10-Q

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2024

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                 to

Commission File Number: 001-38003

RAMACO RESOURCES, INC.

(Exact name of registrant as specified in its charter)

Delaware	38-4018838
(State or other jurisdiction	(I.R.S. Employer
of incorporation or organization)	Identification No.)
250 West Main Street, Suite 1900
Lexington, Kentucky	40507
(Address of principal executive offices)	(Zip code)
(859) 244-7455
(Registrant’s telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Class A Common Stock, $0.01 par value	METC	NASDAQ Global Select Market
Class B Common Stock, $0.01 par value	METCB	NASDAQ Global Select Market
9.00% Senior Notes due 2026	METCL	NASDAQ Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes  ⌧  No  ◻

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes  ⌧    No  ◻

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☒
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes  ☐    No  ☒

As of April 30, 2024, the registrant had 44,263,429 and 8,825,928 outstanding shares of Class A and Class B common stock, respectively.

TABLE OF CONTENTS

		Page
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements	5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	20
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	27
Item 4.	Controls and Procedures	27
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings	29
Item 1A.	Risk Factors	29
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	29
Item 3.	Defaults Upon Senior Securities	29
Item 4.	Mine Safety Disclosures	29
Item 5.	Other Information	29
Item 6.	Exhibits	30
SIGNATURES		31

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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q (this “Quarterly Report”) includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements, other than statements of historical fact included in this report, regarding our strategy, future operations, financial position, estimated revenue and losses, projected costs, prospects, plans, and objectives of management are forward-looking statements. When used in this Quarterly Report, the words “could,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “project” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on management’s current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. When considering forward-looking statements, you should keep in mind the risk factors and other cautionary statements described under, but not limited to, the heading “Item 1A. Risk Factors” included in this Quarterly Report and elsewhere in the Annual Report of Ramaco Resources, Inc. (the “Company”) on Form 10-K for the year ended December 31, 2023 (the “Annual Report”) filed with the United States Securities and Exchange Commission (the “SEC”) on March 14, 2024, as well as other filings of the Company with the SEC.

Forward-looking statements may include statements about:

● anticipated production levels, costs, sales volumes, and revenue;

● timing and ability to complete major capital projects;

● economic conditions in the metallurgical coal and steel industries;

● expected costs to develop planned and future mining operations, including the costs to construct necessary processing, refuse disposal and transport facilities;

● estimated quantities or quality of our metallurgical coal reserves;

● our ability to obtain additional financing on favorable terms, if required, to complete the acquisition of additional metallurgical coal reserves or to fund the operations and growth of our business;

● maintenance, operating or other expenses or changes in the timing thereof;

● the financial condition and liquidity of our customers;

● competition in coal markets;

● the price of metallurgical coal or thermal coal;

● compliance with stringent domestic and foreign laws and regulations, including environmental, climate change and health and safety regulations, and permitting requirements, as well as changes in the regulatory environment, the adoption of new or revised laws, regulations and permitting requirements;

● potential legal proceedings and regulatory inquiries against us;

● the impact of weather and natural disasters on demand, production, and transportation;

● purchases by major customers and our ability to renew sales contracts;

● credit and performance risks associated with customers, suppliers, contract miners, co-shippers and traders, banks, and other financial counterparties;

● geologic, equipment, permitting, site access and operational risks and new technologies related to mining;

● transportation availability, performance, and costs;

● availability, timing of delivery and costs of key supplies, capital equipment or commodities such as diesel fuel, steel, explosives, and tires;

● timely review and approval of permits, permit renewals, extensions, and amendments by regulatory authorities;

● our ability to comply with certain debt covenants;

● tax payments to be paid for the current fiscal year;

● our expectations relating to dividend payments and our ability to make such payments;

● the anticipated benefits and impacts of previous acquisitions;

● risks related to Russia’s invasion of Ukraine and the international community’s response;

● risks related to weakened global economic conditions and inflation;

● risks related to the Company’s tracking stock structure and separate performance of its Carbon Ore-Rare Earth (“CORE”) assets; and

● other risks identified in this Quarterly Report that are not historical.

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We caution you that these forward-looking statements are subject to a number of risks, uncertainties, and assumptions, which are difficult to predict and many of which are beyond our control, incident to the development, production, gathering and sale of coal. Moreover, we operate in a very competitive and rapidly changing environment and additional risks may arise from time to time. It is not possible for our management to predict all of the risks associated with our business, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. Although we believe that our plans, intentions, and expectations reflected in or suggested by the forward-looking statements we make in this Quarterly Report are reasonable, we can give no assurance that these plans, intentions, or expectations will be achieved or occur, and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results.

All forward-looking statements, expressed or implied, included in this Quarterly Report are expressly qualified in their entirety by this cautionary statement and speak only as of the date of this Quarterly Report. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that we or persons acting on our behalf may issue.

Except as otherwise required by applicable law, we disclaim any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date of this Quarterly Report.

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PART I - FINANCIAL INFORMATION

Item 1.         Financial Statements

Ramaco Resources, Inc.

Unaudited Condensed Consolidated Balance Sheets

In thousands, except share and per share information	March 31, 2024		December 31, 2023
Assets
Current assets
Cash and cash equivalents	$	30,503	$	41,962
Accounts receivable		103,539		96,866
Inventories		41,280		37,163
Prepaid expenses and other		7,286		13,748
Total current assets		182,608		189,739
Property, plant, and equipment, net		466,253		459,091
Financing lease right-of-use assets, net		17,148		10,282
Advanced coal royalties		3,410		2,964
Other		4,592		3,760
Total Assets	$	674,011	$	665,836
Liabilities and Stockholders' Equity
Liabilities
Current liabilities
Accounts payable	$	59,694	$	51,624
Accrued liabilities		49,657		52,225
Current portion of asset retirement obligations		110		110
Current portion of long-term debt		28,227		56,534
Current portion of financing lease obligations		8,541		5,456
Insurance financing liability		2,238		4,037
Total current liabilities		148,467		169,986
Asset retirement obligations, net		29,197		28,850
Long-term debt, net		24,739		349
Long-term financing lease obligations, net		8,543		4,915
Senior notes, net		33,412		33,296
Deferred tax liability, net		52,424		54,352
Other long-term liabilities		4,961		4,483
Total liabilities		301,743		296,231
Commitments and contingencies		—		—
Stockholders' Equity
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none issued or outstanding		—		—
Class A common stock, $0.01 par value, 225,000,000 shares authorized, 44,263,429 at March 31, 2024 and 44,002,581 at December 31, 2023 shares issued and outstanding		443		440
Class B common stock, $0.01 par value, 35,000,000 shares authorized, 8,825,928 at March 31, 2024 and 8,809,557 at December 31, 2023 shares issued and outstanding		88		88
Additional paid-in capital		279,962		277,133
Retained earnings		91,775		91,944
Total stockholders' equity		372,268		369,605
Total Liabilities and Stockholders' Equity	$	674,011	$	665,836

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

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Ramaco Resources, Inc.

Unaudited Condensed Consolidated Statements of Operations

	Three months ended March 31,
In thousands, except per-share amounts	2024		2023
Revenue	$	172,676	$	166,360
Costs and expenses
Cost of sales (exclusive of items shown separately below)		139,713		110,549
Asset retirement obligations accretion		354		350
Depreciation, depletion, and amortization		15,220		11,852
Selling, general, and administrative		14,114		11,742
Total costs and expenses		169,401		134,493
Operating income		3,275		31,867
Other income (expense), net		629		1,247
Interest expense, net		(1,332)		(2,309)
Income before tax		2,572		30,805
Income tax expense		540		5,548
Net income	$	2,032	$	25,257
Earnings per common share *
Basic - Single class (through 6/20/2023)	$	N/A	$	0.57
Basic - Class A	$	(0.00)	$	—
Total	$	(0.00)	$	0.57
Basic - Class B	$	0.24	$	—
Diluted - Single class (through 6/20/2023)	$	N/A	$	0.57
Diluted - Class A	$	(0.00)	$	—
Total	$	(0.00)	$	0.57
Diluted - Class B	$	0.23	$	—
* Refer to Note 10 for earnings per common share calculations

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

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Ramaco Resources, Inc.

Unaudited Condensed Consolidated Statements of Stockholders’ Equity

	Class A		Class B		Additional				Total
	Common		Common		Paid-		Retained		Stockholders'
In thousands	Stock *		Stock		in Capital		Earnings		Equity
Balance at January 1, 2024	$	440	$	88	$	277,133	$	91,944	$	369,605
Stock-based compensation		4		—		4,698		—		4,702
Shares surrendered for withholding taxes payable		(1)		—		(1,869)		—		(1,870)
Cash dividends and dividend equivalents declared		—		—		—		(2,201)		(2,201)
Net income		—		—		—		2,032		2,032
Balance at March 31, 2024	$	443	$	88	$	279,962	$	91,775	$	372,268
* Common stock was reclassified to Class A common stock during Q2 2023. Refer to Note 6.
Balance at January 1, 2023	$	442	$	—	$	168,711	$	140,045	$	309,198
Stock-based compensation		3		—		2,934		—		2,937
Shares surrendered for withholding taxes payable		(1)		—		(114)		—		(115)
Adjustment to dividends previously declared		—		—		—		(354)		(354)
Net income		—		—		—		25,257		25,257
Balance at March 31, 2023	$	444	$	—	$	171,531	$	164,948	$	336,923

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

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Ramaco Resources, Inc.

Unaudited Condensed Consolidated Statements of Cash Flows

	Three months ended March 31,
In thousands	2024		2023
Cash flows from operating activities:
Net income	$	2,032	$	25,257
Adjustments to reconcile net income to net cash from operating activities:
Accretion of asset retirement obligations		354		350
Depreciation, depletion, and amortization		15,220		11,852
Amortization of debt issuance costs		207		149
Stock-based compensation		4,702		2,937
Other		(23)		—
Deferred income taxes		(1,928)		2,154
Changes in operating assets and liabilities:
Accounts receivable		(6,673)		(29,925)
Prepaid expenses and other current assets		6,462		4,779
Inventories		(4,117)		(5,998)
Other assets and liabilities		(494)		(823)
Accounts payable		6,301		13,902
Accrued liabilities		3,145		(3,272)
Net cash provided by operating activities		25,188		21,362
Cash flows from investing activities:
Capital expenditures		(18,730)		(23,546)
Other		65		1,182
Net cash used for investing activities		(18,665)		(22,364)
Cash flows from financing activities:
Proceeds from borrowings		51,500		45,000
Payment of dividends		(8,319)		(5,556)
Repayment of borrowings		(55,417)		(24,145)
Repayment of Ramaco Coal acquisition financing - related party		—		(10,000)
Repayments of insurance financing		(1,799)		(1,433)
Repayments of equipment finance leases		(2,077)		(1,746)
Shares surrendered for withholding taxes payable		(1,870)		(115)
Net cash (used for) provided by financing activities		(17,982)		2,005
Net change in cash and cash equivalents and restricted cash		(11,459)		1,003
Cash and cash equivalents and restricted cash, beginning of period		42,781		36,473
Cash and cash equivalents and restricted cash, end of period	$	31,322	$	37,476
Non-cash investing and financing activities:
Leased assets obtained under new financing leases		8,790		954
Capital expenditures included in accounts payable and accrued liabilities		6,708		13,812
Financed insurance		—		407
Accrued dividends and dividend equivalents payable		33		322
The accompanying notes are an integral part of these consolidated financial statements

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

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Ramaco Resources, Inc.

Notes to Unaudited Condensed Consolidated Financial Statements

NOTE 1—BUSINESS AND BASIS OF PRESENTATION

Ramaco Resources, Inc. (the “Company,” “Ramaco,” “we,” “us” or “our,”) is a Delaware corporation formed in October 2016. Our principal corporate and executive offices are located in Lexington, Kentucky with operational offices in Charleston, West Virginia and Sheridan, Wyoming. We are an operator and developer of high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia. We also control mineral deposits near Sheridan, Wyoming as part of the Company’s initiatives regarding the potential recovery of rare earth elements and critical minerals as well as the potential commercialization of coal-to-carbon-based products and materials.

Economic Conditions—Although conflicts overseas continue and global economic growth remains uncertain, supply constraints support the global metallurgical coal market overall. Ongoing bans on the import of Russian coal have affected the availability of supply to certain seaborne markets as well as contributed to volatility in coal prices.

Basis of Presentation—These interim financial statements are unaudited and have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Certain disclosures have been condensed or omitted from these financial statements. Accordingly, they do not include all the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete consolidated financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023.

In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the Company’s financial position as of March 31, 2024, as well as the results of operations and cash flows for all periods presented. In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect reported amounts in the condensed consolidated financial statements and disclosures of contingencies. Actual results may differ from those estimates. The results for interim periods are not necessarily indicative of annual results. Intercompany balances and transactions between consolidated entities have been eliminated.

There were no material changes to the Company’s significant accounting policies during the three months ended March 31, 2024.

Recent Accounting Pronouncements—In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 require incremental disclosures related to a public entity’s reportable segments and increase the frequency with which most segment disclosures are made. Incremental disclosures required by the ASU include significant segment expenses regularly provided to the chief operating decision maker (“CODM”) and included within the segment’s measure of profit or loss, the title and position of the CODM and an explanation how the CODM uses the reported measure of a segment’s profit or loss to assess performance and allocate resources, and the amount and composition of other segment items necessary to reconcile segment revenue, significant expenses, and the reported measure of profit or loss. The ASU also expands interim disclosure requirements such that nearly all annual quantitative segment disclosures will be made on an interim basis and requires that entities with a single reportable segment provide all segment disclosures that are not evident from the primary financial statements, including significant segment expenses, consistent with the approach used by management to evaluate performance. ASU 2023-07 is effective starting with Ramaco’s 2024 annual financial statements and on a quarterly basis thereafter. Retrospective application is required. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely occur upon adoption.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). The amendments in ASU 2023-09 require reporting entities to disclose annual income taxes paid, net of refunds, disaggregated by federal, state, and foreign taxes and to provide additional disaggregated

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information for individual jurisdictions that equal or exceed 5% of total income taxes paid, net of refunds. ASU 2023-09 also requires public business entities to disclose additional categories of information about federal, state, and foreign income taxes in their annual rate reconciliation table and provide more information about some categories if the quantitative threshold is met. The ASU will also require disclosure of amounts and percentages in the annual rate reconciliation table, rather than amounts or percentages, and will eliminate certain existing disclosure requirements related to uncertain tax positions and unrecognized deferred tax liabilities. ASU 2023-09 is effective starting with Ramaco’s 2025 annual financial statements and may be applied prospectively to only the income tax disclosures provided for 2025 or retrospectively by providing revised disclosures for all periods presented. Early adoption is permitted. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely be provided on a prospective basis in the Company’s 2025 annual financial statements upon adoption.

NOTE 2—INVENTORIES

Inventories consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Raw coal	$	14,227	$	20,122
Saleable coal		21,902		12,013
Supplies		5,151		5,028
Total inventories	$	41,280	$	37,163

NOTE 3—PROPERTY, PLANT AND EQUIPMENT

Property, plant, and equipment, net consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Plant and equipment	$	296,837	$	290,060
Mining property and mineral rights		120,532		120,532
Construction in process		23,010		13,984
Capitalized mine development costs		178,171		174,260
Less: accumulated depreciation, depletion, and amortization		(152,297)		(139,745)
Total property, plant, and equipment, net	$	466,253	$	459,091

Depreciation, depletion, and amortization included:

	Three months ended March 31,
(In thousands)	2024		2023
Depreciation of plant and equipment	$	8,821	$	6,769
Amortization of right of use assets (finance leases)		2,493		1,881
Amortization and depletion of capitalized
mine development costs and mineral rights		3,906		3,202
Total depreciation, depletion, and amortization	$	15,220	$	11,852

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NOTE 4—DEBT

Outstanding debt consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Revolving Credit Facility	$	41,500	$	42,500
Equipment loans		2,466		2,983
Senior Notes, net		33,412		33,296
Financing of Maben Coal acquisition		9,000		11,400
Total debt	$	86,378	$	90,179
Current portion of long-term debt		28,227		56,534
Long-term debt, net	$	58,151	$	33,645

Revolving Credit Facility—On February 15, 2023, the Company entered into the Second Amended and Restated Credit and Security Agreement, which includes KeyBank National Association (“KeyBank”) and multiple lending parties. This facility (the “Revolving Credit Facility”), which has a maturity date of February 15, 2026, provides an initial aggregate revolving commitment of $125.0 million as well as an accordion feature of $50.0 million subject to certain terms and conditions, including lenders’ consent. The borrowing base at March 31, 2024 was $106.8 million based on eligible accounts receivable and inventory collateral and reserve requirements. The remaining availability under the Revolving Credit Facility at March 31, 2024, after $41.5 million of outstanding borrowings, was $65.3 million.

