SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the Quarter Ended September 30, 1994
Commission File Number: 1-9164
Freeport-McMoRan Resource Partners, Limited Partnership
Organized in Delaware 72-1067072
(IRS Employer Identification No.)
1615 Poydras Street, New Orleans, Louisiana 70112
Registrant's telephone number, including area code: (504) 582-4000
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days. Yes[X] No[ ] <PAGE>
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
TABLE OF CONTENTS
Page
Part I. Financial Information
Financial Statements:
Condensed Balance Sheets 3
Statements of Operations 4
Statements of Cash Flow 5
Notes to Financial Statements 6
Remarks 6
Management's Discussion and Analysis
of Financial Condition and
Results of Operations 7
Part II. Other Information 12
Signature 13
Exhibit Index E-1
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
Part I. FINANCIAL INFORMATION
Item 1. Financial Statements.
September 30, December 31,
1994 1993
------------ ------------
(In Thousands)
ASSETS
Current assets:
Cash and short-term investments $ 11,237 $ 24,448
Accounts receivable 63,033 62,902
Inventories 112,536 133,405
Prepaid expenses and other 2,040 2,143
---------- ----------
Total current assets 188,846 222,898
Property, plant and equipment, net 925,323 970,960
Other assets 60,704 103,015
---------- ----------
Total assets $1,174,873 $1,296,873
========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable and accrued liabilities $ 86,236 $ 78,908
Long-term debt, less current portion 396,410 488,102
Reclamation and mine shutdown reserves 95,751 97,333
Accrued postretirement benefits and
other liabilities 143,934 140,126
Partners' capital 452,542 492,404
---------- ----------
Total liabilities and partners' capital $1,174,873 $1,296,873
========== ==========
The accompanying notes are an integral part of these financial statements.
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
STATEMENTS OF OPERATIONS (Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------- ---------------------
1994 1993 1994 1993
-------- -------- -------- ---------
(In Thousands, Except Per Unit Amounts)
Revenues $188,479 $136,945 $555,996 $ 501,052
Cost of sales:
Production and delivery 136,387 112,091 403,487 419,416
Depreciation and
amortization 8,990 24,393 33,976 78,590
-------- -------- -------- ---------
Total cost of sales 145,377 136,484 437,463 498,006
Exploration expenses - 1,112 - 2,774
Provision for
restructuring charges - - - 33,947
Loss on valuation and
sale of assets, net - (1,084) - 65,547
General and
administrative
expenses 11,030 12,797 34,248 54,201
-------- -------- -------- ---------
Total costs and
expenses 156,407 149,309 471,711 654,475
-------- -------- -------- ---------
Operating income (loss) 32,072 (12,364) 84,285 (153,423)
Interest expense, net (8,243) (6,253) (24,109) (6,253)
Other income (expense),
net (568) 566 (2,966) 1,092
-------- -------- -------- ---------
Income (loss) before
changes in accounting
principle 23,261 (18,051) 57,210 (158,584)
Cumulative effect of
changes in accounting
principle - - - (23,700)
-------- -------- -------- ---------
Net income (loss) $ 23,261 $(18,051) $ 57,210 $(182,284)
======== ======== ======== =========
Net income (loss) per unit:
Before changes in
accounting principle $.22 $(.17) $.55 $(1.53)
Cumulative effect of
changes in
accounting principle - - - (.23)
---- ----- ---- ------
$.22 $(.17) $.55 $(1.76)
==== ===== ==== ======
Average units
outstanding 103,698 103,698 103,698 103,698
======= ======= ======= =======
Distributions per
publicly held unit $.60 $.60 $1.80 $1.80
==== ==== ===== =====
The accompanying notes are an integral part of these financial statements.
