Alliance Resource Partners, L.P. Reports Third Quarter 2026 Financial and Operating Results; Declares Quarterly Cash Distribution of $0.60 Per Unit; and Updates Guidance

2026 Quarter Highlights

• Total revenues of $603.0 million and net income attributable to ARLP of $139.6 million, up year-over-year 5.5% and 46.8%, respectively
• Adjusted EBITDA attributable to ARLP of $233.9 million, up 26.3% year-over-year
• Segment Adjusted EBITDA Expense per ton sold at our Coal Operations improved 13.1% year-over-year and 7.9% sequentially
• Record oil & gas royalty revenues and volumes, driven by $223.5 million of acquisitions completed during the quarter
• Distributable Cash Flow of $136.8 million and Distribution Coverage Ratio of 1.76x improved over 27% sequentially
• Declares quarterly cash distribution of $0.60 per unit, or $2.40 per unit annualized

TULSA, Okla.–(BUSINESS WIRE)–Alliance Resource Partners, L.P. (NASDAQ: ARLP) (“we,” “us,” “our,” “ARLP” or the “Partnership”) today reported financial and operating results for the three and nine months ended September 30, 2026 (the “2026 Quarter” and “2026 Period,” respectively). This release includes comparisons of results to the three and nine months ended September 30, 2025 (the “2025 Quarter” and “2025 Period,” respectively) and to the quarter ended June 30, 2026 (the “Sequential Quarter”).

The use of “attributable to ARLP” indicates the exclusion of noncontrolling interests. For a definition of EBITDA, Adjusted EBITDA, Adjusted EBITDA attributable to ARLP and Segment Adjusted EBITDA Expense and related reconciliations to comparable GAAP financial measures, please see the end of this release.

Financial Summary

• Total revenues in the 2026 Quarter increased 5.5% and 9.3% compared to the 2025 Quarter and Sequential Quarter, respectively, as a result of record oil & gas royalty revenues, increased coal sales volumes and higher other revenues, partially offset by lower coal sales price per ton.
• Net income attributable to ARLP increased 46.8% and 75.5% compared to the 2025 Quarter and Sequential Quarter, respectively, primarily as a result of higher total revenues and equity method investment income, lower operating expenses, a $16.5 million increase in the fair value of our digital assets and a $6.3 million gain recognized as a result of the remeasurement of our previously held equity investment in AllDale III in connection with the AllDale III & IV acquisition. Partially offsetting these increases were higher income tax expenses and a $7.3 million loss on the derivative instruments acquired in the AllDale III & IV acquisition.
• Adjusted EBITDA attributable to ARLP increased 26.3% and 26.4% compared to the 2025 Quarter and Sequential Quarter, respectively, primarily driven by higher Coal Operations Segment Adjusted EBITDA, the contribution from the AllDale III & IV acquisition and higher equity method investment income, partially offset by higher general and administrative expenses.

CEO Commentary

“We had an outstanding third quarter led by our Coal Operations’ strong shipping quarter combined with Hamilton being back on longwall production and River View and Tunnel Ridge operating well, which drove Segment Adjusted EBITDA at our Coal Operations 23.1% higher sequentially to $186.8 million, while Segment Adjusted EBITDA Expense per ton sold declined 13.1% year-over-year,” said Joseph W. Craft III, Chairman, President and Chief Executive Officer. “The capital we have invested in our operations over the past several years is translating into a lower-cost, more reliable platform.”

Mr. Craft added, “In our first full quarter including AllDale III & IV, our Oil & Gas Royalties segment generated Segment Adjusted EBITDA attributable to ARLP of $43.6 million, up 16.8% sequentially and 61.4% year-over-year. The acquisition meaningfully increases the segment’s contribution to ARLP’s consolidated cash flows and expands our exposure to natural gas, which we believe will continue to benefit from growing LNG exports and rising power demand.”

Segment Results and Analysis (Unaudited)

Coal Operations

• Illinois Basin tons sold increased 6.4% compared to the 2025 Quarter and 10.5% compared to the Sequential Quarter, driven by the resumption of longwall production at Hamilton following its extended longwall move.
• Appalachia tons sold increased 10.7% compared to the 2025 Quarter and 5.7% compared to the Sequential Quarter on strong sales at Tunnel Ridge.
• Coal sales price per ton in the Illinois Basin was in line with comparable periods, and in Appalachia decreased compared to the 2025 Quarter due to an increased sales mix of lower priced Tunnel Ridge volumes and lower sales price per ton at Tunnel Ridge and Mettiki.
• Segment Adjusted EBITDA Expense per ton in the Illinois Basin decreased 10.2% compared to the 2025 Quarter and 11.1% compared to the Sequential Quarter due to higher production at Hamilton and improved per ton costs at our River View operation.
• In Appalachia, Segment Adjusted EBITDA Expense per ton for the 2026 Quarter decreased 19.9% compared to the 2025 Quarter due to increased production at our Tunnel Ridge operation as well as a higher sales mix of lower-cost Tunnel Ridge volumes.
• Segment Adjusted EBITDA for our Total Coal Operations of $186.8 million increased 18.6% year-over-year and 23.1% sequentially, driven by higher Illinois Basin volumes and lower per ton costs.
• ARLP ended the 2026 Quarter with total coal inventory of 0.9 million tons, which was consistent with the end of the 2025 Quarter and represented a slight increase sequentially.

Royalties

• On July 1, 2026, we completed the AllDale III & IV acquisition for approximately $206.2 million, adding control of approximately 48,500 net royalty acres across premier basins and resource plays including the Permian, Anadarko, Bakken and Haynesville.
• Oil & gas royalty volumes increased significantly in the 2026 Quarter compared to the 2025 Quarter and Sequential Quarter primarily due to the AllDale III & IV acquisition.
• Average sales price per BOE increased 15.5% compared to the 2025 Quarter on higher realized crude oil prices, partially offset by a higher natural gas volume mix following the AllDale III & IV acquisition. Compared to the Sequential Quarter, average sales price per BOE decreased 16.6%, primarily due to lower realized crude oil prices and a higher mix of natural gas volumes.
• Oil & Gas Royalties Segment Adjusted EBITDA attributable to ARLP was a quarterly record $43.6 million, increasing 61.4% and 16.8% compared to the 2025 Quarter and Sequential Quarter, respectively.
• Coal Royalties Segment Adjusted EBITDA of $18.2 million, increased 6.2% and 40.0% compared to the 2025 Quarter and Sequential Quarter, respectively, due to higher royalty tons sold, primarily from Tunnel Ridge and Hamilton.

Balance Sheet and Liquidity

As of September 30, 2026, total debt and finance leases were outstanding in the amount of $679.9 million. The Partnership’s total and net leverage ratios were 0.89 times and 0.78 times debt to trailing twelve months Adjusted EBITDA attributable to ARLP, respectively, as of September 30, 2026. ARLP ended the 2026 Quarter with total liquidity of $430.8 million, which included $84.8 million of cash and cash equivalents and $346.0 million of borrowings available under its revolving credit and accounts receivable securitization facilities. In addition, ARLP held 673 bitcoins valued at $56.3 million as of September 30, 2026.

Distributions

ARLP announced today that the Board of Directors of ARLP’s general partner approved a cash distribution to unitholders for the 2026 Quarter of $0.60 per unit (an annualized rate of $2.40 per unit), payable on November 13, 2026, to all unitholders of record as of the close of trading on November 6, 2026. The Distribution Coverage Ratio for the 2026 Quarter was 1.76x.

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

Outlook

“We believe the fundamentals supporting coal demand continue to build,” Mr. Craft continued. “Electricity load in the markets we serve is growing while permitting, interconnection and supply chain constraints are slowing the pace at which new generation can come online. We believe this dynamic will extend the runway for the existing coal fleet, with the impact becoming increasingly visible in our customers’ coal burn as data center-driven demand materializes.”

“We continue to convert this constructive market into contracted volumes. During the quarter, we added 4.2 million committed and priced tons through 2028, and we are essentially fully committed at the midpoint of our 2026 sales volume guidance. With 31.7 million tons committed and priced for 2027, we enter next year with substantial visibility and the operating capacity to capture additional demand as commercial opportunities develop.”

Mr. Craft added, “Export markets have become a more meaningful component of our sales portfolio, with 3.7 million tons committed and priced for 2026 and 3.0 million tons for 2027. Market conditions remain dynamic, and we remain cautiously optimistic that additional export opportunities could provide upside to our sales volumes next year.”

Mr. Craft concluded, “In our Oil & Gas Royalties segment, if today’s crude oil prices remain elevated, we could be in a position to have another record quarter to finish the year. Looking forward, we expect that 2027 results will compare favorably to 2026 due to the full-year contribution of minerals acquired this year as well as anticipated mineral investments next year to be funded by the segment’s after-tax cash flow.”

Guidance

ARLP is updating the following guidance for the full year ending December 31, 2026:

Derivatives

As of September 30, 2026, ARLP had the following outstanding derivative contracts, which it assumed in connection with the AllDale III & IV acquisition. When aggregating multiple contracts, the weighted average contract price is disclosed.

Conference Call

A conference call regarding ARLP’s 2026 Quarter financial results and updated 2026 guidance is scheduled for today at 10:00 a.m. Eastern. To participate in the conference call, dial (877) 407-0784 and request to be connected to the Alliance Resource Partners, L.P. earnings conference call. International callers should dial (201) 689-8560 and request to be connected to the same call. Investors may also listen to the call via the “Investors” section of ARLP’s website at www.arlp.com.

An audio replay of the conference call will be available for approximately one week. To access the audio replay, dial U.S. Toll Free (844) 512-2921; International Toll (412) 317-6671 and request to be connected to replay using access code 13762993.

About Alliance Resource Partners, L.P.

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

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

The statements and projections used throughout this release are based on current expectations. These statements and projections are forward-looking, and actual results may differ materially. These projections do not include the potential impact of any mergers, acquisitions or other business combinations that may occur after the date of this release. We have included more information below regarding business risks that could affect our results.

