Sisecam Resources LP (CINR)

Ciner Resources has recently reinstated their former distributions, thereby providing a high 8% yield but risks remain.

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release third quarter 2021 financial results after the market closes on Tuesday, November 2, 2021. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming LLC, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has be

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) (“we”, “us, “our”, or the “Partnership”) today reported its financial and operating results for the quarter ended June 30, 2021. Second Quarter 2021 Financial Highlights: Net sales of $120.7 million increased 58.4% from the prior-year second quarter; year-to-date of $248.5 million increased 30.4% over the prior year. During the second quarter of 2020, the Partnership experienced a significant decline in sales volumes, production and pricing in response to COVID-19. During the second quarter of 2021, the Partnership sees continuing recovery from the COVID-19 pandemic. Soda ash volume produced increased 45.0% from the prior-year second quarter, and soda ash volume sold increased 52.5% from the prior-year second quarter; year-to-date soda ash volume produced increased 15.2% from the prior-year, and soda ash volume sold increased 25.7% from the prior-year. During the second quarter of 2020, the Partnership experienced a significant decline in production volumes and demand in response to COVID-19. During the second quarter of 2021, the Partnership sees continuing recovery from the COVID-19 pandemic resulting in more soda ash production. Net income of $6.8 million increased $12.2 million from the prior-year second quarter; year-to-date net income of $12.4 million increased $3.6 million over the prior year. During the second quarter of 2021, net income increased with a higher percentage than that of sales volumes because sales prices have partially recovered but not yet to the pre-pandemic levels. Adjusted EBITDA of $16.3 million increased 482.1% from the prior-year second quarter; year-to-date adjusted EBITDA of $32.0 million increased 27.0% over the prior year. During the second quarter of 2020, sales and production volumes decreased significantly as a result of COVID-19. Basic earnings per unit of $0.15 for the quarter increased 188.2% over the prior-year second quarter loss per unit of $0.17; year-to-date basic earnings per unit of $0.27 increased 58.8% over the prior-year. Net cash provided by operating activities of $24.8 million increased 71.0% over prior-year second quarter; year-to-date net cash provided by operating activities of $18.4 million decreased 41.0% over the prior year. Distributable cash flow of $1.5 million increased 207.1% compared to the prior-year second quarter; year-to-date distributable cash flow of $6.2 million decreased 18.4% over the prior year. Oguz Erkan, CEO, commented: Ciner Resources’ second quarter performance marked another milestone in the path to recovery from the substantial disruption to soda ash markets a year ago. Production levels were in line with our expectation of a typical second quarter, during which we conduct a major planned maintenance outage. Sales volumes in the second quarter were up over 50% from Q2 of 2020, which to date has represented the trough of the downturn in soda ash demand during the COVID-19 pandemic. A year later, we continue to see strengthening demand internationally, although recent increases in COVID-19 cases in many areas may pose a risk to this trend. Sales prices globally are steadily rising due to a tightening market and higher costs. However, historically high ocean freight rates due to high demand and low availability of vessels are impacting exporters’ profitability. As some quarterly contracts in key export markets reprice over the coming months, we are optimistic around continued sales price recovery and favorable margin impact. In light of these market factors, we saw firm improvement in our results compared to the first quarter of this year. Net income grew 21% to $6.8 million and adjusted EBITDA improved to $16.3 million in the second quarter of 2021, while revenue fell slightly to $120.7 million as a result of timing of bulk export shipments, lower production volumes and changes in sales mix. A $13.5 million improvement in adjusted EBITDA from the prior year quarter has improved our trailing twelve month leverage calculation, reducing our leverage below 2.0x. We continue to evaluate the appropriate timing to reinstate a distribution to our unitholders particularly in light of our improved results when compared to last year. Given the desire to better ensure financial flexibility and sufficient liquidity in the face of continued uncertainty caused by the COVID-19 and related new variants we have decided to continue the cessation for the second quarter of 2021. As we continue to evolve our export strategy and execute on global supply chain initiatives, we have had success developing our distribution network and building international relationships through the first half of the year. Indicators point to continued demand growth, as global consumption has nearly normalized to pre-COVID levels and soda ash demand continues to track broader economic growth going forward. As always, I want to thank our team for their continued efforts and support of our transition period and applaud our operations team for another safe and successful production quarter. Financial Highlights Three Months Ended June 30, Six Months Ended June 30, (Dollars in millions, except per unit amounts) 2021 2020 % Change 2021 2020 % Change Soda ash volume produced (millions of short tons) 0.657 0.453 45.0 % 1.305 1.133 15.2 % Soda ash volume sold (millions of short tons) 0.650 0.427 52.5 % 1.370 1.090 25.7 % Net sales $ 120.7 $ 76.2 58.4 % $ 248.5 $ 190.6 30.4 % Net income (loss) 6.8 $ (5.4 ) 225.9 % $ 12.4 $ 8.8 40.9 % Net income (loss) attributable to Ciner Resources LP $ 2.9 $ (3.3 ) 187.9 % $ 5.3 $ 3.4 55.9 % Earnings (loss) per limited partner unit $ 0.15 $ (0.17 ) 188.2 % $ 0.27 $ 0.17 58.8 % Adjusted EBITDA(1) $ 16.3 $ 2.8 482.1 % $ 32.0 $ 25.2 27.0 % Adjusted EBITDA attributable to Ciner Resources LP(1) $ 8.0 $ 1.1 627.3 % $ 15.7 $ 12.3 27.6 % Net cash provided by operating activities $ 24.8 14.5 71.0 % $ 18.4 31.2 (41.0 )% Distributable cash flow (deficit) attributable to Ciner Resources LP(1) $ 1.5 $ (1.4 ) 207.1 % $ 6.2 $ 7.6 (18.4 )% Distribution coverage ratio (1) N/A N/A N/A N/A 1.12 N/A (1)See non-GAAP reconciliations Three Months Ended June 30, 2021 compared to Three Months Ended June 30, 2020 The following table sets forth a summary of net sales, sales volumes and average sales price, and the percentage change between the periods. Three Months Ended June 30, Percent Increase/(Decrease) (Dollars in millions, except for average sales price data): 2021 2020 Net sales: Domestic $ 70.5 $ 44.2 59.5 % International 50.2 32.0 56.9 % Total net sales $ 120.7 $ 76.2 58.4 % Sales volumes (thousands of short tons): Domestic 329.5 195.3 68.7 % International 320.7 231.2 38.7 % Total soda ash volume sold 650.2 426.5 52.5 % Average sales price (per short ton):(1) Domestic $ 213.96 $ 226.32 (5.5 )% International $ 156.53 $ 138.41 13.1 % Average $ 185.64 $ 178.66 3.9 % Percent of net sales: Domestic sales 58.4 % 58.0 % 0.7 % International sales 41.6 % 42.0 % (1.0 )% Total percent of net sales 100.0 % 100.0 % Percent of sales volumes: Domestic volume 50.7 % 45.8 % 10.7 % International volume 49.3 % 54.2 % (9.0 )% Total percent of volume sold 100.0 % 100.0 % (1) Average sales price per short ton is computed as net sales divided by volumes sold Consolidated Results Net sales. Net sales increased by 58.4% to $120.7 million for the three months ended June 30, 2021 from $76.2 million for the three months ended June 30, 2020, primarily driven by an increase in soda ash volumes sold of 52.5% due to continued recovery of domestic and international demand from the significant negative impact from the COVID-19 pandemic. We operated close to full production capacity in the three months ended June 30, 2021. Sales prices in the three months ended June 30, 2021 had not fully recovered to pre-COVID-19 pandemic levels. Increases in net sales and cost of product sold from 2020 to 2021 are also attributable to an increase in non-ANSAC international sales which include ocean freight in both net sales and cost of product sold. Cost of products sold. Cost of products sold, including depreciation, depletion and amortization expense and freight costs, increased by 43.9% to $106.8 million for the three months ended June 30, 2021 from $74.2 million for the three months ended June 30, 2020, which were primarily due to significant increases in overall soda ash sales volumes. The increase in cost of products sold is also due to significant increase in ocean freight rates primarily from a volatile vessel market impacted by recent global supply chain constraints. Selling, general and administrative expenses. Our selling, general and administrative expenses decreased 6.7% to $5.6 million for the three months ended June 30, 2021, compared to $6.0 million for the three months ended June 30, 2020. The decrease was primarily due to lower professional fees for the three months ended June 30, 2021 than that for the three months ended June 30, 2020. Operating income. As a result of the foregoing, operating income increased by 307.5% to $8.3 million for the three months ended June 30, 2021 from $4.0 million operating loss for the three months ended June 30, 2020. The increase was due to a partial recovery from the COVID-19 pandemic negative impact. In addition, a significant amount of fixed plant costs were proportionally higher than sales and production volume which lowered margins for the three months ended June 30, 2020. Net income. As a result of