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
STATEMENTS OF CASH FLOW (Unaudited)
Nine Months Ended
September 30,
---------------------
1994 1993
-------- ---------
(In Thousands)
Cash flow from operating activities:
Net income (loss) $ 57,210 $(182,284)
Adjustments to reconcile net income (loss)
to net cash provided by operating activities:
Cumulative effect of changes in
accounting principle - 23,700
Depreciation and amortization 33,976 78,590
Provision for restructuring charges, net of
payments - 3,614
Other noncash charges to earnings - 7,150
Loss on valuation and sale of assets, net - 65,547
Cash distribution from IMC-Agrico in
excess of capital interest 33,801 -
(Increase) decrease in working capital,
net of effect of acquisitions and dispositions:
Accounts receivable (1,318) (5,193)
Inventories 17,663 8,271
Prepaid expenses and other (10) (1,049)
Accounts payable and accrued liabilities 13,358 (27,304)
Reclamation and mine shutdown expenditures (6,968) (8,283)
Other 7,778 8,621
-------- ---------
Net cash provided by (used in) operating
activities 155,490 (28,620)
-------- ---------
Cash flow from investing activities:
Capital expenditures:
Main Pass (7,388) (36,872)
Agricultural minerals (14,387) (16,107)
Proceeds from asset sales 44,775 37,000
Other 530 6,733
-------- ---------
Net cash provided by (used in) investing
activities 23,530 (9,246)
-------- ---------
Cash flow from financing activities:
Distributions to partners (97,072) (90,884)
Proceeds from 8 3/4% Senior Subordinated Notes 146,125 -
Proceeds from (repayments of) debt, net (241,284) 129,955
-------- ---------
Net cash provided by (used in) financing
activities (192,231) 39,071
-------- ---------
Net increase (decrease) in cash and short-term
investments (13,211) 1,205
Cash and short-term investments at
beginning of year 24,448 7,099
-------- ---------
Cash and short-term investments at end of period $ 11,237 $ 8,304
======== =========
The accompanying notes are an integral part of these financial statements.
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
NOTES TO FINANCIAL STATEMENTS
1. SENIOR SUBORDINATED NOTE OFFERING
In February 1994, Freeport-McMoRan Resource Partners, Limited Partnership
(FRP) sold publicly $150 million of 8 3/4% Senior Subordinated Notes due 2004.
Net proceeds were used to reduce other indebtedness.
2. INTEREST COSTS
Interest expense excludes capitalized interest of $11.1 million in the first
nine months of 1993.
FRP has a 10.2 percent interest rate exchange agreement entered into in
1988 on $41.8 million of financing at September 30, 1994, reducing
approximately $7 million annually through 1999. FRP entered into this
agreement to manage exposure to interest rate changes on a portion of its
floating-rate bank debt. Under this interest swap, FRP received an average
interest rate of 4.0 percent and 3.4 percent during the first nine months of
1994 and 1993, respectively, based on the London Interbank Offering Rate
(LIBOR), resulting in an additional interest cost of $.6 million and $.9
million in the third quarter of 1994 and 1993, respectively, and $2.1 million
and $2.7 million in the first nine months of 1994 and 1993, respectively.
Based on market conditions at September 30, 1994, unwinding this interest swap
would require an estimated $3.3 million.
3. IMC-AGRICO CREDIT FACILITY
In February 1994, the IMC-Agrico Company joint venture (IMC-Agrico), in which
FRP currently owns 45.1 percent of the assets and liabilities, entered into a
three-year $75 million floating-rate credit facility (the IMC-Agrico
Facility). Borrowings under the IMC-Agrico Facility are unsecured with a
negative pledge on substantially all of IMC-Agrico's assets. The IMC-Agrico
Facility has minimum capital, fixed charge, and current ratio requirements for
IMC-Agrico; places limitations on indebtedness of IMC-Agrico; and restricts
the ability of IMC-Agrico to make cash distributions in excess of
distributable cash generated. At September 30, 1994, IMC-Agrico had no
borrowings under the IMC-Agrico Facility.
4. RATIO OF EARNINGS TO FIXED CHARGES
The ratio of earnings to fixed charges for the first nine months of 1994 was
3.3 to 1 compared with a shortfall of $169.7 million for the 1993 period. For
this calculation, earnings are income from continuing operations before fixed
charges. Fixed charges are interest and that portion of rent deemed
representative of interest.
-------------------
Remarks
The information furnished herein should be read in conjunction with FRP's
financial statements contained in its 1993 Annual Report to unitholders and
incorporated by reference in its Annual Report on Form 10-K.