FORWARD-LOOKING STATEMENTS: With the exception of historical matters, any matters discussed in this press release are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from projected results. Those forward-looking statements include expectations with respect to our future financial and operational performance, coal and oil & gas consumption and expected future prices, our ability to increase or maintain unitholder distributions in future quarters, business plans and potential growth, optimizing cash flows, reducing operating and capital expenditures, growth in domestic electricity demand and the timing of bringing new generation online, preserving liquidity and maintaining financial flexibility, and our future repurchases of units. These risks to our ability to achieve these outcomes include, but are not limited to, the following: decline in the coal industry’s share of electricity generation, including as a result of environmental concerns related to coal mining and combustion, the cost and perceived benefits of other sources of electricity and fuels, such as oil & gas, nuclear energy, and renewable fuels and the retirement of coal-fired power plants in the U.S.; our ability to provide fuel for growth in domestic energy demand, should it materialize; changes in macroeconomic and market conditions and market volatility, and the impact of such changes and volatility on our financial position; changes in global economic and geo-political conditions or changes in industries in which our customers operate; changes in commodity prices, demand and availability which could affect our operating results and cash flows; impacts of geopolitical events, including the conflicts in Ukraine and in the Middle East, including Iran and disruption of maritime traffic through the Strait of Hormuz; actions of the major oil-producing countries with respect to oil production volumes and prices and the direct and indirect impacts over the near and long term on oil & gas exploration and production operations at the properties in which we hold mineral interests; changes in competition in domestic and international coal markets and our ability to respond to such changes; potential shut-ins of production by the operators of the properties in which we hold oil & gas mineral interests due to low commodity prices or the lack of downstream demand or storage capacity; risks associated with the expansion of and investments into the infrastructure of our operations and properties, including the timing of such investments coming online; our ability to identify and complete acquisitions and to successfully integrate such acquisitions into our business and achieve the anticipated benefits therefrom; our ability to identify and invest in new energy and infrastructure ventures; the success of our development and growth plans for our wholly owned subsidiary, Matrix Design Group, LLC, and our investments in emerging and other infrastructure and technology companies; dependence on significant customer contracts, and failure of customers to renew existing contracts upon expiration; adjustments made in price, volume, or terms to existing coal supply agreements; the effects of and changes in trade, monetary and fiscal policies and laws, and the results of central bank policy actions including interest rates, bank failures, and associated liquidity risks; the effects of and changes in taxes or tariffs and other trade measures adopted or threatened by the United States and foreign governments, including the imposition of or increase in tariffs on steel and/or other raw materials; legislation, regulations, and court decisions and interpretations thereof, both domestic and foreign, including those relating to the environment and the release of greenhouse gases, such as state legislation seeking to impose liability on a wide range of energy companies under greenhouse gas “superfund” laws, mining, miner health and safety, hydraulic fracturing, and health care; deregulation of the electric utility industry or the effects of any adverse change in the coal industry, electric utility industry, or general economic conditions; investors’ and other stakeholders’ attention to sustainability matters; liquidity constraints, including those resulting from any future unavailability of financing; customer bankruptcies, cancellations or breaches to existing contracts, or other failures to perform; customer delays, failure to take coal under contracts or defaults in making payments; our productivity levels and margins earned on our coal sales; disruptions to oil & gas exploration and production operations at the properties in which we hold mineral interests; changes in equipment, raw material, service or labor costs or availability, including due to inflationary pressures or tariffs; changes in our ability to recruit, hire and maintain labor; our ability to maintain satisfactory relations with our employees; increases in labor costs, including increases in the costs of health insurance, adverse changes in work rules, or cash payments or projections associated with workers’ compensation claims; increases in transportation costs and risk of transportation delays or interruptions; operational interruptions due to geologic, permitting, labor, weather, supply chain shortage of equipment or mine supplies, or other factors; risks associated with major mine-related accidents, mine fires, mine floods or other interruptions; results of litigation, including claims not yet asserted; foreign currency fluctuations that could adversely affect the competitiveness of our coal abroad; difficulty maintaining our surety bonds for mine reclamation as well as workers’ compensation and black lung benefits; difficulty in making accurate assumptions and projections regarding post-mine reclamation as well as pension, black lung benefits, and other post-retirement benefit liabilities; uncertainties in estimating and replacing our coal mineral reserves and resources; uncertainties in estimating and replacing our oil & gas reserves; uncertainties in the amount of oil & gas production due to the level of drilling and completion activity by the operators of our oil & gas properties; the impact of current and potential changes to federal or state tax rules and regulations, including a loss or reduction of benefits from certain tax deductions and credits; difficulty obtaining commercial property insurance, and risks associated with our participation in the commercial insurance property program; evolving cybersecurity risks, such as those involving unauthorized access, denial-of-service attacks, malicious software, data privacy breaches by employees, insiders or others with authorized access, cyber or phishing attacks, ransomware, malware, social engineering, physical breaches, or other actions; and difficulty in making accurate assumptions and projections regarding future revenues and costs associated with equity investments in companies we do not control.

Contacts

Investor Relations Contact

Cary P. Marshall

Senior Vice President and Chief Financial Officer

918-295-7673

investorrelations@arlp.com

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