Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 02, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | NRP | |
Entity Registrant Name | NATURAL RESOURCE PARTNERS LP | |
Entity Central Index Key | 1,171,486 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 122,299,825 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 61,156 | $ 50,076 |
Accounts receivable, net | 54,888 | 66,455 |
Accounts receivable—affiliates | 7,450 | 9,494 |
Inventory | 6,849 | 5,814 |
Prepaid expenses and other | 2,661 | 4,279 |
Total current assets | 133,004 | 136,118 |
Land | 25,022 | 25,243 |
Plant and equipment, net | 71,194 | 60,093 |
Mineral rights, net | 1,144,809 | 1,781,852 |
Intangible assets, net | 58,269 | 60,733 |
Equity in unconsolidated investment | 262,347 | 264,020 |
Long-term contracts receivable—affiliate | 48,520 | 50,008 |
Goodwill | 4,840 | 52,012 |
Other assets | 16,864 | 14,645 |
Other assets—affiliate | 1,525 | 0 |
Total assets | 1,766,394 | 2,444,724 |
Current liabilities: | ||
Accounts payable | 11,377 | 22,465 |
Accounts payable—affiliates | 2,566 | 950 |
Accrued liabilities | 54,895 | 43,533 |
Current portion of long-term debt, net | 80,983 | 80,983 |
Total current liabilities | 149,821 | 147,931 |
Deferred revenue | 79,242 | 73,207 |
Deferred revenue—affiliates | 83,654 | 87,053 |
Long-term debt, net | 1,323,708 | 1,374,336 |
Long-term debt, net—affiliate | 19,923 | 19,904 |
Other non-current liabilities | $ 9,839 | $ 22,138 |
Commitments and contingencies | ||
Partners’ capital: | ||
Common unitholders’ interest (122,299,825 units outstanding) | $ 106,011 | $ 709,019 |
General partner’s interest | (60) | 12,245 |
Accumulated other comprehensive loss | (2,350) | (459) |
Total partners’ capital | 103,601 | 720,805 |
Non-controlling interest | (3,394) | (650) |
Total capital | 100,207 | 720,155 |
Total liabilities and capital | $ 1,766,394 | $ 2,444,724 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - shares | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Common units outstanding | 122,299,825 | 122,299,825 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Revenues and other income: | ||||
Coal related revenues | $ 35,469 | $ 39,675 | $ 94,452 | $ 107,593 |
Coal related revenues—affiliates | 19,535 | 25,518 | 70,938 | 65,334 |
Aggregates related revenues | 42,326 | 2,655 | 114,158 | 9,614 |
Oil and gas related revenues | 12,416 | 9,601 | 42,485 | 37,481 |
Equity in earnings of unconsolidated investment | 12,617 | 9,685 | 36,739 | 28,865 |
Property taxes | 2,528 | 3,520 | 8,602 | 10,865 |
Other | 588 | 955 | 5,412 | 2,727 |
Total revenues and other income | 125,479 | 91,609 | 372,786 | 262,479 |
Costs and expenses: | ||||
Coal related expenses | 649 | 3,383 | 2,474 | 4,623 |
Coal related expenses—affiliates, net | (68) | 0 | 41 | 0 |
Aggregates related expenses, net | 31,107 | (244) | 86,314 | (170) |
Oil and gas related expenses | 3,049 | 2,147 | 9,809 | 6,359 |
General and administrative | 5,140 | 4,825 | 14,829 | 13,543 |
General and administrative—affiliates | 4,144 | 3,083 | 11,465 | 9,177 |
Depreciation, depletion and amortization | 26,624 | 18,621 | 82,676 | 49,618 |
Property, franchise and other taxes | 4,286 | 4,767 | 14,490 | 15,836 |
Asset impairments | 626,838 | 0 | 630,641 | 5,624 |
Total operating expenses | 701,769 | 36,582 | 852,739 | 104,610 |
Income (loss) from operations | (576,290) | 55,027 | (479,953) | 157,869 |
Other income (expense) | ||||
Interest expense | (23,711) | (18,862) | (69,997) | (57,759) |
Interest income | 0 | 8 | 16 | 75 |
Other expense, net | (23,711) | (18,854) | (69,981) | (57,684) |
Net income (loss) | (600,001) | 36,173 | (549,934) | 100,185 |
Less: net loss attributable to non-controlling interest | 1,244 | 0 | 0 | 0 |
Net income (loss) attributable to NRP | (598,757) | 36,173 | (549,934) | 100,185 |
Net income (loss) attributable to partners: | ||||
Limited partners | (586,013) | 35,450 | (538,166) | 98,181 |
General partner | $ (12,744) | $ 723 | $ (11,768) | $ 2,004 |
Basic and diluted net income (loss) per common unit | $ (4.79) | $ 0.32 | $ (4.40) | $ 0.89 |
Weighted average number of common units outstanding | 122,300 | 111,244 | 122,300 | 110,504 |
Net income (loss) | $ (600,001) | $ 36,173 | $ (549,934) | $ 100,185 |
Add: comprehensive income (loss) from unconsolidated investment and other | (1,136) | 370 | (1,891) | 106 |
Less: comprehensive loss attributable to non-controlling interest | 1,244 | 0 | 0 | 0 |
Comprehensive income (loss) attributable to NRP | $ (599,893) | $ 36,543 | $ (551,825) | $ 100,291 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (549,934) | $ 100,185 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Asset impairment | 630,641 | 5,624 |
Depreciation, depletion and amortization | 82,676 | 49,618 |
Distributions from equity earnings from unconsolidated investment | 34,545 | 32,225 |
Equity earnings from unconsolidated investment | (36,739) | (28,865) |
Gain on reserve swap | (9,290) | (5,690) |
Other, net | (3,033) | 2,142 |
Other, net—affiliates | (721) | 0 |
Change in operating assets and liabilities: | ||
Accounts receivable | 11,919 | (5,072) |
Accounts receivable—affiliates | 2,044 | (2,881) |
Accounts payable | (2,769) | 1,662 |
Accounts payable—affiliates | 1,616 | 94 |
Accrued liabilities | 3,059 | 993 |
Deferred revenue | 6,035 | (81) |
Deferred revenue—affiliates | (3,399) | 11,426 |
Accrued incentive plan expenses | (6,417) | (5,445) |
Other items, net | 1,750 | 750 |
Other items, net—affiliates | (633) | 411 |
Net cash provided by operating activities | 161,350 | 157,096 |
Cash flows from investing activities: | ||
Acquisition of mineral rights | (35,939) | (14,035) |
Acquisition of plant and equipment and other | (8,581) | (207) |
Proceeds from sale of plant and equipment and other | 11,006 | 5 |
Proceeds from sale of mineral rights | 6,941 | 0 |
Return on equity and other unconsolidated investments | 0 | 3,633 |
Return on long-term contract receivables—affiliate | 2,121 | 910 |
Net cash used in investing activities | (24,452) | (9,694) |
Cash flows from financing activities: | ||
Proceeds from loans | 100,000 | 2,000 |
Proceeds from issuance of common units | 0 | 24,826 |
Capital contribution by general partner | 0 | 507 |
Repayment of loans | (151,175) | (69,175) |
Distributions to partners | (66,142) | (118,372) |
Distributions to non-controlling interest | (2,744) | (974) |
Debt issuance costs and other | (5,757) | (601) |
Net cash used in financing activities | (125,818) | (161,789) |
Net increase (decrease) in cash and cash equivalents | 11,080 | (14,387) |
Cash and cash equivalents at beginning of period | 50,076 | 92,513 |
Cash and cash equivalents at end of period | 61,156 | 78,126 |
Supplemental cash flow information: | ||
Cash paid during the period for interest | 57,917 | 52,266 |
Plant, equipment and mineral rights funded with accounts payable or accrued liabilities | $ 4,465 | $ 0 |
Consolidated Statements of Part
Consolidated Statements of Partners' Capital (Unaudited) - 9 months ended Sep. 30, 2015 - USD ($) shares in Thousands, $ in Thousands | Total | General Partner [Member] | Common Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Partners' Capital Excluding Non-Controlling Interest [Member] | Non-Controlling Interest [Member] |
Balance, beginning of period at Dec. 31, 2014 | $ 720,155 | $ 12,245 | $ 709,019 | $ (459) | $ 720,805 | $ (650) |
Balance, beginning of period, units at Dec. 31, 2014 | 122,300 | |||||
Partners’ capital: | ||||||
Costs associated with equity transactions | (22) | $ (22) | (22) | |||
Distributions to unitholders | (66,142) | (1,322) | (64,820) | (66,142) | ||
Distributions to non-controlling interest | (2,744) | (2,744) | ||||
Net income (loss) | (549,934) | (11,768) | (538,166) | (549,934) | ||
Non-cash contributions | 785 | 785 | 785 | |||
Comprehensive loss from unconsolidated investment and other | (1,891) | (1,891) | (1,891) | |||
Balance, end of period at Sep. 30, 2015 | $ 100,207 | $ (60) | $ 106,011 | $ (2,350) | $ 103,601 | $ (3,394) |
Balance, end of period, units at Sep. 30, 2015 | 122,300 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Nature of Business Natural Resource Partners L.P. (the “Partnership”) engages principally in the business of owning, operating, managing and leasing a diversified portfolio of mineral properties in the United States, including interests in coal, trona and soda ash, oil and gas, construction aggregates, frac sand and other natural resources. As used in these Notes to Consolidated Financial Statements, the terms “NRP,” “we,” “us” and “our” refer to Natural Resource Partners L.P. and its subsidiaries, unless otherwise stated or indicated by context. Principles of Consolidation and Reporting The accompanying unaudited Consolidated Financial Statements of the Partnership have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and with Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassifications had no effect on the Partnership’s overall consolidated financial position, income or cash flows. In our opinion, all adjustments, consisting only of normal recurring adjustments necessary for a fair presentation, have been included. The interim financial statements should be read in conjunction with the audited financial statements and related notes included in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2014. Interim results are not necessarily indicative of the results for a full year. In March 2015, the Partnership recorded an out-of-period adjustment to correct an error in depletion expense related to its oil and gas royalty interests owned by BRP LLC, a joint venture with International Paper Company in which the Partnership owns a 51% interest. Depletion expense for the nine months ended September 30, 2015 included a credit of $3.8 million to adjust the impact of depletion expense recorded in prior periods. After evaluating the quantitative and qualitative aspects of the error and the out-of-period adjustment to the Partnership’s financial results, management has determined that the misstatement and the out-of-period adjustment are not material to the prior period financial statements. Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) amended its guidance on revenue recognition. The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, with earlier adoption not permitted. This guidance can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated financial position, results of operations and cash flows. In April 2015, the FASB issued authoritative guidance which intended to simplify the presentation of debt issuance costs in financial statements. This guidance requires an entity to present such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. This guidance is effective for annual reporting periods beginning after December 15, 2016. Early adoption is permitted. This guidance will be applied retrospectively to each prior period presented. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated balance sheets. In July 2015, the FASB issued authoritative guidance which intended to simplify the measurement of inventory. This guidance requires an entity to measure inventory at the lower of cost or net realizable value. The amendments do not apply to inventory that is measured using last-in, first-out or the retail inventory method. This guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, with early adoption permitted. This guidance should be applied on a prospective basis. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated financial position, results of operations and cash flows. |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions VantaCore Acquisition On October 1, 2014, the Partnership completed its acquisition of VantaCore Partners LLC (“VantaCore”), a privately held company specializing in the construction materials industry, for $200.6 million in cash and common units. At the time of acquisition, VantaCore operated three hard rock quarries, six sand and gravel plants, two asphalt plants, one underground limestone mine and a marine terminal. VantaCore is headquarted in Philadelphia, Pennsylvania and its current operations are located in Pennsylvania, West Virginia, Tennessee, Kentucky and Louisiana. The Partnership accounted for the transaction as a business combination under the acquisition method of accounting. Accordingly, the Partnership conducted assessments of net assets acquired and recognized amounts for identifiable assets acquired and liabilities assumed at their estimated fair values on the acquisition date, while transaction and integration costs associated with the acquisitions were expensed as incurred. The fair value of these assets and liabilities was estimated using a discounted cash flow technique with significant inputs that are not observable in the market and thus represents a Level 3 fair value measurement. The results of operations of the acquisition have been included in our consolidated financial statements since the acquisition date. In the first quarter 2015, the purchase price allocation was adjusted as more detailed analysis was completed and additional information was obtained about the facts and circumstances for various items of VantaCore’s plant and equipment that existed as of acquisition date. As a result of this adjustment, plant and equipment was increased by $22.5 million with a corresponding decrease to goodwill. In the second quarter 2015, the purchase price allocation was adjusted as more detailed analysis was completed and additional information was obtained about the facts and circumstances for VantaCore’s right to mine and intangible assets that existed as of the acquisition date. As a result of this adjustment, Mineral rights, net and Intangible assets, net were increased by $24.7 million with a corresponding decrease to Goodwill. Measurement-period adjustments were not material to prior period financial statements and were recorded during the period in which the amount of the adjustment was determined. The accounting for the VantaCore acquisition was completed in the