The information furnished herein reflects all adjustments which are, in the
opinion of management, necessary for a fair statement of the results for the
periods. All such adjustments are, in the opinion of management, of a normal
recurring nature.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.
RESULTS OF OPERATIONS
Third Quarter Nine Months
------------------- -----------------
1994 1993 1994 1993
------ ------ ------ ------
(In Millions, Except Per Unit Amounts)
Revenues $188.5 $136.9 $556.0 $501.1
Operating income (loss) 32.1a (12.4) 84.3a (153.4)b
Net income (loss) 23.3a (18.1) 57.2a (182.3)b,c
Net income (loss) per unit .22a (.17) .55a (1.76)b,c
a. Includes a charge of $3.4 million ($.03 per unit) and $4.3 million ($.04
per unit) for the third-quarter and nine-month period, respectively, for
remediation costs associated with a sinkhole beneath a phosphogypsum
storage stack at the IMC-Agrico Company (IMC-Agrico) New Wales, Florida
fertilizer facility and anticipated repair and cleanup costs related to
an earthen dam breach at IMC-Agrico's Payne Creek, Florida phosphate rock
facility.
b. Includes charges totaling $124.2 million ($1.20 per unit) related to
restructuring the administrative organization at Freeport-McMoRan Inc.
(FTX), the general partner of Freeport-McMoRan Resource Partners, Limited
Partnership (FRP), asset recoverability, and other related charges.
c. Includes a $23.7 million charge ($.23 per unit) for the cumulative effect
of changes in accounting principle.
Results for the 1994 periods reflect significantly improved phosphate
fertilizer prices and higher sales volumes of phosphate fertilizer (for the
third-quarter period), phosphate rock, and sulphur. Partially offsetting
these positive factors were increased raw material costs for ammonia and
sulphur, and lower oil sales volumes.
Third-quarter 1994 depreciation and amortization was lower than in the
year-ago period due to the adjustment to the earnings of FRP caused by its
disproportionate interest in current cash distributions from IMC-Agrico and
from lower Main Pass oil sales volumes, partially offset by increased sulphur
sales volumes. The nine-month 1993 period reflects charges totaling $7.6
million related to the 1993 restructuring project.
General and administrative expenses reflect the benefits from the July 1,
1993 formation of IMC-Agrico and other restructuring activities undertaken in
1993. The nine-month 1993 period includes charges totaling $7.3 million
resulting from the restructuring project, whereas the nine-month 1994 period
benefited from a $2.2 million reduction in the estimated cost of excess office
space (originally estimated in the second quarter of 1993 as part of
restructuring FTX's administrative organization).
Interest expense for the three-month 1994 period increased due to a rise
in average interest rates between periods and the issuance of the 8 3/4%
Senior Subordinated Notes due 2004 (Note 1) which were used to reduce
floating-rate borrowings under the bank credit facility, partially offset by a
reduction in average debt levels. For the nine-month 1994 period, interest
expense reflects the Main Pass sulphur project becoming operational for
accounting purposes in July 1993; previously, related interest costs were
capitalized.
Agricultural Minerals Operations - FRP's agricultural minerals segment, which
includes its fertilizer and phosphate rock operations (conducted through its
interest in IMC-Agrico) and its sulphur business, reported third-quarter 1994
operating income of $33.4 million on revenues of $182.2 million compared with
a loss of $12.2 million on revenues of $121.7 million for the 1993 period.
Operating income for the first nine months of 1994 was $84.8 million on
revenues of $531.2 million compared with a loss of $110.2 million on revenues
of $464.2 million for the year-ago period. Significant items impacting
operating income are as follows (in millions):
Third Nine
Quarter Months
------- -------
Agricultural minerals operating income - 1993 $(12.2) $(110.2)
------ -------
Increases (decreases):
Sales volumes 30.4 12.1
Realizations 34.2 58.5
Other (4.1) (3.6)
------ -------
Revenue variance 60.5 67.0
Cost of sales (16.3) 48.6*
1993 provision for restructuring charges - 33.9
1993 loss on valuation and sale of assets, net (1.1) 25.5
General and administrative and other 2.5 20.0*
------ -------
45.6 195.0
------ -------
Agricultural minerals operating income - 1994 $ 33.4 $ 84.8
====== =======
* The nine-month 1993 period included $17.5 million in cost of sales and
$7.3 million in general and administrative expenses resulting from the
restructuring project.
