Natural Resource Partners LP has announced distributable cash flow of USD 30.1 million for the third quarter of 2009, down by 44% YoY. Distributable cash flow is reconciled to net cash provided by operating activities, a GAAP measure, in a table attached. Net income attributable to the limited partners was USD 25.2 million for the third quarter this year versus USD 36.2 million for the same period last year.

Total revenues in the third quarter increased USD 4.5 million from the second quarter of 2009, primarily due to higher coal royalty revenues as a result of increased realizations for coal royalty per ton. Coal production decreased 501,000 tonnes, while average coal royalty revenue per tonne increased USD 0.43 or approximately 11% this quarter.

Total revenues for the first 9 months of 2009 were USD 190.2 million or 12% less than the USD 215.8 million reported for the comparable period last year. Coal royalty revenues accounted for USD 19.2 million of the decrease, mainly due to 10 million fewer tonnes of coal produced in 2009 than in 2008. The lower production occurred across all regions as production curtailments by NRP's lessees occurred for both steam and metallurgical coal in response to lower demand.

Coal production in '000 tonnes
Others in '000 USD

Mr Nick Carter president & COO of Natural Resource Partners said that "As reflected in our third quarter results as compared to second quarter of 2009, we are beginning to see improvements in the coal markets and particularly in the global metallurgical coal markets. These improvements yielded NRP improved price realizations across the board in all basins for both the quarter and year to date. As the US economy improves, natural gas prices increase and utility stockpiles burn down, we expect both production and prices to rebound."