HOUSTON, Aug. 4, 2016 /PRNewswire/ -- Natural
Resource Partners L.P. (NYSE:NRP) today reported net income
from continuing operations attributable to the limited partners for
the three months ended June 30, 2016
of $47.7 million, or $3.90 per unit, an increase of $13.3 million, from $34.4
million, or $2.82 per unit, a
year earlier. Net cash provided by operating activities from
continuing operations was $23.2
million in the second quarter of 2016, a decline of
$20.2 million compared to the prior
year. Adjusted EBITDA, a non-GAAP measure, was $81.6 million for the three months ended
June 30, 2016, an increase of
$10.4 million compared to 2015.
Reconciliations for all non-GAAP items are shown in tables at the
end of the release.
"Our second quarter results were positively impacted by the
proactive management of our coal assets, as we were able to reduce
our liabilities for deferred revenue by $35.5 million and recognize a corresponding
amount of revenue through negotiated forfeitures by several of our
lessees of rights to recoup previously paid minimum royalties,"
said Wyatt Hogan, President and
Chief Operating Officer. "Our aggregates and soda ash
businesses continue to provide stability and diversification to our
asset base and, while the coal markets are still quite
challenging, we are starting to see
some initial signs of firming thermal and metallurgical
coal prices. In addition, with the closing of our
oil and gas sale in July, we were able to generate an additional
$116.1 million in cash proceeds to be
directed towards our deleveraging objectives. We have made
substantial progress in this regard, and continue to be focused on
right-sizing our balance sheet through cost management
and additional asset sales with an eye towards
the ultimate refinancing of our 2018 debt
maturities."
NRP has recently taken the following steps to achieve the
financial objectives outlined in the April
2015 strategic plan:
- reduced debt by $88.5 million
(including discontinued operations) in the first six months of
2016, including $37.3 million in the
second quarter of 2016;
- closed the sale of NRP Oil and Gas' non-operated working
interest for $116.1 million in
July 2016, and repaid the
$75 million NRP Oil and Gas Revolving
Credit Facility in full;
- total debt reduction for 2015 and 2016 to date is nearly
$255 million (including discontinued
operations); and
- amended and extended the NRP (Operating) credit facility
maturity to June 30, 2018.
At June 30, 2016, NRP had
$21.4 million of cash liquidity.
Business Results and Outlook
The table below presents NRP's business results by segment for
the three months ended June 30, 2016
and 2015:
|
|
Operating Business
Segments
|
|
|
|
|
|
|
Coal and Hard
Mineral Royalty and Other
|
|
|
|
|
|
|
|
Corporate and
Financing
|
|
|
|
|
|
Soda
Ash
|
|
VantaCore
|
|
Oil and
Gas
|
|
|
Total
|
|
|
(In
thousands)
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues and
other income
|
|
$
|
76,463
|
|
|
$
|
10,188
|
|
|
$
|
31,651
|
|
|
$
|
(56)
|
|
|
$
|
—
|
|
|
$
|
118,246
|
|
Total operating
expenses excluding impairments (1)
|
|
$
|
14,727
|
|
|
$
|
—
|
|
|
$
|
28,182
|
|
|
$
|
466
|
|
|
$
|
4,039
|
|
|
$
|
47,414
|
|
Asset
impairments
|
|
$
|
91
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
91
|
|
Net income (loss)
from continuing operations
|
|
$
|
61,675
|
|
|
$
|
10,188
|
|
|
$
|
3,439
|
|
|
$
|
(522)
|
|
|
$
|
(26,147)
|
|
|
$
|
48,633
|
|
Adjusted EBITDA
(1)
|
|
$
|
69,074
|
|
|
$
|
9,800
|
|
|
$
|
7,129
|
|
|
$
|
(344)
|
|
|
$
|
(4,032)
|
|
|
$
|
81,627
|
|
Net cash provided by
(used in) operating activities of continuing
operations
|
|
$
|
32,610
|
|
|
$
|
17,032
|
|
|
$
|
6,210
|
|
|
$
|
1,110
|
|
|
$
|
(33,773)
|
|
|
$
|
23,189
|
|
Net cash provided by
(used in) investing activities of continuing
operations
|
|
$
|
2,685
|
|
|
$
|
—
|
|
|
$
|
(1,672)
|
|
|
$
|
1,499
|
|
|
$
|
—
|
|
|
$
|
2,512
|
|
Net cash provided by
(used in) financing activities of continuing
operations
|
|
$
|
(47,102)
|
|
|
$
|
(17,029)
|
|
|
$
|
(2,604)
|
|
|
$
|
(2,580)
|
|
|
$
|
14,385
|
|
|
$
|
(54,930)
|
|
Distributable Cash
Flow (1)
|
|
$
|
35,300
|
|
|
$
|
17,032
|
|
|
$
|
4,152
|
|
|
$
|
2,609
|
|
|
$
|
(33,773)
|
|
|
$
|
25,320
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues and
other income
|
|
$
|
70,150
|
|
|
$
|
11,599
|
|
|
$
|
41,042
|
|
|
$
|
892
|
|
|
$
|
—
|
|
|
$
|
123,683
|
|
Total operating
expenses excluding impairments (1)
|
|
$
|
19,819
|
|
|
$
|
—
|
|
|
$
|
37,429
|
|
|
$
|
2,089
|
|
|
$
|
2,219
|
|
|
$
|
61,556
|
|
Asset
impairments
|
|
$
|
3,803
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,803
|
|
Net income (loss)
from continuing operations
|
|
$
|
46,528
|
|
|
$
|
11,599
|
|
|
$
|
3,613
|
|
|
$
|
(1,197)
|
|
|
$
|
(24,154)
|
|
|
$
|
36,389
|
|
Adjusted EBITDA
(1)
|
|
$
|
53,790
|
|
|
$
|
10,902
|
|
|
$
|
8,478
|
|
|
$
|
266
|
|
|
$
|
(2,218)
|
|
|
$
|
71,218
|
|
Net cash provided by
(used in) operating activities of continuing
operations
|
|
$
|
63,071
|
|
|
$
|
11,567
|
|
|
$
|
6,625
|
|
|
$
|
1,435
|
|
|
$
|
(39,312)
|
|
|
$
|
43,386
|
|
Net cash provided by
(used in) investing activities of continuing
operations
|
|
$
|
5,176
|
|
|
$
|
—
|
|
|
$
|
(3,658)
|
|
|
$
|
(337)
|
|
|
$
|
—
|
|
|
$
|
1,181
|
|
Net cash provided by
(used in) financing activities of continuing
operations
|
|
$
|
(71,451)
|
|
|
$
|
(11,567)
|
|
|
$
|
(3,765)
|
|
|
$
|
(10,506)
|
|
|
$
|
29,847
|
|
|
$
|
(67,442)
|
|
Distributable Cash
Flow (1)
|
|
$
|
67,077
|
|
|
$
|
11,567
|
|
|
$
|
5,505
|
|
|
$
|
394
|
|
|
$
|
(39,312)
|
|
|
$
|
45,231
|
|
|
_______________
|
(1) See "Non-GAAP Financial
Measures" and reconciliation tables at the end of this
release.
