Coal producer Rhino Resource Partners plans new unit offering

Kentucky-based coal producer Rhino Resource Partners LP (NYSE: RNO) announced Sept. 9 the commencement of a public offering of 1,100,000 common units representing limited partner interests in Rhino.

In connection with the offering, Rhino said it expects to grant the underwriter a 30-day option to purchase up to 165,000 additional common units.

Rhino plans to use the net proceeds from this offering, and the related capital contribution by its general partner, to repay borrowings outstanding under its revolving credit facility. If the underwriter exercises its option to purchase additional common units, Rhino intends to use the additional net proceeds and related capital contribution by its general partner to repay borrowings outstanding under its revolving credit facility. 

The common units will be offered and sold under an effective shelf registration statement on Form S-3 previously filed with the Securities and Exchange Commission. Raymond James & Associates is the sole underwriter for the offering.  

Rhino is a diversified energy limited partnership that is focused on coal, oil and natural gas and related energy infrastructure. Rhino produces metallurgical and steam coal in a variety of basins throughout the U.S., manages and leases coal properties and owns oil and natural gas acreage in the Utica Shale and Cana Woodford regions.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.