the foregoing, net income increased by 225.9% to $6.8 million net income for the three months ended June 30, 2021, from $5.4 million net loss for the three months ended June 30, 2020. During the three months ended June 30, 2021, production and sales increased significantly due to a partial recovery from COVID-19 pandemic. In addition, a significant amount of fixed plant costs were proportionally higher than sales and production volume which lowered margins for the three months ended June 30, 2020. Six Months Ended June 30, 2021 compared to Six Months Ended June 30, 2020 The following table sets forth a summary of net sales, sales volumes and average sales price, and the percentage change between the periods. Six Months Ended June 30, Percent Increase/(Decrease) (Dollars in millions, except for average sales price data): 2021 2020 Net sales: Domestic $ 136.8 $ 99.4 37.6 % International 111.7 91.2 22.5 % Total net sales $ 248.5 $ 190.6 30.4 % Sales volumes (thousands of short tons): Domestic 644.9 432.7 49.0 % International 725.2 657.5 10.3 % Total soda ash volume sold 1,370.1 1,090.2 25.7 % Average sales price (per short ton):(1) Domestic $ 212.13 $ 229.72 (7.7 )% International $ 154.03 $ 138.71 11.0 % Average $ 181.37 $ 174.83 3.7 % Percent of net sales: Domestic sales 55.1 % 52.2 % 5.6 % International sales 44.9 % 47.8 % (6.1 )% Total percent of net sales 100.0 % 100.0 % Percent of sales volumes: Domestic volume 47.1 % 39.7 % 18.6 % International volume 52.9 % 60.3 % (12.3 )% Total percent of volume sold 100.0 % 100.0 % (1) Average sales price per short ton is computed as net sales divided by volumes sold Consolidated Results Net sales. Net sales increased by 30.4% to $248.5 million for the six months ended June 30, 2021 from $190.6 million for the six months ended June 30, 2020, primarily driven by an increase in soda ash volumes sold of 25.7% due to the continued recovery of domestic and international demand from the significant negative impact from the COVID-19 pandemic. We operated close to full production capacity in the six months ended June 30, 2021. Sales prices in the six months ended June 30, 2021 had not fully recovered to pre-COVID-19 pandemic levels. Increase in net sales and cost of product sold from 2020 to 2021 is also impacted by an increase in non-ANSAC international sales which include ocean freight in both net sales and cost of product sold. See How “We Evaluate Our Business - Net Sales” section for further information. Cost of products sold. Cost of products sold, including depreciation, depletion and amortization expense and freight costs, increased by 32.8% to $222.1 million for the six months ended June 30, 2021 from $167.3 million for the six months ended June 30, 2020, which was primarily due to significant increases in overall soda ash sales volumes. The increase in cost of products sold is also due to significant increase in ocean freight rates primarily from a volatile vessel market impacted by recent global supply chain constraints. Selling, general and administrative expenses. Our selling, general and administrative expenses decreased 5.1% to $11.2 million for the six months ended June 30, 2021, compared to $11.8 million for the six months ended June 30, 2020. The decrease was primarily due to the lower professional fees. Operating income. As a result of the foregoing, operating income increased by 32.2% to $15.2 million for the six months ended June 30, 2021 from $11.5 million for the six months ended June 30, 2020. During the six months ended June 30, 2021, production and sales increased significantly due to recovery from the COVID-19 pandemic. In addition, a significant amount of fixed plant costs were proportionally higher than sales and production volume which lowered margins for the six months ended June 30, 2020 Net income. As a result of the foregoing, net income increased by 40.9% to $12.4 million for the six months ended June 30, 2021, from $8.8 million for the six months ended June 30, 2020. During the six months ended June 30, 2021, production and sales increased significantly due to recovery from the COVID-19 pandemic. In addition, a significant amount of fixed plant costs were proportionally higher than sales and production volume which lowered margins for the six months ended June 30, 2020. CAPEX AND ORE METRICS The following table summarizes our capital expenditures, on an accrual basis, ore grade and ore to ash ratio: Three Months Ended June 30, Six Months Ended June 30, (Dollars in millions) 2021 2020 2021 2020 Capital Expenditures Maintenance $ 8.5 $ 3.6 16.0 $ 10.1 Expansion 0.2 6.1 0.5 11.3 Total $ 8.7 $ 9.7 $ 16.5 $ 21.4 Operating and Other Data: Ore grade(1) 86.4 % 86.7 % 85.7 % 86.7 % Ore to ash ratio(2) 1.52: 1.0 1.70: 1.0 1.58: 1.0 1.60: 1.0 (1) Ore grade is the percentage of raw trona ore that is recoverable as soda ash free of impurities. A higher ore grade will produce more soda ash than a lower ore grade. (2) Ore to ash ratio expresses the number of short tons of trona ore needed to produce one short ton of soda ash and includes our deca rehydration recovery process. In general, a lower ore to ash ratio results in lower costs and improved efficiency. During the three and six months ended June 30, 2021, capital expenditures decreased $1 million and $4.9 million as compared to the three and six months ended June 30, 2020, respectively. The decrease was primarily driven by decreases in expansion capital expenditures because of the completion of our new co-generation facility, which became operational in March 2020. As of June 30, 2021, we had cash and cash equivalents of $2.5 million. In addition, we have approximately $115.0 million ($225.0 million, less $110.0 million outstanding) of remaining capacity under the Ciner Wyoming Credit Facility. As of June 30, 2021, our leverage and interest coverage ratios, as calculated pursuant to the credit agreement for the Ciner Wyoming Credit Facility, were 1.91: 1.0 and 13.27: 1.0, respectively. Our balance under the Ciner Wyoming Equipment Financing Arrangement at June 30, 2021 was $26.2 million ($26.0 million net of financing costs). CASH FLOWS Cash Flows Operating Activities Our operating activities during the six months ended June 30, 2021 provided cash of $18.4 million, a decrease of 41.0% from the $31.2 million cash provided during the six months ended June 30, 2020, primarily as a result of the following: an increase of 40.9% in net income of $12.4 million during the six months ended June 30, 2021, compared to $8.8 million for the prior-year period; and $11.3 million of working capital used in operating activities during the six months ended June 30, 2021, compared to $8.5 million of working capital provided by operating activities during the six months ended June 30, 2020. The $19.7 million decrease in working capital relating to operating activities during the year over year was primarily due to higher net sales for six months ended June 30, 2021. It is partly offset by the higher balances of accounts payable and accrued expenses as of June 30, 2021. Investing activities We used cash flows of $17.1 million in investing activities during the six months ended June 30, 2021, compared to $20.3 million used during the six months ended June 30, 2020, for capital projects as described in “Capital Expenditures” above. Financing Activities Cash provided by financing activities of $0.7 million during the six months ended June 30, 2021 increased by 108.2% over the prior-year cash used in financing activities, largely due to distributions to noncontrolling interest during the six months ended June 30, 2020. Green River Expansion Project We continue to develop plans and execute the early phases for a potential new Green River Expansion Project that we believe will increase production levels up to approximately 3.5 million short tons of soda ash per year or up to approximately 135% of the last five-year average of soda ash produced per year. We have conducted the initial basic design and are currently evaluating and pursuing the related permits and detailed cost and market analysis pursuant to the basic design. This project will require capital expenditures materially higher than have been recently incurred by Ciner Wyoming. When considering the significant investment required by this expansion and the infrastructure improvements designed to increase our overall efficiency, as well as the COVID-19 pandemic’s negative impact on our financial results, we have re-prioritized the timing of the significant expenditure items in order to increase financial and liquidity flexibility until we have more clarity and visibility into the ongoing impact of the COVID-19 pandemic on our business. The timing of the new Green River Expansion Project as well as any other expansion capital expenditures may be impacted by certain performance ratios requirements of the Ciner Obligors’ Facilities Agreement. Based on the Ciner Obligors’ applicable ratios as of December 31, 2020 and June 30, 2021 certain of our expansion capital expenditures are prohibited until the Ciner Obligors’ applicable ratios are at acceptable levels pursuant to the Facilities Agreement. COVID-19 The global COVID-19 and variants (“COVID-19) pandemic continues to cause certain disruptions to the economy throughout the world, including the United States and markets to which our products have historically been exported. There have been extraordinary actions taken by international, federal, state, and local public health and governmental authorities to contain and combat the outbreak and spread of COVID-19 in regions throughout the world, including travel bans, quarantines, “stay-at-home” orders, and similar mandates for many individuals to substantially restrict daily activities and for many businesses to curtail or cease normal operations. Vaccines for COVID-19 became first available