REG - Bens Creek Group PLC - Infrastructure update

Bens CreekAnnouncement

02/08/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220802:nRSB5029Ua&default-theme=true

RNS Number : 5029U  Bens Creek Group PLC  02 August 2022

Bens Creek Group plc

("Bens Creek" or the "Company")

 

Infrastructure update

 

Bens Creek Group plc (AIM: BEN), the owner of a metallurgical coal mine in
North America supplying the steel industry, is able to provide an
infrastructure update following the severe flooding in the Western part of the
West Virginia and the Eastern Kentucky region since Wednesday 27 July 2022.

 

The Appalachian region of Western West Virginia and Eastern Kentucky
experienced, from Wednesday 27 July through to Saturday 30 July, severe levels
of rainfall and flooding not seen for decades, causing downed trees, power
outages, disruption to the water system and road blockages. A state of
emergency has been declared in certain parts of these areas, whilst several
deaths have been reported in Eastern Kentucky. The areas adjacent to the
Company's infrastructure in West Virginia which have been affected are Mingo
County and Logan.

 

As a Company, our prayers and good wishes go out to all those people affected
by the devastation.

 

During this particularly difficult time, our mining team, including our
contractors, have been able to prioritise health and safety in order to
achieve zero fatalities, injuries, and safety incidents and to provide
invaluable assistance to the local community to prevent any further damage,
caused by the flood waters.

 

The vast majority of the Company's infrastructure was unaffected by the
unusual weather pattern other than the railway system, which did suffer some
damage to railway ties along with the sheer volume of water having washed away
ballast along several sections of the railway line. However, it is pleasing to
report the railway track itself did not suffer any damage. The Company is also
pleased to report that it was able to source replacement ballast to ensure the
material washed away was replaced ahead of the imminent arrival of trains from
Norfolk Southern.

 

The repairs to the railway line have been completed and passed an inspection
undertaken by the rail operator on 1 August 2022.

 

With the imminent arrival of a train scheduled for the week commencing 1
August 2022, it was important for the Company to ensure the railway track was
fully functional. Accordingly, the scheduling of the train for arrival at the
Bens Creek site this coming week is expected to be unaffected.

 

The severe flooding has affected the logistical supply and transportation of
metallurgical coal from West Virginia and Eastern Kentucky to the various
ports linking to the Norfolk Southern railway system. This has resulted in
Norfolk Southern, agreeing to supply three trains to the Bens Creek site over
the next seven days to meet the backlog in supply.

 

Adam Wilson, Chief Executive Officer of Bens Creek, commented:

 

"Firstly, I need to thank each and every member of our team, who worked
tirelessly round the clock from Wednesday night, often through the night on
multiple nights in succession in very difficult conditions, both to allow the
huge levels of water to flow down the Bens Creek mountain and into the Tug
river, with minimal damage to property, and then to work around the clock
again repairing the damage to our railway line so that we are able to
accommodate additional trains into the Bens Creek site to help the logistical
difficulties caused in the region.

 

It is normal for the CEO to thank his staff, but on this occasion, my staff
went over and above what could have been expected, as well as maintaining and
protecting the assets of the Company for the benefit of all shareholders. The
staff at Bens Creek have also been active in the community trying to help
where possible and to minimise any further damage and to prevent the loss of
life.

 

It is also a testament to the quality of the remediation of the railway line
in the first place that it largely withstood the severe flooding in the area."

 

 

For further information please contact:

 Bens Creek Group plc                                            +44 (0) 204 558 2300

 Adam Wilson, CEO

 Raju Haldankar, Executive Director

 Murat Erden, CFO

 Allenby Capital Limited (Nominated Adviser and Joint Broker)    +44 (0) 203 328 5656

 Nick Athanas / Nick Naylor / George Payne (Corporate Finance)

 Kelly Gardiner (Sales and Corporate Broking)

 Optiva Securities Limited (Joint Broker)                        +44 (0) 203 137 1902

 Christian Dennis / Mariela Jaho / Daniel Ingram

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCUASSRUBUWRAR