HOUSTON, Sept. 29 /PRNewswire-FirstCall/ -- Natural Resource Partners L.P.
(NYSE: NRP) today announced that it has closed three separate transactions in
the last week for an aggregate purchase price of $19.5 million. NRP funded
the acquisitions with $13.5 million in cash on hand, and borrowed the
remaining $6 million under its revolving credit facility.
On September 22, 2005, NRP acquired a coal preparation plant and a rail
load-out facility in Greenbrier County, West Virginia for $6 million. The
facilities will primarily process coal produced from NRP's Plum Creek
properties, which it acquired in February. NRP expects the facilities to
generate revenues of approximately $2.5 million in 2006.
In two separate transactions on September 26, 2005, NRP acquired
approximately 25 million tons of owned coal reserves and an overriding royalty
on 14 million tons of leased coal reserves in Randolph, Upshur and Barbour
Counties in north-central West Virginia for $13.5 million. NRP expects the
acquisitions to generate increasing production and revenues in future years,
with approximately $0.5 million in 2006, approximately $1.4 million in 2007
and exceeding $2 million on an estimated 600,000 tons of production in 2008.
NRP anticipates the production and revenues to continue to increase through
2011.
Natural Resource Partners L.P. is headquartered in Houston, TX, with its
operations headquarters in Huntington, WV. NRP is a master limited
partnership that is principally engaged in the business of owning and managing
coal properties in the three major coal producing regions of the United
States: Appalachia, the Illinois Basin and the Powder River Basin.
For additional information, please contact Kathy Hager at 713-751-7555 or
khager@nrplp.com . Further information about NRP is available on the
partnership's website at http://www.nrplp.com .
This press release may include "forward-looking statements" as defined by
the Securities and Exchange Commission. Such statements include the estimated
coal reserves, estimated coal reserves associated with the overriding royalty
interest, coal production volumes and estimated coal royalty revenues. All
statements, other than statements of historical facts, included in this press
release that address activities, events or developments that the partnership
expects, believes or anticipates will or may occur in the future are forward-
looking statements. These statements are based on certain assumptions made by
the partnership based on its experience and perception of historical trends,
current conditions, expected future developments and other factors it believes
are appropriate in the circumstances. Such statements are subject to a number
of assumptions, risks and uncertainties, many of which are beyond the control
of the partnership. These risks include, but are not limited to, decreases in
demand for coal; changes in operating conditions and costs; production cuts by
our lessees; commodity prices; unanticipated geologic problems; changes in the
legislative or regulatory environment and other factors detailed in Natural
Resource Partners' Securities and Exchange Commission filings. Natural
Resource Partners L.P. has no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information, future
events or otherwise.
SOURCE Natural Resource Partners L.P.
09/29/2005 R
CONTACT: Kathy Hager of Natural Resource Partners L.P., +1-713-751-7555,
or khager@nrplp.com
Web site: http://www.nrplp.com
(NRP)