on a limited basis in late December 2020. They are becoming more widely available globally and everyone in the U.S. ages 12 and older are now eligible for the vaccine. Our Response to COVID-19 We continue to closely monitor the impact of COVID-19 pandemic and all governmental actions in response thereto on all aspects of our business, including how it impacts our customers, employees, supply chain, distribution network and cash flows. As COVID-19 vaccines become more broadly available, we have encouraged employees to get vaccinated. As of June 30, 2021, a significant number of employees have been vaccinated. We continue to use guidance from local health organizations, including the Centers for Disease Control and Prevention, to make decisions about our return to the workplace policies. Our focus has been the safety of our teams and this will continue to be our priority as we use data to progressively return back to normal operations. We continue to actively monitor and adhere to applicable local, state, federal, and international governmental guideline actions to better ensure the safety of our employees. The impact of COVID-19 In the first half of 2020 and primarily in the beginning of the second quarter of 2020, we saw a decline in demand due to the COVID-19 pandemic adversely impacting our sales and production volume, and price per ton; but, in the second half of 2020 and thereafter, we saw the signs of recovery on our operations domestically as well as internationally in the form of increased global demand, notwithstanding certain pricing pressure. We experienced fluctuations in quarter over quarter soda ash volume sold of 4.4% decline, 35.7% decline, 26.7% increase, and 9.5% increase in the first, second, third and fourth quarters of 2020, compared to the immediately preceding quarter respectively. During the first and second quarters of 2021, we saw continued recovery in both domestic and international business. The soda ash volume sold in the first and second quarters for 2021 increased 21.7% and decreased 9.7% compared to immediately preceding quarter respectively. The decline in the soda ash volume sold in the second quarter of 2021 compared to the first quarter of 2021 is primarily due to the first quarter of 2021 included significant international sales volumes associated with the initial impact of selling directly to international customers as part of our December 31, 2020 ANSAC exit. Sales volumes for the three months ended June 30, 2021 are close to the pre-COVID-19 pandemic levels, which we consider to be prior to second quarter 2020. As the number of individuals who have been vaccinated has increased, downward daily trend of new COVID-19 confirmed cases was observed. The COVID-19 Delta variant among other variants, however, is spreading rapidly in a number of countries including the U.S. At this time, we still cannot predict the duration or the scope of the COVID-19 pandemic and its impact on our operations, and the potential negative financial impact to our results cannot be reasonably estimated but could be material. We are actively managing the business to maintain cash flow, and we believe we have enough liquidity to meet our anticipated liquidity requirements. For the six months ended June 30, 2021, we have incurred $1.1 million in costs directly related to COVID-19 primarily in the form of costs related to employee safety and retention and additional inventory storage and logistics costs. For the three months ended June 30, 2021 and 2020, we incurred $0.4 million and $0.9 million in costs directly related to COVID-19, respectively. Termination of Membership in ANSAC As previously disclosed as part of its strategic initiative to gain better direct access and control of international customers and logistics and the ability to leverage the expertise of Ciner Group, the world’s largest natural soda ash producer, effective as of the end of day on December 31, 2020, Ciner Corp exited ANSAC. In connection with the settlement agreement with ANSAC, there are sales commitments to ANSAC in 2021 and 2022 where Ciner Corp will continue to sell, at substantially lower volumes, product to ANSAC for export sales purposes, with a fixed rate per ton selling, general and administrative expense, and will also purchase a limited amount of export logistics services in 2021. Through this transition, the Partnership has amongst other things: (i) obtained its own international customer sales arrangements for 2021, (ii) obtained third-party export port services, and (iii) chartered and executed its own international product delivery. Although ANSAC has historically been our largest customer, the impact of Ciner Corp’s exit from ANSAC on our net sales, net income and liquidity was limited. We made this determination primarily based upon the belief that we would continue to be one of the lowest cost producers of soda ash in the global market. With a low-cost position combined with more direct access and better control of our international customers and logistics and the ability to leverage Ciner Group’s expertise in these areas, through a combination of ANSAC sales commitments for 2021 and 2022 as part of the transition from ANSAC and new customers, we have been able to adequately replace these net sales made under the former agreement with ANSAC. Post-ANSAC International Export Capabilities In accordance with its agreement to exit ANSAC effective as of December 31, 2020, Ciner Corp began marketing soda ash on our behalf directly into international markets and building its international sales, marketing and supply chain infrastructure. We now have access to utilize the distribution network that has already been established by the global Ciner Group. We believe that by having the option of combining our volumes with Ciner Group’s soda ash exports from Turkey, Ciner Corp’s strategic exit from ANSAC has helped us to leverage global Ciner Group’s, the world’s largest natural soda ash producer, soda ash operations which we expect will improve our ability to optimize our market share both domestically and internationally. Being able to work with the global Ciner Group provides us with the opportunity to better attract and more efficiently serve larger global customers. In addition, the Partnership is working to enhance its international logistics infrastructure that includes, among other things, a domestic port for export capabilities. These export capabilities are being developed by an affiliated company and options being evaluated range from continued outsourcing in the near term to developing its own port capabilities in the longer term. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been in operation for more than 50 years. NATURE OF OPERATIONS Ciner Resources LP owns a controlling interest comprised of a 51% membership interest in Ciner Wyoming. An affiliate of Natural Resource Partners L.P. owns a noncontrolling interest consisting of a 49% membership interest in Ciner Wyoming. FORWARD-LOOKING STATEMENTS This press release contains forward-looking statements. Statements other than statements of historical facts included in this press release that address activities, events or developments that the Partnership expects, believes or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements include all statements that are not historical facts and in some cases may be identified by the use of forward-looking terminology such as the words “believe,” “expect,” “plan,” “intend,” “seek,” “anticipate,” “estimate,” “predict,” “forecast,” “project,” “potential,” “continue,” “may,” “will,” “could,” “should,” or the negative of these terms or similar expressions. Such statements are based only on the Partnership’s current beliefs, expectations and assumptions regarding the future of the Partnership’s business, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Partnership’s control. The Partnership’s actual results and financial condition may differ materially from those implied or expressed by these forward-looking statements. Consequently, you are cautioned not to place undue reliance on any forward-looking statement because no forward-looking statement can be guaranteed. Factors that could cause the Partnership’s actual results to differ materially from the results contemplated by such forward-looking statements include: changes in general economic conditions, changes in the Partnership’s relationships with its customers, including ANSAC, the demand for soda ash and the opportunities for the Partnership to increase its volume sold, the development of glass and glass making product alternatives, changes in soda ash prices, operating hazards, unplanned maintenance outages at the Partnership’s production facility, construction costs or capital expenditures exceeding estimated or budgeted costs or expenditures, the effects of government regulation, tax position, and other risks incidental to the mining and processing of trona ore, and shipment of soda ash, the impact of a cybersecurity event, the impact of our agreement to exit ANSAC effective as of December 31, 2020 and our transition to the utilization of Ciner Group’s global distribution network for some of our export operations beginning on January 1, 2021, our ability to reinstate our distributions, and the short- and long-term impacts of the novel COVID-19 pandemic, including the impact of government orders on our employees and operations, as well as the other factors discussed in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2020, as updated by the Partnership’s Quarterly Report on Form 10-Q for the period ended March 31, 2021, and subsequent reports filed with the United States Securities and Exchange Commission. All forward-looking statements included in this press release are expressly qualified in their entirety by such cautionary statements. Unless required by