Coal mining proves to be profitable for Tulsa-based company

Tulsa-based Alliance Resource Partners, L.P., one of the largest coal-mining companies in the U.S. reported first quarter 2019 revenues of $526.6 million, an increase from the $457 million reported one year ago.

The company credited increased coal sales volumes along with better coal prices as well as the addition of oil and gas royalty revenues. The company saw total revenues increase by 15.2 percent over a year earlier.

Net income rose 77.3 percent to $276.4 million for the 2019 quarter or $2.12 per basic and diluted limited partner unit. The $276 million compares to $155.9 million reported for the 2018 quarter.

EBITDA earnings also increased 57 percent to $358.8 million. As a result, the company also increased the cash distribution to shareholders to $0.535 per unit.

“ARLP opened 2019 with strong financial and operating results, posting increased coal sales and production volumes, higher per ton coal price realizations and lower costs per ton during the first quarter,” said Joseph W. Craft III, Chairman, President and Chief Executive Officer. “With completion of the AllDale transaction in early January, the increased contribution from our oil & gas royalty platform also contributed to ARLP’s increased revenues, net income and EBITDA for the 2019 Quarter.”

The company’s oil and gas investments also saw huge improvements. Royalties contributed $171.8 million to the company’s net income