Alliance Resource Partners, L.P.

Description

Our customer base includes major utilities and industrial users. Coal is the energy source used by utilities to fuel approximately 45 percent of the electricity generated in the United States of America each year. In 2012, more than 90 percent of our sales tonnage was dedicated to electric utilities that have long-term contractual relationships with us.

Safety is a key component of Alliance's core value system. Our team embraces the mission to make continued improvements in the workplace, which has positioned us as an industry leader in mine safety and health performance. In conjunction with our advanced technology subsidiary, Matrix Design Group, LLC, we develop and use highly advanced technologies to achieve our health and safety goals. Working through our medical provider, Raymond D.

Our coal is transported to our customers by rail, truck and barge. As is customary in the coal industry, the customer pays the cost of transporting coal from the mine to their plant or delivery point. Approximately 48.5 percent of our 2013 sales volume was initially shipped from the mines by rail, 12.4 percent by truck, and 39.1 percent by barge. In 2013, the largest volume transporter of our coal shipments was the CSX railroad, which moved approximately 25.2 percent of our tonnage over its rail system. The very favorable geographic locations of our mines help minimize costs for our customers.

Our coal is transported to our customers by rail (CSX, NS, PAL, WLE & EVWR), truck, and barge. Our mines are located in favorable geographic locations that minimize transportation costs for our customers.

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