law, the Partnership undertakes no duty and does not intend to update the forward-looking statements made herein to reflect new information or events or circumstances occurring after this press release. All forward-looking statements speak only as of the date made. Supplemental Information CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) Three Months Ended June 30, Six Months Ended June 30, (In millions, except per unit data) 2021 2020 2021 2020 Net sales: Sales—others 120.7 44.2 248.5 104.6 Sales—affiliates $ — $ 32.0 $ — $ 86.0 Net sales $ 120.7 $ 76.2 $ 248.5 $ 190.6 Operating costs and expenses: Cost of products sold including freight costs (excludes depreciation, depletion and amortization expense set forth separately below) 99.1 67.7 205.7 154.3 Depreciation, depletion and amortization expense 7.7 6.5 16.4 13.0 Selling, general and administrative expenses—affiliates 4.2 4.4 7.8 8.5 Selling, general and administrative expenses—others 1.4 1.6 3.4 3.3 Total operating costs and expenses 112.4 80.2 233.3 179.1 Operating income (loss) 8.3 (4.0 ) 15.2 11.5 Other (expenses) income: Interest income — 0.1 — 0.1 Interest expense, net (1.5 ) (1.5 ) (2.8 ) (2.8 ) Total other expense, net (1.5 ) (1.4 ) (2.8 ) (2.7 ) Net income (loss) $ 6.8 $ (5.4 ) $ 12.4 $ 8.8 Net income (loss) attributable to noncontrolling interest 3.9 (2.1 ) 7.1 5.4 Net income (loss) attributable to Ciner Resources LP $ 2.9 $ (3.3 ) $ 5.3 $ 3.4 Other comprehensive income: Income/(loss) on derivative financial instruments 5.1 2.8 $ 6.6 $ 0.7 Comprehensive income (loss) 11.9 (2.6 ) 19.0 9.5 Comprehensive income (loss) attributable to noncontrolling interest 6.4 (0.7 ) 10.3 5.7 Comprehensive income (loss) attributable to Ciner Resources LP $ 5.5 $ (1.9 ) $ 8.7 $ 3.8 Net income (loss) per limited partner unit: Net income (loss) per limited partner unit (basic) $ 0.15 $ (0.17 ) $ 0.27 $ 0.17 Net income (loss) per limited partner unit (diluted) $ 0.15 $ (0.17 ) $ 0.27 $ 0.17 Limited partner units outstanding: Weighted average limited partner units outstanding (basic) 19.8 19.7 19.8 19.7 Weighted average limited partner units outstanding (diluted) 19.8 19.7 19.8 19.7 CINER RESOURCES LP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) As of (In millions) June 30, 2021 December 31, 2020 ASSETS Current assets: Cash and cash equivalents $ 2.5 $ 0.5 Accounts receivable—affiliates 49.0 86.5 Accounts receivable, net 96.2 40.6 Inventory 31.4 33.5 Other current assets 9.4 4.1 Total current assets 188.5 165.2 Property, plant and equipment, net 308.3 307.4 Other non-current assets 26.4 25.4 Total assets $ 523.2 $ 498.0 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 3.0 $ 3.0 Accounts payable 21.9 16.4 Due to affiliates 2.1 2.9 Accrued expenses 34.0 33.6 Total current liabilities 61.0 55.9 Long-term debt 133.0 128.1 Other non-current liabilities 8.4 8.7 Total liabilities 202.4 192.7 Commitments and contingencies Equity: Common unitholders - Public and Ciner Wyoming Holding Co. (19.8 units issued and outstanding at June 30, 2021 and December 31, 2020) 175.5 170.0 General partner unitholders - Ciner Resource Partners LLC (0.4 units issued and outstanding at June 30, 2021 and December 31, 2020) 4.3 4.2 Accumulated other comprehensive loss 3.4 — Partners’ capital attributable to Ciner Resources LP 183.2 174.2 Noncontrolling interest 137.6 131.1 Total equity 320.8 305.3 Total liabilities and partners’ equity $ 523.2 $ 498.0 CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Six Months Ended June 30, (In millions) 2021 2020 Cash flows from operating activities: Net income $ 12.4 $ 8.8 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion and amortization expense 16.7 13.0 Equity-based compensation expense 0.4 0.7 Other non-cash items 0.2 0.2 Changes in operating assets and liabilities: (Increase)/decrease in: Accounts receivable - affiliates (4.4 ) 26.4 Accounts receivable, net (13.7 ) 2.1 Inventory 2.3 (9.5 ) Other current and other non-current assets (2.0 ) (0.1 ) Increase/(decrease) in: Accounts payable 6.1 (4.2 ) Due to affiliates (0.7 ) (0.2 ) Accrued expenses and other liabilities 1.1 (6.0 ) Net cash provided by operating activities 18.4 31.2 Cash flows from investing activities: Capital expenditures (17.1 ) (20.3 ) Net cash used in investing activities (17.1 ) (20.3 ) Cash flows from financing activities: Borrowings on Ciner Wyoming Credit Facility 57.5 121.5 Borrowings on Ciner Resources Credit Facility 1.0 — Borrowings on Ciner Wyoming Equipment Financing Arrangement — 30.0 Repayments on Ciner Wyoming Credit Facility (50.0 ) (131.0 ) Repayments on Ciner Resources Credit Facility (2.0 ) — Repayments on Ciner Wyoming Equipment Financing Arrangement (1.5 ) (0.7 ) Distributions to common unitholders, general partner, and noncontrolling interest (3.9 ) (27.9 ) Other (0.4 ) (0.4 ) Net cash provided by (used in) financing activities 0.7 (8.5 ) Net increase in cash and cash equivalents 2.0 2.4 Cash and cash equivalents at beginning of period 0.5 14.9 Cash and cash equivalents at end of period $ 2.5 $ 17.3 Non-GAAP Financial Measures We report our financial results in accordance with generally accepted accounting principles in the United States (“GAAP”). We also present the non-GAAP financial measures of: Adjusted EBITDA; Distributable cash flow; and Distribution coverage ratio. We define Adjusted EBITDA as net income (loss) plus net interest expense, income tax, depreciation, depletion and amortization, equity-based compensation expense and certain other expenses that are non-cash charges or that we consider not to be indicative of ongoing operations. Distributable cash flow is defined as Adjusted EBITDA less net cash paid for interest, maintenance capital expenditures and income taxes, each as attributable to Ciner Resources LP. The Partnership may fund expansion-related capital expenditures with borrowings under existing credit facilities such that expansion-related capital expenditures will have no impact on cash on hand or the calculation of cash available for distribution. In certain instances, the timing of the Partnership’s borrowings and/or its cash management practices will result in a mismatch between the period of the borrowing and the period of the capital expenditure. In those instances, the Partnership adjusts designated reserves (as provided in the partnership agreement) to take account of the timing difference. Accordingly, expansion-related capital expenditures have been excluded from the presentation of cash available for distribution. Distributable cash flow will not reflect changes in working capital balances. We define distribution coverage ratio as the ratio of distributable cash flow as of the end of the period to cash distributions payable with respect to such period. Adjusted EBITDA, distributable cash flow and distribution coverage ratio are non-GAAP supplemental financial measures that management and external users of our consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess: our operating performance as compared to other publicly traded partnerships in our industry, without regard to historical cost basis or, in the case of Adjusted EBITDA, financing methods; the ability of our assets to generate sufficient cash flow to make distributions to our unitholders; our ability to incur and service debt and fund capital expenditures; and the viability of capital expenditure projects and the returns on investment of various investment opportunities. We believe that the presentation of Adjusted EBITDA, distributable cash flow and distribution coverage ratio provide useful information to investors in assessing our financial condition and results of operations. The GAAP measures most directly comparable to Adjusted EBITDA and distributable cash flow are net income and net cash provided by operating activities. Our non-GAAP financial measures of Adjusted EBITDA, distributable cash flow and distribution coverage ratio should not be considered as alternatives to GAAP net income, operating income, net cash provided by operating activities, or any other measure of financial performance or liquidity presented in accordance with GAAP. Adjusted EBITDA and distributable cash flow have important limitations as analytical tools because they exclude some, but not all items that affect net income and net cash provided by operating activities. Investors should not consider Adjusted EBITDA, distributable cash flow and distribution coverage ratio in isolation or as a substitute for analysis of our results as reported under GAAP. Because Adjusted EBITDA, distributable cash flow and distribution coverage ratio may be defined differently by other companies, including those in our industry, our definition of Adjusted EBITDA, distributable cash flow and distribution coverage ratio may not be comparable to similarly titled measures of other companies, thereby diminishing its utility. The table below presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA and distributable cash flow to the GAAP financial measures of net income and net cash provided by operating activities: Three Months Ended June 30, Six Months Ended June 30, (Dollars in millions, except per unit data) 2021 2020 2021 2020 Reconciliation of Adjusted EBITDA to net income: Net income (loss) $ 6.8 $ (5.4) $ 12.4 $ 8.8 Add backs: Depreciation, depletion and amortization expense 7.7 6.5 16.4 13.0 Interest expense, net 1.5 1.4 2.8 2.7 Equity-based compensation expense, net of forfeitures 0.3 0.3 0.4 0.7 Adjusted EBITDA $ 16.3 $ 2.8 $ 32.0 $ 25.2 Less: Adjusted EBITDA attributable to noncontrolling interest 8.3 1.7 16.3 12.9 Adjusted EBITDA attributable to Ciner Resources LP $ 8.0 $ 1.1 $ 15.7 $ 12.3 Reconciliation of distributable cash flow to Adjusted EBITDA attributable to Ciner Resources LP: Adjusted EBITDA attributable to Ciner Resources LP $ 8.0 $ 1.1 $ 15.7 $ 12.3 Less: Cash interest