Natural Resource Partners L.P.

RBC Capital Markets

2nd Annual MLP Conference

Dallas, TX

November 16, 2006

2

Forward-Looking Statements

The statements made by representatives of Natural Resource Partners L.P. (“NRP”) during the course of this presentation that are not historical facts are forward-looking statements. Although NRP believes that the assumptions underlying these statements are reasonable, investors are cautioned that such forward-looking statements are inherently uncertain and necessarily involve risks that may affect NRP’s business prospects and performance, causing actual results to differ from those discussed during the presentation.

Such risks and uncertainties include, by way of example and not of limitation: general business and economic conditions; decreases in demand for coal; changes in our lessees’ operating conditions and costs; changes in the level of costs related to environmental protection and operational safety; unanticipated geologic problems; problems related to force majeure; potential labor relations problems; changes in the legislative or regulatory environment; and lessee production cuts.

These and other applicable risks and uncertainties have been described more fully in NRP’s 2005 Annual Report on Form 10-K. NRP undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information or future events.

3

NRP – A Lower Risk Proxy for the Coal Industry

• Over 2 billion tons of low, medium and high sulfur coal reserves

• 69 lessees produce approximately 5% of the US production from our 180 leases

• Three major coal producing regions in eleven states

• 2006 estimated production: 50.0 million tons to 53.5 million tons (metallurgical – 20% steam – 80%)

• 2006 estimated total revenues - $165 million to $169 million

4

NRP Financial Profile

Market Capitalization ($52.50 per unit):

Distribution per Unit (3Q 2006):

$1.3 billion

$0.85 quarterly

$3.40 annualized

Senior Notes (9/30/2006):

Drawn on Revolver (9/30/2006):

$247 million

$63 million

Total Revolver Size:

Long Term Debt to Total Capitalization:

Cash on Balance Sheet (9/30/2006):

$175-$300 million (1)

41%

$61 million

_______________________(1) As of 09/30/06 NRP had $112 million of $175 million capacity available

under its credit facility. NRP also retains the right to increase the size of the credit facility to $300 million without obtaining lender consents.

5

Coal Producing Basins in U.S.

States in which NRP has Coal Reserves

Diverse Portfolio of Properties

Northern Powder River Basin

Reserves – 132 mm tons (7%)

Low Sulfur

Illinois Basin Reserves

62 mm tons (3%)

Medium and High Sulfur

Appalachia

Reserves – 1,835 mm tons (90%)

Low, Medium, High Sulfur

Note: Reserve information as of December 31, 2005

• 2.0 billion tons at 12/31/05• 23% Met / 77% Steam• 58% Low Sulfur / 35% Compliance

6

Diversity Leads to Stability

• NRP’s large number of lessees

– Diversifies types of operations

– Diversifies coal types and qualities

– Diversifies customer base

– Diversifies revenues

Leads to More Stability of Cash Flows

• Revenue is NOT tied to

– One mine

– One mining method

– One group of miners

– One region

– One shipper

– One customer

7

How NRP Differs from a Coal Producer

• NRP revenue is tied to a coal miner’s top line revenue

• Increased mining costs can be NRP’s friend

• Production cuts at one mine can keep prices higher across the

entire industry sector which improves NRP’s top line

• NRP has no maintenance capital expenditures

• NRP has low G&A expenses

8

Active Acquisition History

Over the last four years

• Completed 20 acquisitions totaling ~$500 million

– Acquired ~ 1.1 billion tons of coal reserves

• Double the reserves since IPO

– Acquired overrides on an additional ~ 120 million tons

– Acquired 3 coal preparation, handling and rail load-out facilities

• Diversified our portfolio of properties and lessees

– Tripled the number of leases

– More than doubled the number of lessees

– Increased our position in Illinois Basin

9

Sedgman Agreement on Coal Handling Facilities

• NRP entered into agreement with Sedgman USA in Aug 2006

to jointly identify coal preparation, handling and rail load-out

facilities in the U.S.

• Sedgman will design, build and operate the facilities

• NRP will own and lease the facilities to Sedgman for a

throughput fee

• Signed agreements to purchase the first two facilities for $23.8

million

– Anticipate annual revenues of approximately $4.5 million

• Stable income stream to support distributions

10

Acquisition Opportunities

• Our sponsor owns over 20 billion tons of currently non-

producing coal that must be offered to NRP when any property

reaches a value of $10 million

• Breadth of our lessees presents more acquisitions

opportunities

• NRP regional managers are in the coal fields every day looking

for new opportunities

• Deals are brought to us due to our reputation

• New agreement with Sedgman on coal preparation plants and

coal handling facilities

• Opportunities in other qualified asset classes

11

Increased distributions 14 out of 15 quarters since IPO, 66% overall

DistributionsDistributions

$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00

66% Distribution Increase

Increased Quarterly Distributions

12

Attractive Tax Structure Due to Coal

• Distributions are treated as return of capital

• Unitholders are taxed on the income generated by the

partnership

• Coal royalty revenues are taxed as long term capital gains

• Approximately 60% of the revenue generated is sheltered by

depletion deductions

• Depletion does not have to be recaptured upon sale of the

units

• If units are held for more than one year, receive capital gains

treatment on the sale

13

Short Term Outlook for Domestic Coal Market

• Because of the abnormal weather, utility stockpiles are at

normal levels resulting in short term spot market pricing

pressure

– However, very little coal is sold on the spot market

• Most of NRP’s coal is sold by our lessees under long term

contracts

• In the 3rd quarter NRP lessees had higher prices in every single

region

14

Long Term Outlook for the Coal Markets

• New coal demand will be generated by:

– New coal-fired power plants under construction

– New coal uses

• coal to liquids

• coal gasification

• EIA expects total electricity sales to increase by 50% by 2030

• EIA expects coal fueled electricity to gain additional market

share over the next 25 years growing to approximately 57% by

2030 from 50% today

• New demand for higher sulfur coal due to the large number of

scrubbers being added to exiting power plants

EIA – Energy Information Agency

15

Investment Highlights

• Attractive portfolio of long-life, diverse properties

• Lease to operators with diverse customer base

• Distribution supported by stable, royalty-based cash flows

• No direct exposure to mining operating costs or risks

• Well-positioned for growth via coal and mineral acquisitions

• Demonstrated ability to grow asset base and distributions

• Coal royalty revenues are taxed at capital gains rates

• A lower risk proxy for the coal industry

Natural Resource Partners L.P.

RBC Capital Markets

2nd Annual MLP Conference

Dallas, TX

November 16, 2006