Alliance Resource Partners, L.P. (ARLP): How to Reduce Emissions From Coal

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The big difference between Natural Resource Partners LP (NYSE:NRP) and the other two partnerships here, however, is that it leases out its properties to others. It doesn’t actually mine anything. That helps reduce operating risks and helps keep margins high.

A Couple of Rough Years

Last year was bad for coal companies and 2013 is likely to be a transition year. However, this “dirty fuel” can be cleaned up.

Even if there are more stringent emissions rules out of the Obama administration, coal has a solid future in this country. Alliance Resource Partners, L.P. (NASDAQ:ARLP) is an industry leader hitting on all cylinders in a bad market, while higher yielding Rhino Resource Partners, L.P. (NYSE:RNO) and Natural Resource Partners LP (NYSE:NRP) have diversified businesses and upside potential as the coal market recovers.

Reuben Brewer has positions in Natural Resource Partners and Rhino Resource Partners. The Motley Fool recommends Alliance Resource (NASDAQ:ARLP) Partners, L.P..

The article How to Reduce Emissions From Coal originally appeared on Fool.com.

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