Revolving loans under the facility bear interest at either the base rate plus 1.50% or the Secured Overnight Financing Rate plus 2.00%. The base rate equals the highest of the administrative agent’s prime rate, the Federal Funds Effective Rate plus 0.5%, or 3%.

The terms of the facility include covenants limiting the ability of the Company to incur additional indebtedness, make investments or loans, incur liens, consummate mergers and similar fundamental changes, make restricted payments, and enter into transactions with affiliates. The terms of the facility also require the Company to maintain certain covenants, including fixed charge coverage ratio and compensating balance requirements. A fixed charge coverage ratio of not less than 1.10:1.00, calculated as of the last day of each fiscal quarter, must be maintained by the Company. In addition, the Company must maintain an average daily cash balance of $5 million, as determined on a monthly basis, in a dedicated account as well as an additional $1 million in a separate dedicated account to assure future credit availability. At March 31, 2024, we were in compliance with all debt covenants under the Revolving Credit Facility.

Fair Value—The Company’s Senior Notes had an estimated fair value of approximately $35.4 million and $35.5 million at March 31, 2024 and December 31, 2023, respectively. The fair values of the Company’s Senior Notes were based on observable market prices and were considered a Level 2 measurement based on trading volumes. The difference between the fair value and carrying amount of the Company’s remaining debts is not material due to the similarity between the terms of the debt agreements and prevailing market terms available to the Company.

Current Portion of Long-term Debt—Scheduled debt repayments to occur over the next twelve months from March 31, 2024 include $17.0 million of borrowings under the Revolving Credit Facility that were repaid shortly after the balance sheet date using funds from current operations, $9.0 million of Maben Coal acquisition financing shown above, and $2.2 million of equipment loans.

Other—Finance lease obligations and liabilities related to insurance premium financing are excluded from the disclosures above.

NOTE 5—ACCRUED LIABILITIES AND OTHER LONG-TERM LIABILITIES

Accrued liabilities at March 31, 2024 consisted of accrued compensation of $10.8 million and various other liabilities. Accrued liabilities at December 31, 2023 consisted of $14.6 million of accrued compensation and various other liabilities. The year-to-date decrease in Accrued liabilities was related primarily to the $5.7 million decrease in

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short-term dividends and dividend equivalents payable, which was driven by the payment of Class A common stock dividends accrued at year end 2023, and the $3.8 million decrease in accrued compensation, which was driven by annual bonus payments. These activities were offset partially by increases in various accrued payables during the quarter.

Self-Insurance—The Company is self-insured for certain losses relating to workers’ compensation claims and occupational disease obligations under the Federal Mine Safety and Health Act of 1969, as amended, as well as for employee medical expenses. The Company purchases insurance coverage to reduce its exposure to significant levels of these claims. Self-insured losses are accrued based upon estimates of the aggregate liability for uninsured claims incurred as of the balance sheet date using claims data and actuarial assumptions and, therefore, are subject to uncertainty due to a variety of factors.

The estimated aggregate liability for these items totaled $4.8 million and $5.2 million as of March 31, 2024 and December 31, 2023, respectively. Of the aggregate liability, the amounts included in Other long-term liabilities were $3.1 million at March 31, 2024 and December 31, 2023.

Funds held in escrow for potential future workers’ compensation claims are considered restricted cash and have been included in other current assets on the condensed consolidated balance sheets. Restricted cash balances were $0.8 million at March 31, 2024 and December 31, 2023.

NOTE 6—EQUITY

Common Stock—On June 12, 2023, an amendment to the Company’s amended and restated certificate of incorporation was approved by shareholder vote to reclassify the Company’s existing common stock as shares of Class A common stock and create a separate Class B common stock.

The initial distribution of Class B common stock occurred on June 21, 2023 via a stock dividend to existing holders of common stock as of May 12, 2023. On the date of initial distribution, each holder of common stock received 0.2 shares of Class B common stock for every one share of existing common stock held on the record date. Similar actions or modifications occurred for holders of outstanding stock-based awards.

The distribution of the Class B common stock provides existing holders of the Company’s common stock with an opportunity to participate directly in the financial performance of the Company’s CORE assets on a stand-alone basis, separate from the Company’s metallurgical coal operations. CORE assets were acquired initially as part of the Company’s acquisition of Ramaco Coal in the second quarter of 2022. The financial performance of CORE assets consists of the following non-cost bearing revenue streams based on the Company’s current expectations:

● Royalty fees derived from the royalties associated with the Ramaco Coal and Amonate reserves, which we believe approximates 3% of Company-produced coal sales revenue excluding coal sales revenue from Knox Creek,

● Infrastructure fees based on $5.00 per ton of coal processed at our preparation plants and $2.50 per ton of loaded coal at the Company’s rail load-out facilities, and

● Future income derived, if and when realized, from advanced carbon products as well as rare earth elements and critical minerals initiatives.

The Company expects to pay a dividend equal to 20% of the total fees above; however, any dividend amounts declared and paid are subject to the sole discretion of the Company’s Board of Directors.

In addition, the Board of Directors retains the power to change or add expense allocation policies related to CORE, redefine CORE assets, and redetermine CORE’s per-ton usage fees at any time, in its sole discretion, without shareholder approval. Holders of shares of Class A common stock continue to be entitled to receive dividends when and if declared by the Board of Directors subject to any statutory or contractual restrictions on the payment of dividends and to any prior rights and preferences that may be applicable to outstanding preferred stock, if any.

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CORE is not a separate legal entity and holders of Class B common stock do not own a direct interest in the assets of CORE. Holders of Class B common stock are stockholders of Ramaco Resources, Inc. and are subject to all risks and liabilities of the Company as a whole.

With respect to voting rights, holders of Class A common stock and Class B common stock vote together as a single class on all matters submitted to a vote of the stockholders and are entitled to one vote per share. The holders of Class A common stock and Class B common stock do not have cumulative voting rights in the election of directors. Class B common stock does not have any specific voting rights or governance rights with respect to CORE.

With respect to liquidation rights, holders of common stock are entitled to receive ratably the assets available for distribution to the stockholders after payment of liabilities and the liquidation preference of outstanding preferred stock, if any. That is, the rights to residual net assets upon liquidation are equal between holders of Class A and Class B common stock. Holders of Class B common stock do not have specific rights to CORE assets in the event of liquidation.

The Board of Directors also retains the ability, in its sole discretion, to exchange all outstanding shares of Class B common stock into Class A common stock based on an exchange ratio determined by a 20-day trailing volume-weighted average price for each class of stock.

Stock-Based Awards—Stock-based compensation expense totaled $4.7 million and $2.9 million for the three months ended March 31, 2024 and March 31, 2023, respectively. During 2024, the Company granted new stock-based awards and modified certain awards previously granted as discussed below. New stock-based awards granted during the first quarter of 2024 were for Class A common stock. There were no Class B stock-based awards granted during the first quarter of 2024.

Restricted Stock—We granted 179,028 shares of Class A restricted stock to certain senior executives, key employees, and directors during the first quarter of 2024, having a grant-date fair value of $3.1 million. The aggregate fair value of the awards granted to employees was $2.5 million, which is recognized ratably as expense over the three-year service period unless forfeited. The aggregate fair value of restricted stock granted to directors was $0.6 million, which is recognized ratably as expense over one year unless forfeited. During the vesting period, the participants have voting rights and receive nonforfeitable dividends on the same basis as fully vested common stockholders.

Restricted Stock Units—We granted 302,699 Class A restricted stock units to certain senior executives and key employees during the first quarter of 2024, having a grant-date fair value of $17.58 per share. The aggregate fair value of these awards was $5.3 million, which is recognized ratably as expense over the three-year service period unless forfeited. During the vesting period, the participants have no voting rights and no dividend rights; however, participants are entitled to receive dividend equivalents, which shall be subject to the same conditions applicable to the units and payable at the time the units vest. The recipient will receive one share of Class A common stock for each stock unit vested.

Performance Stock Units—We granted Class A performance stock units to certain senior executives and key employees during the first quarter of 2024. These awards cliff-vest approximately three years from the date of grant based on the achievement of targeted performance levels related to pre-established relative total shareholder return goals. These performance stock units have the potential to be earned from 0% to 200% of target depending on actual results. During the vesting period, the participants have no voting rights and no dividend rights; however, participants are entitled to receive dividend equivalents, which shall be subject to the same conditions applicable to the units and payable at the time the units vest. The recipient will receive one share of Class A common stock for each stock unit vested.

Performance stock units are accounted for as awards with a market condition since vesting depends on total shareholder return relative to a group of peer companies. The target number of performance stock units granted during the first quarter of 2024, or 315,941 units, were valued relative to the total shareholder return of a peer group based on a Monte Carlo simulation, which resulted in a grant date fair value of $28.72 per unit. The aggregate fair value of these awards was $9.1 million, which is recognized ratably as expense over the three-year period.

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Modification— The resignation of one of the Company’s executive officers and the separation agreement between the employee and the Company that occurred during the first quarter of 2024 resulted in a net charge to stock compensation expense of $1.2 million during the period. Incremental value of $1.8 million resulted from the continued equity vesting provision included in the separation agreement applicable to the employee’s restricted stock awards, which was recognized as expense. This amount was offset partially by the $0.6 million reversal of previously recognized compensation expense related to the pre-modified restricted stock award ($0.3 million) as well as the forfeiture of restricted stock units and performance stock units (collectively $0.3 million).

Dividends– On February 1, 2024, the Company announced that the Board of Directors declared a cash dividend of $0.2416 per share of Class B common stock, which was paid on March 15, 2024 to shareholders of record on March 1, 2024 in the amount of $2.1 million. On December 6, 2023, the Company announced that the Board of Directors declared a cash dividend on Class A common stock of $0.1375 per share of Class A common stock, which was paid on March 15, 2024 to shareholders of record on March 1, 2024 in the amount of $6.1 million. Dividends of $6.0 million were accrued in December 2023 for the declaration of the Class A cash dividends. In addition, previously accrued dividend equivalents of $0.1 million were paid to employees who satisfied restricted stock unit service conditions during the first quarter of 2024.

On December 8, 2022, the Company announced that its Board of Directors declared a quarterly cash dividend of approximately $0.125 per share of common stock. Estimated dividends of $5.5 million were accrued in December 2022 and were paid on March 15, 2023 to shareholders of record on March 1, 2023 in the amount of $5.6 million.

NOTE 7—COMMITMENTS AND CONTINGENCIES

Environmental Liabilities—Environmental liabilities are recognized when the expenditures are considered probable and can be reasonably estimated. Measurement of liabilities is based on currently enacted laws and regulations, existing technology, and undiscounted site-specific costs. Generally, such recognition would coincide with a commitment to a formal plan of action. No amounts have been recognized for environmental liabilities.

Surety Bond—In accordance with state laws, we are required to post reclamation bonds to assure that reclamation work is completed. We also have a smaller amount of surety bonds that secure performance obligations. Bonds outstanding at March 31, 2024 totaled approximately $30.2 million.

Coal Leases and Associated Royalty Commitments—We lease coal reserves under agreements that require royalties to be paid as the coal is mined and sold. Many of these agreements require minimum annual royalties to be paid regardless of the amount of coal mined and sold. Total royalty expenses were $6.8 million and $9.0 million for the three months ended March 31, 2024 and March 31, 2023, respectively. These agreements generally have terms running through exhaustion of all the mineable and merchantable coal covered by the respective lease. Royalties or throughput payments are based on a percentage of the gross selling price received for the coal we mine.

Contingent Transportation Purchase Commitments—We secure the ability to transport coal through rail contracts and export terminals that are sometimes funded through take-or-pay arrangements. As of March 31, 2024, the Company’s remaining commitments under take-or-pay arrangements totaled $30.7 million, the majority of which relates to a multi-year contract with a total remaining commitment of $19.4 million over the remaining four years. The level of these commitments will generally be reduced at a per ton rate as such rail and export terminal services are utilized against the required minimum tonnage amounts over the contract term stipulated in such rail and export terminal contracts. However, as of March 31, 2024, the Company has accrued a $1.4 million liability for the shortfall associated with the first year’s annual commitment in the multi-year contract, which is included in the total remaining commitment above. The accrued liability for the expected shortfall was $0.8 million at December 31, 2023.

Litigation—From time to time, we are subject to various litigation and other claims in the normal course of business. No amounts have been accrued in the consolidated financial statements with respect to any matters.

On November 5, 2018, one of our three raw coal storage silos that fed our Elk Creek plant experienced a partial structural failure. A temporary conveying system completed in late-November 2018 restored approximately 80% of our

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plant capacity. We completed a permanent belt workaround and restored the preparation plant to its full processing capacity in mid-2019. Our insurance carrier, Federal Insurance Company, disputed our claim for coverage based on certain exclusions to the applicable policy and, therefore, on August 21, 2019, we filed suit against Federal Insurance Company and Chubb INA Holdings, Inc. in Logan County Circuit Court in West Virginia seeking a declaratory judgment that the partial silo collapse was an insurable event and to require coverage under our policy. Defendants removed the case to the United States District Court for the Southern District of West Virginia, and upon removal, we substituted ACE American Insurance Company as a defendant in place of Chubb INA Holdings, Inc. The trial in the matter commenced on June 29, 2021, in Charleston, West Virginia. 

On July 15, 2021, the jury returned a verdict in our favor for $7.7 million in contract damages and on July 16, 2021, made an additional award of $25.0 million for damages for wrongful denial of the claim under Hayseeds, Inc. v. State Farm Fire & Cas., 177 W. Va. 323, 352 S.E. 2d 73 (W. Va. 1986), including inconvenience and aggravation. On August 12, 2021, the defendants filed a post-trial motion for judgment as a matter of law or in the alternative to alter or amend the judgment or for a new trial. On March 4, 2022, the court entered its memorandum opinion and order on the motion reducing the jury award to a total of $1.8 million, including pre-judgment interest, and also vacated and set aside, in its entirety, the jury award of Hayseeds damages. The same day, the court entered the judgment in accordance with the memorandum opinion and order.

On April 1, 2022, we filed a notice of appeal with the U.S. Court of Appeals for the Fourth Circuit. On July 20, 2023, the court rendered a decision reinstating the jury’s $7.7 million contract damages verdict. The court further determined that we are entitled to attorney’s fees in an amount to be determined on remand. Finally, the court held that we are entitled to Hayseeds damages for wrongful denial of the claim but remanded for a new trial on the amount of such damages after affirming that the original $25 million award was excessive. On August 3, 2023, the Defendants-Appellees filed a Petition of Rehearing and Rehearing En Banc with the Fourth Circuit. The petition was denied by order dated August 15, 2023. On August 29, 2023, the court clarified that the amount of attorney’s fees to be determined on remand included appellate fees. On September 8, 2023, the court entered its amended judgment, which awarded post-judgment interest on the previously awarded and reinstated verdict related to contract (compensatory) damages and the Fourth Circuit thereafter issued its mandate on October 2, 2023. The matter is now pending before the District Court for a new trial on damages for inconvenience and aggravation as well as the court’s determination and award of attorney’s fees.

The defendants fully paid during 2023 the portion of the judgment related to contract (compensatory) damages in the court’s order and that portion of the matter is considered closed.

NOTE 8—REVENUE

Our revenue is derived from contracts for the sale of coal and is recognized when the performance obligations under the contract are satisfied, which is at the point in time control is transferred to our customer. Generally, domestic sales contracts have terms of about one year and the pricing is typically fixed. Export sales have spot or term contracts, and pricing can be either fixed or derived against index-based pricing mechanisms. Sales completed with delivery to an export terminal are reported as export revenue.

Disaggregated information about Revenue is presented below:

	Three months ended March 31,
(In thousands)	2024		2023
Coal Sales
North American revenue	$	54,173	$	40,027
Export revenue, excluding Canada		118,503		126,333
Total revenue	$	172,676	$	166,360

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Revenue for the first quarter of 2024 includes $0.9 million of additional revenue related to adjustments for performance obligations satisfied in a previous reporting period. These adjustments were due to true-ups of previous estimates for provisional pricing and demurrage as well as price adjustments for minimum specifications or qualities of delivered coal.

As of March 31, 2024, the Company had outstanding performance obligations of approximately 1.1 million tons for contracts with fixed sales prices averaging $168 per ton, excluding freight, as well as 3.1 million tons for contracts with index-based pricing mechanisms. The Company expects to satisfy approximately 78% of the committed tons in 2024, 21% in 2025, and 1% in 2026. Variable amounts, including index-based prices, have not been estimated for the purpose of disclosing remaining performance obligations as permitted under the revenue recognition guidance when variable consideration is allocated entirely to a wholly unsatisfied performance obligation.

