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Natural Resource Partners L.P. Acquires Aggregate Reserves in Texas
Posted By cprewitt On September 8, 2009 @ 9:19 am In Aggregates Zone | No Comments
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
“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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