NRP Inks Material Agreement, Creates New Financial Obligation

TL;DR

**NRP just took on new debt or a major contract, watch for details on what it is!**

AI Summary

Natural Resource Partners LP (NRP) entered into a material definitive agreement on February 14, 2024, creating a direct financial obligation. The company, based in Houston, Texas, with IRS number 35-2164875, filed this 8-K to report the event, which falls under the 'Entry into a Material Definitive Agreement' and 'Creation of a Direct Financial Obligation' items.

Why It Matters

This filing indicates a new financial commitment for Natural Resource Partners LP, which could impact its balance sheet and future financial performance.

Risk Assessment

Risk Level: medium — The creation of a direct financial obligation introduces new liabilities, the specifics of which are not detailed in this summary, making the impact uncertain.

Key Players & Entities

• Natural Resource Partners LP (company) — Registrant
• February 14, 2024 (date) — Date of earliest event reported
• Houston, Texas (location) — Principal executive office
• 001-31465 (other) — Commission File Number
• 35-2164875 (other) — I.R.S. Employer Identification No.

FAQ

Key Financial Figures

• $15.0 million — commitment under the Credit Facility by $15.0 million from $185.0 million to $200.0 million.
• $185.0 million — e Credit Facility by $15.0 million from $185.0 million to $200.0 million. The increase in the
• $200.0 million — by $15.0 million from $185.0 million to $200.0 million. The increase in the total aggregate co
• $25.0 million — ed its commitment by $15.0 million from $25.0 million to $40.0 million, pursuant to that cert
• $40.0 m — by $15.0 million from $25.0 million to $40.0 million, pursuant to that certain Commitm
• $34.00 — 500,000 warrants with a strike price of $34.00. The 15-day VWAP ending on the business
• $93.47 — ness day prior to the exercise date was $93.47. On February 16, 2024, the Partnership
• $29.7 million — ettled the warrants on a net basis with $29.7 million in cash. Of the originally issued 4.0 m

Filing Documents

• nrp20240215_8k.htm (8-K) — 30KB
• ex_627159.htm (EX-10.1) — 24KB
• nrp20230206_8kimg001.jpg (GRAPHIC) — 3KB
• 0001437749-24-004832.txt ( ) — 197KB
• nrp-20240214.xsd (EX-101.SCH) — 3KB
• nrp-20240214_def.xml (EX-101.DEF) — 11KB
• nrp-20240214_lab.xml (EX-101.LAB) — 15KB
• nrp-20240214_pre.xml (EX-101.PRE) — 11KB
• nrp20240215_8k_htm.xml (XML) — 3KB

01. Entry Into a Material Definitive Agreement

Item 1.01. Entry Into a Material Definitive Agreement The information under Item 2.03 below is incorporated herein by reference. Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant On February 1, 2024, NRP (Operating) LLC ("OpCo") exercised its option under the Third Amended and Restated Credit Agreement, dated as of June 16, 2015 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "Credit Facility"), to increase the total aggregate commitment under the Credit Facility by $15.0 million from $185.0 million to $200.0 million. The increase in the total aggregate commitment is being made pursuant to an accordion feature of the Credit Facility. The Credit Facility otherwise continues to operate under its existing terms and conditions in all material respects. In connection with this increase, Frost Bank increased its commitment by $15.0 million from $25.0 million to $40.0 million, pursuant to that certain Commitment Increase Agreement by and among OpCo, Zions Bancorporation, N.A. dba Amegy Bank, in its capacity as administrative agent under the Credit Facility, and Frost, Bank dated as of February 14, 2024 (the "Commitment Increase Agreement"). The Commitment Increase Agreement is filed as Exhibit 10.1 to this Current Report on Form 8-K. The summary of the Commitment Increase Agreement does not purport to be complete and is qualified in its entirety by reference to Exhibit 10.1.

01. Other Events

Item 8.01. Other Events On February 14, 2024 (the "exercise date"), holders of Natural Resource Partners L.P.'s (the "Partnership's") warrants to purchase common units ("warrants") exercised 500,000 warrants with a strike price of $34.00. The 15-day VWAP ending on the business day prior to the exercise date was $93.47. On February 16, 2024, the Partnership settled the warrants on a net basis with $29.7 million in cash. Of the originally issued 4.0 million warrants, 0.3 million warrants with a strike price of $34.00 remain outstanding.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits (d) Exhibits. 10.1 Commitment Increase Agreement dated as of February 14, 2024, by and among NRP (Operating) LLC, Zions Bancorporation, N.A. dba Amegy Bank, and Frost Bank 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 1 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. NATURAL RESOURCE PARTNERS L.P. (Registrant) By: NRP (GP) LP its General Partner By: GP Natural Resource Partners LLC its General Partner Date: February 20, 2024 /s/ Philip T. Warman Philip T. Warman General Counsel 2

View Full Filing

View this 8-K filing on SEC EDGAR