second quarter of 2015 and is summarized as follows: October 1, 2014 (In thousands) Consideration Cash $ 168,978 NRP common units 31,604 Total consideration given $ 200,582 Allocation of Purchase Price Current assets $ 37,222 Land, property and equipment 62,911 Mineral rights 111,500 Other assets 4,347 Current liabilities (16,953 ) Asset retirement obligation (3,285 ) Goodwill 4,840 Fair value of net assets acquired $ 200,582 Revenue and net income attributable to the VantaCore during the three months ended September 30, 2015 was $39.2 million and $2.9 million , respectively, and for the nine months ended September 30, 2015 was $107.0 million and $4.5 million , respectively. Sanish Field Acquisition On November 12, 2014, the Partnership acquired non-operated oil and gas working interests in the Sanish Field of the Williston Basin from an affiliate of Kaiser-Francis Oil Company for $339.1 million . The Partnership accounted for the transaction as a business combination under the acquisition method of accounting. Accordingly, the Partnership conducted assessments of net assets acquired and recognized amounts for identifiable assets acquired and liabilities assumed at their estimated fair values on the acquisition date, while transaction and integration costs associated with the acquisitions were expensed as incurred. The fair value of these assets and liabilities was estimated using a discounted cash flow technique with significant inputs that are not observable in the market and thus represents a Level 3 fair value measurement. Significant inputs used to determine the fair value include estimates of: (i) reserves, including estimated oil and natural gas reserves and risk-adjusted probably reserves; (ii) future commodity prices; (iii) production costs, (iv) capital expenditures, (v) production and (vi) discount rates. The results of operations of the acquisition have been included in our consolidated financial statements since the acquisition date. The accounting for the Sanish Field acquisition was completed in the second quarter of 2015 without significant changes during the measurement period and is summarized as follows: November 12, 2014 (In thousands) Consideration Cash $ 339,093 Allocation of Purchase Price Mineral rights - proven oil and gas properties 298,293 Mineral rights - probable and possible oil and gas resources 40,800 Fair value of net assets acquired $ 339,093 Revenue and net loss attributable to the Sanish Field acquisition during the three months ended September 30, 2015 was $7.2 million and $197.8 million , respectively, and for the nine months ended September 30, 2015 was $31.6 million and $197.0 million , respectively. The net loss includes non-cash impairment expense of $194.5 million for the three and nine months ended September 30, 2015. Pro Forma Financial Information The following unaudited pro forma financial information (in thousands) presents a summary of the Partnership’s consolidated results of operations for the three and nine months ended September 30, 2014 , assuming the VantaCore and Sanish Field acquisitions had been completed as of January 1, 2014, including adjustments to reflect the values assigned to the net assets acquired: Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 (Unaudited) Revenues and other income except aggregates related and oil and gas related revenues $ 79,256 $ 215,345 Aggregates related revenues 52,735 134,995 Oil and gas related revenues 25,622 88,150 Total revenues and other income $ 157,613 $ 438,490 Net income $ 37,091 $ 106,615 Basic and diluted net income per common unit $ 0.33 $ 0.95 |
Equity Investment
Equity Investment | 9 Months Ended |
Sep. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Investment | Equity Investment We account for our 49% investment in Ciner Wyoming LLC (“Ciner Wyoming”, and formerly "OCI Wyoming LLC") using the equity method of accounting. Ciner Wyoming distributed $12.7 million and $10.3 million to us in the three months ended September 30, 2015 and 2014 , respectively, and Ciner Wyoming distributed $34.5 million and $35.9 million to us in the nine months ended September 30, 2015 and 2014 , respectively. The difference between the amount at which our investment in Ciner Wyoming is carried and the amount of underlying equity in Ciner Wyoming’s net assets was $155.3 million and $162.7 million as of September 30, 2015 and December 31, 2014 , respectively. This excess basis relates to plant, property and equipment and right to mine assets. The excess basis difference that relates to property, plant and equipment is being amortized into income using the straight-line method over a weighted average of 28 years. The excess basis difference that relates to right to mine assets is being amortized into income using the units of production method. Our equity in the earnings of Ciner Wyoming is summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Income allocation to NRP’s equity interests $ 13,806 $ 11,170 $ 40,319 $ 33,300 Amortization of basis difference (1,189 ) (1,485 ) (3,580 ) (4,435 ) Equity in earnings of unconsolidated investment $ 12,617 $ 9,685 $ 36,739 $ 28,865 The results of Ciner Wyoming’s operations are summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Sales $ 117,340 $ 109,785 $ 359,970 $ 338,996 Gross profit 32,750 28,487 96,565 83,210 Net income 28,175 22,795 82,283 67,952 The financial position of Ciner Wyoming is summarized as follows (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Current assets $ 153,095 $ 200,622 Noncurrent assets 233,012 202,282 Current liabilities 44,566 47,704 Noncurrent liabilities 127,676 149,192 |
Plant and Equipment
Plant and Equipment | 9 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Plant and Equipment | Plant and Equipment The Partnership’s plant and equipment consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Plant and equipment at cost $ 105,248 $ 89,759 Construction in process 993 457 Less accumulated depreciation (35,047 ) (30,123 ) Total plant and equipment, net $ 71,194 $ 60,093 Depreciation expense related to the Partnership’s plant and equipment totaled $3.9 million and $1.3 million for the three months ended September 30, 2015 and 2014 , respectively. Depreciation expense related to the Partnership’s plant and equipment totaled $12.9 million and $3.8 million for the nine months ended September 30, 2015 and 2014 , respectively. The Partnership recorded $0.0 million and $2.3 million of asset impairment expense related to a coal preparation plant for the three and nine months ended September 30, 2015, respectively. |
Mineral Rights
Mineral Rights | 9 Months Ended |
Sep. 30, 2015 | |
Extractive Industries [Abstract] | |
Mineral Rights | Mineral Rights The Partnership’s mineral rights consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Coal $ 1,196,091 $ 1,541,572 Oil and Gas 181,740 560,395 Aggregates 189,640 211,490 Other 14,948 15,014 Less: accumulated depletion and amortization (437,610 ) (546,619 ) Total mineral rights, net $ 1,144,809 $ 1,781,852 Depletion expense related to the Partnership’s mineral rights totaled $21.8 million and $16.5 million for the three months ended September 30, 2015 and 2014 , respectively. Depletion expense related to the Partnership’s mineral rights totaled $66.6 million and $43.2 million for the nine months ended September 30, 2015 and 2014 , respectively. Impairment of Mineral Rights The Partnership has developed procedures to periodically evaluate its long-lived assets for possible impairment. These procedures are performed throughout the year and considers both quantitative and qualitative information based on historic, current and future performance and are designed to identify impairment indicators. If an impairment indicator is identified, additional evaluation is performed for that asset that considers both quantitative and qualitative information. A long-lived asset is deemed impaired when the future expected undiscounted cash flows from its use and disposition is less than the assets’ carrying value. Impairment is measured based on the estimated fair value, which is primarily determined based upon the present value of the projected future cash flow compared to the assets’ carrying value. The inputs used by management for fair value measurements include significant inputs that are not observable in the market and thus represent a Level 3 fair value measurement for these types of assets. In addition to the evaluations discussed above, specific events such as a reduction in economically recoverable reserves or production ceasing on a property for an extended period may require that a separate impairment evaluation be completed on a significant property. The Partnership believes these discount rates were representative of what market participants would use in pricing its assets. During the three and nine months ended September 30, 2015, the Partnership identified facts and circumstances that indicated that the carrying value of certain of its mineral rights exceed future cash flows from those assets and recorded non-cash impairment expense as follows (in thousands): Three Months Ended Nine Months Ended Impaired Asset Description 2015 2014 2015 2014 (Unaudited) Oil and gas properties (1) $ 335,662 $ — $ 335,662 $ — Coal properties (2) 247,815 — 249,362 — Aggregates properties (3) 43,361 — 43,361 — Total $ 626,838 $ — $ 628,385 $ — (1) Oil and gas property impairment in the third quarter of 2015 primarily resulted from declines in future expected realized commodity prices and reduced expected drilling activity on our acreage. NRP compared net capitalized costs of its oil and natural gas properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted future net cash flows, NRP recorded an impairment for the excess of net capitalized cost over fair value. A discounted cash flow method was used to estimate fair value. Significant inputs used to determine the fair value include estimates of: (i) oil and natural gas reserves and risk-adjusted probable reserves; (ii) future commodity prices; (iii) production costs, (iv) capital expenditures, (v) production and (vi) discount rates. The underlying commodity prices embedded in the Partnership's estimated cash flows are the product of a process that begins with NYMEX forward curve pricing as of the measurement date, adjusted for estimated location and quality differentials. (2) Coal property impairment in the third quarter of 2015 primarily resulted from the continued deterioration and expectations of further reductions in global and domestic coal demand due to reduced global steel demand, sustained low natural gas prices, and continued regulatory pressure on the electric power generation industry. NRP compared net capitalized costs of its coal properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted future cash flows, NRP recorded an impairment for the excess of net capitalized cost over fair value. Significant inputs used to determine fair value include estimates of future cash flow, discount rate and useful economic life. Estimated cash flows are the product of a process that began with current realized pricing as of the measurement date and included an adjustment for risk related to the future realization of those cash flows. (3) Aggregates property impairment in the third quarter of 2015 primarily resulted from greenfield development projects that have not performed as projected, leading to recent lease concessions on minimums and royalties combined with the continued regional market decline for certain properties. NRP compared net capitalized costs of its aggregates properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted cash flows, NRP wrote the net cost basis down to management's estimate of fair value. A discounted cash flow model was used to estimate fair value. Significant inputs used to determine fair value include estimates of future cash flow, discount rate and useful economic life. Estimated cash flows are the product of a process that began with current realized pricing as of the measurement date and included an adjustment for risk related to the future realization of those cash flows. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets The Partnership’s intangible assets consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Contract intangibles $ 81,109 $ 82,972 Other intangibles 5,076 3,004 Less accumulated amortization (27,916 ) (25,243 ) Total intangible assets, net $ 58,269 $ 60,733 Amortization expense related to the Partnership’s intangible assets totaled $1.0 million and $0.9 million for the three months ended September 30, 2015 and 2014 , respectively. Amortization expense related to the Partnership’s intangible assets totaled $3.2 million and $2.6 million for the nine months ended September 30, 2015 and 2014 , respectively. |
Debt and Debt-Affiliate