Concentrations—During the three months ended March 31, 2024, sales to two individual customers were 10% or more of our total revenue. Sales to these customers represented 19% and 11% of our total revenue during the period. For comparison purposes, during the three months ended March 31, 2023, sales to four individual customers exceeded 10% of total revenue and accounted for approximately 63% of our revenue. Three customers with individual accounts receivable balances equal to 10% or more of total accounts receivable made up approximately 26%, 15%, and 13% of the Company’s accounts receivable balance as of March 31, 2024.

NOTE 9—INCOME TAXES

Income tax provisions for interim periods are generally based on an estimated annual effective income tax rate calculated separately from the effect of significant, infrequent, or unusual items related specifically to interim periods. The income tax impacts of discrete items are recognized in the period these occur.

Our effective tax rate for the three months ended March 31, 2024 and March 31, 2023 was 21% and 18%, respectively. The primary differences from the federal statutory rate of 21% are related to state taxes, non-deductible expenses, the foreign-derived intangible income deduction, and depletion expense for income tax purposes.

NOTE 10—EARNINGS PER SHARE

Earnings per share (“EPS”) is not presented retrospectively for periods prior to the issuance of the tracking stock as the tracking stock was not a part of the Company’s capital structure during those periods and the issuance of the tracking stock changes the common shareholders’ relative residual interest in the Company. Therefore, EPS is presented for the Company’s single class of common stock up to the time the tracking stock was issued and, subsequent to this date, EPS is presented prospectively under the two-class method.

The computation of basic and diluted EPS is shown on the following page:

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(In thousands, except per share amounts)	Three months ended March 31,
	2024		2023
Earnings attribution
Single class of common stock (through 6/20/2023)	$	N/A	$	25,257
Class A common stock		(106)		—
Class A restricted stock awards		1		—
Class B common stock		2,032		—
Class B restricted stock awards		72		—
Forfeitable dividends declared on unvested stock-based awards		33		—
Net income	$	2,032	$	25,257
	Three months ended March 31, 2024					Three months ended March 31, 2023
	Class A		Class B			Single Class
EPS calculations
Numerator
Net earnings (loss)	$	(106)	$	2,032	$	25,257
Denominator
Weighted average shares used to compute basic earnings per share		42,496		8,508		44,281
Dilutive effect of stock option awards		—		96		411
Dilutive effect of restricted stock units		—		32		—
Dilutive effect of performance stock units		—		162		—
Weighted average shares used to compute diluted earnings per share		42,496		8,798		44,692
Earnings per common share (dual-class structure)
Basic	$	(0.00)	$	0.24	$	0.57
Diluted	$	(0.00)	$	0.23	$	0.57

Unvested restricted stock awards have the right to receive nonforfeitable dividends on the same basis as common shares; therefore, unvested restricted stock is considered a participating security for the purpose of calculating EPS. Historically, the Company has shown EPS for its common stock and unvested restricted stock on a combined basis since both instruments participate on the same basis and the resulting EPS is typically the same. Starting under the two-class method, the Company reports separately the net earnings allocated away from holders of Class A and Class B common stock to holders of unvested restricted stock awards.

For accounting purposes, Class B’s participation rights are, in substance, discretionary based on the power of the Company’s Board of Directors to add or modify expense allocation policies, redefine CORE assets, and redetermine CORE’s per-ton usage fees at any time, in its sole discretion, without shareholder approval. Therefore, no amount of the Company’s net earnings shall be allocated to Class B for the purpose of calculating EPS other than actual dividends declared during the period for the tracking stock. However, during the first quarter of 2024, dividends declared by the Company were only for Class B common stock and were slightly in excess of consolidated net income for the period, which resulted in an undistributed net loss for reporting purposes. The resulting undistributed net loss was allocated proportionately between outstanding Class A and Class B common stock based on the rights to residual net assets upon liquidation being equal between holders of Class A and Class B common stock. The end result was that Class A common stock was attributed a small net loss while Class B was attributed net earnings for the purpose of calculating EPS.

Diluted EPS is calculated using the treasury stock method for stock options and restricted stock units. For performance stock units, the awards are first evaluated under the contingently issuable shares guidance, which requires a determination as to whether shares would be issuable if the end of the reporting period were the end of the contingency period. For shares determined to be issuable under performance stock unit awards, the treasury stock method is then applied to determine the dilutive impact of the awards, if any. Unvested restricted stock awards are considered potential common shares as well as participating securities, as discussed previously, and are included in diluted EPS using the more dilutive of the treasury stock method or the two-class method. Since these awards share in dividends on a 1:1 basis

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with common shares, applying the treasury stock method is antidilutive compared to the basic EPS calculation that allocates earnings to participating securities under the two-class method discussed previously. In addition, the Company’s ability to convert Class B common shares into Class A common shares is a contingency that will not be reflected in the diluted EPS for Class A common stock under the if-converted method until such time that the required Board resolutions occur, if ever.

For the first quarter of 2024, diluted EPS for Class A common stock excluded all outstanding stock awards because of the allocation of the undistributed net loss discussed above, and, therefore, the inclusion of any potential common shares would be antidilutive. Excluded Class A common stock awards were 749 thousand options to purchase Class A common stock, 718 thousand restricted stock units, and 1,057 thousand performance stock units (at target). No potential common shares were excluded from the calculation of diluted EPS for Class B common stock.

Diluted EPS for the single class of common stock in the first quarter of 2023 excluded all outstanding restricted stock units (684 thousand units in total or 396 thousand units on a weighted average outstanding basis) because the effect would have been antidilutive. In addition, all outstanding performance stock units (767 thousand units at target) were excluded under the guidance for contingently issuable shares or, otherwise, because the effect would have been antidilutive.

NOTE 11—RELATED PARTY TRANSACTIONS

Ramaco Coal Deferred Purchase Price—A portion of the financing of the 2022 acquisition of Ramaco Coal was provided by Yorktown Partners, a related party. The Company incurred interest expense of $0.8 million for the three months ended March 31, 2023 related to the financing. The Company repaid the related-party financing debt in full during 2023. However, as of March 31, 2024, the Company still owed $0.1 million to Yorktown Partners related to the transaction, which is included in Accounts payable on the Consolidated Balance Sheet. This amount was adjusted downward during the first quarter of 2024 from the $0.4 million balance reported at December 31, 2023.

Other Professional Services—The Company has also entered into professional services agreements with two other related parties, which have been aggregated due to immateriality. Professional service fees incurred for these related parties were $71 thousand during the first quarter of 2024.

NOTE 12—SUBSEQUENT EVENTS

On May 8, 2024, the Company announced that its Board of Directors declared cash dividends of $0.1375 per share of Class A common stock and $0.2376 per share of Class B common stock during the second quarter of 2024. The Class B dividend was calculated based on 20% of CORE royalty and infrastructure fees for the first quarter of 2024. Both dividends are payable on June 15, 2024 to shareholders of record on June 1, 2024.

On May 8, 2024, the Company announced that it entered into a First Amendment Agreement to the Revolving Credit Facility on May 3, 2024, in order to, among other things, extend the maturity date and increase the size of its existing Revolving Credit Facility. The amended facility has a maturity date of May 3,2029, and provides an initial aggregate revolving commitment of $200 million as well as an accordion feature to increase the size by an additional $75 million subject to certain terms and conditions, including the lenders’ consent. Borrowings under the amended facility may not exceed the borrowing base as determined under the amended formula included in the agreement.

Revolving loans under the facility bear interest at either the base rate plus 2.00% or the Secured Overnight Financing Rate plus 2.50%. The base rate equals the highest of the administrative agent’s prime rate, the Federal Funds Effective Rate plus 0.5%, or 3.00%. The terms of the amended facility also require the Company to maintain certain covenants, including fixed charge coverage ratio and compensating balance requirements.

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* * * * *

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained in our Annual Report, as well as the financial statements and related notes appearing elsewhere in this Quarterly Report. The following discussion contains forward-looking statements that reflect our future plans, estimates, beliefs and expected performance. The forward-looking statements are dependent upon events, risks and uncertainties that may be outside our control. We caution you that our actual results could differ materially from those discussed in these forward-looking statements. Factors that could cause or contribute to such differences are discussed elsewhere in this Quarterly Report, particularly in the “Cautionary Note Regarding Forward-Looking Statements” and in our Annual Report and in this Quarterly Report under the heading “Item 1A. Risk Factors,” all of which are difficult to predict. In light of these risks, uncertainties and assumptions, the forward-looking events discussed may not occur. We do not undertake any obligation to publicly update any forward-looking statements except as otherwise required by applicable law.

Overview

We are an operator and developer of high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia. Our development portfolio primarily includes the following properties: Elk Creek, Berwind, Knox Creek, and Maben. We believe each of these properties possesses geologic and logistical advantages that make our coal among the lowest delivered-cost U.S. metallurgical coal to our domestic customer base, North American blast furnace steel mills and coke plants, as well as international metallurgical coal consumers. We also control mineral deposits near Sheridan, Wyoming as part of the Company’s initiatives regarding the potential recovery of rare earth elements and critical minerals as well as the potential commercialization of coal-to-carbon-based products and materials.

Our primary source of revenue is the sale of metallurgical coal. We are a pure-play metallurgical coal company with 59 million reserve tons and 1,119 million measured and indicated resource tons of high-quality metallurgical coal. Our plan is to continue development of our existing properties and grow annual production over the next few years to approximately seven million clean tons of metallurgical coal, subject to market conditions, permitting and additional capital deployment in the medium-term. We may make acquisitions of reserves or infrastructure that continue our focus on advantaged geology and lower costs.

The overall outlook of the metallurgical coal business is dependent on a variety of factors such as pricing, regulatory uncertainties, and global economic conditions. Coal consumption and production in the U.S. is driven by several market dynamics and trends including the U.S. and global economies, the U.S. dollar’s strength relative to other currencies and accelerating production cuts. In addition, blast furnace steelmaking is more prevalent outside the U.S. compared to domestic steel production, which creates demand for exports of metallurgical coal.

Although conflicts overseas continue and economic growth remains uncertain in some regions of the world, supply constraints continue to support the global metallurgical coal market overall, including markets in Asia. Ongoing bans on the import of Russian coal have affected the availability of supply to certain seaborne markets as well as contributed to volatility in prices.

During the first three months of 2024, we sold 0.9 million tons of coal and recognized $172.7 million of revenue. Of this amount, 31% was sold in North American markets, including Canada, and 69% was sold into export markets. During the same period of 2023, we sold 0.8 million tons of coal and recognized $166.4 million of revenue. Of this amount, 24% was sold in North American markets, including Canada, and 76% was sold into export markets. Sales into export markets, which often include index-based pricing, have greater exposure to variability in pricing. The Company’s exports have not been affected by the catastrophic bridge collapse in Baltimore, nor does the Company anticipate at this time any future effects, since all of the Company’s export throughput and shipments occur at other U.S. East Coast ports.

As of March 31, 2024, the Company had outstanding performance obligations of approximately 1.1 million tons for contracts with fixed sales prices averaging $168 per ton, excluding freight, as well as 3.1 million tons for contracts with

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index-based pricing mechanisms. The Company expects to satisfy approximately 78% of these commitments in 2024, 21% in 2025, and 1% in 2026. Refer to Note 8 of Part I, Item 1 for additional information.

The Company continues to assess its potential rare earth elements deposit in Wyoming and is making progress in terms of initial mine development and related chemical testing. Analysis performed to date indicates elevated levels of rare earth elements along with significant concentrations of Gallium and Germanium, which are two high-value critical minerals recently banned from export by China. The rare earth elements exploration target is currently in an exploration stage and does not represent, and should not be construed to be, a mineral resource or mineral reserve as such terms are used in subpart 1300 of Regulation S-K. The Company also continues its work to advance new carbon product technologies with the goal of commercializing products that use coal in both an improved economic and environmental manner.

Results of Operations

	Three months ended March 31,
(In thousands, except per share amounts)	2024		2023
Revenue	$	172,676	$	166,360
Costs and expenses
Cost of sales (exclusive of items shown separately below)		139,713		110,549
Asset retirement obligations accretion		354		350
Depreciation, depletion, and amortization		15,220		11,852
Selling, general and administrative expenses		14,114		11,742
Total costs and expenses		169,401		134,493
Operating income		3,275		31,867
Other income (expense), net		629		1,247
Interest expense, net		(1,332)		(2,309)
Income before tax		2,572		30,805
Income tax expense		540		5,548
Net income	$	2,032	$	25,257
Earnings per common share
Basic - Single class (through 6/20/2023)	$	N/A	$	0.57
Basic - Class A	$	(0.00)	$	—
Total	$	(0.00)	$	0.57
Basic - Class B	$	0.24	$	—
Diluted - Single class (through 6/20/23)	$	N/A	$	0.57
Diluted - Class A	$	(0.00)	$	—
Total	$	(0.00)	$	0.57
Diluted - Class B	$	0.23	$	—
Adjusted EBITDA	$	24,180	$	48,253

During the three months ended March 31, 2024, our net income and Adjusted EBITDA were significantly lower compared to the same period in 2023. This was driven by lower margins on coal sales due to the negative impact of sales pricing and, to a lesser extent, higher per ton cost of sales as discussed below.

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Three Months Ended March 31, 2024 Compared to Three Months Ended March 31, 2023

Coal sales information is summarized as follows:

	Three months ended March 31,
(In thousands)	2024		2023		Increase (Decrease)
Revenue:
Coal sales revenue	$	172,676	$	166,360	$	6,316
Tons sold		929		757		172
Total revenue per ton sold (GAAP)	$	186	$	220	$	(34)
Cost of Sales:
Cost of sales	$	139,713	$	110,549	$	29,164
Tons sold		929		757		172
Total cost of sales per ton sold (GAAP)	$	150	$	146	$	4
Refer to Non-GAAP Financial Measures for supplemental calculations of revenue per ton sold (FOB mine) and cash cost per ton sold (FOB mine)

Revenue. Our revenue includes sales of Company produced coal and coal purchased from third parties. We include amounts billed by us for transportation to our customers within revenue and transportation costs incurred within cost of sales.

Coal sales revenue for the three months ended March 31, 2024 was $172.7 million, approximately 4% higher than the same period in 2023 driven by the 23% increase in tons sold offset partially by the negative impact of pricing. The 172 thousand increase in tons sold occurred in both North America (105 thousand tons) and export markets (67 thousand tons) and was aided by the Company’s increased capacity for production achieved during late 2023. Revenue per ton sold decreased 15% from $220 per ton for the three months ended March 31, 2023 to $186 per ton for the three months ended March 31, 2024 and was driven by the variability in index-based pricing for export sales. Revenue per ton sold (FOB mine), a non-GAAP measure which excludes transportation revenues and demurrage, decreased 17% from $188 per ton for the three months ended March 31, 2023 to $155 per ton for the three months ended March 31, 2024. Prices fell by approximately 20% in the metallurgical coal markets throughout the first quarter of 2024, the majority of which occurred in March, on the back of muted global demand. While the drop in pricing that occurred in March appears to have stabilized, we expect metallurgical coal prices to remain volatile in the near term.

Cost of sales. Our cost of sales totaled $139.7 million for the three months ended March 31, 2024 compared to $110.5 million for the same period in 2023. The 26% increase was driven by the increase in tons sold, as discussed above, and, to a lesser extent, the increase in the Company’s cost per ton sold. Cost of sales per ton sold increased 3% from $146 per ton for the three months ended March 31, 2023 to $150 per ton for the three months ended March 31, 2024. Cash cost per ton sold (FOB mine), a non-GAAP measure which excludes transportation costs, alternative mineral development costs, and idle mine costs, increased 8% from $109 per ton for the three months ended March 31, 2023 to $118 per ton for the three months ended March 31, 2024. First quarter of 2024 mine costs were impacted negatively by challenging geology and labor constraints, both of which are expected to improve throughout the second quarter and especially in the back half of 2024.

Depreciation, depletion, and amortization. Depreciation, depletion, and amortization expense totaled $15.2 million and $11.9 million for the three months ended March 31, 2024 and March 31, 2023, respectively. The increase year-to-year occurred across all asset types and was driven by the Company’s initiative to grow production.

Selling, general, and administrative. Selling, general, and administrative expenses were $14.1 million and $11.7 million for the three months ended March 31, 2024 and March 31, 2023, respectively. The 20% increase in 2024 was

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primarily due to greater compensation-related expenses and spending for professional services consistent with the Company’s growth efforts.

Other income (expense), net. Other income, net was $0.6 million for the three months ended March 31, 2024 compared to $1.2 million for the same period in 2023.

