NATURAL RESOURCE PARTNERS LP
For the period ended Sep 30, 2025. Filed Nov 4, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 4, 2025
NRP$117.71+0.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-06.
0001437749-25-024999
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-04.
0001437749-25-032941
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 109 previous paragraphs and 105 current paragraphs.
76 unchanged; 26 reworded; 3 added; 5 removed; 2 previous and 0 current paragraphs rearranged.
Tables are not compared: 27 previous and 28 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (3)
Current report
Although metallurgical and thermal coal prices saw a modest uptick at the end of the third quarter, we expect lower pricing levels for both commodities for the foreseeable future. Metallurgical coal markets remain weak due to soft global steel demand and thermal markets remain encumbered by low natural gas prices and ample coal stockpiles at power plants.
Current report
The markets for our carbon neutral revenue opportunities also remain weak. We were notified in the third quarter that our lessee was dropping its subsurface carbon sequestration lease on our acreage in Polk County, Texas. We believe the burdens on the industry, including high capital and operational costs, insufficient revenue streams, and an uncertain regulatory environment, continue to create formidable barriers that operators have yet to overcome.
Current report
First Nine Months of 2025 and 2024 Compared
Removed paragraphs (5)
Previous report
Metallurgical and thermal coal prices remained weak throughout the quarter, and we expect muted pricing for both commodities for the remainder of 2025. Stagnant global steel demand and regulatory uncertainty continue to impact metallurgical coal markets and more than substantial thermal coal inventory levels at domestic power plants continue to stifle domestic thermal markets.
Previous report
We continue to explore carbon neutral revenue opportunities across our mineral and surface assets. While the timing and likelihood of additional cash flows from carbon neutral activities such as the sequestration of carbon dioxide underground and in standing forests, lithium production, and electric generation via renewable energy sources is uncertain, we believe our vast ownership footprint throughout the United States provides additional opportunities to create value in this regard with minimal capital investment by us.
Previous report
Gain on asset sales and disposals decreased $3.9 million during the three months ended June 30, 2025 as compared to the prior year quarter primarily as a result of a coal property condemnation in the second quarter of 2024.
Previous report
First Six Months of 2025 and 2024 Compared
Previous report
Other Revenues
Reworded paragraphs (26)
Previous wording
The following review of operations for the three and six month periods ended June 30, 2025 and 2024 should be read in conjunction with our Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in this Form 10-Q and with the Consolidated Financial Statements, Notes to Consolidated Financial Statements and Management’s Discussion and Analysis included in the Natural Resource Partners L.P. Annual Report on Form 10-K for the year ended December 31, 2024.
Current wording
The following review of operations for the three and nine month periods ended September 30, 2025 and 2024 should be read in conjunction with our Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in this Form 10-Q and with the Consolidated Financial Statements, Notes to Consolidated Financial Statements and Management’s Discussion and Analysis included in the Natural Resource Partners L.P. Annual Report on Form 10-K for the year ended December 31, 2024.
Previous wording
Our financial results by segment for the six months ended June 30, 2025 are as follows:
Current wording
Our financial results by segment for the nine months ended September 30, 2025 are as follows:
Previous wording
We generated $80.0 million of operating cash flow and $81.4 million of free cash flow during the six months ended June 30, 2025, and ended the quarter with $157.5 million of liquidity consisting of $30.3 million of cash and cash equivalents and $127.1 million of available borrowing capacity under our Opco Credit Facility. As of June 30, 2025 our leverage ratio was 0.5 x.
Current wording
We generated $121.1 million of operating cash flow and $123.2 million of free cash flow during the nine months ended September 30, 2025, and ended the quarter with $190.1 million of liquidity consisting of $31.0 million of cash and cash equivalents and $159.1 million of available borrowing capacity under our Opco Credit Facility. As of September 30, 2025 our leverage ratio was 0.4 x.
Previous wording
In February 2025, we paid a cash distribution of $0.75 per common unit of NRP with respect to the fourth quarter of 2024. In March 2025, we paid a special cash distribution of $1.21 per common unit of NRP to help cover unitholder tax liabilities associated with owning NRP's common units in 2024. In May 2025, we paid a cash distribution of $0.75 per common unit of NRP with respect to the first quarter of 2025. Future distributions on our common units will be determined on a quarterly basis by the Board of Directors. The Board of Directors considers numerous factors each quarter in determining cash distributions, including profitability, cash flow, debt service obligations, market conditions and outlook, estimated unitholder income tax liability and the level of cash reserves that the Board of Directors determines is necessary for future operating and capital needs.