|
The table below presents NRP's business results by segment for
the six months ended June 30, 2016
and 2015:
|
|
Operating Business
Segments
|
|
|
|
|
|
|
Coal and Hard
Mineral Royalty and Other
|
|
|
|
|
|
|
|
Corporate and
Financing
|
|
|
|
|
|
Soda
Ash
|
|
VantaCore
|
|
Oil and
Gas
|
|
|
Total
|
|
|
(In
thousands)
|
Six Months Ended June
30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues and
other income
|
|
$
|
117,098
|
|
|
$
|
19,989
|
|
|
$
|
56,333
|
|
|
$
|
20,653
|
|
|
$
|
—
|
|
|
$
|
214,073
|
|
Total operating
expenses excluding impairments (1)
|
|
$
|
28,889
|
|
|
$
|
—
|
|
|
$
|
53,879
|
|
|
$
|
1,378
|
|
|
$
|
8,211
|
|
|
$
|
92,357
|
|
Asset
impairments
|
|
$
|
1,984
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,984
|
|
Net income (loss)
from continuing operations
|
|
$
|
86,277
|
|
|
$
|
19,989
|
|
|
$
|
2,402
|
|
|
$
|
19,275
|
|
|
$
|
(52,959)
|
|
|
$
|
74,984
|
|
Adjusted EBITDA
(1)
|
|
$
|
102,330
|
|
|
$
|
22,050
|
|
|
$
|
9,654
|
|
|
$
|
19,632
|
|
|
$
|
(8,185)
|
|
|
$
|
145,481
|
|
Net cash provided by
(used in) operating activities of continuing
operations
|
|
$
|
55,908
|
|
|
$
|
22,050
|
|
|
$
|
12,323
|
|
|
$
|
467
|
|
|
$
|
(52,102)
|
|
|
$
|
38,646
|
|
Net cash provided by
(used in) investing activities of continuing
operations
|
|
$
|
12,796
|
|
|
$
|
—
|
|
|
$
|
(3,890)
|
|
|
$
|
34,347
|
|
|
$
|
—
|
|
|
$
|
43,253
|
|
Net cash provided by
(used in) financing activities of continuing
operations
|
|
$
|
(93,161)
|
|
|
$
|
(22,050)
|
|
|
$
|
(3,819)
|
|
|
$
|
(45,205)
|
|
|
$
|
62,523
|
|
|
$
|
(101,712)
|
|
Distributable Cash
Flow (1)
|
|
$
|
68,709
|
|
|
$
|
22,050
|
|
|
$
|
9,018
|
|
|
$
|
34,814
|
|
|
$
|
(52,102)
|
|
|
$
|
82,489
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues and
other income
|
|
$
|
125,275
|
|
|
$
|
24,122
|
|
|
$
|
67,841
|
|
|
$
|
2,507
|
|
|
$
|
—
|
|
|
$
|
219,745
|
|
Total operating
expenses excluding impairments (1)
|
|
$
|
38,249
|
|
|
$
|
—
|
|
|
$
|
66,719
|
|
|
$
|
561
|
|
|
$
|
5,590
|
|
|
$
|
111,119
|
|
Asset
impairments
|
|
$
|
3,803
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,803
|
|
Net income (loss)
from continuing operations
|
|
$
|
83,223
|
|
|
$
|
24,122
|
|
|
$
|
1,122
|
|
|
$
|
1,946
|
|
|
$
|
(49,645)
|
|
|
$
|
60,768
|
|
Adjusted EBITDA
(1)
|
|
$
|
100,501
|
|
|
$
|
21,805
|
|
|
$
|
9,843
|
|
|
$
|
1,051
|
|
|
$
|
(5,574)
|
|
|
$
|
127,626
|
|
Net cash provided by
(used in) operating activities of continuing
operations
|
|
$
|
109,250
|
|
|
$
|
18,016
|
|
|
$
|
13,942
|
|
|
$
|
202
|
|
|
$
|
(56,393)
|
|
|
$
|
85,017
|
|
Net cash provided by
(used in) investing activities of continuing
operations
|
|
$
|
7,461
|
|
|
$
|
—
|
|
|
$
|
(4,360)
|
|
|
$
|
(337)
|
|
|
$
|
—
|
|
|
$
|
2,764
|
|
Net cash provided by
(used in) financing activities of continuing
operations
|
|
$
|
(152,192)
|
|
|
$
|
(18,016)
|
|
|
$
|
(10,907)
|
|
|
$
|
(11,610)
|
|
|
$
|
64,777
|
|
|
$
|
(127,948)
|
|
Distributable Cash
Flow (1)
|
|
$
|
115,210
|
|
|
$
|
18,016
|
|
|
$
|
12,609
|
|
|
$
|
(1,170)
|
|
|
$
|
(56,393)
|
|
|
$
|
88,272
|
|
|
_______________
|
(1) See "Non-GAAP Financial
Measures" and reconciliation tables at the end of this
release.
|
Coal and Hard Mineral Royalty and Other
Although the thermal and metallurgical coal markets remain
challenged in the near term, prices have improved recently for both
commodities. As of June 30,
coal production in the United
States was down approximately 27% over 2015 production, and
warm summer weather has led to drawdowns from inventories.
However, there are still significant stockpiles at the
utilities, and the strong dollar remains a headwind for exports.
NRP believes that additional tons will come out of the market
over the remainder of 2016, but that the market is moving towards
an equilibrium that could lead to improved pricing in 2017.
Revenues and other income increased $6.3
million, or 9%, from $70.2
million in the three months ended June 30, 2015 to $76.5
million in the three months ended June 30, 2016. This increase is related to a
$38.8 million increase in minimums
recognized as revenue in the three months ending June 30, 2016 over the same period in 2015.
Offsetting a significant portion of this increase was a
$15.9 million reduction in total coal
royalty revenues caused by a 7.6 million ton reduction in sales
partially offset by a $0.74 per ton
increase in combined average coal royalty revenue per ton.
While all regions experienced reduced revenue, the largest
decreases occurred in Central Appalachia and in the Illinois Basin, where Foresight's Deer Run
mine is currently idled. In addition, revenues and other
income in the three months ended June 30,
2016 did not include a $9.3
million gain on coal reserve swaps recognized in the three
months ended June 30, 2015.
Net income from continuing operations increased $15.2 million, or 33%, from $46.5 million in the three months ended
June 30, 2015 to $61.7 million in the three months ended
June 30, 2016. This increase is
primarily related to increased revenues discussed above, lower
depreciation, depletion and amortization expenses and lower
impairments in 2016 compared to 2015.
Adjusted EBITDA increased $15.3
million, or 28%, from $53.8
million in the three months ended June 30, 2015 to $69.1
million in the three months ended June 30, 2016. This increase was primarily
the result of increased minimums recognized as revenue in 2016.
Operating cash provided by continuing operations decreased
$30.5 million, or 48%, from
$63.1 million in the three months
ended June 30, 2015 to $32.6 million in the three months ended
June 30, 2016.
Soda Ash
NRP expects operational improvements at Ciner Wyoming to lead to
higher sales volumes both domestically and internationally in the
second half of the year.
Revenues and other income related to our Soda Ash segment
decreased $1.4 million, or 12%, from
$11.6 million in the three months
ended June 30, 2015 to $10.2 million in the three months ended
June 30, 2016. While prices increased
in the second quarter as compared to the first quarter of 2016,
they were lower both domestically and internationally as compared
to the second quarter of 2015, leading to the reduction. For the
three months ended June 30, 2016, we
received $9.8 million in cash
distributions from Ciner Wyoming and for the three months ended
June 30, 2015, we received
$10.9 million in cash
distributions.
Operating cash provided by continuing operations of $17.0 million for the three months ended
June 30, 2016 includes the correction
of the presentation of our final contingency payment made during
the first quarter of 2016. In the second quarter of 2016, the
Partnership determined its net cash provided by operating
activities and net cash used by financing activities were
understated by $7.2 million for the
three months ended March 31, 2016
related to this payment. Following the end of the second
quarter of 2016, Ciner Wyoming declared a distribution of
$12.25 million to NRP resulting from
its second quarter 2016 results.
