CLAY COUNTY, WV (LOOTPRESS) – Range Impact, Inc., a public company focused on acquiring, reclaiming, and repurposing distressed coal mines across Appalachia, announced last week its acquisition of the Fola Mine Complex in Clay County.
The property was purchased from AppleAtcha Land, LLC and WV Reclaim Co, LLC.
Once one of the largest coal mining operations in Appalachia, the Fola Mine Complex produced millions of tons of coal annually during the 1990s and 2000s and employed about 500 workers at its peak.
The mine was shut down in 2011, leading to the loss of nearly all jobs and leaving the site dormant for over a decade.
“Our acquisition of the Fola Mine Complex is by far the most significant acquisition in the history of the Company, and represents a critical transition point for the Fola Mine Complex and its nearby communities,” stated Michael Cavanaugh, the Company’s Chief Executive Officer.
“As part of the transaction, we acquired almost 13,000 acres of surface land and 107,000 acres of mineral interest, for a total of approximately 120,000 acres of real property interests.”
Range Impact also acquired 15 mining permits at the site, with a combined reclamation obligation of $29.3 million. In addition, the company will manage 21 more permits to ensure full-site rehabilitation.
“We have also acquired 15 mining permits located at the Fola Mine Complex with an estimated reclamation obligation of $29.3 million, as well as an obligation to manage an additional 21 mining permits at the site to ensure the entire property is responsibly rehabilitated and well-positioned to support long-term next generation uses,” Cavanaugh said.
“Our deep experience in performing land reclamation and water restoration at challenging coal mine sites establishes the core foundation of our impact investing strategy and uniquely positions us to pursue such an ambitious and impactful value creation plan.”
The acquisition also includes two active coal royalty contracts and a long-term solar lease with a multinational corporation.
The solar project is expected to generate more than 200 megawatt-hours of energy on 1,000 acres—making it one of the largest such developments in the region.
“Over the past three years, Range Impact has focused primarily on generating revenue by providing reclamation, incidental mining and security services to mining companies, permit holders and private owners with abandoned mine land property.”
“During this time, our team has built a wealth of experience in land reclamation and water restoration, and equally important, developed a deep understanding of the various governmental regulations and insurance obligations that impact the ability to successfully reclaim and repurpose mine sites.”
“Based on these experiences, our leadership team believes that the optimal go-forward strategy is to transition from a service-based business model to a land ownership business model, whereby shareholder value is created by unlocking the underlying value of land we own through our reclamation activities, and concurrently, creating multiple streams of recurring revenue with a diverse group of third-party lessees focused on next-generation uses.”
This acquisition brings Range Impact’s owned land portfolio to two major former mine sites: the Fola Mine Complex and 2,000 acres at the Hobet Mine Complex, also in West Virginia.
Edward Feighan, Chairman of the Board, called the Fola acquisition a key milestone.
“Our acquisition of the Fola Mine Complex represents a significant milestone for our Company as we continue to execute on our impact investing strategy and deepen our commitment to the rehabilitation and revitalization of Appalachian coal mining sites and their surrounding communities,” Feighan said.
“With a surface area the size of over 9,600 football fields, we believe that Fola offers us a ‘one-of-a-kind opportunity’ to make a long-lasting positive impact on the environment and establish a unique platform to grow innovative businesses and create attractive, good paying jobs in West Virginia.”
Range Impact, Inc. is headquartered in Cleveland, Ohio, and trades on the OTCQB under the ticker RNGE.
The company focuses on impact investing through the reclamation and redevelopment of former coal mining lands across Appalachia.