Current wording
In February 2025, we paid a cash distribution of $0.75 per common unit of NRP with respect to the fourth quarter of 2024. In March 2025, we paid a special cash distribution of $1.21 per common unit of NRP to help cover unitholder tax liabilities associated with owning NRP's common units in 2024. In May 2025, we paid a cash distribution of $0.75 per common unit of NRP with respect to the first quarter of 2025. In August 2025, we paid a cash distribution of $0.75 per common unit of NRP with respect to the second quarter of 2025. Future distributions on our common units will be determined on a quarterly basis by the Board of Directors. The Board of Directors considers numerous factors each quarter in determining cash distributions, including profitability, cash flow, debt service obligations, market conditions and outlook, estimated unitholder income tax liability and the level of cash reserves that the Board of Directors determines is necessary for future operating and capital needs.
Previous wording
Revenues and other income during the six months ended June 30, 2025 decreased $29.4 million, or 22%, as compared to the prior year period. Cash provided by operating activities and free cash flow during the six months ended June 30, 2025 decreased by $37.2 million and $37.1 million, respectively, as compared to the prior year period. These decreases were primarily due to lower metallurgical coal sales prices and volumes as compared to the prior year period.
Current wording
Revenues and other income during the nine months ended September 30, 2025 decreased $29.3 million, or 16%, as compared to the prior year period. Cash provided by operating activities and free cash flow during the nine months ended September 30, 2025 decreased by $46.4 million and $46.2 million, respectively, as compared to the prior year period. These decreases were primarily due to lower metallurgical coal sales prices and volumes as compared to the prior year period.
Previous wording
Revenues and other income during the six months ended June 30, 2025 decreased $2.0 million, or 22%, as compared to the prior year period primarily due to lower sales prices in 2025.
Current wording
Revenues and other income during the nine months ended September 30, 2025 decreased $12.5 million, or 72%, as compared to the prior year period primarily due to lower sales prices in 2025.
Previous wording
Cash provided by operating activities and free cash flow during the six months ended June 30, 2025 each decreased $14.0 million as compared to the prior year period due to lower cash distributions received from Sisecam Wyoming in the first half of 2025.
Current wording
Cash provided by operating activities and free cash flow during the nine months ended September 30, 2025 each decreased $20.3 million as compared to the prior year period due to lower cash distributions received from Sisecam Wyoming in the first nine months of 2025.
Previous wording
The soda ash market remains significantly oversupplied due to the substantial increase in global capacity in recent years, as well as weakening demand for flat glass due to sluggish global construction activity and decreased demand for new automobiles and solar panels. We believe international soda ash prices are at or below the cost of production for many operators and expect this weak pricing environment to continue for the foreseeable future until high-cost supply is forced out of the market or global soda ash demand growth catches up with supply. We expect distributions from Sisecam Wyoming to remain below historical norms for the foreseeable future.
Current wording
The significantly oversupplied soda ash market coupled with ongoing weak demand for flat glass due to lower global construction activity and sluggish demand for new automobiles and solar panels is degrading the outlook for soda ash prices in 2026. We continue to believe international soda ash prices are at or below the cost of production for many operators with no catalyst for market rebalancing in sight. We expect this weak pricing environment to continue for the foreseeable future and that distributions received from Sisecam Wyoming will not resume until high-cost supply is forced out of the market or global soda ash demand growth catches up with supply, which could take several years.
Previous wording
Second Quarter of 2025 and 2024 Compared
Current wording
Third Quarter of 2025 and 2024 Compared
Previous wording
Approximately 70% of coal royalty revenues and approximately 55% of coal royalty sales volumes were derived from metallurgical coal during the three months ended June 30, 2025. Total coal royalty revenues decreased $8.1 million as compared to the prior year quarter primarily due to lower metallurgical coal sales prices and volumes during the three months ended June 30, 2025 as compared to the prior year quarter.
Current wording
Approximately 70% of coal royalty revenues and approximately 50% of coal royalty sales volumes were derived from metallurgical coal during the three months ended September 30, 2025. Total coal royalty revenues decreased $3.4 million as compared to the prior year quarter primarily due to lower metallurgical coal sales prices and volumes during the three months ended September 30, 2025 as compared to the prior year quarter.