VantaCore
VantaCore's construction aggregates mining business is largely
dependent on the strength of the local markets that it serves and
is seasonal. The largest component of the VantaCore segment
is the Laurel operation in southwestern Pennsylvania that serves producers and service
companies operating in the Marcellus and Utica Shales. Low
natural gas prices have led to a slowing pace of exploration and
development in those areas and impacted Laurel's revenues.
This decline has been offset both by increased construction revenue
at Laurel and reduced costs across all of the VantaCore
operations. In addition, McIntosh Construction has seen
nearly a 30% rise in the second quarter and is expected to remain
strong during the summer and fall months.
Revenues and other income related to our VantaCore segment
decreased $9.3 million, or 23%, from
$41.0 million in the three months
ended June 30, 2015 to $31.7 million in the three months ended
June 30, 2016. This decrease was
primarily the result of a reduction in revenue at Laurel related to
the brokered stone business including reduced delivery income
quarter-over-quarter and lower sales going into the
Marcellus. The reduction at Laurel was partially offset by
increased construction revenues; an increase at VantaCore's
McIntosh operation in Tennessee;
as well as, increases related to the Grand Rivers quarry in Kentucky. Tonnage sold declined 10% or 0.2
million tons quarter-over-quarter to 1.8 million tons.
Net income from continuing operations was relatively flat
quarter over quarter, decreasing $0.2
million, or 6% from $3.6
million in the three months ended June 30, 2015 to $3.4
million in the three months ended June 30, 2016. Notwithstanding the decrease in
revenue and other income described above, VantaCore's net income
was able to remain relatively flat as a result of reduced material
costs and overhead.
Adjusted EBITDA decreased $1.4
million, or 16%, from $8.5
million, in the three months ended June 30, 2015 to $7.1
million in the three months ended June 30, 2016. This decrease was primarily
the result of the decrease in revenues predominantly offset by
lower costs discussed above.
Operating cash provided by continuing operations decreased
$0.4 million, or 6%, from
$6.6 million in the three months
ended June 30, 2015 to $6.2 million in the three months ended
June 30, 2016 due to lower net income
quarter-over-quarter.
Oil and Gas
In July 2016, NRP Oil and Gas sold
its non-operated oil and gas working interest assets in the
Williston Basin for $116.1
million, subject to customary post-closing purchase price
adjustments. Our exit from this business represents a
strategic shift to reduce debt and focus on our aggregates, soda
ash, and coal and hard minerals business segments. As a
result, we have classified the operating results and cash flows of
our non-operated oil and gas working interest assets as
discontinued operations in our consolidated statements of
comprehensive income and consolidated statements of cash flows for
all periods presented. Additionally, the related assets and
liabilities associated with discontinued operations are classified
as discontinued in our consolidated balance sheet. During the
third quarter of 2016, we plan to transition the management
responsibilities and reporting of our remaining oil and gas royalty
assets into the Coal and Hard Minerals Royalty and Other operating
segment.
Corporate and Financing
Corporate and financing general and administrative expense
(including affiliates) includes corporate headquarters, financing
and centralized treasury and accounting. These costs
increased $1.8 million from
$2.2 million in the three months
ended June 30, 2015 to $4.0 million in the three months ended June
30, 2016 primarily due to increased legal and advisory fees
related to the implementation of our long-term plan to strengthen
our balance sheet, reduce debt and enhance liquidity in order to
reposition the Partnership for future growth. Interest
expense was essentially flat from $21.9
million in the three months ended June 30, 2015 to $22.1
million in the three months ended June 30, 2016.
Company Profile
Natural Resource Partners L.P. is a master limited
partnership headquartered in Houston, TX. NRP is a
diversified natural resource company that owns interests in oil and
gas, coal, aggregates and industrial minerals across the
United States. A large percentage of NRP's revenues are
generated from royalties and other passive income. In
addition, NRP owns an equity investment in Ciner Wyoming, a
trona/soda ash operation, and owns VantaCore, making NRP one of the
top 25 aggregates producers in the United States.
For additional information, please contact Kathy H. Roberts at 713-751-7555 or
kroberts@nrplp.com. Further information about NRP is
available on the partnership's website at http://www.nrplp.com.
Non-GAAP Financial Measures
"Adjusted EBITDA" is a non-GAAP financial
measure that we define as net income (loss) from continuing
operations less equity earnings from unconsolidated investment,
gain on reserve swaps and income to non-controlling interest; plus
distributions from equity earnings in unconsolidated
investment, interest expense, depreciation, depletion and
amortization and asset impairments.
Adjusted EBITDA should not be considered an alternative to,
or more meaningful than, net income or loss, net income or loss
attributable to partners, operating income, cash flows from
operating activities or any other measure of financial performance
presented in accordance with GAAP as measures of operating
performance, liquidity or ability to service debt obligations.
There are significant limitations to using Adjusted EBITDA as a
measure of performance, including the inability to analyze the
effect of certain recurring items that materially affect our net
income (loss), the lack of comparability of results of operations
of different companies and the different methods of calculating
Adjusted EBITDA reported by different companies. Adjusted EBITDA is
a supplemental performance measure used by our management and by
external users of our financial statements, such as investors,
commercial banks, research analysts and others to assess the
financial performance of our assets without regard to financing
methods, capital structure or historical cost basis.
"Distributable Cash Flow" is a non-GAAP
financial measure that we define as net cash provided by operating
activities of continuing operations, plus returns of unconsolidated
equity investments, proceeds from sales of assets, and returns of
long-term contract receivables—affiliate, less maintenance capital
expenditures and distributions to non-controlling interest. DCF is
not a measure of financial performance under GAAP and should not be
considered as an alternative to cash flows from operating,
investing or financing activities. DCF may not be calculated the
same for us as for other companies. DCF is a supplemental liquidity
measure used by our management and by external users of our
financial statements, such as investors, commercial banks, research
analysts and others to assess the Partnership's ability to
make cash distributions to our unitholders and our general partner
and repay debt.
"Operating expenses excluding impairments" is a
non-GAAP financial measure that we define as total operating
expenses less asset impairments. "Operating expenses excluding
impairments," as used and defined by us, may not be comparable to
similarly titled measures employed by other companies and is not a
measure of performance calculated in accordance with GAAP.
Operating expenses excluding impairments should not be considered
in isolation or as a substitute for operating income, net income or
loss, cash flows provided by operating, investing and financing
activities, or other income or cash flow statement data prepared in
accordance with GAAP. Operating expenses excluding impairments
provides no information regarding a company's capital structure,
borrowings, interest costs, capital expenditures, and working
capital movement or tax positions. Operating expenses excluding
impairments does not represent funds available for discretionary
use because those funds may be required for debt service, capital
expenditures, working capital and other commitments and
obligations. Our management team believes Operating expenses
excluding impairments is useful in evaluating our financial
performance because asset impairments are one-time non-cash charges
and excluding these from total operating expenses allows us to
better compare results period-over-period. A reconciliation of
Operating expenses excluding impairments to total operating
expenses is included in the tables attached to this
release.
"Net income excluding impairments" is a
non-GAAP financial measure that we define as net income (loss) plus
asset impairments. Net income excluding impairments, as used and
defined by us, may not be comparable to similarly titled measures
employed by other companies and is not a measure of performance
calculated in accordance with GAAP. Net income excluding
impairments should not be considered in isolation or as a
substitute for operating income (loss), net income (loss), cash
flows provided by operating, investing and financial activities, or
other income or cash flow statement data prepared in accordance
with GAAP. Our management team believes net income excluding
impairments is useful in evaluating our financial performance
because asset impairments are irregular non-cash charges and
excluding these from net income allows us to better compare results
period-over-period. A reconciliation of Net income excluding
impairments to net income is included in the tables attached to
this release.