expense, net attributable to Ciner Resources LP 0.7 0.6 1.2 0.1 Less: Maintenance capital expenditures attributable to Ciner Resources LP 5.8 1.9 8.3 4.6 Distributable cash flow (deficit) attributable to Ciner Resources LP $ 1.5 $ (1.4) $ 6.2 $ 7.6 Cash distribution declared per unit $ — $ — $ — $ 0.340 Total distributions to unitholders and general partner $ — $ — $ — $ 6.8 Distribution coverage ratio N/A N/A N/A 1.12 Reconciliation of Adjusted EBITDA to net cash from operating activities: Net cash provided by operating activities $ 24.8 $ 14.5 $ 18.4 $ 31.2 Add/(less): Amortization of long-term loan financing (0.1) — (0.3) — Net change in working capital (9.6) (12.9) 11.3 (8.5) Interest expense, net 1.5 1.4 2.8 2.7 Other non-cash items (0.3) (0.2) (0.2) (0.2) Adjusted EBITDA $ 16.3 $ 2.8 $ 32.0 $ 25.2 Less: Adjusted EBITDA attributable to noncontrolling interest 8.3 1.7 16.3 12.9 Adjusted EBITDA attributable to Ciner Resources LP $ 8.0 $ 1.1 $ 15.7 $ 12.3 Less: Cash interest expense, net attributable to Ciner Resources LP 0.7 0.6 1.2 0.1 Less: Maintenance capital expenditures attributable to Ciner Resources LP 5.8 1.9 8.3 4.6 Distributable cash flow (deficit) attributable to Ciner Resources LP $ 1.5 $ (1.4) $ 6.2 $ 7.6 The following table presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA to GAAP financial measure of net income for the periods presented: (Dollars in millions, except per unit data) Cumulative Four Quarters ended Q2- 2021 Q2-2021 Q1-2021 Q4-2020 Q3-2020 Q2-2020 Reconciliation of Adjusted EBITDA to net income: Net income (loss) $ 30.5 6.8 $ 5.6 $ 12.7 $ 5.4 $ (5.4 ) Add backs: Depreciation, depletion and amortization expense 32.2 7.7 8.7 8.0 7.8 6.5 Impairment and loss on disposal of assets, net — — — — — — Interest expense, net 5.3 1.5 1.3 1.3 1.2 1.4 Equity-based compensation expense (benefit), net of forfeitures 0.4 0.3 0.1 (0.2 ) 0.2 0.3 Adjusted EBITDA 68.4 16.3 15.7 21.8 14.6 2.8 Less: Adjusted EBITDA attributable to noncontrolling interest 34.9 8.3 8.0 11.2 7.4 1.7 Adjusted EBITDA attributable to Ciner Resources LP $ 33.5 $ 8.0 $ 7.7 $ 10.6 $ 7.2 $ 1.1 Adjusted EBITDA attributable to Ciner Resources LP $ 33.5 $ 8.0 $ 7.7 $ 10.6 $ 7.2 $ 1.1 Less: Cash interest expense (income), net attributable to Ciner Resources LP 2.5 0.7 0.5 0.7 0.6 0.6 Less: Maintenance capital expenditures attributable to Ciner Resources LP 15.4 5.8 2.5 4.3 2.8 1.9 Distributable cash flow (deficit) attributable to Ciner Resources LP $ 15.6 $ 1.5 $ 4.7 $ 5.6 $ 3.8 $ (1.4 ) Cash distribution declared per unit $ — $ — $ — $ — $ — $ — Total distributions to unitholders and general partner $ — $ — $ — $ — $ — $ — Distribution coverage ratio N/A N/A N/A N/A N/A N/A

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release second quarter 2021 financial results after the market closes on Monday, August 2, 2021. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming LLC, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) (“we,” “us,” “our,” or the “Partnership”) today reported its financial and operating results for the first quarter ended March 31, 2021. First Quarter 2021 Financial Highlights: Net sales of $127.8 million increased 11.7% from the prior-year first quarter. Soda ash volume produced decreased 4.7% from the prior-year first quarter and soda ash volume sold increased 8.5% from the prior-year first quarter. Net income of $5.6 million decreased $8.6 million from the prior-year first quarter. Adjusted EBITDA of $15.7 million decreased 29.9% from the prior-year first quarter. Basic earnings per unit of $0.12 for the quarter decreased 64.7% over the prior-year first quarter of $0.34. Net cash used in operating activities of $(6.4) million decreased 138.3% over net cash provided in operating activities in the prior-year first quarter. Distributable cash flow of $4.7 million decreased 47.8% compared to the prior-year first quarter. The distribution coverage ratio was N/A and 1.32 for the three months ended March 31, 2021 and 2020, respectively. Oguz Erkan, CEO, commented: “I am happy to report favorable results in the first quarter, with the soda ash market continuing to show positive signals in most markets. Customer demand was strong in the first quarter, as evidenced by our highest ever quarterly sales volume of 720 thousand tons. This was despite a minor disruption to our operations in February when a major winter storm obstructed natural gas infrastructure, causing us to idle some of our production. Our transition out of ANSAC has gone smoothly, and we are satisfied with our export performance three months into our new structure. We dispatched multiple vessels on our own account in the first quarter and we expect to continue to optimize our logistics and sales network for the remainder of the year. As the soda ash market and global supply chains continue to normalize, our added flexibility and established distributor network should allow for agile export planning and a focus on value generation. Despite strong sales volumes in the quarter, we continue to face a challenging pricing environment. Due to pricing dropping at the end of last year, contracted domestic sales price in 2021 is down 10% from the first quarter of 2020. Spot pricing in our export markets has also been slow to recover, but we have seen positive indications for the balance of this year and are optimistic that as demand recovers, pricing will follow. On the cost side, disruptions in global supply chains have resulted in volatile vessel rates and have impacted our realized pricing in the near term. These risks are not new to our business, and we believe that with direct control of our export planning we gain better flexibility to manage our costs as well as the opportunity to optimize our customer mix, better manage onsite inventory levels, and improve collaboration with Ciner Group to serve global customers. In summary, net sales in the first quarter of 2021 were $127.8 million, generating $5.6 million of net income and $15.7 million of adjusted EBITDA. Encouraging demand indicators, coupled with continued optimization of our export model, point to the possibility for upside for the remainder of the year. Overall, we maintain a strong long-term view for the business, and I am confident Ciner is positioned to capitalize on anticipated improving soda ash fundamentals, which should translate into increased cash flows, better enabling us to execute on our growth strategy.” Financial Highlights Three Months Ended March 31, (Dollars in millions, except per unit amounts) 2021 2020 % Change Soda ash volume produced (millions of short tons) 0.648 0.680 (4.7 )% Soda ash volume sold (millions of short tons) 0.720 0.664 8.5 % Net sales $ 127.8 $ 114.4 11.7 % Net income 5.6 $ 14.2 (60.6 )% Net income attributable to Ciner Resources LP $ 2.4 $ 6.7 (64.2 )% Earnings per limited partner unit $ 0.12 $ 0.34 (64.7 )% Adjusted EBITDA(1) $ 15.7 $ 22.4 (29.9 )% Adjusted EBITDA attributable to Ciner Resources LP(1) $ 7.7 $ 11.2 (31.3 )% Net cash (used) provided by operating activities $ (6.4 ) 16.7 (138.3 )% Distributable cash flow attributable to Ciner Resources LP(1) $ 4.7 $ 9.0 (47.8 )% Distribution coverage ratio (1) N/A 1.32 N/A (1)See non-GAAP reconciliations Three Months Ended March 31, 2021 compared to Three Months Ended March 31, 2020 The following table sets forth a summary of net sales, sales volumes and average sales price, and the percentage change between the periods. Three Months Ended March 31, Percent Increase/(Decrease) (Dollars in millions, except for average sales price data): 2021 2020 Net sales: Domestic $ 66.3 $ 55.2 20.1 % International 61.5 59.2 3.9 % Total net sales $ 127.8 $ 114.4 11.7 % Sales volumes (thousands of short tons): Domestic 315.4 237.4 32.9 % International 404.5 426.3 (5.1 )% Total soda ash volume sold 719.9 663.7 8.5 % Average sales price (per short ton):(1) Domestic $ 210.21 $ 232.52 (9.6 )% International $ 152.04 $ 138.87 9.5 % Average $ 177.52 $ 172.37 3.0 % Percent of net sales: Domestic sales 51.9 % 48.3 % 7.5 % International sales 48.1 % 51.7 % (7.0 )% Total percent of net sales 100.0 % 100.0 % Percent of sales volumes: Domestic volume 43.8 % 35.8 % 22.3 % International volume 56.2 % 64.2 % (12.5 )% Total percent of volume sold 100.0 % 100.0 % (1) Average sales price per short ton is computed as net sales divided by volumes sold Consolidated Results Net sales. Net sales increased by 11.7% to $127.8 million for the three months ended March 31, 2021 from $114.4 million for the three months ended March 31, 2020, primarily driven by an increase in soda ash volumes sold of 8.5% due to higher domestic demand for the three months ended March 31, 2021, as compared to the three months ended March 31, 2020. The overall improvement in soda ash sales volume for the three months ended March 31, 2021 was attributable to global recovery of soda ash demand from the impact of COVID-19. We have seen our export volume steadily increase since the second quarter of 2020. We operated closer to full production capacity in the first quarter of 2021 for the first time since the COVID-19 pandemic started. Sales prices in the three months ended March 31, 2021 have not fully recovered to pre-pandemic levels. Cost of products sold. Cost of products sold, including depreciation, depletion and amortization expense and freight costs, increased by 23.8% to $115.3 million for the three months ended March 31, 2021 from $93.1 million for the three months ended March 31, 2020, which were primarily due to increases in ocean freight cost for the international sales. The increase in ocean freight cost resulted from a volatile vessel market impacted by the disruptions in the recent global supply chains. Selling, general and administrative expenses. Our selling, general and administrative expenses decreased 3.4% to $5.6 million for the three months ended March 