NATURAL RESOURCE PARTNERS LP Q4 FY2024 earnings call

• NRP generated $251M free cash flow in 2024, redeemed all preferred units, settled warrants. - Increased credit facility capacity to $200M and extended maturity to 2029. - Coal prices not expected to rebound near-term due to soft steel demand, low gas prices, high inventories. Long-term, limited new supply, etc. support metallurgical coal. Thermal coal affected by secular decline. - Soda ash prices fell 60% in 2024, market flooded with capacity, expect several years to absorb excess. - Exploring carbon-neutral initiatives like CO2 sequestration, lithium, geothermal, but CO2 sequestration activity lackluster, Exxon not renewing lease. - 2025 expected to be difficult for key commodities, but in strong financial position with $142M debt remaining.

Mineral Rights Segment: In Q4 2024, net income was $52 million, with operating and free cash flow each at $63 million. For full year 2024, net income was $206 million, operating cash flow $242 million, and free cash flow $245 million. Compared to prior year Q4, net income decreased $11 million, and operating/free cash flow decreased $8 million. Full year 2024 vs prior year: net income down $39 million, operating/free cash flow down $18 million. Primarily due to weaker coal demand. Soda Ash Segment: Q4 2024 and full year 2024 net income decreased $14M and $55M respectively. Operating and free cash flow also decreased. Due to oversupplied market and weakened demand. Corporate and Financing Segment: In 2024, redeemed all remaining preferred units, extended credit facility to $200M with maturity 2029. Q4 net income improved $2M, full year net income flat. Operating and free cash flow decreased $2M full year due to higher cash interest from credit facility borrowings.

• 2025 expected to be a difficult year for key commodities with lower free cash flow. - Despite that, in a more attractive financial position with low debt, conservatively financed, potential for increased cash for unitholders as debt is paid off next year.

• Soft global steel demand, low-priced North American natural gas, high coal inventory levels affecting coal prices. - Soda ash market oversupply with prices below production costs for many producers. - Political, regulatory, and market uncertainty posing challenges for carbon-neutral initiatives like CO2 sequestration.