Forward-Looking Statements
This press release includes "forward-looking statements" as
defined by the Securities and Exchange Commission. 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,
commodity prices; decreases in demand for coal, trona and soda ash,
construction aggregates, crude oil and natural gas, frac sand and
other natural resources; changes in operating conditions and costs;
production cuts by our lessees; the pace of development of our oil
and natural gas properties; unanticipated geologic problems; our
liquidity, leverage and access to capital and financing sources;
changes in the legislative or regulatory environment, our ability
to consummate planned asset sales and execute on our long-term
strategic plan 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.
-Financial Tables Follow-
Natural Resource
Partners L.P.
Financial
Tables
|
|
Consolidated
Statements of Comprehensive Income
|
(in thousands,
except per unit data)
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30,
|
|
June
30,
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
(Unaudited)
|
Revenues and other
income:
|
|
|
|
|
|
|
|
Coal and hard mineral
royalty and other
|
$
|
58,892
|
|
|
$
|
34,752
|
|
|
$
|
87,368
|
|
|
$
|
69,201
|
|
Coal and hard mineral
royalty and other—affiliates
|
17,504
|
|
|
32,342
|
|
|
28,074
|
|
|
51,403
|
|
VantaCore
|
31,642
|
|
|
40,643
|
|
|
56,324
|
|
|
67,442
|
|
Oil and gas
royalty
|
1,091
|
|
|
892
|
|
|
1,464
|
|
|
2,507
|
|
Equity in earnings of
Ciner Wyoming
|
10,188
|
|
|
11,599
|
|
|
19,989
|
|
|
24,122
|
|
Gain (loss) on asset
sales
|
(1,071)
|
|
|
3,455
|
|
|
20,854
|
|
|
5,070
|
|
Total revenues and
other income
|
118,246
|
|
|
123,683
|
|
|
214,073
|
|
|
219,745
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
Operating and
maintenance expenses
|
29,797
|
|
|
36,781
|
|
|
56,582
|
|
|
68,592
|
|
Operating and
maintenance expenses—affiliates, net
|
2,402
|
|
|
3,479
|
|
|
5,886
|
|
|
6,346
|
|
Depreciation,
depletion and amortization
|
10,472
|
|
|
18,170
|
|
|
20,252
|
|
|
28,846
|
|
Amortization
expense—affiliate
|
704
|
|
|
907
|
|
|
1,426
|
|
|
1,745
|
|
General and
administrative
|
3,173
|
|
|
1,918
|
|
|
6,408
|
|
|
4,205
|
|
General and
administrative—affiliates
|
866
|
|
|
301
|
|
|
1,803
|
|
|
1,385
|
|
Asset
impairments
|
91
|
|
|
3,803
|
|
|
1,984
|
|
|
3,803
|
|
Total operating
expenses
|
47,505
|
|
|
65,359
|
|
|
94,341
|
|
|
114,922
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
70,741
|
|
|
58,324
|
|
|
119,732
|
|
|
104,823
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
Interest
expense
|
(22,054)
|
|
|
(21,474)
|
|
|
(44,251)
|
|
|
(43,147)
|
|
Interest
expense—affiliate
|
(61)
|
|
|
(462)
|
|
|
(523)
|
|
|
(924)
|
|
Interest
income
|
7
|
|
|
1
|
|
|
26
|
|
|
16
|
|
Other expense,
net
|
(22,108)
|
|
|
(21,935)
|
|
|
(44,748)
|
|
|
(44,055)
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
48,633
|
|
|
36,389
|
|
|
74,984
|
|
|
60,768
|
|
Loss from
discontinued operations (see Note 3)
|
(2,187)
|
|
|
(3,811)
|
|
|
(5,111)
|
|
|
(10,701)
|
|
Net income
|
46,446
|
|
|
32,578
|
|
|
69,873
|
|
|
50,067
|
|
Less: net income
attributable to non-controlling interest
|
—
|
|
|
(1,244)
|
|
|
—
|
|
|
(1,244)
|
|
Net income
attributable to NRP
|
$
|
46,446
|
|
|
$
|
31,334
|
|
|
$
|
69,873
|
|
|
$
|
48,823
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to limited partners:
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
47,726
|
|
|
$
|
34,442
|
|
|
$
|
73,616
|
|
|
$
|
58,334
|
|
Discontinued
operations
|
(2,143)
|
|
|
(3,735)
|
|
|
(5,009)
|
|
|
(10,487)
|
|
Total
|
45,583
|
|
|
30,707
|
|
|
68,607
|
|
|
47,847
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to the general partner:
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
907
|
|
|
$
|
703
|
|
|
$
|
1,368
|
|
|
$
|
1,190
|
|
Discontinued
operations
|
(44)
|
|
|
(76)
|
|
|
(102)
|
|
|
(214)
|
|
Total
|
$
|
863
|
|
|
$
|
627
|
|
|
$
|
1,266
|
|
|
$
|
976
|
|
|
|
|
|
|
|
|
|
Basic and diluted net
income (loss) per common unit:
|
|
|
|
|
|
|
|
Continuing
operations
|
$
|
3.90
|
|
|
$
|
2.82
|
|
|
$
|
6.02
|
|
|
$
|
4.77
|
|
Discontinued
operations
|
(0.18)
|
|
|
(0.31)
|
|
|
(0.41)
|
|
|
(0.86)
|
|
Total
|
$
|
3.72
|
|
|
$
|
2.51
|
|
|
$
|
5.61
|
|
|
$
|
3.91
|
|
|
|
|
|
|
|
|
|
Weighted average
number of common units outstanding
|
12,232
|
|
|
12,232
|
|
|
12,232
|
|
|
12,232
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
46,446
|
|
|
$
|
32,578
|
|
|
$
|
69,873
|
|
|
$
|
50,067
|
|
Add: comprehensive
income (loss) from unconsolidated investment and other
|
462
|
|
|
210
|
|
|
(83)
|
|
|
(755)
|
|
Less: comprehensive
income attributable to non-controlling interest
|
—
|
|
|
(1,244)
|
|
|
—
|
|
|
(1,244)
|
|
Comprehensive
income
|
$
|
46,908
|
|
|
$
|
31,544
|
|
|
$
|
69,790
|
|
|
$
|
48,068
|
|
Natural Resource
Partners L.P.