Debt and Debt-Affiliate | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt and Debt-Affiliate | Debt and Debt—Affiliate As used in this Note 7, references to “NRP LP” refer to Natural Resource Partners L.P. only, and not to NRP (Operating) LLC, a wholly owned subsidiary of NRP LP, or any of Natural Resource Partners L.P.’s subsidiaries. References to “Opco” refer to NRP (Operating) LLC and its subsidiaries. References to NRP Oil and Gas refer to NRP Oil and Gas LLC, a wholly owned subsidiary of NRP LP. NRP Finance Corporation (“NRP Finance”) is a wholly owned subsidiary of NRP LP and a co-issuer with NRP LP on the 9.125% senior notes described below. As of September 30, 2015 and December 31, 2014 , Debt and debt—affiliate consisted of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) NRP LP Debt: $425 million 9.125% senior notes, with semi-annual interest payments in April and October, due October 2018, $300 million issued at 99.007% and $125 million issued at 99.5% $ 422,734 $ 422,167 Opco Debt: $300 million floating rate revolving credit facility, due October 2017 290,000 — $300 million floating rate revolving credit facility, due August 2016 — 200,000 $200 million floating rate term loan, due January 2016 — 75,000 4.91% senior notes, with semi-annual interest payments in June and December, with annual principal payments in June, due in June 2018 13,850 18,467 8.38% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2019 85,714 107,143 5.05% senior notes, with semi-annual interest payments in January and July, with annual principal payments in July, due in July 2020 38,462 46,154 5.31% utility local improvement obligation, with annual principal and interest payments, due in March 2021 1,153 1,345 5.55% senior notes, with semi-annual interest payments in June and December, with annual principal payments in June, due in June 2023 21,600 24,300 4.73% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2023 67,500 67,500 5.82% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2024 135,000 150,000 8.92% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2024 40,909 45,455 5.03% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2026 161,538 161,538 5.18% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2026 46,154 46,154 NRP Oil and Gas Debt: Reserve-based revolving credit facility due November 2019 100,000 110,000 Total debt and debt—affiliate 1,424,614 1,475,223 Less: current portion of long-term debt, net (80,983 ) (80,983 ) Total long-term debt and debt—affiliate $ 1,343,631 $ 1,394,240 NRP LP Debt Senior Notes In September 2013, NRP LP, together with NRP Finance as co-issuer, issued $300.0 million of 9.125% Senior Notes due 2018 at an offering price of 99.007% of par. Net proceeds after expenses from the issuance of the senior notes were approximately $289.0 million . The senior notes call for semi-annual interest payments on April 1 and October 1 of each year, and will mature on October 1, 2018. In October 2014, NRP LP, together with NRP Finance as co-issuer, issued an additional $125.0 million of its 9.125% Senior Notes due 2018 at an offering price of 99.5% of par. The notes constitute the same series of securities as the existing $300.0 million 9.125% senior notes due 2018 issued in September 2013. Net proceeds of $122.6 million from the additional issuance of the Senior Notes were used to fund a portion of the purchase price of NRP’s acquisition of non-operated working interests in oil and gas assets located in the Williston Basin in North Dakota. The notes call for semi-annual interest payments on April 1 and October 1 of each year and will mature on October 1, 2018. NRP and NRP Finance have the option to redeem the NRP Senior Notes, in whole or in part, at any time on or after April 1, 2016, at fixed redemption prices specified in the indenture governing the NRP Senior Notes (the “NRP Senior Notes Indenture”). Before April 1, 2016, NRP and NRP Finance may redeem all or part of the NRP Senior Notes at a redemption price equal to the sum of the principal plus a make whole premium at the redemption date, plus accrued and unpaid interest, if any, to the redemption date. Furthermore, before April 1, 2016, NRP and NRP Finance may on any one or more occasions redeem up to 35% of the aggregate principal amount of the notes with the net proceeds of certain public or private equity offerings at a redemption price of 109.125% of the principal amount of notes, plus any accrued and unpaid interest, if any, to the date of redemption, if at least 65% of the aggregate principal amount of the notes issued under the indenture remains outstanding immediately after such redemption and the redemption occurs within 180 days of the closing date of such equity offering. In the event of a change of control, as defined in the indenture, the holders of the notes may require NRP and NRP Finance to purchase their notes at a purchase price equal to 101% of the principal amount of the notes, plus accrued and unpaid interest, if any. The NRP Senior Notes Indenture contains covenants that, among other things, limit the ability of NRP LP and certain of its subsidiaries to incur or guarantee additional indebtedness. Under the NRP Senior Notes Indenture, NRP LP and certain of its subsidiaries generally are not permitted to incur additional indebtedness unless, on a consolidated basis, the fixed charge coverage ratio (as defined in the indenture) is at least 2.0 to 1.0 for the four preceding full fiscal quarters. The ability of NRP LP and certain of its subsidiaries to incur additional indebtedness is further limited in the event the amount of indebtedness of NRP LP and certain of its subsidiaries that is senior to NRP LP’s unsecured indebtedness exceeds certain threshholds. Opco Debt All of Opco’s debt is guaranteed by its wholly owned subsidiaries and is secured by certain of the assets of Opco and its wholly owned subsidiaries other than NRP Trona LLC, as further described below. As of September 30, 2015 and December 31, 2014 , Opco was in compliance with the terms of the financial covenants contained in its debt agreements. Revolving Credit Facility In June 2015, Opco entered into a $300.0 million Third Amended and Restated Credit Agreement (the “A&R Revolving Credit Facility”), which amended and restated Opco’s $300.0 million Second Amended and Restated Credit Agreement due August 2016. The A&R Revolving Credit Facility matures on October 2, 2017 , is guaranteed by all of Opco’s wholly owned subsidiaries, and is secured by liens on certain of the assets of Opco and its subsidiaries, as further described below. Initially, indebtedness under the A&R Revolving Credit Facility bears interest, at Opco’s option, at a rate of either: • the higher of (i) the prime rate as announced by the agent bank; (ii) the federal funds rate plus 0.50% ; or (iii) LIBOR plus 1% , in each case plus 2.375% ; or • a rate equal to LIBOR plus 3.375% . Borrowings under the A&R Revolving Credit Facility will bear interest at such rate until the time that Opco delivers quarterly financial statements for the quarter ending September 30, 2015 to the lenders thereunder. Following such delivery date, indebtedness under the A&R Revolving Credit Facility will bear interest, at Opco’s option, at a rate of either: • the higher of (i) the prime rate as announced by the agent bank; (ii) the federal funds rate plus 0.50% ; or (iii) LIBOR plus 1% , in each case plus an applicable margin ranging from 1.50% to 2.50% ; or • a rate equal to LIBOR plus an applicable margin ranging from 2.50% to 3.50% . The weighted average interest rates for the borrowings outstanding under the A&R Revolving Credit Facility for the nine months ended September 30, 2015 and 2014 were 2.41% and 1.96% , respectively. The weighted average interest rates for the borrowings outstanding under the A&R Revolving Credit Facility for the three months ended September 30, 2015 and 2014 were 3.05% and 1.94% , respectively. Opco will incur a commitment fee on the unused portion of the revolving credit facility at a rate of 0.50% per annum. Opco may prepay all amounts outstanding under the A&R Revolving Credit Facility at any time without penalty. The A&R Revolving Credit Facility contains financial covenants requiring Opco to maintain: • a ratio of consolidated indebtedness to consolidated EBITDDA (as defined in the A&R Revolving Credit Facility) not to exceed: • 4.0 to 1.0 for each fiscal quarter ending on or before March 31, 2016; • 3.75 to 1.0 for each subsequent fiscal quarter ending on or before March 31, 2017; and • 3.5 to 1.0 for each fiscal quarter ending on or after June 30, 2017; and • a ratio of consolidated EBITDDA to consolidated fixed charges (consisting of consolidated interest expense and consolidated lease expense) of not less than 3.5 to 1.0. The A&R Revolving Credit Facility contains certain additional customary negative covenants that, among other items, restrict Opco’s ability to incur additional debt, grant liens on its assets, make investments, sell assets and engage in business combinations. Included in the investment covenant are restrictions upon Opco’s ability to acquire assets where Opco does not maintain certain levels of liquidity. The A&R Revolving Credit Facility also contains customary events of default, including cross-defaults under Opco’s senior notes (as described below). The A&R Revolving Credit Facility is collateralized and secured by liens on certain of Opco’s assets with a carrying value of $720.5 million classified as Land, Mineral rights and Plant and equipment on the Partnership’s Consolidated Balance Sheet as of September 30, 2015 . The collateral includes (1) the equity interests in all of Opco’s wholly owned subsidiaries, other than NRP Trona LLC (which owns a 49% non-controlling equity interest in Ciner Wyoming), (2) the personal property and fixtures owned by Opco’s wholly owned subsidiaries, other than NRP Trona LLC, (3) Opco’s material coal royalty revenue producing properties, (4) real property associated with certain of VantaCore’s construction aggregates mining operations, and (5) certain of Opco’s coal-related infrastructure assets. Term Loan During 2013, Opco entered into a $200.0 million Term Loan facility (the “Term Loan”) with a maturity date of January 23, 2016. The weighted average interest rates for the debt outstanding under the Term Loan for the nine months ended September 30, 2015 and 2014 were 2.19% and 2.23% , respectively. The weighted average interest rates for the debt outstanding under the Term Loan for the three months ended September 30, 2015 and 2014 was 2.19% for both periods. Opco repaid $101.0 million in principal under the Term Loan during the third quarter of 2013, and repaid an additional $24.0 million during the fourth quarter of 2014. In September 2015, Opco repaid the remaining $75.0 million on the term loan using borrowings under the A&R Revolving Credit Facility. Senior Notes Opco made principal payments of $56.0 million on its senior notes during the nine months ended September 30, 2015 . The Note Purchase Agreements relating to Opco’s senior notes contain covenants requiring Opco to: • maintain a ratio of consolidated indebtedness to consolidated EBITDDA (as defined in the note purchase agreement) of no more than 4.0 to 1.0 for the four most recent quarters; • not permit debt secured by certain liens and debt of subsidiaries to exceed 10% of consolidated net tangible assets (as defined in the note purchase agreement); and • maintain the ratio of consolidated EBITDDA (as defined in the note purchase agreement) to consolidated fixed charges (consisting of consolidated interest expense and consolidated operating lease expense) at not less than 3.5 to 1.0. The 8.38% and 8.92% senior notes also provide that in the event that Opco’s leverage ratio of consolidated indebtedness to consolidated EBITDDA (as defined in the note purchase agreement) exceeds 3.75 to 1.00 at the end of any fiscal quarter, then in addition to all other interest accruing on these notes, additional interest in the amount of 2.00% per annum shall accrue on the notes for the two succeeding quarters and for as long thereafter as the leverage ratio remains above 3.75 to 1.00. In connection with the entry into the A&R Revolving Credit Facility in June 2015, Opco entered into the Third Amendment to the Note Purchase Agreements (the “NPA Amendment”) that provides for the security of the senior notes by the same collateral package pledged by Opco and its subsidiaries to secure the A&R Revolving Credit Facility, as described above. In addition, the NPA Amendment includes a covenant that provides that, in the event Opco or any of its subsidiaries is subject to any additional or more restrictive covenants under the agreements governing its material indebtedness (including the A&R Revolving Credit Facility, and all renewals, amendments or restatements thereof), such covenants shall be deemed to be incorporated by reference in the senior notes and the holders of the senior notes shall receive the benefit of such additional or more restrictive covenants to the same extent as the lenders under such material indebtedness agreement. NRP Oil and Gas Debt Revolving Credit Facility In August 2013, NRP Oil and Gas entered into a 5 -year, $100.0 million senior secured, reserve-based revolving credit facility in order to fund capital expenditure requirements related to the development of the oil and gas assets in which it owns non-operated working interests. In connection with the closing of the Sanish Field acquisition in November 2014, the credit facility was amended to increase its size to $500.0 million with an initial borrowing base of $137.0 million , and the maturity date thereof was extended to November 2019. The maximum amount available under the credit facility is subject to semi-annual redeterminations of the borrowing base in May and November of each year, based on the value of the proved oil and natural gas reserves of NRP Oil and Gas, in accordance with the lenders’ customary procedures and practices. NRP Oil and Gas and the lenders each have a right to one additional redetermination each year. In April 2015, the lenders completed their semi-annual redetermination of the borrowing base under the NRP Oil and Gas revolving credit facility and the $137.0 million borrowing base under that facility was redetermined to $105.0 million . The Partnership repaid $10.0 million of outstanding borrowings under the NRP Oil and Gas revolving credit facility during the nine months ended September 30, 2015. At September 30, 2015 and December 31, 2014 , there was $100.0 million and $110.0 million , respectively, outstanding under the NRP Oil and Gas revolving credit facility. The credit facility is secured by a first priority lien and security interest in substantially all of the assets of NRP Oil and Gas. NRP Oil and Gas is the sole obligor under its revolving credit facility, and neither the Partnership nor any of its other subsidiaries is a guarantor of such facility. The weighted average interest rates for the debt outstanding under the credit facility for each of the nine month periods ended September 30, 2015 and 2014 was 2.57% and 1.90% , respectively. The weighted average interest rates for the debt outstanding under the credit facility for each of the three month periods ended September 30, 2015 and 2014 were 2.70% and 1.90% , respectively. Indebtedness under the NRP Oil and Gas credit facility bears interest, at the option of NRP Oil and Gas, at either: • the higher of (i) the prime rate as announced by the agent bank; (ii) the federal funds rate plus 0.50% ; or (iii) LIBOR plus 1% , in each case plus an applicable margin ranging from 0.50% to 1.50% ; or • a rate equal to LIBOR, plus an applicable margin ranging from 1.50% to 2.50% . NRP Oil and Gas incurs a commitment fee on the unused portion of the borrowing base under the credit facility at a rate ranging from 0.375% to 0.50% per annum. The NRP Oil and Gas credit facility contains certain covenants, which, among other things, require the maintenance of: • a total leverage ratio (defined as the ratio of the total debt of NRP Oil and Gas to its EBITDAX) of not more than 3.5 to 1.0; and • a minimum current ratio of 1.0 to 1.0. As of September 30, 2015 and December 31, 2014 , NRP Oil and Gas was in compliance with the terms of the financial covenants contained in its credit facility. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The Partnership’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable and long-term debt. The carrying amounts reported on our Consolidated Balance Sheets for cash and cash equivalents, accounts receivable and accounts payable approximate fair value due to their short-term nature. The following table (in thousands) shows the carrying amount and estimated fair value of our other financial instruments: September 30, 2015 December 31, 2014 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value (Unaudited) Assets Contracts receivable—affiliate, current and long-term (1) $ 5,068 $ 5,381 $ 4,870 $ 5,162 Debt and debt—affiliate NRP LP senior notes (2) $ 422,734 $ 307,063 $ 422,167 $ 423,780 Opco senior notes and utility local improvement obligation (3) $ 611,880 $ 442,084 $ 668,056 $ 672,740 Opco revolving credit facility and term loan facility (4) $ 290,000 $ 290,000 $ 275,000 $ 275,000 NRP Oil and Gas revolving credit facility (4) $ 100,000 $ 100,000 $ 110,000 $ 110,000 (1) The Level 3 fair value is estimated by management using comparable term risk-free treasury issues with a market rate component determined by current financial instruments with similar characteristics. (2) The Level 1 fair value is based upon quotations obtained for identical instruments on the closing trading prices near quarter end. (3) The Level 3 fair value is estimated by management using quotations obtained for comparable instruments on the closing trading prices near quarter end. (4) The Level 3 fair value approximates the carrying amount because the interest rates are variable and reflective of market rates and the Partnership has the ability to repay this debt at any time without penalty. The March 31, 2015 estimated fair value of the NRP LP senior notes and Opco senior notes and local utility improvement obligation were presented incorrectly as $417.0 million and $629.5 million , respectively, and should have been presented as $378.3 million and $557.9 million , respectively. The estimated fair value disclosure had no impact on the Partnership’s overall financial position, income or cash flows. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Reimbursements to Affiliates of our General Partner The Partnership’s general partner does not receive any management fee or other compensation for its management of Natural Resource Partners L.P. However, in accordance with the partnership agreement, the general partner and its affiliates are reimbursed for expenses incurred on the Partnership’s behalf. Direct general and administrative expenses are charged to the Partnership as incurred. The Partnership also reimburses indirect general and administrative costs, including certain legal, accounting, treasury, information technology, insurance, administration of employee benefits and other corporate services incurred by our general partner and its affiliates, Quintana Minerals Corporation and Western Pocahontas Properties Limited Partnership (“WPPLP”). In addition, the Partnership receives non-cash equity contributions from its general partner related to compensation paid directly by the general partner and not reimbursed by the Partnership. These amounts are presented as non-cash equity contributions on our Consolidated Statements of Partners' Capital. The Partnership had Accounts payable—affiliates to Quintana Minerals Corporation of $0.7 million and $0.6 million at September 30, 2015 and December 31, 2014 , respectively, for services provided by Quintana Minerals Corporation to the Partnership. The Partnership had Accounts payable—affiliates to WPPLP of $1.9 million and $0.4 million at September 30, 2015 and December 31, 2014 , respectively. The Partnership had Accounts receivable—affiliates from WPPLP of $0.1 million and $0.0 million at September 30, 2015 and December 31, 2014, respectively. Direct general and administrative expenses charged to the Partnership by its general partner for services performed by WPPLP and Quintana Minerals Corporation are as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) General and administrative—affiliates $ 4,144 $ 3,083 $ 11,465 $ 9,177 The Partnership also leases an office building in Huntington, West Virginia from WPPLP and recorded $0.2 million and $0.5 million in General and administrative—affiliates in each of the three and nine months ended September 30, 2015 and 2014 , respectively. Cline Affiliates Various companies controlled by Chris Cline, including Foresight Energy LP, lease coal reserves from the Partnership, and the Partnership provides coal transportation services to them for a fee. Mr. Cline, both individually and through another affiliate, Adena Minerals, LLC, owns a 31% interest in NRP’s general partner, as well as approximately 4.9 million of NRP’s common units. Coal related revenues from Foresight Energy LP (“Foresight Energy”) totaled $18.7 million and $24.9 million for the three months ended September 30, 2015 and 2014 , respectively. Coal related revenues from Foresight Energy totaled $68.6 million and $63.1 million for the nine months ended September 30, 2015 and 2014 , respectively. As of September 30, 2015 and December 31, 2014 the Partnership had Accounts receivable—affiliates from Foresight Energy of $7.2 million and $9.2 million , respectively. As of September 30, 2015 , the Partnership had received $83.4 million in minimum royalty payments to date that have been recorded as Deferred revenue—affiliates since they have not been recouped by Foresight Energy. The Partnership owns and leases rail load out and associated facilities to Foresight Energy at Foresight Energy’s Sugar Camp mine. The lease agreement is accounted for as a direct financing lease. Total projected remaining payments under the lease at September 30, 2015 were $82.7 million with unearned income of $36.2 million , and the net amount receivable was $46.5 million , of which $2.1 million is included in Accounts receivable—affiliates while the remaining is included in Long-term contracts receivable—affiliate on the accompanying Consolidated Balance Sheets. Total projected remaining payments under the lease at December 31, 2014 were $86.3 million with unearned income of $39.0 million and the net amount receivable was $47.3 million , of which $1.8 million is included in Accounts receivable—affiliates while the remaining is included in Long-term contracts receivable—affiliates on the accompanying Consolidated Balance Sheets. The Partnership holds a contractual overriding royalty interest from a subsidiary of Foresight Energy that provides for payments based upon production from specific tons at Foresight Energy’s Sugar Camp operations. This overriding royalty was accounted for as a financing arrangement and is reflected as an affiliate receivable. The net amount receivable under the agreement as of September 30, 2015 was $5.1 million , of which $1.0 million is included in Accounts receivable — affiliates while the remaining is included in Long-term contracts receivable—affiliate. The net amount receivable under the agreement as of December 31, 2014 was $5.6 million , of which $1.1 million is included in Accounts receivable — affiliate while the remaining is included in Long-term contracts receivable—affiliate on the accompanying Consolidated Balance Sheets. During the nine months ended September 30, 2015 and 2104 the Partnership recognized a gain of $9.3 million and $5.7 million , respectively, on a reserve swap at Foresight Energy’s Williamson mine. The gain is included in Coal related revenues—affiliates on our Consolidated Statements of Comprehensive Income. The Level 3 fair value of the reserves was estimated using a discounted cash flow model. The expected cash flows were developed using estimated annual sales tons, forecasted sales prices and anticipated market royalty rates. Long-Term Debt — Affiliate Donald R. Holcomb, one of the Partnership’s directors, is a manager of Cline Trust Company, LLC, which owns approximately 5.35 million of the Partnership’s common units and $20.0 million in principal amount of the Partnership’s 9.125% Senior Notes due 2018. The members of the Cline Trust Company are four trusts for the benefit of the children of Chris Cline, each of which owns an approximately equal membership interest in the Cline Trust Company. Mr. Holcomb also serves as trustee of each of the four trusts. Cline Trust Company, LLC purchased the $20.0 million of the Partnership’s 9.125% Senior Notes due 2018 in the Partnership’s offering of $125.0 million additional principal amount of such notes in October 2014 at the same price as the other purchasers in that offering. The balance on this portion of the Partnership’s 9.125% Senior Notes due 2018 was $19.9 million as of September 30, 2015 and is included in Long-term debt, net—affiliate on the accompanying Consolidated Balance Sheet. Quintana Capital Group GP, Ltd. Corbin J. Robertson, Jr. is a principal in Quintana Capital Group GP, Ltd. (“Quintana Capital”), which controls several private equity funds focused on investments in the energy business. In connection with the formation of Quintana Capital, the Partnership adopted a formal conflicts policy that establishes the opportunities that will be pursued by the Partnership and those that will be pursued by Quintana Capital. The governance documents of Quintana Capital’s affiliated investment funds reflect the guidelines set forth in the Partnership’s conflicts policy. At September 30, 2015 , a fund controlled by Quintana Capital owned a majority interest in Corsa Coal Corp. (“Corsa”), a coal mining company traded on the TSX Venture Exchange that is one of the Partnership’s lessees in Tennessee. Corbin J. Robertson III, one of the Partnership’s directors, is Chairman of the Board of Corsa. Coal related revenues from Corsa totaled $0.9 million and $0.7 million and $2.4 million and $2.2 million for the three and nine months ended September 30, 2015 and 2014, respectively. As of September 30, 2015 , the Partnership had recorded $0.3 million in minimum royalty payments to date as deferred revenue-affiliates since they have not been recouped by Corsa. The Partnership also had Accounts receivable—affiliates totaling $0.2 million and $0.3 million from Corsa at September 30, 2015 and December 31, 2014, respectively. WPPLP Production Royalty and Overriding Royalty For the three months ended September 30, 2015 , we reversed Coal related expenses—affiliates by $0.1 million related to a non-participating production royalty payable to WPPLP pursuant to a conveyance agreement entered into in 2007. This reversal during the third quarter brings the Partnership's nine month Coal related expenses—affiliates, net to nearly zero . The Partnership had Other assets—affiliate from WPPLP of $1.5 million and $0.0 million at September 30, 2015 and December 31, 2014, respectively, related to an non-production royalty receivable from WPPLP for overriding royalty interest on a mine. |
Major Lessees
Major Lessees | 9 Months Ended |
Sep. 30, 2015 | |
Risks and Uncertainties [Abstract] | |
Major Lessees | Major Lessees Revenues from lessees that exceeded ten percent of total revenues and other income for any of the periods presented below are as follows (in thousands except for percentages): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Revenues Percent Revenues Percent Revenues Percent Revenues Percent Foresight Energy and its affiliates $ 18,677 15% $ 24,863 27% $ 68,556 18% $ 63,116 24% Alpha Natural Resources 15,429 12% 14,406 16% 33,201 9% 38,857 15% The Partnership has a significant concentration of revenues with Foresight Energy and Alpha Natural Resources. The exposure is spread out over a number of different mining operations and leases. During the three months ended September 30, 2015, total revenues and other income from Alpha Natural Resources included a $6.0 million non-recurring lease assignment fee. |
Long-Term Incentive Plans