Interest expense, net. Interest expense, net was $1.3 million for the three months ended March 31, 2024 compared to $2.3 million for the same period in 2023. The decrease in 2024 was largely due to the repayment in full of related-party debt in 2023 associated with the financing of the Ramaco coal acquisition. Interest expense related to this financing was $0.8 million in the first quarter of 2023.

Income tax expense. The effective tax rate for the three months ended March 31, 2024 and March 31, 2023 was 21% and 18%, respectively. The primary differences from the federal statutory rate of 21% are related to state taxes, non-deductible expenses, the foreign-derived intangible income deduction, and depletion expense for income tax purposes.

Earnings per share. Refer to Note 10 of Part I, Item 1 for information regarding earnings per share calculations for Class A and Class B common stock.

Liquidity and Capital Resources

At March 31, 2024, we had $30.5 million of cash and cash equivalents and $65.3 million available under our Revolving Credit Facility for future borrowings. Total current assets were $34.1 million higher than total current liabilities, which included $17.0 million of revolver borrowings repaid during the first half of April 2024.

Significant sources and uses of cash during the first three months of 2024

Sources of cash:

● Cash flows provided by operating activities were $25.2 million during the first quarter of 2024, which were driven primarily by net earnings adjusted for non-cash expenses related to depreciation, depletion, and amortization as well as stock-based compensation.

Uses of cash:

● Capital expenditures were $18.7 million, which includes expenditures related to the preparation plant and expansion of our Maben complex. We anticipate the preparation plant at Maben to be fully operational before year-end 2024. The Company expects to spend approximately $53-63 million on capital expenditures for the full year 2024.

● Cash outflows for financing activities totaled $18.0 million, which included:

o net repayments of $3.9 million on our existing debt in addition to paying down equipment finance leases of $2.1 million and insurance financing of $1.8 million and

o dividend payments of $8.3 million during the period, which includes $6.1 million for Class A common stock and $2.1 million for Class B common stock.

23

The Class B common stock dividend was calculated based on 20% of the fourth quarter 2023 CORE royalty and infrastructure fees as shown below. Refer to Note 6 of Part I, Item 1 for additional information regarding dividends.

	Three months ended March 31,		Three months ended December 31,
(In thousands)	2024		2023
Royalties
Ramaco Coal	$	2,730	$	3,276
Amonate Assets		1,312		722
Other		12		14
Total Royalties	$	4,054	$	4,012
Infrastructure Fees
Preparation Plants (Processing at $5.00/ton)	$	4,475	$	4,432
Rail Load-outs (Loading at $2.50/ton)		1,954		2,198
Total Infrastructure Fees (at $7.50/ton)	$	6,429	$	6,630
CORE Royalty and Infrastructure Fees	$	10,483	$	10,642
Total Cash Available for Dividend for Class B Common Stock	$	10,483	$	10,642
20% of Cash Available for Dividend for Class B Common Stock	$	2,097	$	2,128

On May 8, 2024, the Company announced that its Board of Directors declared cash dividends of $0.1375 per share of Class A common stock and $0.2376 per share of Class B common stock during the second quarter of 2024. The Class B dividend was calculated based on 20% of CORE royalty and infrastructure fees for the first quarter of 2024 as shown above. Both dividends are payable on June 15, 2024 to shareholders of record on June 1, 2024.

Future sources and uses of cash

Our primary use of cash includes capital expenditures for mine development, ongoing operating expenses, and deferred cash payments in connection with the Maben Coal acquisition. We expect to fund our capital and liquidity requirements for the next twelve months and the reasonably foreseeable future with cash on hand, borrowings under our revolving credit facility, and projected cash flows from operations. Factors that could adversely impact our future liquidity and ability to carry out our capital expenditure program include the following:

● Timely delivery of our product by rail and other transportation carriers;

● Late payments of accounts receivable by our customers;

● Cost overruns in our purchases of equipment needed to complete our mine development plans;

● Delays in completion of development of our various mines, processing plants and refuse disposal facilities, which would reduce the coal we would have available to sell and our cash flow from operations; and

● Adverse changes in the metallurgical coal markets that would reduce the expected cash flow from operations.

If future cash flows were to become insufficient to meet our liquidity needs or capital requirements, due to changes in macroeconomic conditions or otherwise, we may reduce our expected level of capital expenditures for new mine production and/or fund a portion of our capital expenditures through the issuance of debt or equity securities, new debt arrangements, or from other sources such as asset sales.

On September 1, 2023, the Company filed a shelf registration statement to sell any combination of Class A common stock, Class B common stock, preferred stock, depositary shares, debt securities, warrants, and rights at an aggregate initial offering price of up to $400.0 million. However, the Company has no specific plans to raise capital at this time

24

and no securities may be sold until a prospectus supplement describing the method and terms of any future offering is delivered.

On May 8, 2024, the Company announced that it entered into a First Amendment Agreement to the Revolving Credit Facility on May 3, 2024, in order to, among other things, extend the maturity date and increase the size of its existing Revolving Credit Facility. The amended facility has a maturity date of May 3,2029, and provides an initial aggregate revolving commitment of $200 million as well as an accordion feature to increase the size by an additional $75 million subject to certain terms and conditions, including the lenders’ consent. The amended facility provides the Company with additional flexibility to pursue further growth in production while meeting normal operating requirements.

Refer to Notes 4 and 12 of Part I, Item 1 for information regarding the Company’s Revolving Credit Facility and the subsequently amended facility as well as indebtedness.

Critical Accounting Estimates

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the amounts of revenue and expenses reported for the period then ended. A discussion of our critical accounting policies and estimates is included in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies and Estimates” of the Annual Report. There were no material changes to our critical accounting policies during the first three months of 2024.

Off-Balance Sheet Arrangements

A discussion of off-balance sheet arrangements is included under the heading “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations - Off-Balance Sheet Arrangements” in the Annual Report. There were no material changes during the first three months of 2024.

Non-GAAP Financial Measures

Adjusted EBITDA - Adjusted EBITDA is used as a supplemental non-GAAP financial measure by management and external users of our financial statements, such as industry analysts, investors, lenders, and rating agencies. We believe Adjusted EBITDA is useful because it allows us to more effectively evaluate our operating performance.

We define Adjusted EBITDA as net income plus net interest expense; stock-based compensation expense; depreciation, depletion, and amortization expenses; income taxes; accretion of asset retirement obligations; and, when applicable, certain non-operating expenses (charitable contributions). A reconciliation of net income to Adjusted EBITDA is included below. Adjusted EBITDA is not intended to serve as a substitute to U.S. GAAP measures of performance and may not be comparable to similarly-titled measures presented by other companies.

	Three months ended March 31,
(In thousands)	2024		2023
Reconciliation of Net Income to Adjusted EBITDA
Net income	$	2,032	$	25,257
Depreciation, depletion, and amortization		15,220		11,852
Interest expense, net		1,332		2,309
Income tax expense		540		5,548
EBITDA		19,124		44,966
Stock-based compensation		4,702		2,937
Accretion of asset retirement obligation		354		350
Adjusted EBITDA	$	24,180	$	48,253

25

Non-GAAP revenue per ton sold- Non-GAAP revenue per ton sold (FOB mine) is calculated as coal sales revenue less transportation revenues and demurrage, divided by tons sold. We believe revenue per ton sold (FOB mine) provides useful information to investors as it enables investors to compare revenue per ton we generate against similar measures made by other publicly-traded coal companies and more effectively monitor changes in coal prices from period to period excluding the impact of transportation costs which are beyond our control. The adjustments made to arrive at these measures are significant in understanding and assessing our financial performance. Revenue per ton sold (FOB mine) is not a measure of financial performance in accordance with U.S. GAAP and, therefore, should not be considered as a substitute to revenue under U.S. GAAP.

	Three months ended March 31,
(In thousands, except per ton amounts)	2024		2023
Revenue	$	172,676	$	166,360
Less: Adjustments to reconcile to Non-GAAP revenue (FOB mine)
Transportation		(28,285)		(24,446)
Non-GAAP revenue (FOB mine)	$	144,391	$	141,914
Tons sold		929		757
Non-GAAP revenue per ton sold (FOB mine)	$	155	$	188

Refer to coal sales information for revenue per ton sold (GAAP) calculation

Non-GAAP cash cost per ton sold - Non-GAAP cash cost per ton sold (FOB mine) is calculated as cash cost of sales less transportation costs, alternative mineral development costs, and idle mine costs, divided by tons sold. We believe cash cost per ton sold provides useful information to investors as it enables investors to compare our cash cost per ton against similar measures made by other publicly-traded coal companies and more effectively monitor changes in coal cost from period to period excluding the impact of transportation costs which are beyond our control, and alternative mineral costs, which are more developmentally focused at the present time. The adjustments made to arrive at these measures are significant in understanding and assessing our financial performance. Cash cost per ton sold (FOB mine) is not a measure of financial performance in accordance with U.S. GAAP and, therefore, should not be considered as a substitute to cost of sales under U.S. GAAP.

	Three months ended March 31,
(In thousands, except per ton amounts)	2024		2023
Cost of sales	$	139,713	$	110,549
Less: Adjustments to reconcile to Non-GAAP cash cost of sales
Transportation costs		(28,876)		(24,481)
Alternative mineral development costs		(1,135)		(980)
Idle mine costs		(237)		(2,559)
Non-GAAP cash cost of sales	$	109,465	$	82,529
Tons sold		929		757
Non-GAAP cash cost per ton sold (FOB mine)	$	118	$	109

Refer to coal sales information for cost per ton sold (GAAP) calculations

26

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Disclosures about market risk are included in Item 7A, “Quantitative and Qualitative Disclosures about Market Risk,” of our Annual Report.

Item 4. Controls and Procedures

Disclosure Controls and Procedures

As required by Rule 13a-15(b) of the Exchange Act, we have evaluated, under the supervision and with the participation of our management, including our chief executive officer, who serves as our principal executive officer, and chief financial officer, who serves as our principal financial officer, the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of the end of the period covered by this quarterly report. Our disclosure controls and procedures are designed to provide reasonable assurance that the information required to be disclosed by us in reports that we file under the Exchange Act is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosures, and is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC. However, based on that evaluation, our principal executive officer and principal financial officer concluded that our disclosure controls and procedures were not effective at the reasonable assurance level as of the end of the period covered by this quarterly report as a result of the material weakness in internal control over financial reporting previously identified as described below.

Previously Reported Material Weakness

We previously identified a material weakness and concluded that our internal control over financial reporting was ineffective as of December 31, 2023. Based on that evaluation, management identified a material weakness related to a pervasive lack of sufficient documentation of accounting policies, procedures, and controls. This lack of sufficient documentation does not allow management to effectively assess its relevant risks and key controls to properly test for design and operating effectiveness. A material weakness is a control deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

Remediation Plan

We are currently developing a plan of remediation to address this material weakness, which will include assessing, redesigning, and implementing modifications of our internal controls. We will not be able to fully remediate this material weakness until these steps have been completed and subsequent validation and testing of these internal controls have demonstrated their operating effectiveness over a sustained period of financial reporting cycles. Once the remediation plan is fully developed, we will be implementing process, control, and documentation improvements to address the above material weakness that include, but are not limited to, designing and implementing specific management review procedures to ensure completeness and accuracy of key financial and non-financial data utilized in our business; and implementing improved policies, procedures, and control activities over key financial data to ensure accuracy and completeness of this data as used in the aforementioned management review procedures.

Changes in Internal Control over Financial Reporting

We are currently developing a plan of remediation to address the material weakness, as described above. Except as otherwise described herein, there were no changes in our system of internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) during the period covered by this quarterly report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

27

Inherent Limitations on Effectiveness of Controls and Procedures

Our senior members of management do not expect that our disclosure controls and procedures or our internal control over financial reporting will prevent all errors and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

28

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

Due to the nature of our business, we may become, from time to time, involved in routine litigation or subject to disputes or claims related to our business activities. While the outcome of these proceedings cannot be predicted with certainty, in the opinion of our management, there are no pending litigation, disputes or claims against us which, if decided adversely, individually or in the aggregate, will have a material adverse effect on our financial condition, cash flows or results of operations. For a description of our legal proceedings, see Note 7 to the Condensed Consolidated Financial Statements included in Part I of this Quarterly Report.

Item 1A. Risk Factors

In addition to the other information set forth in this Quarterly Report, you should carefully consider the risk factors and other cautionary statements described under the heading “Item 1A. Risk Factors” included in our Annual Report and the risk factors and other cautionary statements contained in our other SEC filings, which could materially affect our business, financial condition, cash flows, or future results of operations.

Additional risks and uncertainties not currently known to us, or that we currently deem to be immaterial, also may materially adversely affect our business, financial condition, or future results. There have been no material changes in our risk factors from those described in our Annual Report.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None

Item 3. Defaults Upon Senior Securities

None

Item 4. Mine Safety Disclosures

The information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K is included in Exhibit 95.1 to this Quarterly Report.

Item 5. Other Information

During the period covered by this Quarterly Report, none of the Company’s directors or executive officers has adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement (each as defined in Item 408 of Regulation S-K under the Securities Exchange Act of 1934, as amended).

29

Item 6. Exhibits

10.1	Employment Separation Agreement, dated January 26, 2024, by and between the Company and Barkley J. Sturgill, Jr. (incorporated by reference to Exhibit 10.1 of the Company’s Current Report on Form 8-K (File No. 001-38003) filed with the Commission on February 1, 2024)
10.2	First Amendment Agreement, dated May 3, 2024, by and among Ramaco Resources, Inc., Ramaco Development, LLC, RAM Mining, LLC, Ramaco Coal Sales, LLC, Ramaco Resources, LLC, Ramaco Resources Land Holdings, LLC, Ramaco Coal, Inc., Maben Coal LLC, Carbon Resources Development, Inc., Ramaco Coal, LLC, as borrowers, the lenders party thereto, and KeyBank National Association as agent and lender, amending the Second Amended and Restated Credit and Security Agreement, dated February 15, 2023, by and among Ramaco Resources, Inc., the other borrowers party thereto, the lenders party thereto, and KeyBank National Association, as agent, lender, swing line lender and the issuer (incorporated by reference to Exhibit 10.1 of the Company’s Current Report on Form 8-K (File No. 001-38003) filed with the Commission on May 8, 2024)
*31.1	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
*31.2	Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
**32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
**32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
*95.1	Mine Safety Disclosure
*101.INS	Inline XBRL Instance Document
*101.SCH	XBRL Taxonomy Extension Schema Document
*101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
*101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
*101.LAB	XBRL Taxonomy Extension Labels Linkbase Document
*101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
104	Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)

*     Exhibit filed herewith.

**   Furnished herewith. Pursuant to SEC Release No. 33-8212, this certification will be treated as “accompanying” this Quarterly Report and not “filed” as part of such report for purposes of Section 18 of the Exchange Act or otherwise subject to the liability under Section 18 of the Exchange Act, and this certification will not be deemed to be incorporated by reference into any filing under the Securities Act, except to the extent that the registrant specifically incorporates it by reference.

30

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	RAMACO RESOURCES, INC.
May 9, 2024	By:	/s/ Randall W. Atkins
		Randall W. Atkins
		Chairman, Chief Executive Officer and Director
		(Principal Executive Officer)
May 9, 2024	By:	/s/ Jeremy R. Sussman
		Jeremy R. Sussman
		Chief Financial Officer
		(Principal Financial Officer)

31

EX-31.1

Exhibit 31.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

PURSUANT TO RULE 13A-14(A) AND RULE 15D-14(A)

OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Randall W. Atkins, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 of Ramaco Resources, Inc. (the “registrant”);

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 9, 2024	/s/ Randall W. Atkins
	Randall W. Atkins Chairman and Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER

PURSUANT TO RULE 13A-14(A) AND RULE 15D-14(A)

OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Jeremy R. Sussman, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 of Ramaco Resources, Inc. (the “registrant”);

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 9, 2024	/s/ Jeremy R. Sussman
	Jeremy R. Sussman Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION OF

CHIEF EXECUTIVE OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 of Ramaco Resources, Inc. (the “Company”), as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Randall W. Atkins, Chief Executive Officer of the Company, hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 9, 2024	/s/ Randall W. Atkins
	Randall W. Atkins Chairman and Chief Executive Officer

EX-32.2

Exhibit 32.2

CERTIFICATION OF

CHIEF FINANCIAL OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 of Ramaco Resources, Inc. (the “Company”), as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Jeremy R. Sussman, Chief Financial Officer of the Company, hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 9, 2024	/s/ Jeremy R. Sussman
	Jeremy R. Sussman Chief Financial Officer

EX-95.1

Exhibit 95.1

Federal Mine Safety and Health Act Information

We work to prevent accidents and occupational illnesses. We have in place health and safety programs that include extensive employee training, safety incentives, drug and alcohol testing and safety audits. The objectives of our health and safety programs are to provide a safe work environment, provide employees with proper training and equipment and implement safety and health rules, policies and programs that foster safety excellence.

