• Why am I receiving a Schedule K-1 rather than a Form 1099?

• Form 1099s are used to report dividends, and interest (among other items), rather than partnership information.

• What is a Schedule K-1?

• Natural Resource Partners L.P. (the Partnership), is a publicly traded limited partnership. Therefore, all income and expenses flow through to the unitholders to be reported on their individual tax returns. The Partnership is required to file a form with the IRS which includes a Schedule K-1 for each unitholder reporting their respective tax information.  

• How is my basis affected by cash distributions and Partnership net income (loss)?

• The cash distributions you receive are a return of capital and decrease your basis in the Partnership. At year end your basis is increased or decreased by your share of the Partnership's taxable income or loss allocated to you on your Schedule K-1.

• Do I report any cash distributions I received from the Partnership as my taxable income?

• No. You should report the income and other items shown on your Schedule K-1 provided to you by the Partnership.

• Why is the amount of cash distributions I received from the Partnership different than the amount I have to report on my individual income tax return?

• The cash you received is a return of capital and represents your share of the Partnership's available distributable cash. The amount you are required to include in your individual income tax return is your share of the Partnership's income and related items, allocated based on the number of units you owned during the year and reported on your Schedule K-1. These amounts differ due to changes in cash flow, borrowings and repayments, depletion, and depreciation (non-cash expenses).

• Why don't I see a deduction for coal depletion on my K-1?

• Coal depletion is not subject to the same limitations as oil and gas depletion. Accordingly, the Partnership was able to net your coal depletion against your coal income reported on your Schedule K-1. Therefore, you do not see your depletion separately stated.

• What is Unrelated Business Taxable Income (UBTI)?

• UBTI is a tax-exempt organization's (including but not limited to IRA's, Keogh's, and other similar type of accounts) distributive share of gross income and allowable deductions considered to be unrelated to the regular activities of the tax-exempt organization. Your trustee may be required to report UBTI on IRS Form 990-T (Exempt Organization Business Tax Return). You should consult your trustee or personal tax advisor regarding the tax filing requirements.

• What should I do if the information in my tax package is incorrect?

• You may call our Service Center at 1-888-334-7102 or make any corrections directly onto the Ownership Schedule that you received in the mail and return it to the Partnership by May 1 following the tax year at Natural Resource Partners L.P., K-1 Support, P.O. Box 799060, Dallas, TX 75379-9060 or fax us at 1-972-248-5395. The Partnership will use the information on the Ownership Schedule to update its records and will send you corrected tax information. If you make changes that are not received at the service center in Dallas by May 1 following the tax year then you must report these differences on Form 8082 and follow the instructions to that form. Only the people at the Dallas service center have access to your personal tax information. Therefore, using this website or contacting the Partnership's management at any addresses other than the one listed above to make changes to your Ownership Schedule will only result in delays in processing your changes.

• Is Natural Resource Partners L.P., registered as a tax shelter?

• Yes, and the IRS has assigned the Partnership a tax shelter registration number of 02247000042.

• Do I have to file tax returns in any state in which I do not live?

• Certain states require unitholders to file tax returns in the states in which the Partnership operates. You should consult your tax advisor regarding the need to file state tax returns.

• Where can I get more tax information regarding Natural Resource Partners LP?

• If you were a unitholder in the previous year you can click on the attached link www.k1support.com/naturalresource and see your K-1 tax report package. Others may email our Investor Relations department and, to the extent that securities laws allow, the Partnership's tax department will respond to your inquiry.