Financial
Tables
|
|
Consolidated
Statements of Cash Flows
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30,
|
|
June
30,
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
(Unaudited)
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
|
Net income
|
$
|
46,446
|
|
|
$
|
32,578
|
|
|
$
|
69,873
|
|
|
$
|
50,067
|
|
Adjustments to
reconcile net income to net cash provided by operating activities
of continuing operations:
|
|
|
|
|
|
|
|
Depreciation,
depletion and amortization
|
10,472
|
|
|
18,170
|
|
|
20,252
|
|
|
28,846
|
|
Amortization
expense—affiliates
|
704
|
|
|
907
|
|
|
1,426
|
|
|
1,745
|
|
Distributions from
equity earnings from unconsolidated investment
|
9,800
|
|
|
10,902
|
|
|
22,050
|
|
|
21,805
|
|
Equity earnings from
unconsolidated investment
|
(10,188)
|
|
|
(11,599)
|
|
|
(19,989)
|
|
|
(24,122)
|
|
Gain on asset
sales
|
1,071
|
|
|
(3,455)
|
|
|
(20,854)
|
|
|
(5,070)
|
|
Loss from
discontinued operations
|
2,187
|
|
|
3,811
|
|
|
5,111
|
|
|
10,701
|
|
Asset
impairment
|
91
|
|
|
3,803
|
|
|
1,984
|
|
|
3,803
|
|
Gain on reserve
swap
|
—
|
|
|
(9,290)
|
|
|
—
|
|
|
(9,290)
|
|
Other, net
|
1,825
|
|
|
2,784
|
|
|
4,094
|
|
|
(10,049)
|
|
Other,
net—affiliates
|
(1,571)
|
|
|
380
|
|
|
212
|
|
|
(352)
|
|
Change in operating
assets and liabilities:
|
|
|
|
|
|
|
|
Accounts
receivable
|
(33)
|
|
|
(1,208)
|
|
|
3,922
|
|
|
6,620
|
|
Accounts
receivable—affiliates
|
(1,201)
|
|
|
(2,378)
|
|
|
(2,271)
|
|
|
1,302
|
|
Accounts
payable
|
(128)
|
|
|
3,290
|
|
|
150
|
|
|
686
|
|
Accounts
payable—affiliates
|
(250)
|
|
|
(27)
|
|
|
(25)
|
|
|
(41)
|
|
Accrued
liabilities
|
2,827
|
|
|
(8,383)
|
|
|
(3,131)
|
|
|
63
|
|
Accrued
liabilities—affiliates
|
(913)
|
|
|
—
|
|
|
(456)
|
|
|
—
|
|
Deferred
revenue
|
(34,141)
|
|
|
1,654
|
|
|
(38,204)
|
|
|
7,499
|
|
Deferred
revenue—affiliates
|
(3,075)
|
|
|
801
|
|
|
(4,060)
|
|
|
63
|
|
Other items,
net
|
(1,341)
|
|
|
646
|
|
|
(2,045)
|
|
|
741
|
|
Other items,
net—affiliates
|
607
|
|
|
—
|
|
|
607
|
|
|
—
|
|
Net cash provided by
operating activities of continuing operations
|
23,189
|
|
|
43,386
|
|
|
38,646
|
|
|
85,017
|
|
Net cash provided by
operating activities of discontinued operations
|
1,841
|
|
|
7,252
|
|
|
5,815
|
|
|
21,093
|
|
Net cash provided by
operating activities
|
25,030
|
|
|
50,638
|
|
|
44,461
|
|
|
106,110
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
Proceeds from sale of
oil and gas royalty properties
|
1,499
|
|
|
—
|
|
|
34,347
|
|
|
—
|
|
Proceeds from sale of
coal and hard mineral royalty properties
|
—
|
|
|
539
|
|
|
9,802
|
|
|
1,845
|
|
Return of long-term
contract receivables—affiliate
|
1,871
|
|
|
—
|
|
|
2,180
|
|
|
1,137
|
|
Proceeds from sale of
plant and equipment and other
|
840
|
|
|
4,350
|
|
|
843
|
|
|
5,255
|
|
Acquisition of plant
and equipment and other
|
(1,698)
|
|
|
(3,708)
|
|
|
(3,919)
|
|
|
(5,073)
|
|
Acquisition of
mineral rights
|
—
|
|
|
—
|
|
|
—
|
|
|
(400)
|
|
Net cash provided by
investing activities of continuing operations
|
2,512
|
|
|
1,181
|
|
|
43,253
|
|
|
2,764
|
|
Net cash used in
investing activities of discontinued operations
|
(1,089)
|
|
|
(11,852)
|
|
|
(3,814)
|
|
|
(25,285)
|
|
Net cash provided by
(used in) investing activities
|
1,423
|
|
|
(10,671)
|
|
|
39,439
|
|
|
(22,521)
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
Proceeds from
loans
|
20,000
|
|
|
—
|
|
|
20,000
|
|
|
25,000
|
|
Repayments of
loans
|
(57,316)
|
|
|
(17,317)
|
|
|
(98,482)
|
|
|
(58,483)
|
|
Distributions to
partners
|
(5,616)
|
|
|
(11,232)
|
|
|
(11,232)
|
|
|
(54,910)
|
|
Distributions to
non-controlling interest
|
—
|
|
|
(2,082)
|
|
|
—
|
|
|
(2,744)
|
|
Contributions to
discontinued operations
|
—
|
|
|
(31,725)
|
|
|
—
|
|
|
(31,725)
|
|
Debt issue costs and
other
|
(11,998)
|
|
|
(5,086)
|
|
|
(11,998)
|
|
|
(5,086)
|
|
Net cash used in
financing activities of continuing operations
|
(54,930)
|
|
|
(67,442)
|
|
|
(101,712)
|
|
|
(127,948)
|
|
Net cash provided by
(used in) financing activities of discontinued
operations
|
(232)
|
|
|
21,725
|
|
|
(10,570)
|
|
|
21,808
|
|
Net cash used in
financing activities
|
(55,162)
|
|
|
(45,717)
|
|
|
(112,282)
|
|
|
(106,140)
|
|
Net decrease in cash
and cash equivalents
|
(28,706)
|
|
|
(5,750)
|
|
|
(28,382)
|
|
|
(22,551)
|
|
Cash and cash
equivalents of continuing operations at beginning of
period
|
50,620
|
|
|
31,679
|
|
|
41,204
|
|
|
48,971
|
|
Cash and cash
equivalents of discontinued operations at beginning of
period
|
1,477
|
|
|
1,596
|
|
|
10,569
|
|
|
1,105
|
|
Cash and cash
equivalents at beginning of period
|
52,097
|
|
|
33,275
|
|
|
51,773
|
|
|
50,076
|
|
Cash and cash
equivalents at end of period
|
23,391
|
|
|
27,525
|
|
|
23,391
|
|
|
27,525
|
|
Less: cash and cash
equivalents of discontinued operations at end of period
|
2,000
|
|
|
18,721
|
|
|
2,000
|
|
|
18,721
|
|
Cash and cash
equivalents of continuing operations at end of period
|
$
|
21,391
|
|
|
$
|
8,804
|
|
|
$
|
21,391
|
|
|
$
|
8,804
|
|
Natural Resource
Partners L.P.