Our mining operations are subject to extensive and stringent compliance standards established pursuant to the Federal Mine Safety and Health Act of 1977 (the “Mine Act”). Mine Safety and Health Administration (“MSHA”) monitors and rigorously enforces compliance with these standards, and our mining operations are inspected frequently. Citations and orders are issued by MSHA under Section 104 of the Mine Act for violations of the Mine Act or any mandatory health or safety standard, rule, order or regulation promulgated under the Mine Act.

Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) and Item 104 of Regulation S-K require issuers to include in periodic reports filed with the U.S. Securities and Exchange Commission certain information relating to citations or orders for violations of standards under the Mine Act. We present information below regarding certain mining safety and health violations, orders and citations, issued by MSHA and related assessments and legal actions and mine-related fatalities with respect to our coal mining operations. In evaluating this information, consideration should be given to factors such as: (i) the number of violations, orders and citations will vary depending on the size of the coal mine, (ii) the number of violations, orders and citations issued will vary from inspector to inspector and mine to mine, and (iii) violations, orders and citations can be contested and appealed, and in that process, are often reduced in severity and amount, and are sometimes dismissed.

The following tables include information required by the Dodd-Frank Act and Item 104 of Regulation S-K for the current quarter. The mine data retrieval system maintained by MSHA may show information that is different than what is provided herein. Any such difference may be attributed to the need to update that information on MSHA’s system and/or other factors. The tables below do not include any orders or citations issued to independent contractors at our mines.

Mine or Operating Name / MSHA Identification Number	Section104(a)S&SCitations(1)	Section104(b)Orders(2)	Section104(d)Citations andOrders(3)	Section110(b)(2)Violations(4)	Section107(a)Orders(5)	Total DollarValue of MSHAAssessmentsProposed(in thousands)(6)
Active Operations
Eagle Seam Deep Mine - 46-09495	6	0	0	0	0	$	17.37
Stonecoal Branch Mine No. 2 - 46-08663	11	0	0	0	0	$	27.87
No. 2 Gas Deep Mine - 46-09541	5	0	0	0	0	$	30.96
Michael Powellton Deep Mine – 46-09602	0	1	0	0	0	$	8.30
Crucible Deep Mine - 46-09614	7	0	1	0	0	$	8.36
Ram Surface Mine No. 1 - 46-09537	0	0	0	0	0	$	4.99
Highwall Miner No. 1 - 46-09219	0	0	0	0	0	$	0.66
Elk Creek Prep Plant - 46-02444	6	0	0	0	0	$	8.37
Maben Surface Mine - 46-09637	1	0	0	0	0	$	0.44
Highwall Miner No. 2 - 46-09638	0	0	0	0	0	$	0
Berwind Deep Mine - 46-09533	12	0	0	0	0	$	22.66
Laurel Fork - 46-09084	15	0	0	0	0	$	18.88
Jawbone Mine No. 1 - 44-07369	10	0	0	0	0	$	28.60
Triad No. 2 - 46-09628	7	0	0	0	0	$	42.10
Big Creek Surface Mine - 44-07162	1	0	0	0	0	$	0.20
HWM No. 3 - 15-19557	0	0	0	0	0	$	0
Coal Creek Prep Plant (VA) - 44-05236	1	0	0	0	0	$	0.15
Berwind Prep Plant - 46-05449	0	0	0	0	0	$	0

Mine or Operating Name /MSHA Identification Number	Total NumberofMining RelatedFatalities	Received Notice ofPattern ofViolations UnderSection 104(e)(yes/no)(7)	Legal ActionsPending as ofLastDay of Period	Legal ActionsInitiated DuringPeriod	Legal ActionsResolved DuringPeriod
Active Operations
Eagle Seam Deep Mine - 46-09495	0	No	20	2	7
Stonecoal Branch Mine No. 2 - 46-08663	0	No	8	5	3
No. 2 Gas - 46-09541	0	No	6	5	5
Michael Powellton Deep Mine - 46-09602	0	No	7	7	2
Crucible Deep Mine - 46-09614	0	No	5	4	0
Ram Surface Mine No. 1 - 46-09537	0	No	0	0	2
Highwall Miner No. 1 - 46-09219	0	No	0	0	0
Elk Creek Prep Plant - 46-02444	0	No	4	4	0
Maben Surface Mine - 46-09637	0	No	0	0	0
Highwall Miner No. 2 - 46-09638	0	No	0	0	0
Berwind Deep Mine - 46-09533	0	No	17	9	4
Laurel Fork - 46-09084	0	No	20	7	17
Jawbone Mine No. 1 - 44-07369	0	No	29	11	0
Triad No. 2 - 46-09628	0	No	20	12	2
Big Creek Surface Mine - 44-07162	0	No	0	0	0
HWM No. 3 - 15-19557	0	No	0	0	0
Coal Creek Prep Plant (VA) - 44-05236	0	No	0	0	0
Berwind Prep Plant - 46-05449	0	No	0	0	0

The number of legal actions pending before the Federal Mine Safety and Health Review Commission as of March 31, 2024, that fall into each of the following categories is as follows:

Mine or Operating Name /MSHA Identification Number	Contests ofCitations andOrders	Contests ofProposedPenalties	Complaints forCompensation	Complaints ofDischarge /Discrimination /Interference	Applicationsfor TemporaryRelief	Appeals ofJudge’sRuling
Active Operations
Eagle Seam Deep Mine - 46-09495	0	20	0	0	0	0
Stonecoal Branch Mine No. 2 - 46-08663	0	8	0	0	0	0
No. 2 Gas - 46-09541	0	6	0	0	0	0
Michael Powellton Deep Mine - 46-09602	0	7	0	0	0	0
Crucible Deep Mine - 46-09614	0	5	0	0	0	0
Ram Surface Mine No. 1 - 46-09537	0	0	0	0	0	0
Highwall Miner No. 1 - 46-09219	0	0	0	0	0	0
Elk Creek Prep Plant - 46-02444	0	4	0	0	0	0
Maben Surface - 46-09637	0	0	0	0	0	0
Highwall Miner No. 2 - 46-09638	0	0	0	0	0	0
Berwind Deep Mine - 46-09533	0	17	0	0	0	0
Laurel Fork - 46-09084	0	20	0	0	0	0
Jawbone Mine No. 1 - 44-07369	0	29	0	0	0	0
Triad No. 2 - 46-09628	0	20	0	0	0	0
Big Creek Surface - 44-07162	0	0	0	0	0	0
HWM No. 3 - 15-19557	0	0	0	0	0	0
Coal Creek Prep Plant (VA) - 44-05236	0	0	0	0	0	0
Berwind Prep Plant - 46-05449	0	0	0	0	0	0

(1) Mine Act Section 104(a) significant and substantial (“S&S”) citations shown above are for alleged violations of mandatory health or safety standards that could significantly and substantially contribute to a coal mine health and safety hazard. It should be noted that, for purposes of this table, S&S citations that are included in another column, such as Section 104(d) citations, are not also included as Section 104(a) S&S citations in this column.

(2) Mine Act Section 104(b) orders are for alleged failures to totally abate a citation within the time period specified in the citation.

(3) Mine Act Section 104(d) citations and orders are for an alleged unwarrantable failure (i.e., aggravated conduct constituting more than ordinary negligence) to comply with mandatory health or safety standards.

(4) Mine Act Section 110(b)(2) violations are for an alleged “flagrant” failure (i.e., reckless or repeated) to make reasonable efforts to eliminate a known violation of a mandatory safety or health standard that substantially and proximately caused, or reasonably could have been expected to cause, death or serious bodily injury.

(5) Mine Act Section 107(a) orders are for alleged conditions or practices which could reasonably be expected to cause death or serious physical harm before such condition or practice can be abated and result in orders of immediate withdrawal from the area of the mine affected by the condition.

(6) Amounts shown include assessments proposed by MSHA on all citations and orders, including those citations and orders that are not required to be included within the above chart.

(7) Mine Act Section 104(e) written notices are for an alleged pattern of violations of mandatory health or safety standards that could significantly and substantially contribute to a coal mine safety or health hazard.

XML

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2024	Apr. 30, 2024
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2024
Document Transition Report	false
Entity File Number	001-38003
Entity Registrant Name	Ramaco Resources, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	38-4018838
Entity Address, Address Line One	250 West Main Street
Entity Address, Address Line Two	Suite 1900
Entity Address, City or Town	Lexington
Entity Address, State or Province	KY
Entity Address, Postal Zip Code	40507
City Area Code	859
Local Phone Number	244-7455
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001687187
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1
Amendment Flag	false
9.00% Senior Notes due 2026
Title of 12(b) Security	9.00% Senior Notes due 2026
Trading Symbol	METCL
Security Exchange Name	NASDAQ
Class A Common Stock
Title of 12(b) Security	Class A Common Stock, $0.01 par value
Trading Symbol	METC
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding (in shares)		44,263,429
Class B Common Stock
Title of 12(b) Security	Class B Common Stock, $0.01 par value
Trading Symbol	METCB
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding (in shares)		8,825,928

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Current assets
Cash and cash equivalents	$ 30,503	$ 41,962
Accounts receivable	103,539	96,866
Inventories	41,280	37,163
Prepaid expenses and other	7,286	13,748
Total current assets	182,608	189,739
Property, plant, and equipment, net	466,253	459,091
Financing lease right-of-use assets, net	17,148	10,282
Advanced coal royalties	3,410	2,964
Other	4,592	3,760
Total Assets	674,011	665,836
Current liabilities
Accounts payable	59,694	51,624
Accrued liabilities	49,657	52,225
Current portion of asset retirement obligations	110	110
Current portion of long-term debt	28,227	56,534
Current portion of financing lease obligations	8,541	5,456
Insurance financing liability	2,238	4,037
Total current liabilities	148,467	169,986
Asset retirement obligations, net	29,197	28,850
Long-term debt, net	24,739	349
Long-term financing lease obligations, net	8,543	4,915
Senior notes, net	33,412	33,296
Deferred tax liability, net	52,424	54,352
Other long-term liabilities	4,961	4,483
Total liabilities	301,743	296,231
Commitments and contingencies
Stockholders' Equity
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none issued or outstanding
Additional paid-in capital	279,962	277,133
Retained earnings	91,775	91,944
Total stockholders' equity	372,268	369,605
Total Liabilities and Stockholders' Equity	674,011	665,836
Class A Common Stock
Stockholders' Equity
Common stock	443	440
Class B Common Stock
Stockholders' Equity
Common stock	$ 88	$ 88

XML

Consolidated Balance Sheets (Parentheticals) - $ / shares	Mar. 31, 2024	Dec. 31, 2023
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	50,000,000	50,000,000
Preferred stock, shares outstanding (in shares)	0	0
Preferred stock, shares Issued (in shares)	0	0
Class A Common Stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	225,000,000	225,000,000
Common stock, shares issued (in shares)	44,263,429	44,002,581
Common stock, shares outstanding (in shares)	44,263,429	44,002,581
Class B Common Stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	35,000,000	35,000,000
Common stock, shares issued (in shares)	8,825,928	8,809,557
Common stock, shares outstanding (in shares)	8,825,928	8,809,557

XML

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue	$ 172,676	$ 166,360
Costs and expenses
Cost of sales (exclusive of items shown separately below)	139,713	110,549
Asset retirement obligations accretion	354	350
Depreciation, depletion, and amortization	15,220	11,852
Selling, general, and administrative	14,114	11,742
Total costs and expenses	169,401	134,493
Operating income	3,275	31,867
Other income (expense), net	629	1,247
Interest expense, net	(1,332)	(2,309)
Income before tax	2,572	30,805
Income tax expense	540	5,548
Net income	$ 2,032	$ 25,257
Earnings per common share
Basic (in dollars per share)	$ 0.00	$ 0.57
Diluted (in dollars per share)	$ 0.00	$ 0.57
Class A Common Stock
Costs and expenses
Net income	$ (106)
Earnings per common share
Basic (in dollars per share)	$ 0.00
Diluted (in dollars per share)	$ 0.00
Class B Common Stock
Costs and expenses
Net income	$ 2,032
Earnings per common share
Basic (in dollars per share)	$ 0.24
Diluted (in dollars per share)	$ 0.23

XML

Consolidated Statements of Equity - USD ($) $ in Thousands	Common Stock Class B Common Stock	Common Stock	Additional Paid-in Capital.	Retained Earnings	Class B Common Stock	Total
Balance at Dec. 31, 2022		$ 442	$ 168,711	$ 140,045		$ 309,198
Stock-based compensation		3	2,934			2,937
Adjustment to dividends previously declared				(354)		(354)
Shares surrendered for withholding taxes payable		(1)	(114)			(115)
Net income				25,257		25,257
Balance at Mar. 31, 2023		444	171,531	164,948		336,923
Balance at Dec. 31, 2023	$ 88	440	277,133	91,944		369,605
Stock-based compensation		4	4,698			4,702
Shares surrendered for withholding taxes payable		(1)	(1,869)			(1,870)
Cash dividends and dividend equivalents declared				(2,201)		(2,201)
Net income				2,032	$ 2,032	2,032
Balance at Mar. 31, 2024	$ 88	$ 443	$ 279,962	$ 91,775		$ 372,268

XML

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Jun. 20, 2023
Cash flows from operating activities:
Net income	$ 2,032	$ 25,257	$ 25,257
Adjustments to reconcile net income to net cash from operating activities:
Accretion of asset retirement obligations	354	350
Depreciation, depletion, and amortization	15,220	11,852
Amortization of debt issuance costs	207	149
Stock-based compensation	4,702	2,937
Other	(23)
Deferred income taxes	(1,928)	2,154
Changes in operating assets and liabilities:
Accounts receivable	(6,673)	(29,925)
Prepaid expenses and other current assets	6,462	4,779
Inventories	(4,117)	(5,998)
Other assets and liabilities	(494)	(823)
Accounts payable	6,301	13,902
Accrued liabilities	3,145	(3,272)
Net cash provided by operating activities	25,188	21,362
Cash flows from investing activities:
Capital expenditures	(18,730)	(23,546)
Other	65	1,182
Net cash used for investing activities	(18,665)	(22,364)
Cash flows from financing activities:
Proceeds from borrowings	51,500	45,000
Payment of dividends	(8,319)	(5,556)
Repayment of borrowings	(55,417)	(24,145)
Repayment of Ramaco Coal acquisition financing - related party		(10,000)
Repayments of insurance financing	(1,799)	(1,433)
Repayments of equipment finance leases	(2,077)	(1,746)
Shares surrendered for withholding taxes payable	(1,870)	(115)
Net cash (used for) provided by financing activities	(17,982)	2,005
Net change in cash and cash equivalents and restricted cash	(11,459)	1,003
Cash and cash equivalents and restricted cash, beginning of period	42,781	36,473	$ 36,473
Cash and cash equivalents and restricted cash, end of period	31,322	37,476
Non-cash investing and financing activities:
Leased assets obtained under new financing leases	8,790	954
Capital expenditures included in accounts payable and accrued liabilities	6,708	13,812
Financed insurance		407
Accrued dividends and dividend equivalents payable	$ 33	$ 322

XML

Note 1 - Business and Basis of Presentation

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

BUSINESS AND BASIS OF PRESENTATION

NOTE 1—BUSINESS AND BASIS OF PRESENTATION

Ramaco Resources, Inc. (the “Company,” “Ramaco,” “we,” “us” or “our,”) is a Delaware corporation formed in October 2016. Our principal corporate and executive offices are located in Lexington, Kentucky with operational offices in Charleston, West Virginia and Sheridan, Wyoming. We are an operator and developer of high-quality, low-cost metallurgical coal in southern West Virginia and southwestern Virginia. We also control mineral deposits near Sheridan, Wyoming as part of the Company’s initiatives regarding the potential recovery of rare earth elements and critical minerals as well as the potential commercialization of coal-to-carbon-based products and materials.

Economic Conditions—Although conflicts overseas continue and global economic growth remains uncertain, supply constraints support the global metallurgical coal market overall. Ongoing bans on the import of Russian coal have affected the availability of supply to certain seaborne markets as well as contributed to volatility in coal prices.

Basis of Presentation—These interim financial statements are unaudited and have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Certain disclosures have been condensed or omitted from these financial statements. Accordingly, they do not include all the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete consolidated financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023.

In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the Company’s financial position as of March 31, 2024, as well as the results of operations and cash flows for all periods presented. In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect reported amounts in the condensed consolidated financial statements and disclosures of contingencies. Actual results may differ from those estimates. The results for interim periods are not necessarily indicative of annual results. Intercompany balances and transactions between consolidated entities have been eliminated.