31, 2021, compared to $5.8 million for the three months ended March 31, 2020. The decrease was driven primarily by the decrease in the equity base compensation expenses and in the three months ended March 31, 2020 we recognized larger accounts receivable credit loss expense due to credit concerns related to certain customers that were negatively impacted by the onset of COVID-19. We incurred $0.4 million of accounts receivable credit loss expense for the first quarter of 2020 but no such expense for the first quarter of 2021. Operating income. Operating income decreased by 55.5% to $6.9 million for the three months ended March 31, 2021 from $15.5 million for the three months ended March 31, 2020. The decrease is primarily due to a change in new customer mix including new customers with lower margin which was still impacted by the overall global soda ash pricing not yet fully recovered to the pre-COVID 19 level in the first quarter of 2020. Net income. As a result of the foregoing, net income decreased by 60.6% to $5.6 million for the three months ended March 31, 2021 from $14.2 million for the three months ended March 31, 2020. CAPEX AND ORE METRICS The following table summarizes our capital expenditures, on an accrual basis, ore grade and ore to ash ratio: Three Months Ended March 31, (Dollars in millions) 2021 2020 Capital Expenditures Maintenance $ 7.5 $ 6.5 Expansion 0.3 5.1 Total $ 7.8 $ 11.6 Operating and Other Data: Ore grade (1) 85.1 % 86.7 % Ore to ash ratio (2) 1.65: 1.0 1.53: 1.0 (1) Ore grade is the percentage of raw trona ore that is recoverable as soda ash free of impurities. A higher ore grade will produce more soda ash than a lower ore grade. (2) Ore to ash ratio expresses the number of short tons of trona ore needed to produce one short ton of soda ash and includes our deca rehydration recovery process. In general, a lower ore to ash ratio results in lower costs and improved efficiency. During the three months ended March 31, 2021, capital expenditures decreased $3.8 million as compared to the three months ended March 31, 2020. The decrease was primarily driven by decreases in expansion capital expenditures because of the completion of our new co-generation facility, which became operational in March 2020. The decrease was partially offset by the continued increase of maintenance capital expenditures at our Wyoming facility to both adequately maintain the facility’s physical assets and to improve its operational reliability. FINANCIAL POSITION AND LIQUIDITY As of March 31, 2021, we had cash and cash equivalents of $2.7 million. In addition, we have approximately $102.5 million ($225.0 million, less $122.5 million outstanding) of remaining capacity under the Ciner Wyoming Credit Facility. Our balance under the Ciner Wyoming Equipment Financing Arrangement as of March 31, 2021 was $27.0 million ($26.8 million net of financing costs). As of March 31, 2021, our leverage and interest coverage ratios, as calculated pursuant to the credit agreement for the Ciner Wyoming Credit Facility and Ciner Wyoming Equipment Financing Arrangement were 2.58: 1.0 and 10.95: 1.0, respectively. CASH FLOWS Cash Flows Operating Activities Our operating activities during the three months ended March 31, 2021 used cash of $6.4 million, a decrease of 138.3% from the $16.7 million cash provided during the three months ended March 31, 2020, primarily as a result of the following: $20.9 million of working capital used in operating activities during the three months ended March 31, 2021, compared to $4.4 million of working capital used in operating activities during the three months ended March 31, 2020. The $16.4 million increase in working capital used by operating activities was primarily due to the $34.3 million increase in accounts receivable as of March 31, 2021 compared to that of March 31, 2020, offset by the $8.9 million increase in accounts payable at March 31, 2021 compared to that of March 31, 2020. Due to the startup of direct sales to international customers who typically have longer payment terms, compared to the recent payment history from ANSAC, the accounts receivable balance increased significantly as of March 31, 2021 and contributed to lower cash flows from operating activities during this transition period of three months ended March 31, 2021. We expect this reduction in cash flow to be a one-time impact in the initial quarter that direct sales were made to these new international customers with longer payment terms; and a decrease of 60.6% in net income of $5.6 million during the three months ended March 31, 2021, compared to $14.2 million for the prior-year period. Investing Activities We used cash flows of $5.4 million in investing activities during the three months ended March 31, 2021, compared to $12.9 million used during the three months ended March 31, 2020, for capital expenditures as described in “CAPEX AND ORE METRICS” above. Financing Activities Cash provided by financing activities of $14.0 million during the three months ended March 31, 2021 decreased by 57.2% over the prior-year cash provided by financing activities, largely due to repayments of the Ciner Resources credit facility during the three months ended March 31, 2021. Quarterly Distribution Each of the board of managers of Ciner Wyoming and the board of directors of our general partner have approved the continuation of the suspension of quarterly distributions to the members of Ciner Wyoming and our unitholders, as applicable, for each of the quarters ended September 30, 2020, December 31, 2020 and March 31, 2021 in a continued effort to achieve greater financial and liquidity flexibility during the COVID-19 pandemic. In March 2021, the board of managers of Ciner Wyoming approved a special $8.0 million distribution to, amongst other things, provide the Partnership with funds to retire the Ciner Resources Credit Facility. Management and the board of directors of our general partner will continue to evaluate, on a quarterly basis, whether it is appropriate to reinstate a distribution to our unitholders, which will be dependent in part on our cash reserves, liquidity, total debt levels and anticipated capital expenditures. Green River Expansion Project We continue to develop plans and execute the early phases for a potential new Green River Expansion Project that, we believe, could increase production levels up to approximately 3.5 million tons of soda ash per year or up to approximately 135% of the last five-year average of soda ash produced per year. We have conducted the initial basic design and are currently evaluating and pursuing the related permits and detailed cost and market analysis pursuant to the basic design. This project will require capital expenditures materially higher than have been recently incurred by Ciner Wyoming. When considering the significant investment required by this expansion and the infrastructure improvements designed to increase our overall efficiency, as well as the COVID-19 pandemic’s negative impact on our financial results, we have re-prioritized the timing of the significant expenditure items in order to increase financial and liquidity flexibility until we have more clarity and visibility into the ongoing impact of the COVID-19 pandemic on our business. The timing of the new Green River Expansion Project as well as any other expansion capital expenditures may be impacted by certain performance ratios requirements of the Ciner Obligors’ Facilities Agreement. Based on the Ciner Obligors’ applicable ratios as of December 31, 2020 and March 31, 2021 certain of our expansion capital expenditures are prohibited until the Ciner Obligors’ applicable ratios are at acceptable levels pursuant to the Facilities Agreement. COVID-19 The global COVID-19 pandemic continues to cause certain disruptions to the economy throughout the world, including the United States and markets to which our products have historically been exported. There have been extraordinary actions taken by international, federal, state, and local public health and governmental authorities to contain and combat the outbreak and spread of COVID-19 in regions throughout the world, including travel bans, quarantines, “stay-at-home” orders, and similar mandates for many individuals to substantially restrict daily activities and for many businesses to curtail or cease normal operations. Vaccines for COVID-19 became first available on a limited basis in late December 2020. They are becoming more available globally and all U.S. adults are now eligible for the vaccine. Our Response to COVID-19 We continue to closely monitor the impact of the outbreak of COVID-19 and all governmental actions in response thereto on all aspects of our business, including how it impacts our customers, employees, supply chain, distribution network and cash flows. We have taken strong proactive steps to keep the safety of our team and their families as the priority. We have been executing and continue to execute a comprehensive plan to help prevent the spread of the virus in our work locations and it appears to be having a positive impact. This plan includes multiple layers of protection for our employees, including but not limited to, social distancing, working from home for certain employees, splitting shifts, increased sanitation, restricted contractor and visitor access, temperature checks on all contractors and third-party vendors, travel restrictions, mask wearing requirements, and daily communication with our teams. We have conducted proactive quarantining and contact tracing from the early days of this pandemic and require self-reporting of any illness, in addition to a company doctor, weekly status meetings, tracking local resources, and industry wide efforts. We have also prepared strong contingency plans for all our operations with specific actions based on absentee