FRP's proportionate share of the IMC-Agrico third-quarter 1994 sales
volumes for diammonium phosphate (DAP), its principal fertilizer product,
increased 39 percent when compared to the year-ago quarter (16 percent above
the second quarter of 1994). Industrywide sales activity benefited from
continued strong export demand, particularly by China, and improved domestic
activity. This demand caused a reduction in producer inventories, despite a
rise in industrywide production, resulting in a continued firming in phosphate
fertilizer prices. FRP's current quarter phosphate fertilizer realizations
rose 42 percent from the near-20 year lows experienced during the year-ago
quarter. Unit production costs benefited from production efficiencies at IMC-
Agrico, offset by higher ammonia and sulphur prices. Ammonia prices in the
U.S. Gulf are presently $225 per short ton, up approximately $115 per short
ton from a year ago. IMC-Agrico's ammonia costs have not risen as sharply due
to contractual arrangements and ammonia production at its Faustina, Louisiana
plant.
Strong export demand for phosphate fertilizer products is expected to
continue into 1995 with heavy demand from China. The domestic market producer
sales are expected to be at normal levels. Reduced domestic acreage planted,
due to record crop production causing increased government set-asides, is
expected to be offset by improved fertilizer application rates and higher
dealer purchases.
FRP's proportionate share of the IMC-Agrico third-quarter and nine-month
1994 phosphate rock sales volumes increased 3 percent and 13 percent,
respectively, from the 1993 periods reflecting the increased demand caused by
improved industrywide phosphate fertilizer operations.
Sulphur production for the 1994 periods increased over the 1993 period
levels with Main Pass operations averaging nearly 6,600 tons per day (TPD)
during the current quarter (exceeding full design operating rates of 5,500 TPD
or approximately 2 million tons per year), helping to lower unit production
costs. Production is expected to be maintained near the 6,000 TPD level for
the immediate future. Due to the increased Main Pass production, FRP ceased
operating the marginally profitable Caminada mine in January 1994, with no
material impact on earnings. Sulphur realizations for the 1994 periods were
lower, reflecting the decline in prices which occurred throughout 1993.
Improved phosphate fertilizer operating rates, coupled with reduced imports
from Canada, have resulted in current Tampa market price increases since mid-
1994 in the range of $10 to $12 per ton, with Tampa sulphur prices currently
above year-ago levels. To the extent U.S. phosphate fertilizer production
remains strong, sulphur demand is expected to continue to improve, although
the availability of Canadian sulphur limits the potential for significant
improvement in prices.
Third Quarter Nine Months
---------------------- ---------------------
1994 1993 1994 1993
--------- --------- --------- ---------
Phosphate fertilizers (short tons)a
Diammonium phosphate
Sales:
Florida 258,600 220,900 753,100
Louisiana 277,000 177,600 733,400
Other 64,500 31,800 165,900
--------- --------- ---------
Total sales 600,100 430,300 1,652,400 1,769,600
Average realized price:b
Florida $148.71 $100.94 $143.29
Louisiana 154.23 112.03 150.12
Monoammonium phosphate
Sales:
Granular 81,400 58,700 242,000 369,500
Powdered 34,900 22,300 118,100 22,300
Average realized price:b
Granular $158.21 $115.34 $157.20
Powdered 132.12 93.95 126.21
Granular triple superphosphate
Sales 123,700 89,700 356,400 430,300
Average realized priceb $115.96 $86.59 $113.05
Phosphate rock (short tons)a
Sales 1,062,500 1,026,700 3,073,100 2,708,900
Average realized priceb $19.91 $20.20 $21.59
Sulphur (long tons)
Salesc 562,900 418,900 1,586,500 1,446,500
a. Certain information prior to the formation of IMC-Agrico was not
recorded on a basis consistent with that currently being presented and
therefore is not available. Reflects FRP's 46.5 percent share of the
IMC-Agrico assets for the year ended June 30, 1994, while FRP received
58.6 percent of the cash flow generated during such period. FRP's share
of the IMC-Agrico assets for the year ended June 30, 1995 is 45.1
percent, while it will receive 55.0 percent of the cash flow.
b. Represents average realization f.o.b. plant/mine.
c. Includes 189,700 tons and 149,600 tons for the third quarter of 1994 and
1993, respectively, and 564,500 tons and 929,000 tons for the nine-month
periods of 1994 and 1993, respectively, which represent internal
consumption and Main Pass start-up sales that are not included in sales
for accounting purposes.