There were no material changes to the Company’s significant accounting policies during the three months ended March 31, 2024.

Recent Accounting Pronouncements—In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 require incremental disclosures related to a public entity’s reportable segments and increase the frequency with which most segment disclosures are made. Incremental disclosures required by the ASU include significant segment expenses regularly provided to the chief operating decision maker (“CODM”) and included within the segment’s measure of profit or loss, the title and position of the CODM and an explanation how the CODM uses the reported measure of a segment’s profit or loss to assess performance and allocate resources, and the amount and composition of other segment items necessary to reconcile segment revenue, significant expenses, and the reported measure of profit or loss. The ASU also expands interim disclosure requirements such that nearly all annual quantitative segment disclosures will be made on an interim basis and requires that entities with a single reportable segment provide all segment disclosures that are not evident from the primary financial statements, including significant segment expenses, consistent with the approach used by management to evaluate performance. ASU 2023-07 is effective starting with Ramaco’s 2024 annual financial statements and on a quarterly basis thereafter. Retrospective application is required. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely occur upon adoption.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). The amendments in ASU 2023-09 require reporting entities to disclose annual income taxes paid, net of refunds, disaggregated by federal, state, and foreign taxes and to provide additional disaggregated

information for individual jurisdictions that equal or exceed 5% of total income taxes paid, net of refunds. ASU 2023-09 also requires public business entities to disclose additional categories of information about federal, state, and foreign income taxes in their annual rate reconciliation table and provide more information about some categories if the quantitative threshold is met. The ASU will also require disclosure of amounts and percentages in the annual rate reconciliation table, rather than amounts or percentages, and will eliminate certain existing disclosure requirements related to uncertain tax positions and unrecognized deferred tax liabilities. ASU 2023-09 is effective starting with Ramaco’s 2025 annual financial statements and may be applied prospectively to only the income tax disclosures provided for 2025 or retrospectively by providing revised disclosures for all periods presented. Early adoption is permitted. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely be provided on a prospective basis in the Company’s 2025 annual financial statements upon adoption.

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Note 2 - Inventories

3 Months Ended

Mar. 31, 2024

Inventories.

INVENTORIES

NOTE 2—INVENTORIES

Inventories consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Raw coal	$	14,227	$	20,122
Saleable coal		21,902		12,013
Supplies		5,151		5,028
Total inventories	$	41,280	$	37,163

XML

Note 3 - Property, Plant and Equipment

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

PROPERTY, PLANT AND EQUIPMENT

NOTE 3—PROPERTY, PLANT AND EQUIPMENT

Property, plant, and equipment, net consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Plant and equipment	$	296,837	$	290,060
Mining property and mineral rights		120,532		120,532
Construction in process		23,010		13,984
Capitalized mine development costs		178,171		174,260
Less: accumulated depreciation, depletion, and amortization		(152,297)		(139,745)
Total property, plant, and equipment, net	$	466,253	$	459,091

Depreciation, depletion, and amortization included:

	Three months ended March 31,
(In thousands)	2024		2023
Depreciation of plant and equipment	$	8,821	$	6,769
Amortization of right of use assets (finance leases)		2,493		1,881
Amortization and depletion of capitalized
mine development costs and mineral rights		3,906		3,202
Total depreciation, depletion, and amortization	$	15,220	$	11,852

XML

Note 4 - Debt

3 Months Ended

Mar. 31, 2024

Notes To Financial Statements

DEBT

NOTE 4—DEBT

Outstanding debt consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Revolving Credit Facility	$	41,500	$	42,500
Equipment loans		2,466		2,983
Senior Notes, net		33,412		33,296
Financing of Maben Coal acquisition		9,000		11,400
Total debt	$	86,378	$	90,179
Current portion of long-term debt		28,227		56,534
Long-term debt, net	$	58,151	$	33,645

Revolving Credit Facility—On February 15, 2023, the Company entered into the Second Amended and Restated Credit and Security Agreement, which includes KeyBank National Association (“KeyBank”) and multiple lending parties. This facility (the “Revolving Credit Facility”), which has a maturity date of February 15, 2026, provides an initial aggregate revolving commitment of $125.0 million as well as an accordion feature of $50.0 million subject to certain terms and conditions, including lenders’ consent. The borrowing base at March 31, 2024 was $106.8 million based on eligible accounts receivable and inventory collateral and reserve requirements. The remaining availability under the Revolving Credit Facility at March 31, 2024, after $41.5 million of outstanding borrowings, was $65.3 million.

Revolving loans under the facility bear interest at either the base rate plus 1.50% or the Secured Overnight Financing Rate plus 2.00%. The base rate equals the highest of the administrative agent’s prime rate, the Federal Funds Effective Rate plus 0.5%, or 3%.

The terms of the facility include covenants limiting the ability of the Company to incur additional indebtedness, make investments or loans, incur liens, consummate mergers and similar fundamental changes, make restricted payments, and enter into transactions with affiliates. The terms of the facility also require the Company to maintain certain covenants, including fixed charge coverage ratio and compensating balance requirements. A fixed charge coverage ratio of not less than 1.10:1.00, calculated as of the last day of each fiscal quarter, must be maintained by the Company. In addition, the Company must maintain an average daily cash balance of $5 million, as determined on a monthly basis, in a dedicated account as well as an additional $1 million in a separate dedicated account to assure future credit availability. At March 31, 2024, we were in compliance with all debt covenants under the Revolving Credit Facility.

Fair Value—The Company’s Senior Notes had an estimated fair value of approximately $35.4 million and $35.5 million at March 31, 2024 and December 31, 2023, respectively. The fair values of the Company’s Senior Notes were based on observable market prices and were considered a Level 2 measurement based on trading volumes. The difference between the fair value and carrying amount of the Company’s remaining debts is not material due to the similarity between the terms of the debt agreements and prevailing market terms available to the Company.

Current Portion of Long-term Debt—Scheduled debt repayments to occur over the next twelve months from March 31, 2024 include $17.0 million of borrowings under the Revolving Credit Facility that were repaid shortly after the balance sheet date using funds from current operations, $9.0 million of Maben Coal acquisition financing shown above, and $2.2 million of equipment loans.

Other—Finance lease obligations and liabilities related to insurance premium financing are excluded from the disclosures above.

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Note 5 - Accrued Liabilities and Other Long-Term Liabilities

3 Months Ended

Mar. 31, 2024

Notes To Financial Statements

ACCRUED LIABILITIES AND OTHER LONG-TERM LIABILITIES

NOTE 5—ACCRUED LIABILITIES AND OTHER LONG-TERM LIABILITIES

Accrued liabilities at March 31, 2024 consisted of accrued compensation of $10.8 million and various other liabilities. Accrued liabilities at December 31, 2023 consisted of $14.6 million of accrued compensation and various other liabilities. The year-to-date decrease in Accrued liabilities was related primarily to the $5.7 million decrease in

short-term dividends and dividend equivalents payable, which was driven by the payment of Class A common stock dividends accrued at year end 2023, and the $3.8 million decrease in accrued compensation, which was driven by annual bonus payments. These activities were offset partially by increases in various accrued payables during the quarter.

Self-Insurance—The Company is self-insured for certain losses relating to workers’ compensation claims and occupational disease obligations under the Federal Mine Safety and Health Act of 1969, as amended, as well as for employee medical expenses. The Company purchases insurance coverage to reduce its exposure to significant levels of these claims. Self-insured losses are accrued based upon estimates of the aggregate liability for uninsured claims incurred as of the balance sheet date using claims data and actuarial assumptions and, therefore, are subject to uncertainty due to a variety of factors.

The estimated aggregate liability for these items totaled $4.8 million and $5.2 million as of March 31, 2024 and December 31, 2023, respectively. Of the aggregate liability, the amounts included in Other long-term liabilities were $3.1 million at March 31, 2024 and December 31, 2023.

Funds held in escrow for potential future workers’ compensation claims are considered restricted cash and have been included in other current assets on the condensed consolidated balance sheets. Restricted cash balances were $0.8 million at March 31, 2024 and December 31, 2023.

XML

Note 6 - Equity

3 Months Ended

Mar. 31, 2024

Notes To Financial Statements

EQUITY

NOTE 6—EQUITY

Common Stock—On June 12, 2023, an amendment to the Company’s amended and restated certificate of incorporation was approved by shareholder vote to reclassify the Company’s existing common stock as shares of Class A common stock and create a separate Class B common stock.

The initial distribution of Class B common stock occurred on June 21, 2023 via a stock dividend to existing holders of common stock as of May 12, 2023. On the date of initial distribution, each holder of common stock received 0.2 shares of Class B common stock for every one share of existing common stock held on the record date. Similar actions or modifications occurred for holders of outstanding stock-based awards.

The distribution of the Class B common stock provides existing holders of the Company’s common stock with an opportunity to participate directly in the financial performance of the Company’s CORE assets on a stand-alone basis, separate from the Company’s metallurgical coal operations. CORE assets were acquired initially as part of the Company’s acquisition of Ramaco Coal in the second quarter of 2022. The financial performance of CORE assets consists of the following non-cost bearing revenue streams based on the Company’s current expectations:

● Royalty fees derived from the royalties associated with the Ramaco Coal and Amonate reserves, which we believe approximates 3% of Company-produced coal sales revenue excluding coal sales revenue from Knox Creek,

● Infrastructure fees based on $5.00 per ton of coal processed at our preparation plants and $2.50 per ton of loaded coal at the Company’s rail load-out facilities, and

● Future income derived, if and when realized, from advanced carbon products as well as rare earth elements and critical minerals initiatives.

The Company expects to pay a dividend equal to 20% of the total fees above; however, any dividend amounts declared and paid are subject to the sole discretion of the Company’s Board of Directors.

In addition, the Board of Directors retains the power to change or add expense allocation policies related to CORE, redefine CORE assets, and redetermine CORE’s per-ton usage fees at any time, in its sole discretion, without shareholder approval. Holders of shares of Class A common stock continue to be entitled to receive dividends when and if declared by the Board of Directors subject to any statutory or contractual restrictions on the payment of dividends and to any prior rights and preferences that may be applicable to outstanding preferred stock, if any.

CORE is not a separate legal entity and holders of Class B common stock do not own a direct interest in the assets of CORE. Holders of Class B common stock are stockholders of Ramaco Resources, Inc. and are subject to all risks and liabilities of the Company as a whole.

With respect to voting rights, holders of Class A common stock and Class B common stock vote together as a single class on all matters submitted to a vote of the stockholders and are entitled to one vote per share. The holders of Class A common stock and Class B common stock do not have cumulative voting rights in the election of directors. Class B common stock does not have any specific voting rights or governance rights with respect to CORE.

With respect to liquidation rights, holders of common stock are entitled to receive ratably the assets available for distribution to the stockholders after payment of liabilities and the liquidation preference of outstanding preferred stock, if any. That is, the rights to residual net assets upon liquidation are equal between holders of Class A and Class B common stock. Holders of Class B common stock do not have specific rights to CORE assets in the event of liquidation.

The Board of Directors also retains the ability, in its sole discretion, to exchange all outstanding shares of Class B common stock into Class A common stock based on an exchange ratio determined by a 20-day trailing volume-weighted average price for each class of stock.

Stock-Based Awards—Stock-based compensation expense totaled $4.7 million and $2.9 million for the three months ended March 31, 2024 and March 31, 2023, respectively. During 2024, the Company granted new stock-based awards and modified certain awards previously granted as discussed below. New stock-based awards granted during the first quarter of 2024 were for Class A common stock. There were no Class B stock-based awards granted during the first quarter of 2024.

Restricted Stock—We granted 179,028 shares of Class A restricted stock to certain senior executives, key employees, and directors during the first quarter of 2024, having a grant-date fair value of $3.1 million. The aggregate fair value of the awards granted to employees was $2.5 million, which is recognized ratably as expense over the three-year service period unless forfeited. The aggregate fair value of restricted stock granted to directors was $0.6 million, which is recognized ratably as expense over one year unless forfeited. During the vesting period, the participants have voting rights and receive nonforfeitable dividends on the same basis as fully vested common stockholders.

Restricted Stock Units—We granted 302,699 Class A restricted stock units to certain senior executives and key employees during the first quarter of 2024, having a grant-date fair value of $17.58 per share. The aggregate fair value of these awards was $5.3 million, which is recognized ratably as expense over the three-year service period unless forfeited. During the vesting period, the participants have no voting rights and no dividend rights; however, participants are entitled to receive dividend equivalents, which shall be subject to the same conditions applicable to the units and payable at the time the units vest. The recipient will receive one share of Class A common stock for each stock unit vested.

Performance Stock Units—We granted Class A performance stock units to certain senior executives and key employees during the first quarter of 2024. These awards cliff-vest approximately three years from the date of grant based on the achievement of targeted performance levels related to pre-established relative total shareholder return goals. These performance stock units have the potential to be earned from 0% to 200% of target depending on actual results. During the vesting period, the participants have no voting rights and no dividend rights; however, participants are entitled to receive dividend equivalents, which shall be subject to the same conditions applicable to the units and payable at the time the units vest. The recipient will receive one share of Class A common stock for each stock unit vested.

Performance stock units are accounted for as awards with a market condition since vesting depends on total shareholder return relative to a group of peer companies. The target number of performance stock units granted during the first quarter of 2024, or 315,941 units, were valued relative to the total shareholder return of a peer group based on a Monte Carlo simulation, which resulted in a grant date fair value of $28.72 per unit. The aggregate fair value of these awards was $9.1 million, which is recognized ratably as expense over the three-year period.

Modification— The resignation of one of the Company’s executive officers and the separation agreement between the employee and the Company that occurred during the first quarter of 2024 resulted in a net charge to stock compensation expense of $1.2 million during the period. Incremental value of $1.8 million resulted from the continued equity vesting provision included in the separation agreement applicable to the employee’s restricted stock awards, which was recognized as expense. This amount was offset partially by the $0.6 million reversal of previously recognized compensation expense related to the pre-modified restricted stock award ($0.3 million) as well as the forfeiture of restricted stock units and performance stock units (collectively $0.3 million).

Dividends– On February 1, 2024, the Company announced that the Board of Directors declared a cash dividend of $0.2416 per share of Class B common stock, which was paid on March 15, 2024 to shareholders of record on March 1, 2024 in the amount of $2.1 million. On December 6, 2023, the Company announced that the Board of Directors declared a cash dividend on Class A common stock of $0.1375 per share of Class A common stock, which was paid on March 15, 2024 to shareholders of record on March 1, 2024 in the amount of $6.1 million. Dividends of $6.0 million were accrued in December 2023 for the declaration of the Class A cash dividends. In addition, previously accrued dividend equivalents of $0.1 million were paid to employees who satisfied restricted stock unit service conditions during the first quarter of 2024.

On December 8, 2022, the Company announced that its Board of Directors declared a quarterly cash dividend of approximately $0.125 per share of common stock. Estimated dividends of $5.5 million were accrued in December 2022 and were paid on March 15, 2023 to shareholders of record on March 1, 2023 in the amount of $5.6 million.

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Note 7 - Commitments and Contingencies

3 Months Ended

Mar. 31, 2024

Notes To Financial Statements

COMMITMENTS AND CONTINGENCIES.

NOTE 7—COMMITMENTS AND CONTINGENCIES

Environmental Liabilities—Environmental liabilities are recognized when the expenditures are considered probable and can be reasonably estimated. Measurement of liabilities is based on currently enacted laws and regulations, existing technology, and undiscounted site-specific costs. Generally, such recognition would coincide with a commitment to a formal plan of action. No amounts have been recognized for environmental liabilities.

Surety Bond—In accordance with state laws, we are required to post reclamation bonds to assure that reclamation work is completed. We also have a smaller amount of surety bonds that secure performance obligations. Bonds outstanding at March 31, 2024 totaled approximately $30.2 million.

Coal Leases and Associated Royalty Commitments—We lease coal reserves under agreements that require royalties to be paid as the coal is mined and sold. Many of these agreements require minimum annual royalties to be paid regardless of the amount of coal mined and sold. Total royalty expenses were $6.8 million and $9.0 million for the three months ended March 31, 2024 and March 31, 2023, respectively. These agreements generally have terms running through exhaustion of all the mineable and merchantable coal covered by the respective lease. Royalties or throughput payments are based on a percentage of the gross selling price received for the coal we mine.

Contingent Transportation Purchase Commitments—We secure the ability to transport coal through rail contracts and export terminals that are sometimes funded through take-or-pay arrangements. As of March 31, 2024, the Company’s remaining commitments under take-or-pay arrangements totaled $30.7 million, the majority of which relates to a multi-year contract with a total remaining commitment of $19.4 million over the remaining four years. The level of these commitments will generally be reduced at a per ton rate as such rail and export terminal services are utilized against the required minimum tonnage amounts over the contract term stipulated in such rail and export terminal contracts. However, as of March 31, 2024, the Company has accrued a $1.4 million liability for the shortfall associated with the first year’s annual commitment in the multi-year contract, which is included in the total remaining commitment above. The accrued liability for the expected shortfall was $0.8 million at December 31, 2023.