Previous wording
Revenues and other income related to our Soda Ash segment decreased $1.1 million as compared to the prior year quarter primarily due to lower sales prices in 2025.
Current wording
Revenues and other income related to our Soda Ash segment decreased $10.5 million as compared to the prior year quarter primarily due to lower sales prices in 2025.
Previous wording
Interest expense, net, decreased $2.0 million primarily due to lower borrowings outstanding on the Opco Credit Facility during the three months ended June 30, 2025 as compared to the prior year quarter.
Current wording
Interest expense, net, decreased $2.4 million primarily due to lower borrowings outstanding on the Opco Credit Facility during the three months ended September 30, 2025 as compared to the prior year quarter.
Previous wording
Net income decreased $11.9 million as compared to the prior year quarter primarily due to the decrease in revenues and other income as discussed above. Adjusted EBITDA decreased $15.0 million as compared to the prior year quarter primarily due to a $12.6 million decrease in Adjusted EBITDA within our Mineral Rights segment driven by the lower revenues and other income as discussed above in addition to a $2.7 million decrease in Adjusted EBITDA within our Soda Ash segment driven by a lower cash distribution received from Sisecam Wyoming in the second quarter of 2025.
Current wording
Net income decreased $7.7 million as compared to the prior year quarter primarily due to the decrease in revenues and other income as discussed above, partially offset by lower interest expense during the three months ended September 30, 2025 as compared to the prior year quarter. Adjusted EBITDA decreased $6.9 million as compared to the prior year quarter primarily due to the $6.4 million decrease in Adjusted EBITDA within our Soda Ash segment driven by a $6.3 million cash distribution received from Sisecam Wyoming in the third quarter of 2024 as compared to no distribution received in the third quarter of 2025.
Previous wording
Operating cash flow, DCF and FCF decreased $11.1 million, $14.9 million and $11.0 million, respectively, as compared to the prior year quarter. The discussion by segment is as follows:
Current wording
Operating cash flow, DCF and FCF decreased $13.1 million, $12.1 million and $13.0 million, respectively, as compared to the prior year quarter. The discussion by segment is as follows:
Previous wording
Approximately 60% of coal royalty revenues and approximately 45% of coal royalty sales volumes were derived from metallurgical coal during the six months ended June 30, 2025. Total coal royalty revenues decreased $19.5 million as compared to the prior year period primarily due to lower metallurgical coal sales prices and volumes during the six months ended June 30, 2025, as compared to the prior year period.
Current wording
Approximately 65% of coal royalty revenues and approximately 45% of coal royalty sales volumes were derived from metallurgical coal during the nine months ended September 30, 2025. Total coal royalty revenues decreased $22.9 million as compared to the prior year period primarily due to lower metallurgical coal sales prices and volumes during the nine months ended September 30, 2025, as compared to the prior year period.
Previous wording
Other revenues decreased $6.9 million during the six months ended June 30, 2025 as compared to the prior year period primarily due to a $3.5 million decrease in carbon neutral revenues primarily as a result of a non-recurring carbon neutral transaction in the second quarter of 2024, in addition to a $2.2 million decrease in other revenues.
Current wording
Other revenues decreased $4.3 million during the nine months ended September 30, 2025 as compared to the prior year period primarily due to a $3.1 million decrease in carbon neutral revenues primarily as a result of a non-recurring carbon neutral transaction in the second quarter of 2024, in addition to a $2.9 million decrease in other revenues, partially offset by a $2.4 million increase in production lease minimum revenues.
Previous wording
Gain on asset sales and disposals decreased $3.8 million during the six months ended June 30, 2025 as compared to the prior year period primarily as a result of a coal property condemnation in the second quarter of 2024.
Current wording
Gain on asset sales and disposals decreased $2.9 million during the nine months ended September 30, 2025 as compared to the prior year period primarily as a result of a coal property condemnation in the second quarter of 2024.
Previous wording
Revenues and other income related to our Soda Ash segment decreased $2.0 million during the six months ended June 30, 2025 as compared to the prior year period primarily due to lower sales prices in 2025.
Current wording
Revenues and other income related to our Soda Ash segment decreased $12.5 million during the nine months ended September 30, 2025 as compared to the prior year period primarily due to lower sales prices in 2025.
Previous wording
Interest expense, net, decreased $2.8 million during the six months ended June 30, 2025 as compared to the prior year period primarily due to lower borrowings outstanding on the Opco Credit Facility during the six months ended June 30, 2025.