Long-Term Incentive Plans | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Long-Term Incentive Plans | Long-Term Incentive Plans GP Natural Resource Partners LLC adopted the Natural Resource Partners Long-Term Incentive Plan (the “Long-Term Incentive Plan”) for directors of GP Natural Resource Partners LLC and employees of its affiliates who perform services for the Partnership. Under the plan a grantee will receive the market value of a common unit in cash upon vesting. A summary of activity in the outstanding grants during 2015 is as follows (in thousands): Phantom Units Outstanding grants at January 1, 2015 1,153 Grants during the year 508 Grants vested and paid during the year (290 ) Forfeitures during the year (49 ) Outstanding grants at September 30, 2015 1,322 Grants typically vest at the end of a four -year period and are paid in cash upon vesting. The liability fluctuates with the market value of the Partnership units and because of changes in estimated fair value determined each quarter using the Black-Scholes option valuation model. Risk free interest rates and volatility are reset at each calculation based on current rates corresponding to the remaining vesting term for each outstanding grant and ranged from 0.37% to 1.01% and 49.55% to 75.34% , respectively, at September 30, 2015 . The Partnership’s average historical distribution rate of 7.69% and historical forfeiture rate of 5.71% were used in the calculation at September 30, 2015 . The Partnership recorded a credit to general and administrative expenses (“G&A expenses”) related to its long term incentive plan of $0.2 million and $1.7 million for the three and nine months ended September 30, 2015 , respectively, due to the decline in the market price of the Partnership’s common units during 2015. For the three and nine months ended September 30, 2014 , the Partnership recorded G&A expenses of $1.1 million and $1.5 million , respectively. In connection with the Long-Term Incentive Plan, payments are typically made during the first quarter of the year. Payments of $4.4 million and $6.5 million were made during the nine month periods ended September 30, 2015 and 2014 , respectively. In connection with the phantom unit awards, the Compensation, Nominating and Governance Committee also granted tandem Distribution Equivalent Rights, or DERs, which entitle the holders to receive distributions equal to the distributions paid on the Partnership’s common units between the date the units are granted and the vesting date. The DERs are payable in cash upon vesting but may be subject to forfeiture if the grantee ceases employment prior to vesting. The unaccrued cost associated with the unvested outstanding grants and related DERs at September 30, 2015 and September 30, 2014 was $2.3 million and $7.7 million , respectively. |
Cash Distributions
Cash Distributions | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Cash Distributions | Cash Distributions The following table shows the distributions paid by the Partnership during the nine months ended September 30, 2015 and 2014: Total Distributions (In thousands) Date Paid Period Covered by Distribution Distribution per Common Unit Common Units GP Interest Total 2015 February 13, 2015 October 1 - December 31, 2014 $ 0.35 $ 42,804 $ 874 $ 43,678 May 14, 2015 January 1 - March 31, 2015 0.09 11,007 225 11,232 August 14, 2015 April 1 - June 30, 2015 0.09 11,009 223 11,232 2014 January 31, 2014 October 1 - December 31, 2013 0.35 38,433 785 39,218 May 14, 2014 January 1 - March 31, 2014 0.35 38,634 787 39,421 August 14, 2014 April 1 - June 30, 2015 0.35 38,938 795 39,733 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The purchase agreement for the acquisition of the Partnership’s interest in Ciner Wyoming requires it to pay additional contingent consideration to Anadarko to the extent certain performance criteria described in the purchase agreement are met at Ciner Wyoming in any of the years 2013, 2014 or 2015. During the first quarters of 2014 and 2015, the Partnership paid $0.5 million and $3.8 million , respectively, in contingent consideration to Anadarko. As of September 30, 2015 , the Partnership has estimated and recorded $8.8 million as an accrued liability on its consolidated Balance Sheet, payable in the first quarter of 2016 with respect to 2015. The Partnership has no obligation to pay contingent consideration with respect to any period after 2015. In March 2014, Anadarko gave the Partnership written notice that it believed certain reorganization transactions conducted in 2013 within the OCI organization triggered an acceleration of the Partnership’s obligation under the purchase agreement with Anadarko to pay the additional contingent consideration in full and demanded immediate payment of such amount. The Partnership disagreed with Anadarko’s position in a written response provided to them in April 2014. In April 2015, Anadarko sent a written request for additional information regarding the OCI reorganization and indicated that they were still considering this claim against the Partnership. The Partnership responded in writing in May 2015 and does not believe the reorganization transactions triggered an obligation to pay the additional contingent consideration. The Partnership will continue to engage in discussions with Anadarko to resolve the issue to the extent necessary. However, if Anadarko were to pursue and prevail on such a claim, the Partnership would be required to pay an amount to Anadarko in excess of the amounts already paid, together with the $8.8 million accrual described above, up to the maximum amount of the additional contingent consideration, minus a deductible. Under the purchase agreement, the maximum cumulative amount of additional contingent consideration is an amount equal to the net present value of $50.0 million . Any additional amount paid by the Partnership would be considered to be additional acquisition consideration and added to Equity and other unconsolidated investments. Since 2013, several citizen group lawsuits have been filed against landowners alleging ongoing discharges of pollutants, including selenium and conductivity, from valley fills located at reclaimed mountaintop removal mining sites in West Virginia. In each case, the mine on the subject property had been closed, the property had been reclaimed, and the state reclamation bond had been released. Any determination that a landowner or lessee has liability for discharges from a previously reclaimed mine site could result in substantial compliance costs or fines and would result in uncertainty as to continuing liability for completed and reclaimed coal mine operations. A subsidiary of the Partnership has been named as a defendant in one of these lawsuits. Given the early stage of this ongoing litigation, the Partnership currently cannot reasonably estimate a range of potential loss, if any, related to this matter. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The following represents material events that have occurred subsequent to September 30, 2015 through the time of the Partnership’s filing of this Quarterly Report on Form 10-Q with the Securities and Exchange Commission: Distribution Declared On October 21, 2015, the Board of Directors of GP Natural Resource Partners LLC declared a distribution of $0.045 per unit to be paid by the Partnership on November 13, 2015 to unitholders of record on November 5, 2015. NRP Oil and Gas Revolving Credit Facility In October 2015, the lenders under the NRP Oil and Gas revolving credit facility completed their semi-annual redetermination of the borrowing base under the NRP Oil and Gas revolving credit facility and the $105.0 million borrowing base was redetermined to $88.0 million . NRP Oil & Gas repaid $15.0 million under the facility in October 2015, leaving $85.0 million of debt outstanding under the facility as of the date of this report. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business | Nature of Business Natural Resource Partners L.P. (the “Partnership”) engages principally in the business of owning, operating, managing and leasing a diversified portfolio of mineral properties in the United States, including interests in coal, trona and soda ash, oil and gas, construction aggregates, frac sand and other natural resources. As used in these Notes to Consolidated Financial Statements, the terms “NRP,” “we,” “us” and “our” refer to Natural Resource Partners L.P. and its subsidiaries, unless otherwise stated or indicated by context. |
Principles of Consolidation and Reporting | Principles of Consolidation and Reporting The accompanying unaudited Consolidated Financial Statements of the Partnership have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and with Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassifications had no effect on the Partnership’s overall consolidated financial position, income or cash flows. In our opinion, all adjustments, consisting only of normal recurring adjustments necessary for a fair presentation, have been included. The interim financial statements should be read in conjunction with the audited financial statements and related notes included in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2014. Interim results are not necessarily indicative of the results for a full year. In March 2015, the Partnership recorded an out-of-period adjustment to correct an error in depletion expense related to its oil and gas royalty interests owned by BRP LLC, a joint venture with International Paper Company in which the Partnership owns a 51% interest. Depletion expense for the nine months ended September 30, 2015 included a credit of $3.8 million to adjust the impact of depletion expense recorded in prior periods. After evaluating the quantitative and qualitative aspects of the error and the out-of-period adjustment to the Partnership’s financial results, management has determined that the misstatement and the out-of-period adjustment are not material to the prior period financial statements. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) amended its guidance on revenue recognition. The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, with earlier adoption not permitted. This guidance can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated financial position, results of operations and cash flows. In April 2015, the FASB issued authoritative guidance which intended to simplify the presentation of debt issuance costs in financial statements. This guidance requires an entity to present such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. This guidance is effective for annual reporting periods beginning after December 15, 2016. Early adoption is permitted. This guidance will be applied retrospectively to each prior period presented. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated balance sheets. In July 2015, the FASB issued authoritative guidance which intended to simplify the measurement of inventory. This guidance requires an entity to measure inventory at the lower of cost or net realizable value. The amendments do not apply to inventory that is measured using last-in, first-out or the retail inventory method. This guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, with early adoption permitted. This guidance should be applied on a prospective basis. The Partnership is currently evaluating the impact of the provisions of this guidance on its consolidated financial position, results of operations and cash flows. |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Business Acquisition [Line Items] | |
Business Acquisition Pro Forma Financial Information (Unaudited) | The following unaudited pro forma financial information (in thousands) presents a summary of the Partnership’s consolidated results of operations for the three and nine months ended September 30, 2014 , assuming the VantaCore and Sanish Field acquisitions had been completed as of January 1, 2014, including adjustments to reflect the values assigned to the net assets acquired: Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 (Unaudited) Revenues and other income except aggregates related and oil and gas related revenues $ 79,256 $ 215,345 Aggregates related revenues 52,735 134,995 Oil and gas related revenues 25,622 88,150 Total revenues and other income $ 157,613 $ 438,490 Net income $ 37,091 $ 106,615 Basic and diluted net income per common unit $ 0.33 $ 0.95 |
VantaCore Partners LLC [Member] | |
Business Acquisition [Line Items] | |
Schedule of Accounting for Acquisition | The accounting for the VantaCore acquisition was completed in the second quarter of 2015 and is summarized as follows: October 1, 2014 (In thousands) Consideration Cash $ 168,978 NRP common units 31,604 Total consideration given $ 200,582 Allocation of Purchase Price Current assets $ 37,222 Land, property and equipment 62,911 Mineral rights 111,500 Other assets 4,347 Current liabilities (16,953 ) Asset retirement obligation (3,285 ) Goodwill 4,840 Fair value of net assets acquired $ 200,582 |
Sanish Field [Member] | |
Business Acquisition [Line Items] | |
Schedule of Accounting for Acquisition | The results of operations of the acquisition have been included in our consolidated financial statements since the acquisition date. The accounting for the Sanish Field acquisition was completed in the second quarter of 2015 without significant changes during the measurement period and is summarized as follows: November 12, 2014 (In thousands) Consideration Cash $ 339,093 Allocation of Purchase Price Mineral rights - proven oil and gas properties 298,293 Mineral rights - probable and possible oil and gas resources 40,800 Fair value of net assets acquired $ 339,093 |
Equity Investment (Tables)
Equity Investment (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Summarized Financial Information | Our equity in the earnings of Ciner Wyoming is summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Income allocation to NRP’s equity interests $ 13,806 $ 11,170 $ 40,319 $ 33,300 Amortization of basis difference (1,189 ) (1,485 ) (3,580 ) (4,435 ) Equity in earnings of unconsolidated investment $ 12,617 $ 9,685 $ 36,739 $ 28,865 The results of Ciner Wyoming’s operations are summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Sales $ 117,340 $ 109,785 $ 359,970 $ 338,996 Gross profit 32,750 28,487 96,565 83,210 Net income 28,175 22,795 82,283 67,952 The financial position of Ciner Wyoming is summarized as follows (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Current assets $ 153,095 $ 200,622 Noncurrent assets 233,012 202,282 Current liabilities 44,566 47,704 Noncurrent liabilities 127,676 149,192 |
Plant and Equipment (Tables)
Plant and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Plant and Equipment | The Partnership’s plant and equipment consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Plant and equipment at cost $ 105,248 $ 89,759 Construction in process 993 457 Less accumulated depreciation (35,047 ) (30,123 ) Total plant and equipment, net $ 71,194 $ 60,093 |
