SEC Filing Summary: Ramaco Resources, Inc. (Form 8-K)
Business Context and Reporting Period
This Current Report on Form 8-K was filed by Ramaco Resources, Inc. on December 30, 2025. The filing discloses the entry into a material definitive agreement regarding the company's corporate credit facility. Ramaco Resources operates in the energy and natural resources sector, with securities traded on the Nasdaq Global Select Market.
Key Financial Metrics and Debt Structure
The filing details the restructuring of the company's primary debt instrument. Key terms of the new facility include:
- Facility Type: Asset-based revolving credit facility.
- Commitment Amount: Initial aggregate revolving commitment of $350,000,000.
- Accordion Feature: Capacity to increase commitments by an additional $150,000,000 subject to terms.
- Letters of Credit: Sublimit of $10,000,000.
- Maturity Date: December 30, 2030, or 180 days prior to the earliest maturity of Permitted Convertible Indebtedness.
- Interest Rates: SOFR + 2.50% or Base Rate + 2.00%.
- Fees: Unused commitment fee of 0.375% per annum.
- Collateral: First-priority security interest in substantially all personal property; explicitly excludes real property, improvements, and machinery/equipment.
Note: This filing does not provide specific values for revenue, net income, operating cash flow, or total debt outstanding as of the reporting date.
Material Changes Versus Prior Period
The company entered into a Third Amended and Restated Credit and Security Agreement, which amends and restates the existing Second Amended and Restated Credit and Security Agreement dated February 15, 2023. The new agreement continues the existing indebtedness and liens without novation but updates the facility terms, interest margins, and covenants.
Guidance, Covenants, and Risks
Financial Covenants: The agreement requires a Fixed Charge Coverage Ratio of not less than 1.10:1.00. This covenant is tested quarterly and applies only when excess availability falls below 12.5% of the maximum borrowing amount.
Restrictions: The agreement includes customary negative covenants limiting additional indebtedness, liens, investments, acquisitions, restricted payments, and affiliate transactions.
Events of Default: Standard provisions include payment defaults, covenant breaches, misrepresentations, cross-defaults, bankruptcy, material judgments, and change of control.
Management Commentary: The filing references a press release (Exhibit 99.1) announcing the execution but does not contain additional forward-looking guidance or outlook within the text of the 8-K itself.
Investor Verification Checklist
- Verify the current utilization rate of the $350 million facility and the resulting excess availability.
- Confirm the status of the "Permitted Convertible Indebtedness" to determine if the maturity date could be accelerated prior to 2030.
- Review the full text of the Third A&R Credit Agreement (Exhibit 10.1) for specific definitions of the borrowing base and collateral exclusions.
- Assess the company's ability to maintain the 1.10:1.00 fixed charge coverage ratio under current market conditions.
- Check for any recent filings regarding the $150 million accordion increase to see if it has been exercised.