Clinch Resources (CLCH) Water Tower Research Virtual Insights Conference summary

Asset base and operations

• Holds 111 million tons of high-quality metallurgical coal reserves across 54,000 acres in West Virginia, with production underway and first sales completed.

• Owns a wash plant and load out on the Norfolk Southern line, and has a 39% stake in JJ Resources, which controls the Sewell Mountain complex.

• Lanes Branch surface mine is producing, with production ramping up and first underground mine to come online soon.

Market positioning and strategy

• Metallurgical coal is critical for steel production and was recently added to the U.S. List of Critical Minerals, highlighting its strategic importance.

• Global supply constraints and rising demand for steel have led to a supply deficit and higher prices, benefiting U.S. producers.

• Asset acquisitions without legacy liabilities position operations in the lowest global cost quartile.

Production ramp and growth plans

• Targeting 80,000 tons/month at Lanes Branch by end of October 2026, with additional underground mines (Mine 8 and Mine 3) to add 40,000–50,000 tons/month each.

• Aims to reach a 2 million ton annual run-rate by 2027 through sequential mine and equipment additions.