Mineral Rights (Tables)
Mineral Rights (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Extractive Industries [Abstract] | |
Mineral Rights | The Partnership’s mineral rights consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Coal $ 1,196,091 $ 1,541,572 Oil and Gas 181,740 560,395 Aggregates 189,640 211,490 Other 14,948 15,014 Less: accumulated depletion and amortization (437,610 ) (546,619 ) Total mineral rights, net $ 1,144,809 $ 1,781,852 |
Schedule of Impairment Expenses | During the three and nine months ended September 30, 2015, the Partnership identified facts and circumstances that indicated that the carrying value of certain of its mineral rights exceed future cash flows from those assets and recorded non-cash impairment expense as follows (in thousands): Three Months Ended Nine Months Ended Impaired Asset Description 2015 2014 2015 2014 (Unaudited) Oil and gas properties (1) $ 335,662 $ — $ 335,662 $ — Coal properties (2) 247,815 — 249,362 — Aggregates properties (3) 43,361 — 43,361 — Total $ 626,838 $ — $ 628,385 $ — (1) Oil and gas property impairment in the third quarter of 2015 primarily resulted from declines in future expected realized commodity prices and reduced expected drilling activity on our acreage. NRP compared net capitalized costs of its oil and natural gas properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted future net cash flows, NRP recorded an impairment for the excess of net capitalized cost over fair value. A discounted cash flow method was used to estimate fair value. Significant inputs used to determine the fair value include estimates of: (i) oil and natural gas reserves and risk-adjusted probable reserves; (ii) future commodity prices; (iii) production costs, (iv) capital expenditures, (v) production and (vi) discount rates. The underlying commodity prices embedded in the Partnership's estimated cash flows are the product of a process that begins with NYMEX forward curve pricing as of the measurement date, adjusted for estimated location and quality differentials. (2) Coal property impairment in the third quarter of 2015 primarily resulted from the continued deterioration and expectations of further reductions in global and domestic coal demand due to reduced global steel demand, sustained low natural gas prices, and continued regulatory pressure on the electric power generation industry. NRP compared net capitalized costs of its coal properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted future cash flows, NRP recorded an impairment for the excess of net capitalized cost over fair value. Significant inputs used to determine fair value include estimates of future cash flow, discount rate and useful economic life. Estimated cash flows are the product of a process that began with current realized pricing as of the measurement date and included an adjustment for risk related to the future realization of those cash flows. (3) Aggregates property impairment in the third quarter of 2015 primarily resulted from greenfield development projects that have not performed as projected, leading to recent lease concessions on minimums and royalties combined with the continued regional market decline for certain properties. NRP compared net capitalized costs of its aggregates properties to estimated undiscounted future net cash flows. If the net capitalized cost exceeded the undiscounted cash flows, NRP wrote the net cost basis down to management's estimate of fair value. A discounted cash flow model was used to estimate fair value. Significant inputs used to determine fair value include estimates of future cash flow, discount rate and useful economic life. Estimated cash flows are the product of a process that began with current realized pricing as of the measurement date and included an adjustment for risk related to the future realization of those cash flows. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | The Partnership’s intangible assets consist of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) Contract intangibles $ 81,109 $ 82,972 Other intangibles 5,076 3,004 Less accumulated amortization (27,916 ) (25,243 ) Total intangible assets, net $ 58,269 $ 60,733 |
Debt and Debt-Affiliate (Tables
Debt and Debt-Affiliate (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt | As of September 30, 2015 and December 31, 2014 , Debt and debt—affiliate consisted of the following (in thousands): September 30, 2015 December 31, 2014 (Unaudited) NRP LP Debt: $425 million 9.125% senior notes, with semi-annual interest payments in April and October, due October 2018, $300 million issued at 99.007% and $125 million issued at 99.5% $ 422,734 $ 422,167 Opco Debt: $300 million floating rate revolving credit facility, due October 2017 290,000 — $300 million floating rate revolving credit facility, due August 2016 — 200,000 $200 million floating rate term loan, due January 2016 — 75,000 4.91% senior notes, with semi-annual interest payments in June and December, with annual principal payments in June, due in June 2018 13,850 18,467 8.38% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2019 85,714 107,143 5.05% senior notes, with semi-annual interest payments in January and July, with annual principal payments in July, due in July 2020 38,462 46,154 5.31% utility local improvement obligation, with annual principal and interest payments, due in March 2021 1,153 1,345 5.55% senior notes, with semi-annual interest payments in June and December, with annual principal payments in June, due in June 2023 21,600 24,300 4.73% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2023 67,500 67,500 5.82% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2024 135,000 150,000 8.92% senior notes, with semi-annual interest payments in March and September, with annual principal payments in March, due in March 2024 40,909 45,455 5.03% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2026 161,538 161,538 5.18% senior notes, with semi-annual interest payments in June and December, with annual principal payments in December, due in December 2026 46,154 46,154 NRP Oil and Gas Debt: Reserve-based revolving credit facility due November 2019 100,000 110,000 Total debt and debt—affiliate 1,424,614 1,475,223 Less: current portion of long-term debt, net (80,983 ) (80,983 ) Total long-term debt and debt—affiliate $ 1,343,631 $ 1,394,240 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Amount and Estimated Fair Value of Other Financial Instruments | The following table (in thousands) shows the carrying amount and estimated fair value of our other financial instruments: September 30, 2015 December 31, 2014 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value (Unaudited) Assets Contracts receivable—affiliate, current and long-term (1) $ 5,068 $ 5,381 $ 4,870 $ 5,162 Debt and debt—affiliate NRP LP senior notes (2) $ 422,734 $ 307,063 $ 422,167 $ 423,780 Opco senior notes and utility local improvement obligation (3) $ 611,880 $ 442,084 $ 668,056 $ 672,740 Opco revolving credit facility and term loan facility (4) $ 290,000 $ 290,000 $ 275,000 $ 275,000 NRP Oil and Gas revolving credit facility (4) $ 100,000 $ 100,000 $ 110,000 $ 110,000 (1) The Level 3 fair value is estimated by management using comparable term risk-free treasury issues with a market rate component determined by current financial instruments with similar characteristics. (2) The Level 1 fair value is based upon quotations obtained for identical instruments on the closing trading prices near quarter end. (3) The Level 3 fair value is estimated by management using quotations obtained for comparable instruments on the closing trading prices near quarter end. (4) The Level 3 fair value approximates the carrying amount because the interest rates are variable and reflective of market rates and the Partnership has the ability to repay this debt at any time without penalty. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Summary of Reimbursements | Direct general and administrative expenses charged to the Partnership by its general partner for services performed by WPPLP and Quintana Minerals Corporation are as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) General and administrative—affiliates $ 4,144 $ 3,083 $ 11,465 $ 9,177 |
Major Lessees (Tables)
Major Lessees (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Risks and Uncertainties [Abstract] | |
Revenues from Lessees that Exceeded Ten Percent of Total Revenues and Other Income | Revenues from lessees that exceeded ten percent of total revenues and other income for any of the periods presented below are as follows (in thousands except for percentages): Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Unaudited) (Unaudited) Revenues Percent Revenues Percent Revenues Percent Revenues Percent Foresight Energy and its affiliates $ 18,677 15% $ 24,863 27% $ 68,556 18% $ 63,116 24% Alpha Natural Resources 15,429 12% 14,406 16% 33,201 9% 38,857 15% |
Long-Term Incentive Plans (Tabl
Long-Term Incentive Plans (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Activity in Outstanding Grants | A summary of activity in the outstanding grants during 2015 is as follows (in thousands): Phantom Units Outstanding grants at January 1, 2015 1,153 Grants during the year 508 Grants vested and paid during the year (290 ) Forfeitures during the year (49 ) Outstanding grants at September 30, 2015 1,322 |
Cash Distributions Cash Distrib
Cash Distributions Cash Distributions (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Schedule of distributions paid | The following table shows the distributions paid by the Partnership during the nine months ended September 30, 2015 and 2014: Total Distributions (In thousands) Date Paid Period Covered by Distribution Distribution per Common Unit Common Units GP Interest Total 2015 February 13, 2015 October 1 - December 31, 2014 $ 0.35 $ 42,804 $ 874 $ 43,678 May 14, 2015 January 1 - March 31, 2015 0.09 11,007 225 11,232 August 14, 2015 April 1 - June 30, 2015 0.09 11,009 223 11,232 2014 January 31, 2014 October 1 - December 31, 2013 0.35 38,433 785 39,218 May 14, 2014 January 1 - March 31, 2014 0.35 38,634 787 39,421 August 14, 2014 April 1 - June 30, 2015 0.35 38,938 795 39,733 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Corporate Joint Venture [Member] | |
Collaborative Arrangements Non collaborative Arrangements And Business Acquisitions Transactions [Line Items] | |
Ownership percentage in joint venture | 51.00% |
Restatement Adjustment [Member] | |
Collaborative Arrangements Non collaborative Arrangements And Business Acquisitions Transactions [Line Items] | |
Depletion credit | $ 3.8 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) $ in Thousands | Nov. 12, 2014USD ($) | Oct. 01, 2014USD ($)QuarryPlantmine | Sep. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) |
Business Acquisition [Line Items] | ||||||||
Increase in plant and equipment acquired | $ 22,500 | |||||||
Increase in mineral rights, net and intangible assets, net | $ 24,700 | |||||||
Impairment expense | $ 626,838 | $ 0 | $ 630,641 | $ 5,624 | ||||
VantaCore Partners LLC [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Aggregate acquisition cost | $ 200,582 | |||||||
Number of hard rock quarries | Quarry | 3 | |||||||
Number of sand and gravel plants | Plant | 6 | |||||||
Number of asphalt plants | Plant | 2 | |||||||
Number of underground limestone mine | mine | 1 | |||||||
Revenues | 39,200 | 107,000 | ||||||
Net Income | 2,900 | 4,500 | ||||||
Sanish Field [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Aggregate acquisition cost | $ 339,100 | |||||||
Revenues | 7,200 | 31,600 | ||||||
Net Income | (197,800) | (197,000) | ||||||
Impairment expense | $ 194,500 | $ 194,500 |
Acquisitions - Schedule of Acco
Acquisitions - Schedule of Accounting for Acquisition (Detail) - USD ($) $ in Thousands | Nov. 12, 2014 | Oct. 01, 2014 | Sep. 30, 2015 | Dec. 31, 2014 |
Allocation of Purchase Price | ||||
Goodwill | $ 4,840 | $ 52,012 | ||
VantaCore Partners LLC [Member] | ||||
Consideration | ||||
Cash | $ 168,978 | |||
NRP common units | 31,604 | |||
Total consideration given | 200,582 | |||
Allocation of Purchase Price | ||||
Current assets | 37,222 | |||
Land, property and equipment | 62,911 | |||
Mineral rights | 111,500 | |||
Other assets | 4,347 | |||
Current liabilities | (16,953) | |||
Asset retirement obligation | (3,285) | |||
Goodwill | 4,840 | |||
Fair value of net assets acquired | $ 200,582 | |||
Sanish Field [Member] | ||||
Consideration | ||||
Cash | $ 339,093 | |||
Total consideration given | 339,100 | |||
Allocation of Purchase Price | ||||
Mineral rights - proven oil and gas properties | 298,293 | |||
Mineral rights - probable and possible oil and gas resources | 40,800 | |||
Fair value of net assets acquired | $ 339,093 |
Acquisitions - Business Acquisi
Acquisitions - Business Acquisition Pro Forma Financial Information (Unaudited) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2014 | Sep. 30, 2014 | |
Business Combinations [Abstract] | ||
Revenues and other income except aggregates related and oil and gas related revenues | $ 79,256 | $ 215,345 |
Aggregates related revenues | 52,735 | 134,995 |
Oil and gas related revenues | 25,622 | 88,150 |
Total revenues and other income | 157,613 | 438,490 |
Net income | $ 37,091 | $ 106,615 |
Basic and diluted net income per common unit | $ 0.33 | $ 0.95 |
Equity Investment - Additional
Equity Investment - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||||
Distributions from equity method Investment | $ 34,545 | $ 32,225 | |||
OCI Wyoming [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Percentage of partnership interest owned | 49.00% | 49.00% | |||
Distributions from equity method Investment | $ 12,700 | $ 10,300 | $ 34,500 | $ 35,900 | |
Difference between carried amount of investment and underlying equity | $ 155,300 | $ 155,300 | $ 162,700 |
Equity Investment - Schedule of
Equity Investment - Schedule of Summarized Financial Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||||
