Alliance Resource Partners, L.P. Declares Quarterly Distribution of $0.70 Per Unit

Rhea-AI Summary

Alliance Resource Partners (NASDAQ: ARLP) has announced a quarterly cash distribution of $0.70 per unit for Q4 2024, maintaining the same distribution level as the previous quarters ended December 31, 2023, and September 30, 2024. This represents an annualized rate of $2.80 per unit.

The distribution will be payable on February 14, 2025, to unitholders of record as of February 7, 2025. ARLP will report its Q4 2024 financial results on February 3, 2025, before market opening, followed by a conference call at 10:00 a.m. Eastern.

Positive

• Maintained stable quarterly distribution of $0.70 per unit
• Consistent annualized distribution rate of $2.80 per unit

Negative

• None.

Insights

Financial Analyst

The maintained quarterly distribution of $0.70 per unit ($2.80 annualized) translates to an attractive yield of approximately 10.1% at current price levels, positioning ARLP among the higher-yielding energy MLPs. The consistency in distribution levels since late 2023 signals management's confidence in sustainable cash flows and operational stability.

The distribution maintenance carries particular significance in today's market environment, where many energy companies are adjusting their capital return policies. ARLP's ability to maintain this substantial distribution level reflects the company's robust business model in the coal mining sector, despite broader energy transition pressures.

For domestic investors, the distribution continues to offer attractive tax advantages inherent to the MLP structure, with potential for tax-deferred income. International investors face more complex considerations with the 100% effectively connected income (ECI) treatment and additional 10% withholding requirement, which may impact the net yield significantly.

The timing of this announcement, preceding the full Q4 2024 earnings release, suggests management's confidence in the quarterly results and underlying cash flow generation. The sustained distribution level, despite industry challenges, indicates ARLP's strategic positioning in specialized coal markets and long-term contract structures that provide revenue stability.

TULSA, Okla.--(BUSINESS WIRE)-- Alliance Resource Partners, L.P. (NASDAQ: ARLP) today announced that the Board of Directors of ARLP’s general partner approved a cash distribution to its unitholders for the quarter ended December 31, 2024 (the "2024 Quarter").

ARLP unitholders of record as of the close of trading on February 7, 2025 will receive a cash distribution for the 2024 Quarter of $0.70 per unit (an annualized rate of $2.80 per unit), payable on February 14, 2025. The announced distribution is consistent with the cash distributions of $0.70 per unit for the quarters ended December 31, 2023 and September 30, 2024.

As previously announced, ARLP will report financial results for the 2024 Quarter before the market opens on Monday, February 3, 2025 and Alliance management will discuss these results during a conference call beginning at 10:00 a.m. Eastern that same day.

To participate in the conference call, dial (877) 407-0784 and request to be connected to the Alliance Resource Partners, L.P. earnings conference call. International callers should dial (201) 689-8560 and request to be connected to the same call. Investors may also listen to the call via the "Investors" section of ARLP’s website at www.arlp.com.

An audio replay of the conference call will be available for approximately one week. To access the audio replay, dial U.S. Toll Free (844) 512-2921; International Toll (412) 317-6671 and request to be connected to replay using access code 13750955.

Concurrent with this announcement we are providing qualified notice to brokers and nominees that hold ARLP units on behalf of non-U.S. investors under Treasury Regulation Section 1.1446-4(b) and (d) and Treasury Regulation Section 1.1446(f)-4(c)(2)(iii). Brokers and nominees should treat one hundred percent (100%) of ARLP’s distributions to non-U.S. investors as being attributable to income that is effectively connected with a United States trade or business. In addition, brokers and nominees should treat one hundred percent (100%) of the distribution as being in excess of cumulative net income for purposes of determining the amount to withhold. Accordingly, ARLP’s distributions to non-U.S. investors are subject to federal income tax withholding at a rate equal to the highest applicable effective tax rate plus ten percent (10%). Nominees, and not ARLP, are treated as the withholding agents responsible for withholding on the distributions received by them on behalf of non-U.S. investors.

About Alliance Resource Partners, L.P.

ARLP is a diversified energy company that is currently the second largest coal producer in the eastern United States, supplying reliable, affordable energy domestically and internationally to major utilities, metallurgical and industrial users. ARLP also generates operating and royalty income from mineral interests it owns in strategic coal and oil & gas producing regions in the United States. In addition, ARLP is evolving and positioning itself as a reliable energy partner for the future by pursuing opportunities that support the advancement of energy and related infrastructure.

News, unit prices and additional information about ARLP, including filings with the Securities and Exchange Commission ("SEC"), are available at www.arlp.com. For more information, contact the investor relations department of ARLP at (918) 295-7673 or via e-mail at investorrelations@arlp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250128421549/en/

Investor Relations Contact

Cary P. Marshall

Senior Vice President and Chief Financial Officer

918-295-7673

investorrelations@arlp.com

Source: Alliance Resource Partners, L.P.

FAQ

What is ARLP's Q4 2024 distribution amount per unit?

ARLP's distribution for Q4 2024 is $0.70 per unit, representing an annualized rate of $2.80 per unit.

When will ARLP pay its Q4 2024 distribution?

ARLP will pay the Q4 2024 distribution on February 14, 2025, to unitholders of record as of February 7, 2025.

Has ARLP changed its distribution rate compared to previous quarters?

No, the $0.70 per unit distribution remains consistent with the distributions paid for Q4 2023 and Q3 2024.

When will ARLP release its Q4 2024 financial results?

ARLP will report its Q4 2024 financial results before market opens on Monday, February 3, 2025.

What is ARLP's current annualized distribution rate?

ARLP's current annualized distribution rate is $2.80 per unit, based on the quarterly distribution of $0.70.