rates. While we have not utilized any such plans to date as they have not been needed, they are continuously refined in case needed. As COVID-19 vaccines become more broadly available, we encourage employees to get vaccinated. We anticipate a re-opening of societies when the virus plateaus and diminishes, and we have completed re-entry plans to implement as they become appropriate. We are relying on science and data to guide our decisions related to COVID-19. Our focus prior to and during this pandemic has been the safety of our teams and this will continue to be our priority as we scale our operations back to normal as the data guides us to do so. We continue to actively monitor and adhere to applicable local, state, federal, and international governmental guideline actions to better ensure the safety of our employees. The impact of COVID-19 In the first half of 2020 and primarily in the beginning of the second quarter of 2020, we saw a decline in demand due to the COVID-19 pandemic adversely impacting our sales and production volume, and price per ton; but, in the second half of 2020, we saw the signs of recovery on our operations domestically as well as internationally in the form of increased global demand, notwithstanding certain pricing pressure. We experienced fluctuations in quarter over quarter soda ash volume sold of 4.4% decline, 35.7% decline, 26.7% increase, and 9.5% increase in the first, second, third and fourth quarters of 2020, compared to the immediately preceding quarter respectively. During the first quarter of 2021, we saw continued recovery in both domestic and international business. The soda ash volume sold in the first quarter of 2021 increased 21.7% over the fourth quarter of 2020. Although the number of individuals who have been vaccinated has increased, certain states and countries have again begun to see a plateau or upward daily trend of new COVID-19 confirmed cases. At this time, we cannot predict the duration or the scope of the COVID-19 pandemic and its impact on our operations, and the potential negative financial impact to our results cannot be reasonably estimated but could be material. We are actively managing the business to maintain cash flow, and we believe we have enough liquidity to meet our anticipated liquidity requirements. For the three months ended March 31, 2021, we have incurred $0.6 million in costs directly related to COVID-19 primarily in the form of costs related to employee safety and retention and additional inventory storage and logistics costs. For the three months ended March 31, 2020, however, we incurred no such costs directly related to COVID-19. Termination of Membership in ANSAC As previously disclosed as part of its strategic initiative to gain better direct access and control of international customers and logistics and the ability to leverage the expertise of Ciner Group, the world’s largest natural soda ash producer, effective as of the end of day on December 31, 2020, Ciner Corp exited ANSAC. In connection with the settlement agreement with ANSAC, there are sales commitments to ANSAC in 2021 and 2022 where Ciner Corp will continue to sell, at substantially lower volumes, product to ANSAC for export sales purposes, with a fixed rate per ton selling, general and administrative expense, and will also purchase a limited amount of export logistics services in 2021. Through this transition, the Partnership has amongst other things: (i) obtained its own international customer sales arrangements for 2021, (ii) obtained third-party export port services, and (iii) chartered and executed its own international product delivery. Although ANSAC has historically been our largest customer, we anticipate that the impact of Ciner Corp’s exit from ANSAC on our net sales, net income and liquidity is limited. We made this determination primarily based upon the belief that we will continue to be one of the lowest cost producers of soda ash in the global market. With a low-cost position combined with more direct access and better control of our international customers and logistics and the ability to leverage Ciner Group’s expertise in these areas, we believe we will adequately replace these net ANSAC sales. Since January 1, 2021, Ciner Corp has managed the Partnership’s sales and marketing activities for exports with the ANSAC exit being complete. Ciner Corp has leveraged the distributor network established by Ciner Group and independent third-party distribution partners to optimize our reach into each market. Post-ANSAC International Export Capabilities In accordance with the ANSAC Early Exit Agreement, Ciner Corp began marketing soda ash on our behalf directly into international markets and building its international sales, marketing and supply chain infrastructure. We now have access to utilize the distribution network that has already been established by the global Ciner Group. We believe that by having the option of combining our volumes with Ciner Group’s soda ash exports from Turkey, Ciner Corp’s strategic exit from ANSAC has helped us leverage global Ciner Group’s, the world’s largest natural soda ash producer, soda ash operations which we expect will improve our ability to optimize our market share both domestically and internationally. Being able to work with the global Ciner Group provides us with the opportunity to better attract and more efficiently serve larger global customers. In addition, the Partnership is working to enhance its international logistics infrastructure that includes, among other things, a domestic port for export capabilities. These export capabilities are being developed by an affiliated company and options being evaluated range from continued outsourcing in the near term to developing its own port capabilities in the longer term. Selling, general and administrative expenses also include amounts charged to the Partnership by its affiliates principally consisting of salaries, benefits, office supplies, professional fees, travel, rent and other costs of certain assets used by the Partnership. On October 23, 2015, the Partnership entered into a Services Agreement (the “Services Agreement”) with our general partner and Ciner Corp. Pursuant to the Services Agreement, Ciner Corp has agreed to provide the Partnership with certain corporate, selling, marketing, and general and administrative services, in return for which the Partnership has agreed to pay Ciner Corp an annual management fee and reimburse Ciner Corp for certain third-party costs incurred in connection with providing such services. In addition, under the limited liability company agreement governing Ciner Wyoming, Ciner Wyoming reimburses us for employees who operate our assets and for support provided to Ciner Wyoming. These transactions do not necessarily represent arm's length transactions and may not represent all costs if Ciner Wyoming operated on a standalone basis. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been in operation for more than 50 years. NATURE OF OPERATIONS Ciner Resources LP owns a controlling interest comprised of a 51% membership interest in Ciner Wyoming. An affiliate of Natural Resource Partners L.P. owns a non-controlling interest consisting of a 49% membership interest in Ciner Wyoming. FORWARD-LOOKING STATEMENTS This press release contains forward-looking statements. Statements other than statements of historical facts included in this press release that address activities, events or developments that the Partnership expects, believes or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements include all statements that are not historical facts and in some cases may be identified by the use of forward-looking terminology such as the words “believe,” “expect,” “plan,” “intend,” “seek,” “anticipate,” “estimate,” “predict,” “forecast,” “project,” “potential,” “continue,” “may,” “will,” “could,” “should” or the negative of these terms or similar expressions. Such statements are based only on the Partnership’s current beliefs, expectations and assumptions regarding the future of the Partnership’s business, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Partnership’s control. The Partnership’s actual results and financial condition may differ materially from those implied or expressed by these forward-looking statements. Consequently, you are cautioned not to place undue reliance on any forward-looking statement because no forward-looking statement can be guaranteed. Factors that could cause the Partnership’s actual results to differ materially from the results contemplated by such forward-looking statements include: changes in general economic conditions, changes in the Partnership’s relationships with its customers, including ANSAC, the demand for soda ash and the opportunities for the Partnership to increase its volume sold, the development of glass and glass making product alternatives, changes in soda ash prices, operating hazards, unplanned maintenance outages at the Partnership’s production facility, construction costs or capital expenditures exceeding estimated or budgeted costs or expenditures, the effects of government regulation, tax position, and other risks incidental to the mining and processing of trona ore, and shipment of soda ash, the impact of a cybersecurity event, the impact of our agreement to exit ANSAC effective as of December 31, 2020 and our transition to the utilization of Ciner Group’s global distribution network for some of our export operations beginning on January 1, 2021, our ability to reinstate our distributions, and the short- and long-term impacts of the novel COVID-19 pandemic, including the impact of government orders on our employees and operations, as well as the other factors discussed in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2020, and subsequent reports filed with the United States Securities and