Equity in earnings of unconsolidated investment | $ 12,617 | $ 9,685 | $ 36,739 | $ 28,865 | |
Net income | (598,757) | 36,173 | (549,934) | 100,185 | |
Current assets | 133,004 | 133,004 | $ 136,118 | ||
Current liabilities | 149,821 | 149,821 | 147,931 | ||
OCI Wyoming [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Income allocation to NRP’s equity interests | 13,806 | 11,170 | 40,319 | 33,300 | |
Amortization of basis difference | (1,189) | (1,485) | (3,580) | (4,435) | |
Equity in earnings of unconsolidated investment | 12,617 | 9,685 | 36,739 | 28,865 | |
Sales | 117,340 | 109,785 | 359,970 | 338,996 | |
Gross profit | 32,750 | 28,487 | 96,565 | 83,210 | |
Net income | 28,175 | $ 22,795 | 82,283 | $ 67,952 | |
Current assets | 153,095 | 153,095 | 200,622 | ||
Noncurrent assets | 233,012 | 233,012 | 202,282 | ||
Current liabilities | 44,566 | 44,566 | 47,704 | ||
Noncurrent liabilities | $ 127,676 | $ 127,676 | $ 149,192 |
Plant and Equipment - Plant and
Plant and Equipment - Plant and Equipment (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Abstract] | ||
Plant and equipment at cost | $ 105,248 | $ 89,759 |
Construction in process | 993 | 457 |
Less accumulated depreciation | (35,047) | (30,123) |
Total plant and equipment, net | $ 71,194 | $ 60,093 |
Plant and Equipment - Additiona
Plant and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Property, Plant and Equipment [Line Items] | ||||
Total depreciation and amortization expense on plant and equipment | $ 3,900 | $ 1,300 | $ 12,900 | $ 3,800 |
Asset impairment | 626,838 | $ 0 | 630,641 | $ 5,624 |
Coal Preparation Plant [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Asset impairment | $ 0 | $ 2,300 |
Mineral Rights - Mineral Rights
Mineral Rights - Mineral Rights (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Less: accumulated depletion and amortization | $ (437,610) | $ (546,619) |
Mineral rights, net | 1,144,809 | 1,781,852 |
Coal [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Partnership's mineral rights | 1,196,091 | 1,541,572 |
Oil And Gas [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Partnership's mineral rights | 181,740 | 560,395 |
Aggregate [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Partnership's mineral rights | 189,640 | 211,490 |
Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Partnership's mineral rights | $ 14,948 | $ 15,014 |
Mineral Rights - Schedule of Im
Mineral Rights - Schedule of Impairment Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Mineral Properties, Net [Abstract] | ||||
Impairment expense | $ 626,838 | $ 0 | $ 630,641 | $ 5,624 |
Oil And Gas [Member] | ||||
Mineral Properties, Net [Abstract] | ||||
Impairment expense | 335,662 | 0 | 335,662 | 0 |
Coal [Member] | ||||
Mineral Properties, Net [Abstract] | ||||
Impairment expense | 247,815 | 0 | 249,362 | 0 |
Aggregate [Member] | ||||
Mineral Properties, Net [Abstract] | ||||
Impairment expense | 43,361 | 0 | 43,361 | 0 |
Mining Properties and Mineral Rights [Member] | ||||
Mineral Properties, Net [Abstract] | ||||
Impairment expense | $ 626,838 | $ 0 | $ 628,385 | $ 0 |
Mineral Rights - Additional Inf
Mineral Rights - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Extractive Industries [Abstract] | ||||
Total depletion and amortization expense on mineral rights | $ 21.8 | $ 16.5 | $ 66.6 | $ 43.2 |
Intangible Assets - Intangible
Intangible Assets - Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Contract intangibles | $ 81,109 | $ 82,972 |
Other intangibles | 5,076 | 3,004 |
Less accumulated amortization | (27,916) | (25,243) |
Total intangible assets, net | $ 58,269 | $ 60,733 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Total amortization expense on intangible assets | $ 1 | $ 0.9 | $ 3.2 | $ 2.6 |
Debt and Debt-Affiliate - Addit
Debt and Debt-Affiliate - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2015USD ($) | Oct. 31, 2014USD ($) | Sep. 30, 2013USD ($) | Aug. 31, 2013USD ($) | Sep. 30, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014 | Sep. 30, 2013USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014 | Dec. 31, 2013USD ($) | Apr. 30, 2015USD ($) | Nov. 30, 2014USD ($) | |
Debt Instrument [Line Items] | |||||||||||||
Floating rate revolving credit facility | $ 1,424,614,000 | $ 1,475,223,000 | $ 1,424,614,000 | ||||||||||
OCI Wyoming [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Percentage of partnership interest owned | 49.00% | 49.00% | |||||||||||
Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Weighted average interest rate | 3.05% | 1.94% | 2.41% | 1.96% | |||||||||
Revolving Credit Facility [Member] | OCI Wyoming [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Percentage of partnership interest owned | 49.00% | 49.00% | |||||||||||
NRP LP Senior Notes [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, redemption price, percentage | 109.125% | ||||||||||||
Redemption price at change of control event, as a percentage of principal | 101.00% | ||||||||||||
Maximum [Member] | NRP LP Senior Notes [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, redemption price, percentage of principal amount may redeemed | 35.00% | ||||||||||||
Redemption period from equity offering closing period | 180 days | ||||||||||||
Minimum [Member] | NRP LP Senior Notes [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, redemption price, percentage of principal remaining after redemption | 65.00% | ||||||||||||
Term Loan [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Repayment of principal amount | 24,000,000 | $ 101,000,000 | |||||||||||
Weighted average interest rate | 2.19% | 2.19% | 2.19% | 2.23% | |||||||||
Amount received from debt issuance | $ 200,000,000 | ||||||||||||
Borrowings outstanding | $ 75,000,000 | $ 75,000,000 | |||||||||||
NRP LP [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Floating rate revolving credit facility | $ 125,000,000 | $ 300,000,000 | $ 300,000,000 | ||||||||||
Repayment of principal amount | $ 289,000,000 | ||||||||||||
Proceeds from issuance of cost | $ 122,600,000 | ||||||||||||
NRP LP [Member] | Maximum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Fixed charge coverage ratio | 2 | 2 | |||||||||||
NRP LP [Member] | Minimum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Fixed charge coverage ratio | 1 | 1 | |||||||||||
NRP LP [Member] | Senior Notes [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Rate of senior notes | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% | ||||||||
Senior Note issue percentage | 99.50% | 99.007% | 99.007% | ||||||||||
NRP LP [Member] | 9.125% Senior Notes, with Semi-annual Interest Payments in April and October, Maturing October 2018 [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Rate of senior notes | 9.125% | 9.125% | |||||||||||
Floating rate revolving credit facility | $ 422,734,000 | 422,167,000 | $ 422,734,000 | ||||||||||
NRP LP [Member] | 9.125% Senior Notes, with Semi-annual Interest Payments in April and October, Maturing October 2018 [Member] | Senior Notes Issued at 99.007% [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Senior Note issue percentage | 99.007% | 99.007% | |||||||||||
Revolving credit facility current borrowing base | $ 300,000,000 | $ 300,000,000 | |||||||||||
Opco [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Ratio of consolidated indebtedness to consolidated EBITDDA | 4 | ||||||||||||
Ratio of consolidated EBITDDA to consolidated fixed charges | 3.5 | ||||||||||||
Principal payments on its senior notes | $ 56,000,000 | ||||||||||||
Percentage of consolidated net tangible assets debt of subsidiaries not permitted to exceed | 10.00% | ||||||||||||
Opco [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Ratio of consolidated EBITDDA to consolidated fixed charges | 3.5 | ||||||||||||
Carrying value of secured revolving credit facility | $ 720,500,000 | $ 720,500,000 | |||||||||||
Commitment fee on the unused portion of the borrowing base under the credit facility | 0.50% | ||||||||||||
Opco [Member] | Revolving Credit Facility [Member] | Federal Funds Rate [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest rate spread for base rate | 0.50% | ||||||||||||
Opco [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest rate spread for base rate | 1.00% | ||||||||||||
Opco [Member] | Fiscal Quarter Ending on or Before March 31, 2016 [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Ratio of consolidated indebtedness to consolidated EBITDDA | 4 | ||||||||||||
Opco [Member] | Fiscal Quarter Ending on or Before March 31, 2017 [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Ratio of consolidated indebtedness to consolidated EBITDDA | 3.75 | ||||||||||||
Opco [Member] | Fiscal Quarter Ending on or After June 30, 2017 [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Ratio of consolidated indebtedness to consolidated EBITDDA | 3.5 | ||||||||||||
Opco [Member] | Revolving Credit Facility Basis Spread Condition One [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 2.375% | ||||||||||||
Opco [Member] | Revolving Credit Facility Basis Spread Condition Two [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 3.375% | ||||||||||||
Opco [Member] | Maximum [Member] | Revolving Credit Facility Basis Spread Condition One [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 2.50% | ||||||||||||
Opco [Member] | Maximum [Member] | Revolving Credit Facility Basis Spread Condition Two [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 3.50% | ||||||||||||
Opco [Member] | Minimum [Member] | Revolving Credit Facility Basis Spread Condition One [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 1.50% | ||||||||||||
Opco [Member] | Minimum [Member] | Revolving Credit Facility Basis Spread Condition Two [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 2.50% | ||||||||||||
Opco [Member] | Senior Notes [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Additional interest accrue | 2.00% | 2.00% | |||||||||||
Partnership leverage ratio | 3.75 | ||||||||||||
Opco [Member] | $300 Million Floating Rate Revolving Credit Facility, Due October 2017 [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Floating rate revolving credit facility | $ 290,000,000 | 0 | $ 290,000,000 | ||||||||||
Revolving credit facility current borrowing base | $ 300,000,000 | 300,000,000 | 300,000,000 | ||||||||||
Opco [Member] | $300 Million Floating Rate Revolving Credit Facility, Due October 2017 [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Line of credit facility maturity date | Oct. 2, 2017 | ||||||||||||
Opco [Member] | $300 Million Floating Rate Revolving Credit Facility, Due August 2016 [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Floating rate revolving credit facility | 0 | 200,000,000 | 0 | ||||||||||
Revolving credit facility current borrowing base | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | ||||||||||
Opco [Member] | Senior Notes Due March Two Zero One Nine [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Rate of senior notes | 8.38% | 8.38% | |||||||||||
Floating rate revolving credit facility | $ 85,714,000 | 107,143,000 | $ 85,714,000 | ||||||||||
Opco [Member] | Eight Point Nine Two Senior Notes Due March Two Zero Two Four [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Rate of senior notes | 8.92% | 8.92% | |||||||||||
Floating rate revolving credit facility | $ 40,909,000 | 45,455,000 | $ 40,909,000 | ||||||||||
NRP Oil and Gas [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Leverage ratio, maximum | 3.5 | ||||||||||||
Commitment fee on the undrawn portion of the revolving credit facility rates | 0.375% to 0.50% | ||||||||||||
Current ratio, minimum | 1 | ||||||||||||
NRP Oil and Gas [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Repayment of principal amount | $ 10,000,000 | ||||||||||||
Revolving credit facility current borrowing base | $ 105,000,000 | ||||||||||||
Weighted average interest rate | 2.70% | 1.90% | 2.57% | 1.90% | |||||||||
Borrowings outstanding | $ 100,000,000 | $ 110,000,000 | $ 100,000,000 | ||||||||||
Term of credit facility | 5 years | ||||||||||||
Senior secured revolving credit facility | $ 100,000,000 | ||||||||||||
Revolving credit facility borrowing base | $ 105,000,000 | $ 137,000,000 | |||||||||||
Revolving credit facility maturity period | 2019-11 | ||||||||||||
NRP Oil and Gas [Member] | Revolving Credit Facility [Member] | Federal Funds Rate [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest rate spread for base rate | 0.50% | ||||||||||||
NRP Oil and Gas [Member] | Amended on November 2014 [Member] | Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Revolving credit facility borrowing base | $ 500,000,000 | ||||||||||||
NRP Oil and Gas [Member] | Maximum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Commitment fee on the unused portion of the borrowing base under the credit facility | 0.50% | ||||||||||||
NRP Oil and Gas [Member] | Maximum [Member] | Revolving Credit Facility Basis Spread Condition One [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 1.50% | ||||||||||||
NRP Oil and Gas [Member] | Maximum [Member] | Revolving Credit Facility Basis Spread Condition Two [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 2.50% | ||||||||||||
NRP Oil and Gas [Member] | Minimum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Commitment fee on the unused portion of the borrowing base under the credit facility | 0.375% | ||||||||||||
NRP Oil and Gas [Member] | Minimum [Member] | Revolving Credit Facility Basis Spread Condition One [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 0.50% | ||||||||||||
NRP Oil and Gas [Member] | Minimum [Member] | Revolving Credit Facility Basis Spread Condition Two [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Applicable margin interest rate | 1.50% |
Debt and Debt-Affiliate - Debt
Debt and Debt-Affiliate - Debt (Detail) - USD ($) | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Oct. 31, 2014 | Sep. 30, 2013 |
Debt Instrument [Line Items] | |||||
Total debt | $ 1,424,614,000 | $ 1,475,223,000 | |||
