And be admittedly, days, some know on but provide yes, So would any early color you things those still very it's you. thank

Sure. Great.

your take thought questions. several hopefully So process here. will I think somewhat whole articulate that answers to let some through you of the me our And sequentially --

this IMO we deploy what going phase, that that years to about it recognized to was coal property, to be not tough was our So anyway. and guess, as and was mine, shortly thermal And an reserve. thermal into a pretty phase new development justify that I frankly, we XX opportunistic ago bought capital permitting

how, So and us us national frankly, we for then alternative the whole coal, rare really just analyze working Ramaco didn't testing all entire we drilling explore which promising the after until at assessment. we led with that them what point, decided the of to stick much that of proposition sort further with sorts this water toe thorough coming slowly When from was really explore get would particularly be. frankly our year, began Ramaco too to like two in merged coal Coal, the to some the for explore of we we national them, to it drilling to do came of looked That's program labs, other and earth sort we the led purposes. back XXXX. entities, that to course, labs uses Carbon then to began idea that And much our other the about, and of more opportunity detail

of only on really we chemical X/X we've that got core now, right little of results frankly, drilling more holes. a of about back And than XXX the bit X/X have the done

I to as of there's it, we what trying it on the really think So this to for has a than X/X before a can how whole as et less plan also certainly done mine to but cetera, I'd mentioned, of manner to more step, we the of sequencing proposition appropriate kind have essentially out an as like this up where overall do, really we almost call site. I step lot taking junior size deposit, contours, testing of a lays been And think come we're is proposition. the the delineation delineate the with

not obviously the help a in we from of have So only largest and the labs scale with Labs play we as But we the get national obviously, interesting ability perhaps is seen but from we got the the found to proposition National quote to indeed lot is that overall as it. that is increase states. an the date, this of unconventional into that somewhat they've the have deposit what this the rails probably dramatically on scope

So would value of company. we as idea seem of are of a proposition magnetic to found. have And strategic also national it course, with the and approach the trying what methodical this of because predominance the fairly to has, what well highest implications be some to we REEs

metal mining oxide into a it, from then simply actually the you magnet. can a So of making to the the and deposit terms just chain a to eventually in take obviously, an that business to or is it food concentrate up REE

of integrated to explore So game us. that's and we're very early vertically going implications But the having are. a what operation certainly economics for

this the come I value the to are I And proposition figure are is to the think less world, to course, step. the going than much environmentally a to deposits, and is certainly is one. an about the of processing we've the be to expensive from the to XX% China, mining largest softer concentrate, you and be be proposition REEs friendly. type look and from attractive because much to steps economics REE which, is cobalt of is the Indeed, uranium gotten their much again, much to really the thing because more process, think next more propositions unconventional of as and going into economic all easier are of mining that and which interesting again, of I unconventional it if expected it define plays REE as processing of from our take which producer number is an in mentioned, first

where We've we you space to REE think is technically X permit. I just today try because, probably then looking we a to to are rare permit. takes again, So these miners find where it which or got to in deposit XX have the junior the of permit, are are and most is years

I I do but to as well we're would on function year, assessment because quickly as able lot do that obviously we mine proposition in to with mining going terms a position like. not proper position think backstop a could doing a be economics is. a is, the that fairly occur start normal processing it as being on a proposition look the that hope we until economics. through getting is will our more look help on And where we But be So of lot what to a develop the perspective to rely know once But from what start mining on our as the what in late probably this report of to can not this, And in unique to we Again, a to progress material. the mining we're we this. quickly. to a economics how quarter we in on which very mining we're next space would comparables of of hopefully planning of by able again, assess would be to look coal

profitable be hopefully and our in potentially a It's into And it's say for perhaps proposition. seems as it's the understand type take on exciting then fallen one again, will coal this look to chain of material that And to was my we we the really lap, a coal. at uses note, that look we then question a for. once food something we're it how one. this said something develop for again, economics we very but we won't and the some very other processing And characteristics preparation processing, looking up like for were we feel future. hopefully certainly with that the that, unique in for. more to that I from the is exciting certainly once far certainly looking around a thrown But in report potentially hadn't I clearly operation somewhat it's will very plant met alternative gone And it, as

very for much Thanks Great. the color.

This Q&A over the portion for closing now to remarks. like I or Randall will would call. Atkins conclude the additional to floor turn today's of

I nice our for certainly Well, of appreciate you. bet I Ramaco, on both everyone for And Take again Thank times, basis keeping interesting hope on everybody morning. the well abreast and activities we are next a quarter. for forward Derby. has this weekend. everyone will call on macro the and care. the call to a look These certainly being and

Call. today's Ramaco disconnect this time, you. concludes Please your XXXX a Conference Earnings Resources This Quarter have at First Thank line wonderful day. and