Natural Resource Partners L.P. Acquires Aggregate Reserves in Texas

AggMan Staff | Published on September 8, 2009

 

HOUSTON, July 16, 2009

Natural Resource Partners L.P. (NYSE:NRP) Today announced that it has acquired limestone reserves from Blue Star Materials, LLC. Total expected acquisition costs are expected to be approximately $24 million, $9 million of which was funded at closing. The remainder will be funded during 2009 based upon various performance criteria. The acquisition will be funded through NRP’s credit facility.

The limestone reserves are located on a 121-acre site northwest of the Dallas-Fort Worth

area in Wise County, TX. The production facilities will be owned and operated by Blue

Star and NRP will be paid a royalty upon the sale of the production. The reserves are

currently under development and are anticipated to be in production in early 2010 as

demand begins to increase due to several major infrastructure projects scheduled for the

DFW area.

“In April 2008 Dennis Coker joined NRP as the Vice President – Aggregates. Dennis

brought to NRP his years of experience in the aggregates industry and a large network of

contacts. In the last year he has been focused on educating the industry about Natural

Resource Partners and our desire to increase our royalty business plan in aggregates. We

expect this transaction to be one of a series of acquisitions that will increase our exposure

to aggregates and further diversify our income stream,” said Nick Carter, President and

Chief Operating Officer of NRP.


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