Temporarily Halted Production at the Road Fork
52 Mine and Mechanical Failure at Dominion Terminal Associates
Contribute to Delayed Shipments
BRISTOL,
Tenn., June 23, 2023 /PRNewswire/ -- Alpha
Metallurgical Resources, Inc. (NYSE: AMR), a leading U.S. supplier
of metallurgical products for the steel industry, today announced
two separate operational challenges. While both issues have been
substantially resolved, they are expected to delay certain
shipments that would have otherwise occurred within the second
quarter of 2023.
Due to a ventilation issue likely stemming from a previously
mined and worked-out area, the Road Fork 52 mine in Wyoming County, West Virginia temporarily
halted production as a safety precaution while the issue was
analyzed and addressed. Ventilation adjustments were made, and
acceptable air quality levels were reestablished in the mine, which
is now back in operation. Currently, the mine is running at roughly
one-third capacity and is expected to ramp back towards full
capacity in the next several days as technical inspections are
performed and system functions are verified. Operations teams
coordinated with the applicable regulatory agencies, as required,
and no injuries or citations were incurred. The temporary shutdown
of production at Road Fork 52 lasted approximately six days, which
will result in the delayed shipment of coal to customers who have
received force majeure letters notifying them of these
circumstances. Alpha expects to be able to make up these delayed
tons in the third quarter.
An unrelated issue at the Dominion Terminal Associates (DTA)
facility in Newport News,
Virginia, in which Alpha has a sixty-five percent ownership
interest, has also contributed to an expected delay in Alpha
shipments. At DTA, one of the stacker/reclaimer machines
experienced a mechanical failure that caused it to be inoperable
for a period of approximately three days while it was repaired.
This timeframe of inoperability hampered train unloading capability
and created related vessel loading delays for roughly 250,000 short
tons of Alpha shipments for export customers. These customers have
received force majeure letters, and Alpha expects to be able to
fulfill these shipments in early July. With the repairs complete
and all systems operating as normal, the stacker/reclaimer is now
back to full capacity.
"Our teams safely and quickly addressed the separate issues at
our Road Fork 52 mine and at DTA, bringing each unfortunate
interruption to a positive conclusion in a relatively short period
of time," said Andy Eidson, Alpha's
chief executive officer. "We have been in communication with our
customers to explain these circumstances and reiterate our
commitment to serving them. Now that we are working back towards
full productive capacity at Road Fork 52, we expect to swiftly make
up lost time with some extra shifts, and we are already
rescheduling vessels at DTA in the early days of July."
About Alpha Metallurgical Resources
Alpha Metallurgical Resources (NYSE: AMR) is a Tennessee-based mining company with operations
across Virginia and West Virginia. With customers across the
globe, high-quality reserves and significant port capacity, Alpha
reliably supplies metallurgical products to the steel industry. For
more information, visit www.AlphaMetResources.com.
Forward-Looking Statements
This press release includes forward-looking statements. These
forward-looking statements are based on Alpha's expectations and
beliefs concerning future events and involve risks and
uncertainties that may cause actual results to differ materially
from current expectations. These factors are difficult to predict
accurately and may be beyond Alpha's control. Forward-looking
statements in this press release or elsewhere speak only as of the
date made. New uncertainties and risks arise from time to time, and
it is impossible for Alpha to predict these events or how they may
affect Alpha. Except as required by law, Alpha has no duty to, and
does not intend to, update or revise the forward-looking statements
in this press release or elsewhere after the date this release is
issued. In light of these risks and uncertainties, investors should
keep in mind that results, events or developments discussed in any
forward-looking statement made in this press release may not
occur.
INVESTOR & MEDIA CONTACT: EMILY O'QUINN
InvestorRelations@AlphaMetResources.com
CorporateCommunications@AlphaMetResources.com
(423) 573-0369
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SOURCE Alpha Metallurgical Resources, Inc.