News Releases Details

View all news

Natural Resource Partners L.P. Closes Two Coal Acquisitions in Indiana and Maryland

06/30/2006

HOUSTON, June 30 /PRNewswire-FirstCall/ -- Natural Resource Partners L.P. (NYSE: NRP) and (NYSE: NSP) today announced that it has closed two acquisitions of coal reserves totaling $16.35 million. The Partnership used cash to fund these acquisitions.

(Logo: http://www.newscom.com/cgi-bin/prnh/20060109/NRPLOGO )

The first acquisition for $10.85 million comprises coal reserves in Indiana. The acquisition consists of 16.3 million tons of coal reserves and an overriding royalty interest on an additional 2.4 million tons. These reserves are leased to Triad Mining, a subsidiary of James River Coal Company (Nasdaq: JRCC). The reserves are located in Pike, Warrick and Gibson Counties in Indiana. Production on both the owned and override property is anticipated to begin in mid-2007 and NRP anticipates between $600 thousand to $700 thousand in revenues in 2007, increasing to between $2.8 million and $3.0 million in 2009 when all properties are expected to be in full operation.

The Partnership has also closed a $5.5 million acquisition of 3.3 million tons of coal reserves in Allegany County, Maryland. The property currently produces over 500,000 tons per year and should generate royalty income to NRP of nearly $1.4 million per year.

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. The common units are traded on the New York Stock Exchange (NYSE) under the symbol NRP and the subordinated units are traded on the NYSE under the symbol NSP.

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, the anticipated start of coal production, 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.

CONTACT:
Kathy Hager of Natural Resource Partners L.P.,
+1-713-751-7555,
or khager@nrplp.com

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20060109/NRPLOGO
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, photodesk@prnewswire.com
Web site: http://www.nrplp.com

Multimedia Files:

View all news