ARLP Declares $0.60/Unit Distribution, Boosts Revenue to $571.4M
Alliance Resource Partners, L.P. (ARLP) has declared a quarterly cash distribution of $0.60 per unit for the third quarter of 2025. The company, which operates in the coal and oil & gas sectors, has also provided updates on its financial performance and strategic investments.
ARLP's revenue for the third quarter reached $571.4 million, with Adjusted EBITDA standing at $185.8 million. The company's oil & gas royalty volumes increased by 4.1% year-over-year to 0.899 million barrels of oil equivalent (BOE), with an average price of $35.68 per BOE.
In a strategic move, ARLP invested $22.1 million into a limited partnership that owns a coal-fired plant operating in the PJM region. This investment aligns with the company's goal to support baseload reliability. Management anticipates attractive cash-on-cash returns from this investment starting in 2026.
Coal tons sold rose to 8.7 million in the third quarter, driven by improved performance at Hamilton, River View, and Tunnel Ridge mines. Looking ahead, ARLP has tightened its full-year 2025 guidance, projecting fourth-quarter results comparable to the third quarter, supported by improving operational execution.
Alliance Resource Partners, L.P. has shown strong financial performance in the third quarter of 2025, with increased revenue and Adjusted EBITDA. The company's strategic investment in a coal-fired plant, along with improved coal mine performance, positions ARLP for attractive returns in the coming years.