Natural Resource Partners LP (NYSE: NRP) has signed a definitive agreement to sell a portion of its oil and gas mineral rights, and has closed a transaction to sell certain of its aggregates mineral rights for combined proceeds of $47.5 million before transaction expenses.
The assets being sold generated $3.4 million of royalty revenues in 2015. The closing of the oil and gas sale is expected to occur by the end of February and is subject to customary closing conditions.
NRP intends to use the proceeds from the combined sales to pay down debt. The asset sales are a continuation of NRP's ongoing deleveraging strategy, and NRP will continue to evaluate other opportunities to monetize assets and reduce leverage. The assets being sold do not include NRP's non-operated Bakken interests or the VantaCore aggregates operations.