Litigation—From time to time, we are subject to various litigation and other claims in the normal course of business. No amounts have been accrued in the consolidated financial statements with respect to any matters.

On November 5, 2018, one of our three raw coal storage silos that fed our Elk Creek plant experienced a partial structural failure. A temporary conveying system completed in late-November 2018 restored approximately 80% of our

plant capacity. We completed a permanent belt workaround and restored the preparation plant to its full processing capacity in mid-2019. Our insurance carrier, Federal Insurance Company, disputed our claim for coverage based on certain exclusions to the applicable policy and, therefore, on August 21, 2019, we filed suit against Federal Insurance Company and Chubb INA Holdings, Inc. in Logan County Circuit Court in West Virginia seeking a declaratory judgment that the partial silo collapse was an insurable event and to require coverage under our policy. Defendants removed the case to the United States District Court for the Southern District of West Virginia, and upon removal, we substituted ACE American Insurance Company as a defendant in place of Chubb INA Holdings, Inc. The trial in the matter commenced on June 29, 2021, in Charleston, West Virginia. 

On July 15, 2021, the jury returned a verdict in our favor for $7.7 million in contract damages and on July 16, 2021, made an additional award of $25.0 million for damages for wrongful denial of the claim under Hayseeds, Inc. v. State Farm Fire & Cas., 177 W. Va. 323, 352 S.E. 2d 73 (W. Va. 1986), including inconvenience and aggravation. On August 12, 2021, the defendants filed a post-trial motion for judgment as a matter of law or in the alternative to alter or amend the judgment or for a new trial. On March 4, 2022, the court entered its memorandum opinion and order on the motion reducing the jury award to a total of $1.8 million, including pre-judgment interest, and also vacated and set aside, in its entirety, the jury award of Hayseeds damages. The same day, the court entered the judgment in accordance with the memorandum opinion and order.

On April 1, 2022, we filed a notice of appeal with the U.S. Court of Appeals for the Fourth Circuit. On July 20, 2023, the court rendered a decision reinstating the jury’s $7.7 million contract damages verdict. The court further determined that we are entitled to attorney’s fees in an amount to be determined on remand. Finally, the court held that we are entitled to Hayseeds damages for wrongful denial of the claim but remanded for a new trial on the amount of such damages after affirming that the original $25 million award was excessive. On August 3, 2023, the Defendants-Appellees filed a Petition of Rehearing and Rehearing En Banc with the Fourth Circuit. The petition was denied by order dated August 15, 2023. On August 29, 2023, the court clarified that the amount of attorney’s fees to be determined on remand included appellate fees. On September 8, 2023, the court entered its amended judgment, which awarded post-judgment interest on the previously awarded and reinstated verdict related to contract (compensatory) damages and the Fourth Circuit thereafter issued its mandate on October 2, 2023. The matter is now pending before the District Court for a new trial on damages for inconvenience and aggravation as well as the court’s determination and award of attorney’s fees.

The defendants fully paid during 2023 the portion of the judgment related to contract (compensatory) damages in the court’s order and that portion of the matter is considered closed.

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Note 8 - Revenue

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

REVENUE.

NOTE 8—REVENUE

Our revenue is derived from contracts for the sale of coal and is recognized when the performance obligations under the contract are satisfied, which is at the point in time control is transferred to our customer. Generally, domestic sales contracts have terms of about one year and the pricing is typically fixed. Export sales have spot or term contracts, and pricing can be either fixed or derived against index-based pricing mechanisms. Sales completed with delivery to an export terminal are reported as export revenue.

Disaggregated information about Revenue is presented below:

	Three months ended March 31,
(In thousands)	2024		2023
Coal Sales
North American revenue	$	54,173	$	40,027
Export revenue, excluding Canada		118,503		126,333
Total revenue	$	172,676	$	166,360

Revenue for the first quarter of 2024 includes $0.9 million of additional revenue related to adjustments for performance obligations satisfied in a previous reporting period. These adjustments were due to true-ups of previous estimates for provisional pricing and demurrage as well as price adjustments for minimum specifications or qualities of delivered coal.

As of March 31, 2024, the Company had outstanding performance obligations of approximately 1.1 million tons for contracts with fixed sales prices averaging $168 per ton, excluding freight, as well as 3.1 million tons for contracts with index-based pricing mechanisms. The Company expects to satisfy approximately 78% of the committed tons in 2024, 21% in 2025, and 1% in 2026. Variable amounts, including index-based prices, have not been estimated for the purpose of disclosing remaining performance obligations as permitted under the revenue recognition guidance when variable consideration is allocated entirely to a wholly unsatisfied performance obligation.

Concentrations—During the three months ended March 31, 2024, sales to two individual customers were 10% or more of our total revenue. Sales to these customers represented 19% and 11% of our total revenue during the period. For comparison purposes, during the three months ended March 31, 2023, sales to four individual customers exceeded 10% of total revenue and accounted for approximately 63% of our revenue. Three customers with individual accounts receivable balances equal to 10% or more of total accounts receivable made up approximately 26%, 15%, and 13% of the Company’s accounts receivable balance as of March 31, 2024.

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Note 9 - Income Taxes

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

INCOME TAXES

NOTE 9—INCOME TAXES

Income tax provisions for interim periods are generally based on an estimated annual effective income tax rate calculated separately from the effect of significant, infrequent, or unusual items related specifically to interim periods. The income tax impacts of discrete items are recognized in the period these occur.

Our effective tax rate for the three months ended March 31, 2024 and March 31, 2023 was 21% and 18%, respectively. The primary differences from the federal statutory rate of 21% are related to state taxes, non-deductible expenses, the foreign-derived intangible income deduction, and depletion expense for income tax purposes.

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Note 10 - Earnings (Loss) Per Share

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

EARNINGS PER SHARE

NOTE 10—EARNINGS PER SHARE

Earnings per share (“EPS”) is not presented retrospectively for periods prior to the issuance of the tracking stock as the tracking stock was not a part of the Company’s capital structure during those periods and the issuance of the tracking stock changes the common shareholders’ relative residual interest in the Company. Therefore, EPS is presented for the Company’s single class of common stock up to the time the tracking stock was issued and, subsequent to this date, EPS is presented prospectively under the two-class method.

The computation of basic and diluted EPS is shown on the following page:

(In thousands, except per share amounts)	Three months ended March 31,
	2024		2023
Earnings attribution
Single class of common stock (through 6/20/2023)	$	N/A	$	25,257
Class A common stock		(106)		—
Class A restricted stock awards		1		—
Class B common stock		2,032		—
Class B restricted stock awards		72		—
Forfeitable dividends declared on unvested stock-based awards		33		—
Net income	$	2,032	$	25,257
	Three months ended March 31, 2024					Three months ended March 31, 2023
	Class A		Class B			Single Class
EPS calculations
Numerator
Net earnings (loss)	$	(106)	$	2,032	$	25,257
Denominator
Weighted average shares used to compute basic earnings per share		42,496		8,508		44,281
Dilutive effect of stock option awards		—		96		411
Dilutive effect of restricted stock units		—		32		—
Dilutive effect of performance stock units		—		162		—
Weighted average shares used to compute diluted earnings per share		42,496		8,798		44,692
Earnings per common share (dual-class structure)
Basic	$	(0.00)	$	0.24	$	0.57
Diluted	$	(0.00)	$	0.23	$	0.57

Unvested restricted stock awards have the right to receive nonforfeitable dividends on the same basis as common shares; therefore, unvested restricted stock is considered a participating security for the purpose of calculating EPS. Historically, the Company has shown EPS for its common stock and unvested restricted stock on a combined basis since both instruments participate on the same basis and the resulting EPS is typically the same. Starting under the two-class method, the Company reports separately the net earnings allocated away from holders of Class A and Class B common stock to holders of unvested restricted stock awards.

For accounting purposes, Class B’s participation rights are, in substance, discretionary based on the power of the Company’s Board of Directors to add or modify expense allocation policies, redefine CORE assets, and redetermine CORE’s per-ton usage fees at any time, in its sole discretion, without shareholder approval. Therefore, no amount of the Company’s net earnings shall be allocated to Class B for the purpose of calculating EPS other than actual dividends declared during the period for the tracking stock. However, during the first quarter of 2024, dividends declared by the Company were only for Class B common stock and were slightly in excess of consolidated net income for the period, which resulted in an undistributed net loss for reporting purposes. The resulting undistributed net loss was allocated proportionately between outstanding Class A and Class B common stock based on the rights to residual net assets upon liquidation being equal between holders of Class A and Class B common stock. The end result was that Class A common stock was attributed a small net loss while Class B was attributed net earnings for the purpose of calculating EPS.

Diluted EPS is calculated using the treasury stock method for stock options and restricted stock units. For performance stock units, the awards are first evaluated under the contingently issuable shares guidance, which requires a determination as to whether shares would be issuable if the end of the reporting period were the end of the contingency period. For shares determined to be issuable under performance stock unit awards, the treasury stock method is then applied to determine the dilutive impact of the awards, if any. Unvested restricted stock awards are considered potential common shares as well as participating securities, as discussed previously, and are included in diluted EPS using the more dilutive of the treasury stock method or the two-class method. Since these awards share in dividends on a 1:1 basis

with common shares, applying the treasury stock method is antidilutive compared to the basic EPS calculation that allocates earnings to participating securities under the two-class method discussed previously. In addition, the Company’s ability to convert Class B common shares into Class A common shares is a contingency that will not be reflected in the diluted EPS for Class A common stock under the if-converted method until such time that the required Board resolutions occur, if ever.

For the first quarter of 2024, diluted EPS for Class A common stock excluded all outstanding stock awards because of the allocation of the undistributed net loss discussed above, and, therefore, the inclusion of any potential common shares would be antidilutive. Excluded Class A common stock awards were 749 thousand options to purchase Class A common stock, 718 thousand restricted stock units, and 1,057 thousand performance stock units (at target). No potential common shares were excluded from the calculation of diluted EPS for Class B common stock.

Diluted EPS for the single class of common stock in the first quarter of 2023 excluded all outstanding restricted stock units (684 thousand units in total or 396 thousand units on a weighted average outstanding basis) because the effect would have been antidilutive. In addition, all outstanding performance stock units (767 thousand units at target) were excluded under the guidance for contingently issuable shares or, otherwise, because the effect would have been antidilutive.

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Note 11 - Related Party Transactions

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

RELATED PARTY TRANSACTIONS

NOTE 11—RELATED PARTY TRANSACTIONS

Ramaco Coal Deferred Purchase Price—A portion of the financing of the 2022 acquisition of Ramaco Coal was provided by Yorktown Partners, a related party. The Company incurred interest expense of $0.8 million for the three months ended March 31, 2023 related to the financing. The Company repaid the related-party financing debt in full during 2023. However, as of March 31, 2024, the Company still owed $0.1 million to Yorktown Partners related to the transaction, which is included in Accounts payable on the Consolidated Balance Sheet. This amount was adjusted downward during the first quarter of 2024 from the $0.4 million balance reported at December 31, 2023.

Other Professional Services—The Company has also entered into professional services agreements with two other related parties, which have been aggregated due to immateriality. Professional service fees incurred for these related parties were $71 thousand during the first quarter of 2024.

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Note 12 - Subsequent Events

3 Months Ended

Mar. 31, 2024

Notes To Financial Statements

SUBSEQUENT EVENTS

NOTE 12—SUBSEQUENT EVENTS

On May 8, 2024, the Company announced that its Board of Directors declared cash dividends of $0.1375 per share of Class A common stock and $0.2376 per share of Class B common stock during the second quarter of 2024. The Class B dividend was calculated based on 20% of CORE royalty and infrastructure fees for the first quarter of 2024. Both dividends are payable on June 15, 2024 to shareholders of record on June 1, 2024.

On May 8, 2024, the Company announced that it entered into a First Amendment Agreement to the Revolving Credit Facility on May 3, 2024, in order to, among other things, extend the maturity date and increase the size of its existing Revolving Credit Facility. The amended facility has a maturity date of May 3,2029, and provides an initial aggregate revolving commitment of $200 million as well as an accordion feature to increase the size by an additional $75 million subject to certain terms and conditions, including the lenders’ consent. Borrowings under the amended facility may not exceed the borrowing base as determined under the amended formula included in the agreement.

Revolving loans under the facility bear interest at either the base rate plus 2.00% or the Secured Overnight Financing Rate plus 2.50%. The base rate equals the highest of the administrative agent’s prime rate, the Federal Funds Effective Rate plus 0.5%, or 3.00%. The terms of the amended facility also require the Company to maintain certain covenants, including fixed charge coverage ratio and compensating balance requirements.

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Note 2 - Summaries of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2024

Summary of Significant Accounting Policies.

Basis of Presentation

Basis of Presentation—These interim financial statements are unaudited and have been prepared pursuant to the rules and regulations of the SEC regarding interim financial reporting. Certain disclosures have been condensed or omitted from these financial statements. Accordingly, they do not include all the information and notes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete consolidated financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023.

In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the Company’s financial position as of March 31, 2024, as well as the results of operations and cash flows for all periods presented. In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect reported amounts in the condensed consolidated financial statements and disclosures of contingencies. Actual results may differ from those estimates. The results for interim periods are not necessarily indicative of annual results. Intercompany balances and transactions between consolidated entities have been eliminated.

There were no material changes to the Company’s significant accounting policies during the three months ended March 31, 2024.

Recent Accounting Pronouncements

Recent Accounting Pronouncements—In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 require incremental disclosures related to a public entity’s reportable segments and increase the frequency with which most segment disclosures are made. Incremental disclosures required by the ASU include significant segment expenses regularly provided to the chief operating decision maker (“CODM”) and included within the segment’s measure of profit or loss, the title and position of the CODM and an explanation how the CODM uses the reported measure of a segment’s profit or loss to assess performance and allocate resources, and the amount and composition of other segment items necessary to reconcile segment revenue, significant expenses, and the reported measure of profit or loss. The ASU also expands interim disclosure requirements such that nearly all annual quantitative segment disclosures will be made on an interim basis and requires that entities with a single reportable segment provide all segment disclosures that are not evident from the primary financial statements, including significant segment expenses, consistent with the approach used by management to evaluate performance. ASU 2023-07 is effective starting with Ramaco’s 2024 annual financial statements and on a quarterly basis thereafter. Retrospective application is required. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely occur upon adoption.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). The amendments in ASU 2023-09 require reporting entities to disclose annual income taxes paid, net of refunds, disaggregated by federal, state, and foreign taxes and to provide additional disaggregated

information for individual jurisdictions that equal or exceed 5% of total income taxes paid, net of refunds. ASU 2023-09 also requires public business entities to disclose additional categories of information about federal, state, and foreign income taxes in their annual rate reconciliation table and provide more information about some categories if the quantitative threshold is met. The ASU will also require disclosure of amounts and percentages in the annual rate reconciliation table, rather than amounts or percentages, and will eliminate certain existing disclosure requirements related to uncertain tax positions and unrecognized deferred tax liabilities. ASU 2023-09 is effective starting with Ramaco’s 2025 annual financial statements and may be applied prospectively to only the income tax disclosures provided for 2025 or retrospectively by providing revised disclosures for all periods presented. Early adoption is permitted. The Company is currently evaluating the impact of the ASU; however, incremental disclosures will likely be provided on a prospective basis in the Company’s 2025 annual financial statements upon adoption.

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Note 2 - Inventories (Tables)

3 Months Ended

Mar. 31, 2024

Inventories.

Summary of inventories

Inventories consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Raw coal	$	14,227	$	20,122
Saleable coal		21,902		12,013
Supplies		5,151		5,028
Total inventories	$	41,280	$	37,163

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Note 3 - Property, Plant and Equipment (Tables)

3 Months Ended

Mar. 31, 2024

Property, Plant and Equipment.