Financial
Tables
|
|
Consolidated
Balance Sheets
|
(in
thousands)
|
|
June
30,
2016
|
|
December
31,
2015
|
|
(Unaudited)
|
|
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
|
21,391
|
|
|
$
|
41,204
|
|
Accounts receivable,
net
|
40,815
|
|
|
43,633
|
|
Accounts
receivable—affiliates
|
8,616
|
|
|
6,345
|
|
Inventory
|
7,832
|
|
|
7,835
|
|
Prepaid expenses and
other
|
4,777
|
|
|
4,268
|
|
Current assets of
discontinued operations (see Note 3)
|
113,218
|
|
|
17,844
|
|
Total current
assets
|
196,649
|
|
|
121,129
|
|
Land
|
25,020
|
|
|
25,022
|
|
Plant and equipment,
net
|
55,763
|
|
|
60,675
|
|
Mineral rights,
net
|
946,355
|
|
|
984,522
|
|
Intangible assets,
net
|
3,470
|
|
|
3,930
|
|
Intangible assets,
net—affiliate
|
51,570
|
|
|
52,997
|
|
Equity in
unconsolidated investment
|
259,778
|
|
|
261,942
|
|
Long-term contracts
receivable—affiliate
|
44,572
|
|
|
47,359
|
|
Other
assets
|
863
|
|
|
1,173
|
|
Other
assets—affiliate
|
1,046
|
|
|
1,124
|
|
Non-current assets of
discontinued operations (see Note 3)
|
—
|
|
|
110,162
|
|
Total
assets
|
$
|
1,585,086
|
|
|
$
|
1,670,035
|
|
LIABILITIES AND
CAPITAL
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
|
5,260
|
|
|
$
|
5,022
|
|
Accounts
payable—affiliates
|
779
|
|
|
801
|
|
Accrued
liabilities
|
33,837
|
|
|
44,997
|
|
Accrued
liabilities—affiliates
|
—
|
|
|
456
|
|
Current portion of
long-term debt, net
|
157,996
|
|
|
80,745
|
|
Current liabilities
of discontinued operations (see Note 3)
|
79,947
|
|
|
4,388
|
|
Total current
liabilities
|
277,819
|
|
|
136,409
|
|
Deferred
revenue
|
42,608
|
|
|
80,812
|
|
Deferred
revenue—affiliates
|
78,793
|
|
|
82,853
|
|
Long-term debt,
net
|
1,050,562
|
|
|
1,186,681
|
|
Long-term debt,
net—affiliate
|
—
|
|
|
19,930
|
|
Other non-current
liabilities
|
3,670
|
|
|
5,171
|
|
Non-current
liabilities of discontinued operations (see Note 3)
|
—
|
|
|
85,237
|
|
Commitments and
contingencies (see Note 11)
|
|
|
|
Partners'
capital:
|
|
|
|
Common unitholders'
interest (12,232,006 units outstanding)
|
136,695
|
|
|
79,094
|
|
General partner's
interest
|
568
|
|
|
(606)
|
|
Accumulated other
comprehensive loss
|
(2,235)
|
|
|
(2,152)
|
|
Total partners'
capital
|
135,028
|
|
|
76,336
|
|
Non-controlling
interest
|
(3,394)
|
|
|
(3,394)
|
|
Total
capital
|
131,634
|
|
|
72,942
|
|
Total liabilities and
capital
|
$
|
1,585,086
|
|
|
$
|
1,670,035
|
|
Natural Resource
Partners L.P.
Financial
Tables
|
|
Operating
Statistics - Coal, Hard Mineral Royalty and Other
|
(in thousands
except per ton data)
|
|
|
|
|
|
For the Three
Months Ended
June
30,
|
|
For the Six Months
Ended
June
30,
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
(Unaudited)
|
Coal royalty
production (tons)
|
|
|
|
|
|
|
|
Appalachia
|
|
|
|
|
|
|
|
Northern
(1)
|
(138)
|
|
|
4,318
|
|
|
1,292
|
|
|
6,063
|
|
Central
|
3,470
|
|
|
4,376
|
|
|
6,698
|
|
|
8,760
|
|
Southern
|
773
|
|
|
1,174
|
|
|
1,518
|
|
|
2,149
|
|
Total
Appalachia
|
4,105
|
|
|
9,868
|
|
|
9,508
|
|
|
16,972
|
|
Illinois
Basin
|
1,909
|
|
|
2,960
|
|
|
3,637
|
|
|
5,543
|
|
Northern Powder River
Basin
|
442
|
|
|
892
|
|
|
1,416
|
|
|
2,196
|
|
Gulf Coast
|
—
|
|
|
300
|
|
|
—
|
|
|
417
|
|
Total coal royalty
production
|
6,456
|
|
|
14,020
|
|
|
14,561
|
|
|
25,128
|
|
|
|
|
|
|
|
|
|
Average coal royalty
revenue per ton
|
|
|
|
|
|
|
|
Appalachia
|
|
|
|
|
|
|
|
Northern
|
N/A (1)
|
|
$
|
0.16
|
|
|
$
|
1.27
|
|
|
$
|
0.22
|
|
Central
|
3.13
|
|
|
4.04
|
|
|
3.19
|
|
|
4.02
|
|
Southern
|
3.36
|
|
|
4.60
|
|
|
3.16
|
|
|
4.69
|
|
Total
Appalachia
|
3.39
|
|
|
2.41
|
|
|
2.92
|
|
|
2.75
|
|
Illinois
Basin
|
3.76
|
|
|
3.90
|
|
|
3.54
|
|
|
3.97
|
|
Northern Powder River
Basin
|
3.05
|
|
|
2.32
|
|
|
2.82
|
|
|
2.54
|
|
Gulf Coast
|
—
|
|
|
3.49
|
|
|
—
|
|
|
3.50
|
|
Combined average coal
royalty revenue per ton
|
3.48
|
|
|
2.74
|
|
|
3.07
|
|
|
3.01
|
|
|
|
|
|
|
|
|
|
Coal royalty
revenues
|
|
|
|
|
|
|
|
Appalachia
|
|
|
|
|
|
|
|
Northern
(1)
|
$
|
463
|
|
|
$
|
708
|
|
|
$
|
1,635
|
|
|
$
|
1,342
|
|
Central
|
10,864
|
|
|
17,670
|
|
|
21,337
|
|
|
35,176
|
|
Southern
|
2,598
|
|
|
5,399
|
|
|
4,800
|
|
|
10,085
|
|
Total
Appalachia
|
13,925
|
|
|
23,777
|
|
|
27,772
|
|
|
46,603
|
|
Illinois
Basin
|
7,181
|
|
|
11,538
|
|
|
12,867
|
|
|
22,005
|
|
Northern Powder River
Basin
|
1,348
|
|
|
2,071
|
|
|
4,000
|
|
|
5,578
|
|
Gulf Coast
|
—
|
|
|
1,047
|
|
|
—
|
|
|
1,459
|
|
Total coal royalty
revenue
|
$
|
22,454
|
|
|
$
|
38,433
|
|
|
$
|
44,639
|
|
|
$
|
75,645
|
|
|
|
|
|
|
|
|
|
Other Coal and Hard
Mineral Royalty and Other revenues
|
|
|
|
|
|
|
|
Override
revenue
|
$
|
657
|
|
|
$
|
1,071
|
|
|
$
|
867
|
|
|
$
|
1,762
|
|
Transportation and
processing fees
|
5,302
|
|
|
6,465
|
|
|
9,536
|
|
|
11,062
|
|
Minimums recognized
as revenue
|
43,527
|
|
|
4,706
|
|
|
50,492
|
|
|
9,246
|
|
Gain on reserve
swap
|
—
|
|
|
9,290
|
|
|
—
|
|
|
9,290
|
|
DOH sale
|
—
|
|
|
—
|
|
|
268
|
|
|
1,665
|
|
Wheelage
|
465
|
|
|
939
|
|
|
878
|
|
|
1,716
|
|
Hard mineral royalty
revenues
|
603
|
|
|
2,261
|
|
|
1,494
|
|
|
4,434
|
|
Gain on asset
sales
|
67
|
|
|
3,056
|
|
|
1,656
|
|
|
4,671
|
|
Property tax
revenue
|
3,027
|
|
|
3,070
|
|
|
6,332
|
|
|
6,074
|
|
Other
|
361
|
|
|
859
|
|
|
936
|
|
|
(290)
|
|
Total other Coal and
Hard Mineral Royalty and Other revenue
|
$
|
54,009
|
|
|
$
|
31,717
|
|
|
$
|
72,459
|
|
|
$
|
49,630
|
|
Total Coal and Hard
Mineral Royalty and Other revenue
|
$
|
76,463
|
|
|
$
|
70,150
|
|
|
$
|
117,098
|
|
|
$
|
125,275
|
|
|
_______________
|
(1)
Northern Appalachia was impacted by a prior period
adjustment of 0.4 million tons and less than $0.1 million in
royalty revenue related to the Hibbs Run mine that ceased
production during 2016. Absent this adjustment, production in the
Northern Appalachia region was 0.2 million tons, average revenue
per ton was $2.08 and revenue was $0.4 million.
|
Natural Resource
Partners L.P.
