Alliance Resource Partners Sees Record BOE Volumes and Higher Commodity Prices Drive Strong Q1 2026 Results
Alliance Resource Partners, a leading energy company, has reported its first quarter 2026 financial and operating results. The company's quarterly results exceeded expectations due to record-breaking Business Oil Equivalent (BOE) volumes and higher commodity prices that increased oil and gas royalties revenues.
The partnership reported adjusted EBITDA of $155 million for the first quarter of 2026, which was higher than expected but 3.1% lower compared to the same period in 2025. Net income attributable to ARLP in the 2026 quarter was $9.1 million or $0.07 per unit, as compared to $74 million or $0.57 per unit in the 2025 quarter.
The company's coal operations produced tons on target, but temporary weather-related disruptions caused approximately 200,000 tons of scheduled shipments to be delayed. Despite this setback, Alliance Resource Partners remains confident in its ability to recover these shipments over the balance of the year.
One notable highlight from the quarter was the increase in oil and gas royalty revenues, which helped to offset lower coal sales revenue. The company's average coal sales price per ton for the 2026 quarter was $56.40, a 6.5% decrease versus the same period in 2025.
Coal production in the Illinois Basin was up 0.4% compared to the 2025 quarter, with volumes declining primarily due to decreased tons sold from the Hamilton Mine as a result of an extended longwall move scheduled during the 2026 quarter. However, increased productivity at Riverview and Gibson South helped to offset some of that impact.
Joe Craft, Chairman, President and Chief Executive Officer of Alliance Resource Partners, commented on the company's performance in the first quarter of 2026. "Overall, our quarterly results came in higher than expected due to record BOE volumes and higher commodity prices that increased oil and gas royalties revenues," he said.
Looking ahead, the company continues to evaluate the appropriate path forward for its Mettiki Mine, where a non-cash asset impairment charge of $37.8 million was recorded in the 2026 quarter following the decision to cease longwall production due to uncertainty regarding future operations.