Schedule of property, plant, and equipment, net

(In thousands)	March 31, 2024		December 31, 2023
Plant and equipment	$	296,837	$	290,060
Mining property and mineral rights		120,532		120,532
Construction in process		23,010		13,984
Capitalized mine development costs		178,171		174,260
Less: accumulated depreciation, depletion, and amortization		(152,297)		(139,745)
Total property, plant, and equipment, net	$	466,253	$	459,091

Schedule of depreciation and amortization

	Three months ended March 31,
(In thousands)	2024		2023
Depreciation of plant and equipment	$	8,821	$	6,769
Amortization of right of use assets (finance leases)		2,493		1,881
Amortization and depletion of capitalized
mine development costs and mineral rights		3,906		3,202
Total depreciation, depletion, and amortization	$	15,220	$	11,852

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Note 4 - Debt (Tables)

3 Months Ended

Mar. 31, 2024

Debt

Schedule of outstanding debt

Outstanding debt consisted of the following:

(In thousands)	March 31, 2024		December 31, 2023
Revolving Credit Facility	$	41,500	$	42,500
Equipment loans		2,466		2,983
Senior Notes, net		33,412		33,296
Financing of Maben Coal acquisition		9,000		11,400
Total debt	$	86,378	$	90,179
Current portion of long-term debt		28,227		56,534
Long-term debt, net	$	58,151	$	33,645

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Note 8 - Revenue (Tables)

3 Months Ended

Mar. 31, 2024

Revenue from Contract with Customer [Abstract]

Schedule of disaggregation of revenue

	Three months ended March 31,
(In thousands)	2024		2023
Coal Sales
North American revenue	$	54,173	$	40,027
Export revenue, excluding Canada		118,503		126,333
Total revenue	$	172,676	$	166,360

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Note 10 - Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2024

Notes Tables

Schedule computation of basic and diluted EPS

(In thousands, except per share amounts)	Three months ended March 31,
	2024		2023
Earnings attribution
Single class of common stock (through 6/20/2023)	$	N/A	$	25,257
Class A common stock		(106)		—
Class A restricted stock awards		1		—
Class B common stock		2,032		—
Class B restricted stock awards		72		—
Forfeitable dividends declared on unvested stock-based awards		33		—
Net income	$	2,032	$	25,257
	Three months ended March 31, 2024					Three months ended March 31, 2023
	Class A		Class B			Single Class
EPS calculations
Numerator
Net earnings (loss)	$	(106)	$	2,032	$	25,257
Denominator
Weighted average shares used to compute basic earnings per share		42,496		8,508		44,281
Dilutive effect of stock option awards		—		96		411
Dilutive effect of restricted stock units		—		32		—
Dilutive effect of performance stock units		—		162		—
Weighted average shares used to compute diluted earnings per share		42,496		8,798		44,692
Earnings per common share (dual-class structure)
Basic	$	(0.00)	$	0.24	$	0.57
Diluted	$	(0.00)	$	0.23	$	0.57

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Note 2 - Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Inventories
Raw coal	$ 14,227	$ 20,122
Saleable coal	21,902	12,013
Supplies	5,151	5,028
Total inventories	$ 41,280	$ 37,163

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Note 3 - Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Property, plant, and equipment
Less: accumulated depreciation, depletion, and amortization	$ (152,297)	$ (139,745)
Total property, plant and equipment, net	466,253	459,091
Plant and equipment
Property, plant, and equipment
Property, plant and equipment, gross	296,837	290,060
Mining property and mineral rights
Property, plant, and equipment
Property, plant and equipment, gross	120,532	120,532
Construction in process
Property, plant, and equipment
Property, plant and equipment, gross	23,010	13,984
Capitalized mine development costs
Property, plant, and equipment
Property, plant and equipment, gross	$ 178,171	$ 174,260

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Note 3 - Property, Plant and Equipment - Depreciation and amortization (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Property, Plant and Equipment.
Depreciation of plant and equipment	$ 8,821	$ 6,769
Amortization of right of use assets (finance leases)	2,493	1,881
Amortization and depletion of capitalized mine development costs and mineral rights	3,906	3,202
Total depreciation, depletion, and amortization	$ 15,220	$ 11,852

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Note 4 - Debt - Summary of Outstanding Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Total debt	$ 86,378	$ 90,179
Current portion long term debt	28,227	56,534
Long-term debt, net	58,151	33,645
Revolving Credit Facility
Total debt	41,500	42,500
Current portion long term debt	17,000
Equipment loans
Total debt	2,466	2,983
Current portion long term debt	2,200
Senior Notes, net
Total debt	33,412	33,296
Maben Coal LLC
Total debt	9,000	$ 11,400
Current portion long term debt	$ 9,000

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Note 4 - Debt - Revolving Credit Facility (Details) $ in Thousands		3 Months Ended
	Feb. 15, 2023 USD ($)	Mar. 31, 2024 USD ($)	Dec. 31, 2023 USD ($)
Debt
Current portion long term debt		$ 28,227	$ 56,534
Senior Notes, net
Debt
Estimated fair value		35,400	$ 35,500
Equipment loans
Debt
Current portion long term debt		2,200
Maben Coal LLC
Debt
Current portion long term debt		$ 9,000
Revolving loans under the new facility
Debt
Fixed charge coverage ratio		1.10
Average daily cash balance		$ 5,000
Additional amount to be maintained in a separate dedicated account		1,000
Revolving Credit Facility
Debt
Initial aggregate revolving commitment	$ 125,000
Initial aggregate revolving commitment		106,800
Accordion feature	$ 50,000
Outstanding borrowings		41,500
Line of Credit Facility, Remaining Borrowing Capacity		65,300
Current portion long term debt		$ 17,000
Revolving Credit Facility | Secured overnight financing rate
Debt
Interest rate, basis spread	2.00%
Revolving Credit Facility | Base Rate
Debt
Interest rate, basis spread	1.50%
Revolving Credit Facility | Base Rate | Minimum
Debt
Effective interest rate	0.50%
Revolving Credit Facility | Base Rate | Maximum
Debt
Effective interest rate	3.00%

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Note 5 - Accrued Liabilities and Other Long-Term Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Mar. 31, 2023	Mar. 15, 2023	Dec. 31, 2022
Accrued dividends and dividend equivalents payable	$ 33		$ 322	$ 5,600	$ 5,500
Decrease in accrued compensation	3,800
Accrued compensation and related benefits	10,800	$ 14,600
Estimated aggregate liability	4,800	5,200
Restricted cash	800	800
Other long-term liabilities
Estimated aggregate liability	3,100	$ 3,100
Accounts Payable and Accrued Liabilities
Accrued dividends and dividend equivalents payable	$ 5,700

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Note 6 - Equity - Common Stock (Details)		3 Months Ended
	Jun. 12, 2023 Vote D	Jun. 30, 2022 $ / T	Jun. 21, 2023
Class of Stock [Line Items]
Percent of royalty fee income		3.00%
Price per ton of coal processed at preparation plants | $ / T		5.00
Price per ton of loaded coal at rail load-out facilities | $ / T		2.50
Percentage dividend from financial performance of carbon		20
Threshold trading days volume weighted average price | D	20
Class A Common Stock
Class of Stock [Line Items]
Number of votes per common share | Vote	1
Class B Common Stock
Class of Stock [Line Items]
Distribution ratio			0.2
Number of votes per common share | Vote	1

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Note 6 - Equity - Summary of Restricted Awards Activity (Details) $ / shares in Units, $ in Thousands				3 Months Ended
	Mar. 15, 2024 USD ($)	Mar. 15, 2023 USD ($) $ / shares	Dec. 08, 2022 $ / shares	Mar. 31, 2024 USD ($) $ / shares shares	Mar. 31, 2023 USD ($)	Jun. 30, 2022	Feb. 01, 2024 $ / shares	Dec. 06, 2023 $ / shares	Dec. 31, 2022 USD ($)
Compensation costs				$ 4,700	$ 2,900
Incremental compensation costs associated with modifications				1,200
Incremental value				1,800
Reversal of previously recognized compensation expense				600
Pre-modified restricted stock award				300
Forfeiture of restricted stock units and performance stock units				300
Dividend declared | $ / shares			$ 0.125
Dividend payable		$ 5,600		$ 33	$ 322				$ 5,500
Dividends paid | $ / shares		$ 0.125
Percentage dividend from financial performance of carbon						20
Class A Common Stock
Dividends paid amount	$ 6,000
Payment of dividends	6,100
Per share amount of a dividend declared | $ / shares								$ 0.1375
Class B Common Stock
Granted (in shares) | shares				0
Dividend payable per share | $ / shares							$ 0.2416
Payment of dividends	$ 2,100
Restricted Stock
Fair value of awards				$ 2,500
Vesting period				3 years
Restricted Stock Units
Granted (in shares) | shares				302,699
Granted, Weighted average grant date fair value (in dollars per share) | $ / shares				$ 17.58
Fair value of awards				$ 5,300
Vesting period				3 years
Shares delivered per unit awarded | shares				1
Payment of dividends				$ 100
Performance Stock Units
Vesting period				3 years
Executives and Employees | Restricted Stock
Granted (in shares) | shares				179,028
Fair value of awards				$ 3,100
Executives and Employees | Performance Stock Units
Granted (in shares) | shares				315,941
Granted, Weighted average grant date fair value (in dollars per share) | $ / shares				$ 28.72
Fair value of awards				$ 9,100
Vesting period				3 years
Shares delivered per unit awarded | shares				1
Executives and Employees | Performance Stock Units | Minimum
Potential earnings (as a percentage)				0.00%
Executives and Employees | Performance Stock Units | Maximum
Potential earnings (as a percentage)				200.00%
Directors | Restricted Stock
Fair value of awards				$ 600

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Note 7 - Commitments and Contingencies (Details) - USD ($) $ in Millions					3 Months Ended
	Jul. 20, 2023	Mar. 04, 2022	Jul. 16, 2021	Jul. 15, 2021	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
COMMITMENTS AND CONTINGENCIES
Royalty expense					$ 6.8	$ 9.0
Compensatory damages	$ 7.7	$ 1.8	$ 25.0	$ 7.7
Award to cover inconvenience and aggravation	$ 25.0
Accrued amount					1.4		$ 0.8
Surety Bond
COMMITMENTS AND CONTINGENCIES
Asset Retirement Obligation					30.2
Take-or-pay Purchase Commitments
COMMITMENTS AND CONTINGENCIES
Commitment					19.4
Total commitment					$ 30.7
Commitment term					4 years
Environmental
COMMITMENTS AND CONTINGENCIES
Environmental liabilities					$ 0.0

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Note 8 - Revenue (Details) T in Millions	3 Months Ended
	Mar. 31, 2024 T $ / T
REVENUES
Term of domestic sales contracts	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
REVENUES
Percentage OF Committed Tons	78.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
REVENUES
Percentage OF Committed Tons	21.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
REVENUES
Percentage OF Committed Tons	1.00%
Contracts with Indexed Based Pricing Mechanisms
REVENUES
Outstanding performance obligation, mass	3.1
Fixed Priced Contracts
REVENUES
Outstanding performance obligation, mass	1.1
Average per ton | $ / T	168

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Note 8 - Revenue - Domestic Revenues an Export Revenues (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
REVENUES
Revenues	$ 172,676	$ 166,360
Domestic Coal Revenues
REVENUES
Revenues	54,173	40,027
Export Revenues
REVENUES
Revenues	$ 118,503	$ 126,333

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Note 8 - Revenue - Concentrations (Details) - Customer Concentration Risk - customer	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue Benchmark
Concentrations
Number of Major Customers	2	4
Revenue Benchmark | Top Customers [Member]
Concentrations
Concentration Risk, Percentage		63.00%
Revenue Benchmark | Customer A
Concentrations
Concentration Risk, Percentage	19.00%
Revenue Benchmark | Customer B
Concentrations
Concentration Risk, Percentage	11.00%
Accounts Receivable.
Concentrations
Number of Major Customers	3
Accounts Receivable. | Customer A
Concentrations
Concentration Risk, Percentage	26.00%
Accounts Receivable. | Customer B
Concentrations
Concentration Risk, Percentage	15.00%
Accounts Receivable. | Customer C
Concentrations
Concentration Risk, Percentage	13.00%
Minimum | Revenue Benchmark | Top Customers [Member]
Concentrations
Concentration Risk, Percentage	10.00%	10.00%
Minimum | Accounts Receivable. | Top Customers [Member]
Concentrations
Concentration Risk, Percentage	10.00%

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Note 9 - Income Taxes - (Details)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Income Taxes.
Effective Income Tax Rate Reconciliation, Percent, Total	21.00%	18.00%
Statutory rate	21.00%

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Note 10 - Earnings Per Share - Computation of Basic and Diluted Earnings per Share (Details) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended			6 Months Ended
	Mar. 31, 2024 USD ($) item $ / shares shares	Sep. 30, 2023 $ / shares	Mar. 31, 2023 USD ($) $ / shares shares	Jun. 20, 2023 USD ($) $ / shares
EARNINGS PER SHARE
Net income | $	$ 2,032		$ 25,257	$ 25,257
Forfeitable Dividends Declared on Unvested Stock Based Awards | $	$ 33
Weighted average shares used to compute basic EPS (in shares)			44,281
Weighted average shares used to compute diluted EPS (in shares)			44,692
Basic (in dollars per share) | $ / shares	$ 0.00		$ 0.57	$ 0.57
Diluted (in dollars per share) | $ / shares	$ 0.00		$ 0.57	$ 0.57
Share in dividends for unvested restricted stock awards with common shares | item	1
Employee Stock Option [Member]
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)			411
Restricted Stock
EARNINGS PER SHARE
Antidilutive shares	718
Restricted Stock Units
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)			684
Weighted average shares used to compute diluted EPS (in shares)			396
Performance Stock Units
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)			767
Antidilutive shares	1,057
Class A Common Stock
EARNINGS PER SHARE
Net income | $	$ (106)
Weighted average shares used to compute basic EPS (in shares)	42,496
Weighted average shares used to compute diluted EPS (in shares)	42,496
Basic (in dollars per share) | $ / shares	$ 0.00
Diluted (in dollars per share) | $ / shares	$ 0.00
Antidilutive shares	749
Class B Common Stock
EARNINGS PER SHARE
Net income | $	$ 2,032
Weighted average shares used to compute basic EPS (in shares)	8,508
Weighted average shares used to compute diluted EPS (in shares)	8,798
Basic (in dollars per share) | $ / shares	$ 0.24
Diluted (in dollars per share) | $ / shares	$ 0.23	$ 0.23
Class B Common Stock | Employee Stock Option [Member]
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)	96
Class B Common Stock | Restricted Stock Units
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)	32
Class B Common Stock | Performance Stock Units
EARNINGS PER SHARE
Dilutive effect of stock-based awards (in shares)	162
Class A Restricted Stock
EARNINGS PER SHARE
Net income | $	$ 1
Class B Restricted Stock
EARNINGS PER SHARE
Net income | $	$ 72

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Note 11 - Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Interest expense, net	$ (1,332)	$ (2,309)
Accounts Payable, Current, Total	59,694		$ 51,624
Other Professional Services
Professional fees	71
Ramaco Coal, LLC
Interest expense, net		$ 800
Ramaco Coal, LLC | Accounts Payable
Due to Related Parties, Total	$ 100
Accounts Payable, Current, Total			$ 400

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Note 12 - Subsequent Events (Details) $ / shares in Units, $ in Millions				3 Months Ended
	May 08, 2024	May 07, 2024 USD ($)	Feb. 15, 2023 USD ($)	Jun. 30, 2022	Jun. 30, 2024 $ / shares	Mar. 31, 2024 USD ($)	Feb. 01, 2024 $ / shares
Subsequent Events
Percentage dividend from financial performance of carbon				20
Class B Common Stock
Subsequent Events
Dividend payable per share | $ / shares							$ 0.2416
Revolving Credit Facility
Subsequent Events
Line of Credit Facility, Maximum Borrowing Capacity			$ 125.0
Accordion feature			$ 50.0
Initial aggregate revolving commitment						$ 106.8
Revolving Credit Facility | Secured overnight financing rate
Subsequent Events
Interest rate, basis spread			2.00%
Revolving Credit Facility | Base Rate
Subsequent Events
Interest rate, basis spread			1.50%
Subsequent Event | Secured overnight financing rate
Subsequent Events
Interest rate, basis spread	2.50%
Subsequent Event | Base Rate
Subsequent Events
Interest rate, basis spread	2.00%
Subsequent Event | Fed Funds Effective Rate Overnight Index Swap Rate | Minimum
Subsequent Events
Interest rate, basis spread	0.50%
Subsequent Event | Fed Funds Effective Rate Overnight Index Swap Rate | Maximum
Subsequent Events
Interest rate, basis spread	3.00%
Subsequent Event | Class A Common Stock
Subsequent Events
Dividend payable per share | $ / shares					$ 0.1375
Subsequent Event | Class B Common Stock
Subsequent Events
Dividend payable per share | $ / shares					$ 0.2376
Subsequent Event | Revolving Credit Facility
Subsequent Events
Percentage dividend from financial performance of carbon		20
Line of Credit Facility, Maximum Borrowing Capacity		$ 200.0
Accordion feature		$ 75.0

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Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Jun. 20, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 2,032	$ 25,257	$ 25,257

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Insider Trading Arrangements	3 Months Ended
	Mar. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false