Oil Operation -
Third Quarter Nine Months
------------------ ------------------------
1994 1993 1994 1993
------- --------- --------- ---------
Sales (barrels) 417,900 1,066,100 1,853,000 2,425,300
Average realized price $14.94 $14.25 $13.34 $15.15
Operating income (in
millions) $.2 $.8 $2.2 $.0
Third-quarter 1994 oil production for the Main Pass joint venture (in
which FRP owns a 58.3 percent interest) was hampered by the longer-than-
expected drilling of additional wells. As a result, FRP's 1994 net production
is currently expected to be 2.5 million barrels. FRP's 1995 net production is
currently estimated to approximate 1994 production. Oil realizations continue
to reflect the significant price declines which occurred in late 1993;
although prices have improved during 1994.
CAPITAL RESOURCES AND LIQUIDITY
Net cash provided by operating activities during the first nine months of 1994
was $155.5 million, compared with a use of $28.6 million for the 1993 period,
due to increased income from operations and working capital changes. Net cash
provided by investing activities was $23.5 million, compared with a use of
$9.2 million for the 1993 period, reflecting the early receipt of proceeds
from the geothermal notes receivable (reflected in other assets) and lower
capital expenditures. Net cash used in financing activities was $192.2
million compared with $39.1 million provided during the 1993 period. The 1994
period reflects a $95.2 million net reduction of borrowings, including the
issuance of 8 3/4% Senior Subordinated Notes due 2004 (Note 1), whereas the
1993 period reflects a net increase of $130.0 million. As a result of FRP
receiving $22.2 million of the IMC-Agrico third-quarter 1994 distribution
before quarter end, cash balances were able to be reduced contributing to the
reduction in borrowings.
In late June 1994, a hole was found in the top of a phosphogypsum storage
area at the New Wales, Florida, facility of IMC-Agrico. After reviewing
seismic testing performed by an independent consultant, IMC-Agrico submitted
to the Florida Department of Environmental Protection a plan to plug the
sinkhole and is currently awaiting final approval. The joint venture has
accrued for costs to rectify this situation. While there is no evidence that
indicates underground water contamination in areas away from the New Wales
facility, this issue is being investigated by IMC-Agrico. If this were to be
the case, the costs that would be required are uncertain and cannot be
estimated at the present. If significant costs were incurred, which IMC-
Agrico considers unlikely, a determination would be necessary with respect to
the availability of insurance maintained by the joint venture and separately
by FRP and with respect to the appropriate sharing of costs pursuant to the
agreement between the joint venture partners as it relates to environmental
matters.
Publicly owned FRP units have cumulative rights to receive quarterly
distributions of 60 cents per unit through December 31, 1996 (the Preference
Period) before any distributions may be made to FTX. On October 21, 1994, FRP
declared a distribution of 60 cents per publicly held unit ($30.3 million),
payable November 15, 1994, bringing the total unpaid distribution to FTX to
$335.0 million. Unpaid distributions due FTX will be recoverable from part of
the excess of future quarterly FRP distributions over 60 cents per unit for
all units. The October 1994 distributable cash included $33.7 million from
IMC-Agrico. FRP's future distributions will be dependent on the distributions
received from IMC-Agrico, which will primarily be determined by prices and
sales volumes of its commodities and future cost reductions achieved by its
combined operations, and the future cash flow of FRP's sulphur and oil
operations.