Current wording
Interest expense, net, decreased $5.2 million during the nine months ended September 30, 2025 as compared to the prior year period primarily due to lower borrowings outstanding on the Opco Credit Facility during the nine months ended September 30, 2025.
Previous wording
Net income decreased $27.8 million as compared to the prior year period primarily due to the decrease in revenues and other income as discussed above. Adjusted EBITDA decreased $42.8 million as compared to the prior year period primarily due to a $28.7 million decrease in Adjusted EBITDA within our Mineral Rights segment driven by the lower revenues and other income as discussed above in addition to a $14.0 million decrease in Adjusted EBITDA within our Soda Ash segment driven by lower cash distributions received from Sisecam Wyoming in the first half of 2025.
Current wording
Net income decreased $35.5 million as compared to the prior year period primarily due to the decrease in revenues and other income as discussed above, partially offset by lower interest expense during the nine months ended September 30, 2025 as compared to the prior year period. Adjusted EBITDA decreased $49.7 million as compared to the prior year period primarily due to a $29.4 million decrease in Adjusted EBITDA within our Mineral Rights segment driven by the lower revenues and other income as discussed above in addition to a $20.3 million decrease in Adjusted EBITDA within our Soda Ash segment driven by lower cash distributions received from Sisecam Wyoming in the first nine months of 2025.
Previous wording
Operating cash flow, DCF and FCF decreased $48.1 million, $51.8 million and $48.0 million, respectively, as compared to the prior year period. The discussion by segment is as follows:
Current wording
Operating cash flow, DCF and FCF decreased $61.2 million, $63.9 million and $61.0 million, respectively, as compared to the prior year period. The discussion by segment is as follows:
Previous wording
As of June 30, 2025, we had total liquidity of $157.5 million, consisting of $30.3 million of cash and cash equivalents and $127.1 million of borrowing capacity under our Opco Credit Facility. We have debt service obligations, including $14.3 million of principal repayments on Opco’s senior notes, throughout the remainder of 2025. The following table calculates our leverage ratio as of June 30, 2025:
Current wording
As of September 30, 2025, we had total liquidity of $190.1 million, consisting of $31.0 million of cash and cash equivalents and $159.1 million of borrowing capacity under our Opco Credit Facility. We have debt service obligations, including $14.3 million of principal repayments on Opco’s senior notes, throughout the remainder of 2025. The following table calculates our leverage ratio as of September 30, 2025:
Previous wording
Cash flows provided by operating activities decreased $48.1 million, from $128.1 million in the six months ended June 30, 2024 to $80.0 million in the six months ended June 30, 2025, primarily due to decreased cash flow within our Mineral Rights and Soda Ash segments, as discussed above, partially offset by lower cash paid for interest by our Corporate and Financing segment.
Current wording
Cash flows provided by operating activities decreased $61.2 million, from $182.3 million in the nine months ended September 30, 2024 to $121.1 million in the nine months ended September 30, 2025, primarily due to decreased cash flow within our Mineral Rights and Soda Ash segments, as discussed above, partially offset by lower cash paid for interest by our Corporate and Financing segment.
Previous wording
Cash flows provided by investing activities decreased $3.7 million primarily related to a coal property condemnation in the second quarter of 2024.
Current wording
Cash flows provided by investing activities decreased $2.8 million primarily related to a coal property condemnation in the second quarter of 2024.
Previous wording
Cash flows used in financing activities decreased $31.4 million, from $113.9 million used in the six months ended June 30, 2024 to $82.5 million used in the six months ended June 30, 2025 due to the following:
Current wording
Cash flows used in financing activities decreased $45.6 million, from $170.2 million used in the nine months ended September 30, 2024 to $124.5 million used in the nine months ended September 30, 2025 due to the following:
Previous wording
These decreases in cash flow used were partially offset by $96.2 million of decreased debt borrowings during the six months ended June 30, 2025 as compared to the prior year period.
Current wording
These decreases in cash flow used were partially offset by $119.2 million of lower cash provided by debt borrowings during the nine months ended September 30, 2025 as compared to the prior year period.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
Other revenues decreased $2.2 million primarily as a result of a non-recurring carbon neutral transaction in the second quarter of 2024.
Previous report — wording carried elsewhere
Gain on Asset Sales and Disposals