Ramaco Resources lowers FY23 CapEx view to $60M-$70M from $65M-$80M

2023 production guidance is updated to 3.0M-3.5M tons from 3.1M-3.6M tons, lowered by the idling of the Company’s Triple S 100,000 ton production mine due to market conditions with anticipated production beyond 2023 unaffected by this action. 2023 sales guidance is also updated to 3.1M-3.6M tons from 3.3M-3.8M tons representing an almost 40% increase versus 2022 sales. 2023 cash costs guidance is now $102-$108 per ton, from $97-$103 per ton, largely due to the combination of continued inflationary pressures and higher than anticipated mine development costs during the ramp up phase at our Berwind complex. Lastly, the Company is now lowering its 2023 Capital Expenditures to a range of $60M-$70M from $65M-$80M previously. Q3 2023 sales are expected to be 700,000-900,000 tons. By the Q4 the Company expects to be selling coal at a quarterly rate above 1M tons and an annual rate of more than 4M tons. U.S. metallurgical coal spot pricing is currently down over 20% from the first half 2023 average price on the back of muted market conditions and continued global economic concerns.