In October 1994, FRP announced that it has agreed in principle to acquire
Fertiberia, S.L., the restructured nitrogen and phosphate fertilizer business
of Ercros, S.A., a Spanish conglomerate. For the past year, FRP has managed
this company with the goal of establishing Fertiberia as a financially viable
concern. FRP now intends to acquire all of the capital stock of Fertiberia
owned by Ercros and its affiliates, which is expected to be in excess of 90
percent of the total outstanding shares, in return for agreeing to make a
capital contribution of $11.5 million upon closing and a further contingent
payment of $10.0 million on January 1, 1998. The acquisition of Fertiberia,
one of the largest fertilizer manufacturers in Europe, is conditioned upon
satisfaction of a number of issues, including the removal of liens from its
assets, insulation from past pension liabilities, and restructuring of
Fertiberia's existing debt such that it will not represent a material burden
on Fertiberia's future performance. As part of the agreement, financing has
been arranged in the amount of $38.5 million to provide the company with
needed financial flexibility and security as it emerges as an independent
entity from the Ercros group of companies and their related past financial
problems. This financing is nonrecourse to FRP with payment terms depending
upon the financial performance of Fertiberia. The closing of the transaction
is expected to occur by year end.
In October 1994, FRP announced that it had entered into an agreement to
acquire essentially all of the domestic assets of Pennzoil Company's sulphur
division. Under the agreement, Pennzoil will receive quarterly installment
payments from FRP over 20 years which are based on the prevailing price of
sulphur from time to time. The installment payments may be terminated earlier
either by FRP, through the exercise of a call option for $65.0 million, or by
Pennzoil, through a put option providing for a $10.0 million payment to
Pennzoil. Neither the call option nor the put option may be exercised within
the first four years of the agreement. The transaction is subject to a number
of conditions including required government approvals.
FRP believes that its short-term cash requirements will be met from
internally generated funds and borrowings under its existing credit facilities
($275.0 million available under the FRP credit facility as of October 21,
1994). In May 1994, FTX announced that it intends to pursue a plan to
separate its two principal businesses, copper/gold and agricultural minerals,
into two independent financial and operating entities. To accomplish this
plan, FTX would make a pro rata distribution of its common stock ownership in
Freeport-McMoRan Copper & Gold Inc. (FCX) to the FTX stockholders. The
proposed distribution, which will require a series of steps to implement over
several months, is contingent on a number of factors. In connection with this
restructuring plan, the existing FTX revolving credit agreement in which FRP
participates will be replaced with a new facility of FRP and FTX, eliminating
any ties to FCX borrowings. The spinoff of FCX will provide greater access to
credit markets and reduce financing costs for both FRP and FCX.
-------------------------------
The results of operations reported and summarized above are not necessarily
indicative of future operating results.
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
--------------------------------
(a) The list of exhibits appearing on page E-1 hereof and the
exhibit immediately following said page are incorporated herein by reference.
(b) No reports on Form 8-K were filed by the registrant during the
quarter for which this report is filed.
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
FREEPORT-McMoRan RESOURCE PARTNERS,
LIMITED PARTNERSHIP
(A Limited Partnership)
By: /s/ Nancy D. Bonner
------------------------
Nancy D. Bonner
Vice President and Controller
(Authorized signatory and
Principal Accounting Officer)
Date: October 27, 1994
FREEPORT-McMoRan RESOURCE PARTNERS, LIMITED PARTNERSHIP
EXHIBIT INDEX
-------------
Sequentially
Numbered
Number Description Page
- ------ ----------- ------------
27.1 Freeport-McMoRan Resource Partners, Limited
Partnership Financial Data Schedule<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> SEP-30-1994
<CASH> 11,237
<SECURITIES> 0
<RECEIVABLES> 47,949
<ALLOWANCES> 0
<INVENTORY> 112,536
<CURRENT-ASSETS> 188,846
<PP&E> 1,742,083
<DEPRECIATION> 816,760
<TOTAL-ASSETS> 1,174,873
<CURRENT-LIABILITIES> 86,236
<BONDS> 396,410
<COMMON> 452,542
0
0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 1,174,873
<SALES> 555,996
<TOTAL-REVENUES> 555,996
<CGS> 437,463
<TOTAL-COSTS> 437,463
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 24,109
<INCOME-PRETAX> 57,210
<INCOME-TAX> 0
<INCOME-CONTINUING> 57,210
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 57,210
<EPS-PRIMARY> .55
<EPS-DILUTED> 0
</TABLE>