Less: current portion of long-term debt, net | (80,983,000) | (80,983,000) | |||
Total long-term debt and debt - affiliate | 1,343,631,000 | 1,394,240,000 | |||
NRP LP [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 125,000,000 | $ 300,000,000 | |||
NRP LP [Member] | 9.125% Senior Notes, with Semi-annual Interest Payments in April and October, Maturing October 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 422,734,000 | 422,167,000 | |||
Senior Notes, Face amount | $ 425,000,000 | ||||
Rate of senior notes | 9.125% | ||||
NRP LP [Member] | 9.125% Senior Notes, with Semi-annual Interest Payments in April and October, Maturing October 2018 [Member] | Senior Notes Issued at 99.007% [Member] | |||||
Debt Instrument [Line Items] | |||||
Floating rate revolving credit facility | $ 300,000,000 | ||||
Senior Notes issue percentage | 99.007% | ||||
NRP LP [Member] | 9.125% Senior Notes, with Semi-annual Interest Payments in April and October, Maturing October 2018 [Member] | Senior Notes Issued at 99.5% [Member] | |||||
Debt Instrument [Line Items] | |||||
Floating rate revolving credit facility | $ 125,000,000 | ||||
Senior Notes issue percentage | 99.50% | ||||
Opco [Member] | $300 Million Floating Rate Revolving Credit Facility, Due October 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 290,000,000 | 0 | |||
Floating rate revolving credit facility | 300,000,000 | $ 300,000,000 | |||
Opco [Member] | $300 Million Floating Rate Revolving Credit Facility, Due August 2016 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 0 | 200,000,000 | |||
Floating rate revolving credit facility | 300,000,000 | $ 300,000,000 | |||
Opco [Member] | $200 Million Floating Rate Term Loan, Due January 2016 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 0 | 75,000,000 | |||
Floating rate revolving credit facility | 200,000,000 | ||||
Opco [Member] | 4.91% Senior Notes, with Semi-annual Interest Payments in June and December, with Annual Principal Payments in June, Maturing in June 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 13,850,000 | 18,467,000 | |||
Rate of senior notes | 4.91% | ||||
Opco [Member] | 8.38% Senior Notes, with Semi-annual Interest Payments in March and September, with Annual Principal Payments in March, Maturing in March 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 85,714,000 | 107,143,000 | |||
Rate of senior notes | 8.38% | ||||
Opco [Member] | 5.05% Senior Notes, with Semi-annual Interest Payments in January and July, with Annual Principal Payments in July, Maturing in July 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 38,462,000 | 46,154,000 | |||
Rate of senior notes | 5.05% | ||||
Opco [Member] | 5.31% Utility Local Improvement Obligation, with Annual Principal and Interest Payments, Maturing in March 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 1,153,000 | 1,345,000 | |||
Rate of senior notes | 5.31% | ||||
Opco [Member] | 5.55% Senior Notes, with Semi-annual Interest Payments in June and December, with Annual Principal Payments in June, Maturing in June 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 21,600,000 | 24,300,000 | |||
Rate of senior notes | 5.55% | ||||
Opco [Member] | 4.73% Senior Notes, with Semi-annual Interest Payments in June and December, with Annual Principal Payments in December, Maturing in December 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 67,500,000 | 67,500,000 | |||
Rate of senior notes | 4.73% | ||||
Opco [Member] | 5.82% Senior Notes, with Semi-annual Interest Payments in March and September, with Annual Principal Payments in March, Maturing in March 2024 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 135,000,000 | 150,000,000 | |||
Rate of senior notes | 5.82% | ||||
Opco [Member] | 8.92% Senior Notes, with Semi-annual Interest Payments in March and September, with Annual Principal Payments in March, Maturing in March 2024 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 40,909,000 | 45,455,000 | |||
Rate of senior notes | 8.92% | ||||
Opco [Member] | 5.03% Senior Notes, with Semi-annual Interest Payments in June and December, with Annual Principal Payments in December, Maturing in December 2026 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 161,538,000 | 161,538,000 | |||
Rate of senior notes | 5.03% | ||||
Opco [Member] | 5.18% Senior Notes, with Semi-annual Interest Payments in June and December, with Annual Principal Payments in December, Maturing in December 2026 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 46,154,000 | 46,154,000 | |||
Rate of senior notes | 5.18% | ||||
NRP Oil and Gas [Member] | Reserve Based Revolving Credit Facility Due 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | $ 100,000,000 | $ 110,000,000 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Carrying Amount and Estimated Fair Value of Other Financial Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Contracts receivable—affiliate, current and long-term | $ 5,068 | $ 4,870 |
NRP LP Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying amount | 422,734 | 422,167 |
Estimated fair value | 307,063 | 423,780 |
Opco Senior Notes and Utility Local Improvement Obligation [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying amount | 611,880 | 668,056 |
Estimated fair value | 442,084 | 672,740 |
Opco Revolving Credit Facility and Term Loan Facility [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying amount | 290,000 | 275,000 |
Estimated fair value | 290,000 | 275,000 |
NRP Oil and Gas Revolving Credit Facility [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying amount | 100,000 | 110,000 |
Estimated fair value | 100,000 | 110,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Contracts receivable—affiliate, current and long-term | $ 5,381 | $ 5,162 |
Fair value Measurements - Addit
Fair value Measurements - Additional Information (Detail) $ in Millions | Mar. 31, 2015USD ($) |
NRP LP Senior Notes [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Estimated fair value | $ 378.3 |
NRP LP Senior Notes [Member] | Scenario, Previously Reported [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Estimated fair value | 417 |
Opco Senior Notes and Utility Local Improvement Obligation [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Estimated fair value | 557.9 |
Opco Senior Notes and Utility Local Improvement Obligation [Member] | Scenario, Previously Reported [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Estimated fair value | $ 629.5 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Oct. 31, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Related Party Transaction [Line Items] | ||||||
Accounts payable - affiliates | $ 2,566 | $ 2,566 | $ 950 | |||
Lease expenses | 200 | $ 200 | 500 | $ 500 | ||
Total revenues and other income | 125,479 | 91,609 | 372,786 | 262,479 | ||
Unrecouped minimum royalty payments | 83,654 | 83,654 | 87,053 | |||
Aggregate payments remaining under the lease | 5,068 | 5,068 | 4,870 | |||
Accounts receivable - affiliate | 7,450 | 7,450 | 9,494 | |||
Gain on reserve swaps | 9,300 | 5,700 | ||||
Other assets—affiliate | $ 1,525 | $ 1,525 | 0 | |||
Senior Notes Due 2018 [Member] | Cline Trust Company, LLC [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Partnership common units owned | 5,350 | 5,350 | ||||
Principal amount of partnership purchased | $ 20,000 | $ 20,000 | ||||
Rate of senior notes | 9.125% | 9.125% | 9.125% | |||
Aggregate principal amount of senior notes | $ 125,000 | |||||
Senior notes due | $ 19,900 | $ 19,900 | ||||
Quintana Minerals [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Accounts payable - affiliates | 700 | 700 | 600 | |||
Western Pocahontas Properties Limited Partnership [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Accounts payable - affiliates | 1,900 | 1,900 | 400 | |||
Coal related expenses-affiliates | (100) | 0 | ||||
Other assets—affiliate | 1,500 | 1,500 | 0 | |||
Western Pocahontas Properties Limited Partnership [Member] | Affiliated Entity [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Accounts receivable-affiliates | 100 | $ 100 | 0 | |||
Cline Affiliates [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Rate of interest in the partnerships general partner | 31.00% | |||||
Related party transaction number of units hold by the related party in partnerships' general partner | 4,900 | |||||
Unrecouped minimum royalty payments | 83,400 | $ 83,400 | ||||
Net amount receivable | 5,100 | 5,100 | 5,600 | |||
Accounts receivable - affiliate | 1,000 | 1,000 | 1,100 | |||
Foresight Energy LP [Member] | Coal Sales [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Total revenues and other income | 18,700 | 24,900 | 68,600 | 63,100 | ||
Foresight Energy LP [Member] | Affiliated Entity [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Accounts receivable-affiliates | 7,200 | 7,200 | 9,200 | |||
Sugar Camp [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Aggregate payments remaining under the lease | 82,700 | 82,700 | 86,300 | |||
Unearned income | 36,200 | 36,200 | 39,000 | |||
Net amount receivable | 46,500 | 46,500 | 47,300 | |||
Accounts receivable - affiliate | 2,100 | 2,100 | 1,800 | |||
Corsa [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Unrecouped minimum royalty payments | 300 | 300 | ||||
Accounts receivable - affiliate | 200 | 200 | $ 300 | |||
Coal royalty revenues | $ 900 | $ 700 | $ 2,400 | $ 2,200 |
Related Party Transactions - Su
Related Party Transactions - Summary of Reimbursements (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Related Party Transaction [Line Items] | ||||
Reimbursement for services | $ 4,144 | $ 3,083 | $ 11,465 | $ 9,177 |
Western Pocahontas Properties and Quintana Minerals Corporation [Member] | ||||
Related Party Transaction [Line Items] | ||||
Reimbursement for services | $ 4,144 | $ 3,083 | $ 11,465 | $ 9,177 |
Major Lessees - Revenues from L
Major Lessees - Revenues from Lessees that Exceeded Ten Percent of Total Revenues and Other Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Foresight Energy and Affiliates [Member] | ||||
Operating Leased Assets [Line Items] | ||||
Revenues | $ 18,677 | $ 24,863 | $ 68,556 | $ 63,116 |
Percent | 15.00% | 27.00% | 18.00% | 24.00% |
Alpha Natural Resources [Member] | ||||
Operating Leased Assets [Line Items] | ||||
Revenues | $ 15,429 | $ 14,406 | $ 33,201 | $ 38,857 |
Percent | 12.00% | 16.00% | 9.00% | 15.00% |
Major Lessees - Additional Info
Major Lessees - Additional Information (Detail) $ in Millions | 3 Months Ended |
Sep. 30, 2015USD ($) | |
Alpha Natural Resources [Member] | |
Operating Leased Assets [Line Items] | |
Non-recurring lease assignment fee | $ 6 |
Long-Term Incentive Plans - Sum
Long-Term Incentive Plans - Summary of Activity in Outstanding Grants (Detail) | 9 Months Ended |
Sep. 30, 2015shares | |
Compensation and Retirement Disclosure [Abstract] | |
Outstanding grants at the beginning of the period | 1,153,393 |
Grants during the year | 508,486 |
Grants vested and paid during the year | (290,430) |
Forfeitures during the year | (49,135) |
Outstanding grants at the end of the period | 1,322,314 |
Long-Term Incentive Plans - Add
Long-Term Incentive Plans - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period of grants in years | 4 years | |||
Risk free interest rate, minimum | 0.37% | |||
Risk free interest rate, maximum | 1.01% | |||
Volatility rate, minimum | 49.55% | |||
Volatility rate, maximum | 75.34% | |||
Partnership's historical distribution rate | 7.69% | 7.69% | ||
Partnership's historical forfeiture rate | 5.71% | 5.71% | ||
Expenses related to Incentive Plan to be reimbursed to general partner | $ 4.4 | $ 6.5 | ||
Unaccrued cost associated with outstanding grants and related DERs | $ 2.3 | $ 7.7 | 2.3 | 7.7 |
General Partner [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Payments made in connection with Long-Term Incentive Plan | $ 0.2 | $ 1.1 | $ 1.7 | $ 1.5 |
Cash Distributions Cash Distr56
Cash Distributions Cash Distributions - Schedule of distributions paid (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 14, 2015 | May. 14, 2015 | Feb. 13, 2015 | Aug. 14, 2014 | May. 14, 2014 | Jan. 31, 2014 | Sep. 30, 2015 | Sep. 30, 2014 |
Equity [Abstract] | ||||||||
Distribution per common Unit | $ 0.09 | $ 0.09 | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.35 | ||
Distribution paid to common unitholders’ | $ 11,009 | $ 11,007 | $ 42,804 | $ 38,938 | $ 38,634 | $ 38,433 | $ 66,142 | $ 118,372 |
Distribution paid to general partners | 223 | 225 | 874 | 795 | 787 | 785 | ||
Total distribution paid | $ 11,232 | $ 11,232 | $ 43,678 | $ 39,733 | $ 39,421 | $ 39,218 | $ 66,142 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Sep. 30, 2015 | Apr. 30, 2015 | |
OCI Wyoming [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Contingent consideration accrued | $ 8.8 | |||
Anadarko Holding Company [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Contingent consideration accrued | $ 8.8 | |||
Net present value payable of contingent consideration under the agreement | $ 50 | |||
Anadarko Holding Company [Member] | OCI Wyoming [Member] | ||||
Commitments And Contingencies [Line Items] | ||||
Contingent consideration paid | $ 3.8 | $ 0.5 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) | Oct. 21, 2015 | Oct. 31, 2015 | Sep. 30, 2015 | Apr. 30, 2015 | Dec. 31, 2014 | Nov. 30, 2014 |
Revolving Credit Facility [Member] | NRP Oil and Gas [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Revolving credit facility borrowing base | $ 105,000,000 | $ 137,000,000 | ||||
Repayment of principal amount | $ 10,000,000 | |||||
Borrowings outstanding | $ 100,000,000 | $ 110,000,000 | ||||
Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Distributions per unit declared | $ 0.045 | |||||
Subsequent Event [Member] | Revolving Credit Facility [Member] | NRP Oil and Gas [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Revolving credit facility borrowing base | $ 88,000,000 | |||||
Repayment of principal amount | 15,000,000 | |||||
Borrowings outstanding | $ 85,000,000 |