While no financial details were released, American Resources officials said its remediation efforts would include "upcycling" the property for future sustainable economic opportunity.
The partner will also process and sell scrap metal, facilities and other associated equipment. Proceeds from that will be used to fund the site's complete reclamation.
Chairman and CEO Mark Jensen said that, through the work, it would reduce its environmental bonding liabilities by US$1.3 million.
"We are always looking for opportunities to reduce our environmental liabilities and have become much more proactive in our efforts to permanently shut down any of those liabilities associated with thermal coal within our portfolio," he said.
"This partnership provides us with a viable solution to reduce such liabilities and will be something we could potentially expand on in the future, allowing American Resources to focus on efficiently continuing the growth of its metallurgical carbon platform to service the steelmaking and infrastructure markets worldwide."
The producer, which is focused on the Central Appalachian (CAPP) coal region of the US, extracts and processes metallurgical carbon and pulverised coal injection (PCI) for steelmakers.