Keith Goodman's questions to American Resources Corp (AREC) leadership • Q2 2024
Question
Keith Goodman of Maxim Group questioned the use of proceeds from the 'Patriotic Capital' funds, the strategic balance between company-owned facilities and the 'Powered by ReElement' service model, and the company's exposure to political risks.
Answer
Chairman and CEO Mark Jensen clarified that the capital is a subsidiary-level financing for ReElement's equipment and working capital. He described the strategy as a hybrid model, using owned facilities to generate revenue and demonstrate technology while expanding the asset-light 'Powered by ReElement' service. Jensen asserted the business is not reliant on political outcomes or subsidies, as its commercial viability is based on a low-cost structure and the bipartisan need for a secure domestic supply chain.