Company has selected Knott County, Kentucky as the site for its third critical mineral and lithium refinery in the United States using its proven and patented technology
Up to $150 million of Tax-Exempt Industrial Revenue Bonds will potentially fund redevelopment of the existing controlled site’s infrastructure buildout, equipment installation and initial working capital for production
Company has engaged Hilltop Securities Inc. to underwrite the bond offering
FISHERS, IN / ACCESSWIRE / November 7, 2023 / American Resources Corporation (NASDAQ:AREC) (“American Resources” or the “Company”) subsidiary, ReElement Technologies Corporation (“ReElement”), a leading provider of high-performance refining capacity of rare earth and critical battery elements, today announced that it has received initial approval from the Knott County Fiscal Court for up to $150,000,000 of Tax-Exempt Industrial Revenue Bonds for a large-scale lithium refinery utilizing the Company’s proven and patented critical mineral refining technology. The Company also executed a memorandum of agreement with the County of Knott which allows for joint discussions on further incentive options.
Mark Jensen, CEO of American Resources Corporation commented, “We’ve put significant research into selecting a site to deploy our leading critical mineral refining technology for the production of lithium-ion battery, cell-grade lithium products. Our Knott County, Kentucky site is strategically located in the heart of the developing U.S. battery belt and also highlights the value of American Resources’ broad infrastructure platform. This location is an existing, controlled site within our platform of assets and perfectly exemplifies how we can efficiently support energy transition. In addition to its strategic geographic location, the eastern Kentucky region also possessed a workforce with rich knowledge and experience in cost-effective, large-scale commodity processing focused on consistent quality while also providing the necessary logistics and infrastructure required to move quickly. We are also excited to again work with the Hilltop Securities team given their impeccable execution on our previously announced Wyoming County, West Virginia, $45 million tax-exempt bond completed earlier this year. Furthermore, we’re confident our international supplies of lithium-bearing ores will enable us to meet the initial production quantities, while also positioning the facility to efficiently and modularly expand beyond its initial planned production of 15,000 metric tons of annual lithium carbonate or lithium hydroxide as feedstock and demand increase.”
The Company’s Knott County, Kentucky Lithium facility is being designed to initially produce 15,000 metric ton per annum of either battery-grade lithium carbonate (Li2CO3) and/or lithium hydroxide (LiOH) and also corresponds with the Company’s recently announced milestone of producing ultra-pure (99.96%), battery-grade Li2CO3 from hard rock, spodumene-bearing pegmatite ore utilizing its patented multi-modal chromatography technology. Some additional key attributes of the facility are:
- Low Carbon Footprint – The initial life cycle analysis puts it as one of the lowest if not the lowest carbon footprint commercial lithium purification facilities in the world by combining ReElement low footprint low energy chromatographic separation and purification technology while combining with solar energy and battery storage for stability of energy source;
- Brownfield Redevelopment – The facility is being built on a prior coal mining site reutilizing existing infrastructure and land reducing the overall impact on the environment while also reducing build time to setup time;
- Coal industry Workforce Redevelopment – The facility will source team members from the coal industry leveraging a highly skilled workforce with commodity processing experience while expanding skill sets to operate and run the Kentucky Lithium facility. The facility is estimated to initially support approximately 113 well-paying jobs in the community; and
- IRA Compliance – The initial analysis and calculations show that ultra-high Li2CO3 and LiOH produced from the facility will meet IRA compliance for the growing domestic battery industry.
American Resources continues to focus on running efficient streamlined operations in being a new-aged supplier of raw materials to the infrastructure and electrification marketplace in the most sustainable of ways, while also helping the world achieve its goals of carbon neutrality. By operating with low or no legacy costs and having one of the largest and most innovative growth pipelines in the industry, American Resources Corporation works to maximize value for its investors by positioning its large asset base to best fit a new-aged economy, while being able to scale its operations to meet the growth of the markets it serves.
About ReElement Technologies Corp
ReElement Technologies Corp is redefining how critical and rare earth elements are both sourced and processed while focusing on the recycling of end-of-life products such as rare earth permanent magnets and lithium-ion batteries, as well as coal-based waste streams and byproducts to create a low-cost and environmentally-safe, circular supply chain. ReElement Technologies has developed its innovative and scalable “Capture-Process-Purify” process chain in conjunction with its licensed intellectual property including 16 patents and technologies and sponsored research partnerships with three leading universities to support the domestic supply chain’s growing demand for magnet and battery metals. For more information visit reelementtech.com or connect with the Company on Facebook, Twitter, and LinkedIn.
About American Resources Corporation
American Resources Corporation (NASDAQ:AREC) is a next-generation, environmentally and socially responsible supplier of high-quality raw materials to the new infrastructure market. The Company is focused on the extraction and processing of metallurgical carbon, an essential ingredient used in steelmaking, critical and rare earth minerals for the electrification market, and reprocessed metal to be recycled. American Resources 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.
American Resources has established a nimble, low-cost business model centered on growth, which provides a significant opportunity to scale its portfolio of assets to meet the growing global infrastructure and electrification markets while also continuing to acquire operations and significantly reduce their legacy industry risks. Its streamlined and efficient operations are able to maximize margins while reducing costs. For more information visit americanresourcescorp.com or connect with the Company on Facebook, Twitter, and LinkedIn.
Special Note Regarding Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks, uncertainties, and other important factors that could cause the Company’s actual results, performance, or achievements or industry results to differ materially from any future results, performance, or achievements expressed or implied by these forward-looking statements. These statements are subject to a number of risks and uncertainties, many of which are beyond American Resources Corporation’s control. The words “believes”, “may”, “will”, “should”, “would”, “could”, “continue”, “seeks”, “anticipates”, “plans”, “expects”, “intends”, “estimates”, or similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Any forward-looking statements included in this press release are made only as of the date of this release. The Company does not undertake any obligation to update or supplement any forward-looking statements to reflect subsequent events or circumstances. The Company cannot assure you that the projected results or events will be achieved.
JTC Team, LLC
RedChip Companies Inc.
Vice President of Corporate Finance and Communications
317-855-9926 ext. 0
SOURCE: American Resources Corporation