Reconciliation of
Non-GAAP Measures
|
|
Distributable Cash
Flow
|
(in
thousands)
|
|
|
|
|
|
Coal and Hard
Mineral Royalty and Other
|
|
|
|
|
|
|
|
Corporate and
Financing
|
|
|
|
|
|
Soda
Ash
|
|
VantaCore
|
|
Oil and
Gas
|
|
|
Total
|
|
|
(Unaudited)
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
(used in) operating activities of continuing
operations
|
|
$
|
32,610
|
|
|
$
|
17,032
|
|
|
$
|
6,210
|
|
|
$
|
1,110
|
|
|
$
|
(33,773)
|
|
|
$
|
23,189
|
|
Add: return on
long-term contract receivables—affiliate
|
|
1,871
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,871
|
|
Add: proceeds from
sale of PP&E
|
|
819
|
|
|
—
|
|
|
21
|
|
|
—
|
|
|
—
|
|
|
840
|
|
Add: proceeds from
sale of mineral rights
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,499
|
|
|
—
|
|
|
1,499
|
|
Less: maintenance
capital expenditures
|
|
—
|
|
|
—
|
|
|
(2,079)
|
|
|
—
|
|
|
—
|
|
|
(2,079)
|
|
DCF
|
|
$
|
35,300
|
|
|
$
|
17,032
|
|
|
$
|
4,152
|
|
|
$
|
2,609
|
|
|
$
|
(33,773)
|
|
|
$
|
25,320
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
(used in) operating activities of continuing operations
|
|
$
|
63,071
|
|
|
$
|
11,567
|
|
|
$
|
6,625
|
|
|
$
|
1,435
|
|
|
$
|
(39,312)
|
|
|
$
|
43,386
|
|
Add: proceeds from
sale of PP&E
|
|
4,350
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,350
|
|
Add: proceeds from
sale of mineral rights
|
|
539
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
539
|
|
Less: maintenance
capital expenditures
|
|
158
|
|
|
—
|
|
|
(1,120)
|
|
|
—
|
|
|
—
|
|
|
(962)
|
|
Less: distributions
to non-controlling interest
|
|
(1,041)
|
|
|
—
|
|
|
—
|
|
|
(1,041)
|
|
|
—
|
|
|
(2,082)
|
|
DCF
|
|
$
|
67,077
|
|
|
$
|
11,567
|
|
|
$
|
5,505
|
|
|
$
|
394
|
|
|
$
|
(39,312)
|
|
|
$
|
45,231
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
(used in) operating activities of continuing operations
|
|
$
|
55,908
|
|
|
$
|
22,050
|
|
|
$
|
12,323
|
|
|
$
|
467
|
|
|
$
|
(52,102)
|
|
|
$
|
38,646
|
|
Add: return on
long-term contract receivables—affiliate
|
|
2,180
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,180
|
|
Add: proceeds from
sale of PP&E
|
|
819
|
|
|
—
|
|
|
24
|
|
|
—
|
|
|
—
|
|
|
843
|
|
Add: proceeds from
sale of mineral rights
|
|
9,802
|
|
|
—
|
|
|
—
|
|
|
34,347
|
|
|
—
|
|
|
44,149
|
|
Less: maintenance
capital expenditures
|
|
—
|
|
|
—
|
|
|
(3,329)
|
|
|
—
|
|
|
—
|
|
|
(3,329)
|
|
DCF
|
|
$
|
68,709
|
|
|
$
|
22,050
|
|
|
$
|
9,018
|
|
|
$
|
34,814
|
|
|
$
|
(52,102)
|
|
|
$
|
82,489
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
(used in) operating activities of continuing operations
|
|
$
|
109,250
|
|
|
$
|
18,016
|
|
|
$
|
13,942
|
|
|
$
|
202
|
|
|
$
|
(56,393)
|
|
|
$
|
85,017
|
|
Add: return on
long-term contract receivables—affiliate
|
|
1,137
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,137
|
|
Add: proceeds from
sale of PP&E
|
|
4,350
|
|
|
—
|
|
|
905
|
|
|
—
|
|
|
—
|
|
|
5,255
|
|
Add: proceeds from
sale of mineral rights
|
|
1,845
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,845
|
|
Less: maintenance
capital expenditures
|
|
—
|
|
|
—
|
|
|
(2,238)
|
|
|
—
|
|
|
—
|
|
|
(2,238)
|
|
Less: distributions
to non-controlling interest
|
|
(1,372)
|
|
|
—
|
|
|
—
|
|
|
(1,372)
|
|
|
—
|
|
|
(2,744)
|
|
DCF
|
|
$
|
115,210
|
|
|
$
|
18,016
|
|
|
$
|
12,609
|
|
|
$
|
(1,170)
|
|
|
$
|
(56,393)
|
|
|
$
|
88,272
|
|
Natural Resource
Partners L.P.
Reconciliation of
Non-GAAP Measures
|
|
Adjusted
EBITDA
|
(in
thousands)
|
|
|
|
|
|
Coal and Hard
Mineral Royalty and Other
|
|
|
|
|
|
|
|
Corporate and
Financing
|
|
|
|
|
|
Soda
Ash
|
|
VantaCore
|
|
Oil and
Gas
|
|
|
Total
|
|
|
(Unaudited)
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations
|
|
$
|
61,675
|
|
|
$
|
10,188
|
|
|
$
|
3,439
|
|
|
$
|
(522)
|
|
|
$
|
(26,147)
|
|
|
$
|
48,633
|
|
Less: equity earnings
from unconsolidated investment
|
|
—
|
|
|
(10,188)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(10,188)
|
|
Add: distributions
from unconsolidated investment
|
|
—
|
|
|
9,800
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9,800
|
|
Add: depreciation,
depletion and amortization
|
|
7,308
|
|
|
—
|
|
|
3,690
|
|
|
178
|
|
|
—
|
|
|
11,176
|
|
Add: asset
impairment
|
|
91
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
91
|
|
Add: interest
expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
22,115
|
|
|
22,115
|
|
Adjusted
EBITDA
|
|
$
|
69,074
|
|
|
$
|
9,800
|
|
|
$
|
7,129
|
|
|
$
|
(344)
|
|
|
$
|
(4,032)
|
|
|
$
|
81,627
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations
|
|
$
|
46,528
|
|
|
$
|
11,599
|
|
|
$
|
3,613
|
|
|
$
|
(1,197)
|
|
|
$
|
(24,154)
|
|
|
$
|
36,389
|
|
Less: equity earnings
from unconsolidated investment
|
|
—
|
|
|
(11,599)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(11,599)
|
|
Less: gain on reserve
swap
|
|
(9,290)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9,290)
|
|
Add: distributions
from unconsolidated investment
|
|
—
|
|
|
10,902
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,902
|
|
Add: depreciation,
depletion and amortization
|
|
12,749
|
|
|
—
|
|
|
4,865
|
|
|
1,463
|
|
|
—
|
|
|
19,077
|
|
Add: asset
impairment
|
|
3,803
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,803
|
|
Add: interest
expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21,936
|
|
|
21,936
|
|
Adjusted
EBITDA
|
|
$
|
53,790
|
|
|
$
|
10,902
|
|
|
$
|
8,478
|
|
|
$
|
266
|
|
|
$
|
(2,218)
|
|
|
$
|
71,218
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations
|
|
$
|
86,277
|
|
|
$
|
19,989
|
|
|
$
|
2,402
|
|
|
$
|
19,275
|
|
|
$
|
(52,959)
|
|
|
$
|
74,984
|
|
Less: equity earnings
from unconsolidated investment
|
|
—
|
|
|
(19,989)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(19,989)
|
|
Add: distributions
