On September 30, 2025, the Trump administration announced a federal land leasing initiative that opens 13.1 million acres in the Powder River Basin for coal mining, coupled with $625 million in funding for coal‑fired power plants, including $350 million earmarked for modernization and capacity upgrades.
The initiative is projected to lift thermal coal production by roughly 9 % in 2025, creating a direct upside for royalty earners such as Natural Resource Partners (NRP). NRP, which derives a significant portion of its revenue from royalties on coal production on its leased properties, stands to benefit from increased output on the newly available federal acreage.
While the regulatory action offers a potential boost to NRP’s mineral‑rights segment, the company must navigate environmental and legal challenges that could delay lease approvals. Nonetheless, the announcement marks a material shift in federal coal policy that could materially increase NRP’s royalty income in the coming quarters.
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