Hedge funds held $27 million worth of positions in the stock as of Q1 2026, placing American Resources Corporation (NASDAQ:AREC) among the best coal stocks to invest in.
However, American Resources Corporation (NASDAQ:AREC) is building a case for investors as a critical minerals platform in transition, with management outlining an updated strategy during the week ending May 24, 2026.
Speaking with Proactive, CEO Mark Jensen described a company that has fundamentally repositioned itself over the past year.
American Resources Corporation (NASDAQ:AREC) moved from negative shareholder equity of roughly $80 million to positive equity of approximately $93 million, driven by the divestiture of legacy coal assets and the spinout of ReElement Technologies. The removal of a going concern qualification adds to that momentum, and Jensen said the company now holds more than $72.5 million in cash with no immediate need for additional fundraising.
ReElement, a wholly owned subsidiary, remains central to the company’s story.
American Resources Corporation (NASDAQ:AREC) retains around 17% of the spinout while maintaining a feedstock supply relationship with it. Jensen said the refining platform is already capable of producing key rare earth elements at competitive costs, describing it as a meaningful asset within the domestic critical minerals sector.
The company’s forward strategy moves away from building its own domestic mines.
Jensen argued that many U.S. mining projects struggle to compete economically against lower-cost international alternatives. Instead, American Resources Corporation (NASDAQ:AREC) is pursuing ownership stakes in mining operations across Southeast Asia and Africa, with a focus on elements including germanium, gallium, yttrium, and gadolinium, which Jensen said remain difficult to source outside China. He said discussions on multiple mining partnerships and supply agreements are already well advanced.
Jensen described the broader strategy as taking stakes in international mines that can supply ReElement, while spreading risk across multiple jurisdictions.
Indiana-based American Resources Corp (NASDAQ:AREC) is engaged in producing and supplying raw materials for the infrastructure market. Its material supplies include steel, alloys, and critical minerals. Through its Electrified Materials Corporation and ReElement Technologies Corporation units, the company recovers, processes, and refines rare-earth elements and other minerals. The company also offers coal byproducts.
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