from unconsolidated investment
|
|
—
|
|
|
22,050
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
22,050
|
|
Add: depreciation,
depletion and amortization
|
|
14,069
|
|
|
—
|
|
|
7,252
|
|
|
357
|
|
|
—
|
|
|
21,678
|
|
Add: asset
impairment
|
|
1,984
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,984
|
|
Add: interest
expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
44,774
|
|
|
44,774
|
|
Adjusted
EBITDA
|
|
$
|
102,330
|
|
|
$
|
22,050
|
|
|
$
|
9,654
|
|
|
$
|
19,632
|
|
|
$
|
(8,185)
|
|
|
$
|
145,481
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations
|
|
$
|
83,223
|
|
|
$
|
24,122
|
|
|
$
|
1,122
|
|
|
$
|
1,946
|
|
|
$
|
(49,645)
|
|
|
$
|
60,768
|
|
Less: equity earnings
from unconsolidated investment
|
|
—
|
|
|
(24,122)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,122)
|
|
Less: gain on reserve
swap
|
|
(9,290)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9,290)
|
|
Add: distributions
from unconsolidated investment
|
|
—
|
|
|
21,805
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21,805
|
|
Add: depreciation,
depletion and amortization
|
|
22,765
|
|
|
—
|
|
|
8,721
|
|
|
(895)
|
|
|
—
|
|
|
30,591
|
|
Add: asset
impairment
|
|
3,803
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,803
|
|
Add: interest
expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
44,071
|
|
|
44,071
|
|
Adjusted
EBITDA
|
|
$
|
100,501
|
|
|
$
|
21,805
|
|
|
$
|
9,843
|
|
|
$
|
1,051
|
|
|
$
|
(5,574)
|
|
|
$
|
127,626
|
|
Natural Resource
Partners L.P.
Reconciliation of
Non-GAAP Measures
|
|
Operating Expenses
Excluding Impairments
|
(in
thousands)
|
|
|
|
|
|
Coal and Hard
Mineral Royalty and Other
|
|
|
|
|
|
|
|
Corporate and
Financing
|
|
|
|
|
|
Soda
Ash
|
|
VantaCore
|
|
Oil and
Gas
|
|
|
Total
|
|
|
(Unaudited)
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
$
|
14,818
|
|
|
$
|
—
|
|
|
$
|
28,182
|
|
|
$
|
466
|
|
|
$
|
4,039
|
|
|
$
|
47,505
|
|
Less: asset
impairments
|
|
91
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
91
|
|
Operating expenses
excluding impairments
|
|
$
|
14,727
|
|
|
$
|
—
|
|
|
$
|
28,182
|
|
|
$
|
466
|
|
|
$
|
4,039
|
|
|
$
|
47,414
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
$
|
23,622
|
|
|
$
|
—
|
|
|
$
|
37,429
|
|
|
$
|
2,089
|
|
|
$
|
2,219
|
|
|
$
|
65,359
|
|
Less: asset
impairments
|
|
3,803
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,803
|
|
Operating expenses
excluding impairments
|
|
$
|
19,819
|
|
|
$
|
—
|
|
|
$
|
37,429
|
|
|
$
|
2,089
|
|
|
$
|
2,219
|
|
|
$
|
61,556
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
30,873
|
|
|
—
|
|
|
53,879
|
|
|
1,378
|
|
|
$
|
8,211
|
|
|
$
|
94,341
|
|
Less: asset
impairments
|
|
1,984
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,984
|
|
Operating expenses
excluding impairments
|
|
$
|
28,889
|
|
|
$
|
—
|
|
|
$
|
53,879
|
|
|
$
|
1,378
|
|
|
$
|
8,211
|
|
|
$
|
92,357
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June
30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
$
|
42,052
|
|
|
$
|
—
|
|
|
$
|
66,719
|
|
|
$
|
561
|
|
|
$
|
5,590
|
|
|
$
|
114,922
|
|
Less: asset
impairments
|
|
3,803
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,803
|
|
Operating expenses
excluding impairments
|
|
$
|
38,249
|
|
|
$
|
—
|
|
|
$
|
66,719
|
|
|
$
|
561
|
|
|
$
|
5,590
|
|
|
$
|
111,119
|
|
Non-cash
impairment charges attributable to the limited
partners
|
(in
thousands)
|
|
|
For the Three
Months Ended
|
|
For the Six Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(Unaudited)
|
Asset impairments, as
reported
|
|
91
|
|
|
3,803
|
|
|
1,984
|
|
|
3,803
|
|
Asset impairments
attributable to the limited partners
|
|
89
|
|
|
3,727
|
|
|
1,944
|
|
|
3,727
|
|
Asset impairments
attributable to the general partners
|
|
2
|
|
|
76
|
|
|
40
|
|
|
76
|
|
|
|
|
|
|
|
|
|
|
Gain on sale of
assets attributable to the limited partners
|
(in
thousands)
|
|
|
For the Three
Months Ended
|
|
For the Six Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(Unaudited)
|
Gain on sale of
assets, as reported
|
|
(1,071)
|
|
|
3,455
|
|
|
20,854
|
|
|
5,070
|
|
Gain on sale of
assets attributable to the limited partners
|
|
(1,050)
|
|
|
3,386
|
|
|
20,437
|
|
|
4,969
|
|
Gain on sale of
assets attributable to the general partners
|
|
(21)
|
|
|
69
|
|
|
417
|
|
|
101
|
|
|
|
|
|
|
|
|
|
|
Natural Resource
Partners L.P.
Reconciliation of
Non-GAAP Measures
|
|
Net Income from
Continuing Operations and Net Income from Continuing Operations Per
Unit Attributable to the Limited Partners Excluding Impairments and
Asset Sales
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
For the Six Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
(Unaudited)
|
Net income from
continuing operations attributable to the limited partners, as
reported
|
|
$
|
47,726
|
|
|
$
|
34,442
|
|
|
$
|
73,616
|
|
|
$
|
58,334
|
|
Gain on sale of
assets attributable to the limited partners
|
|
(1,050)
|
|
|
3,386
|
|
|
20,437
|
|
|
4,969
|
|
Asset impairments
attributable to the limited partners
|
|
89
|
|
|
3,727
|
|
|
1,944
|
|
|
3,727
|
|
Net income from
continuing operations attributable to the limited partners
excluding impairments and gain on asset sales
|
|
$
|
46,765
|
|
|
$
|
41,555
|
|
|
$
|
95,997
|
|
|
$
|
67,030
|
|
Weighted average
number of common units outstanding:
|
|
12,232
|
|
|
12,232
|
|
|
12,232
|
|
|
12,232
|
|
Net income from
continuing operations per unit attributable to the limited partners
excluding impairments and gain on asset sales
|
|
$
|
3.82
|
|
|
$
|
3.40
|
|
|
$
|
7.85
|
|
|
$
|
5.48
|
|
Logo - http://photos.prnewswire.com/prnh/20060109/NRPLOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/natural-resource-partners-lp-announces-2016-second-quarter-results-300309377.html
SOURCE Natural Resource Partners L.P.