Exchange Commission. All forward-looking statements included in this press release are expressly qualified in their entirety by such cautionary statements. Unless required by law, the Partnership undertakes no duty and does not intend to update the forward-looking statements made herein to reflect new information or events or circumstances occurring after this press release. All forward-looking statements speak only as of the date made. Supplemental Information CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME (Unaudited) Three Months Ended March 31, (In millions, except per unit data) 2021 2020 Net sales: Sales—affiliates $ — $ 54.0 Sales—others 127.8 60.4 Net sales $ 127.8 $ 114.4 Operating costs and expenses: Cost of products sold including freight costs (excludes depreciation, depletion and amortization expense set forth separately below) 106.6 86.6 Depreciation, depletion and amortization expense 8.7 6.5 Selling, general and administrative expenses—affiliates 3.6 4.1 Selling, general and administrative expenses—others 2.0 1.7 Total operating costs and expenses 120.9 98.9 Operating income 6.9 15.5 Other (expenses) income: Interest expense, net (1.3 ) (1.3 ) Total other expense, net (1.3 ) (1.3 ) Net income $ 5.6 $ 14.2 Net income attributable to non-controlling interest 3.2 7.5 Net income attributable to Ciner Resources LP $ 2.4 $ 6.7 Other comprehensive income: Income/(loss) on derivative financial instruments 1.5 (2.1 ) Comprehensive income 7.1 12.1 Comprehensive income attributable to non-controlling interest 3.9 6.4 Comprehensive income attributable to Ciner Resources LP $ 3.2 $ 5.7 Net income per limited partner unit: Net income per limited partner unit (basic) $ 0.12 $ 0.34 Net income per limited partner unit (diluted) $ 0.12 $ 0.34 Limited partner units outstanding: Weighted average limited partner units outstanding (basic) 19.7 19.7 Weighted average limited partner units outstanding (diluted) 19.8 19.7 CINER RESOURCES LP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) As of (In millions) March 31, 2021 December 31, 2020 ASSETS Current assets: Cash and cash equivalents $ 2.7 $ 0.5 Accounts receivable—affiliates 46.9 86.5 Accounts receivable, net 114.5 40.6 Inventory 29.6 33.5 Other current assets 4.7 4.1 Total current assets 198.4 165.2 Property, plant and equipment, net 307.2 307.4 Other non-current assets 26.8 25.4 Total assets $ 532.4 $ 498.0 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 3.0 $ 3.0 Accounts payable 32.6 16.4 Due to affiliates 1.8 2.9 Accrued expenses 31.6 33.6 Total current liabilities 69.0 55.9 Long-term debt 146.3 128.1 Other non-current liabilities 8.6 8.7 Total liabilities 223.9 192.7 Commitments and contingencies Equity: Common unitholders - Public and Ciner Wyoming Holding Co. (19.8 units issued and outstanding as of March 31, 2021 and December 31, 2020) 172.4 170.0 General partner unitholders - Ciner Resource Partners LLC (0.4 units issued and outstanding as of March 31, 2021 and December 31, 2020) 4.2 4.2 Accumulated other comprehensive income (loss) 0.8 — Partners’ capital attributable to Ciner Resources LP 177.4 174.2 Non-controlling interest 131.1 131.1 Total equity 308.5 305.3 Total liabilities and partners’ equity $ 532.4 $ 498.0 CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Three Months Ended March 31, (In millions) 2021 2020 Cash flows from operating activities: Net income $ 5.6 $ 14.2 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion and amortization expense 8.7 6.5 Equity-based compensation expense 0.1 0.4 Other non-cash items 0.1 — Changes in operating assets and liabilities: (Increase)/decrease in: Accounts receivable - affiliates (2.3 ) 8.8 Accounts receivable, net (31.8 ) (8.6 ) Inventory 2.5 (5.5 ) Other current and other non-current assets (0.3 ) 0.7 Increase/(decrease) in: Accounts payable 13.3 4.4 Due to affiliates (0.8 ) (0.9 ) Accrued expenses and other liabilities (1.5 ) (3.3 ) Net cash (used) provided by operating activities (6.4 ) 16.7 Cash flows from investing activities: Capital expenditures (5.4 ) (12.9 ) Net cash used in investing activities (5.4 ) (12.9 ) Cash flows from financing activities: Borrowings on Ciner Wyoming Credit Facility 35.0 76.5 Borrowings on Ciner Resources Credit Facilities 1.0 — Borrowings on Ciner Wyoming Equipment Financing Arrangement — 30.0 Repayments on Ciner Wyoming Credit Facilities (15.0 ) (59.5 ) Repayments on Ciner Resources Credit Facilities (2.0 ) — Repayments on Ciner Wyoming Equipment Financing Arrangement (0.8 ) — Debt issuance costs (0.3 ) (0.2 ) Common units surrendered for taxes — (0.2 ) Distributions to common unitholders — (6.7 ) Distributions to general partner — (0.1 ) Distributions to non-controlling interest (3.9 ) (7.1 ) Net cash provided by financing activities 14.0 32.7 Net increase in cash and cash equivalents 2.2 36.5 Cash and cash equivalents at beginning of period 0.5 14.9 Cash and cash equivalents at end of period $ 2.7 $ 51.4 Non-GAAP Financial Measures We report our financial results in accordance with generally accepted accounting principles in the United States (“GAAP”). We also present the non-GAAP financial measures of: Adjusted EBITDA; Distributable cash flow; and Distribution coverage ratio. We define Adjusted EBITDA as net income (loss) plus net interest expense, income tax, depreciation, depletion and amortization, equity-based compensation expense and certain other expenses that are non-cash charges or that we consider not to be indicative of ongoing operations. Distributable cash flow is defined as Adjusted EBITDA less net cash paid for interest, maintenance capital expenditures and income taxes, each as attributable to Ciner Resources LP. The Partnership may fund expansion-related capital expenditures with borrowings under existing credit facilities such that expansion-related capital expenditures will have no impact on cash on hand or the calculation of cash available for distribution. In certain instances, the timing of the Partnership’s borrowings and/or its cash management practices will result in a mismatch between the period of the borrowing and the period of the capital expenditure. In those instances, the Partnership adjusts designated reserves (as provided in the partnership agreement) to take account of the timing difference. Accordingly, expansion-related capital expenditures have been excluded from the presentation of cash available for distribution. Distributable cash flow will not reflect changes in working capital balances. We define distribution coverage ratio as the ratio of distributable cash flow as of the end of the period to cash distributions payable with respect to such period. Adjusted EBITDA, distributable cash flow and distribution coverage ratio are non-GAAP supplemental financial measures that management and external users of our consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess: our operating performance as compared to other publicly traded partnerships in our industry, without regard to historical cost basis or, in the case of Adjusted EBITDA, financing methods; the ability of our assets to generate sufficient cash flow to make distributions to our unitholders; our ability to incur and service debt and fund capital expenditures; and the viability of capital expenditure projects and the returns on investment of various investment opportunities. We believe that the presentation of Adjusted EBITDA, distributable cash flow and distribution coverage ratio provide useful information to investors in assessing our financial condition and results of operations. The GAAP measures most directly comparable to Adjusted EBITDA and distributable cash flow are net income and net cash provided by operating activities. Our non-GAAP financial measures of Adjusted EBITDA, distributable cash flow and distribution coverage ratio should not be considered as alternatives to GAAP net income, operating income, net cash provided by operating activities, or any other measure of financial performance or liquidity presented in accordance with GAAP. Adjusted EBITDA and distributable cash flow have important limitations as analytical tools because they exclude some, but not all items that affect net income and net cash provided by operating activities. Investors should not consider Adjusted EBITDA, distributable cash flow and distribution coverage ratio in isolation or as a substitute for analysis of our results as reported under GAAP. Because Adjusted EBITDA, distributable cash flow and distribution coverage ratio may be defined differently by other companies, including those in our industry, our definition of Adjusted EBITDA, distributable cash flow and distribution coverage ratio may not be comparable to similarly titled measures of other companies, thereby diminishing its utility. The table below presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA and distributable cash flow to the GAAP financial measures of net income and net cash provided by operating activities: Three Months Ended March 31, (Dollars in millions, except per unit data) 2021 2020 Reconciliation of Adjusted EBITDA to net income: Net income $ 5.6 $ 14.2 Add backs: Depreciation, depletion and amortization expense 8.7 6.5 Interest expense, net 1.3 1.3 Equity-based compensation expense, net of forfeitures 0.1 0.4 Adjusted EBITDA $ 15.7 $ 22.4 Less: Adjusted EBITDA attributable to non-controlling interest 8.0 11.2 Adjusted EBITDA attributable to Ciner Resources LP $ 7.7 $ 11.2 Reconciliation of distributable cash flow to Adjusted EBITDA attributable to Ciner Resources LP: Adjusted EBITDA attributable to Ciner Resources LP $ 7.7 $ 11.2 Less: Cash interest expense, net attributable to Ciner Resources LP 0.5 (0.5 ) Less: Maintenance capital expenditures attributable to Ciner Resources LP 2.5 2.7 Distributable cash flow attributable to Ciner Resources LP $ 4.7 $ 9.0 Cash distribution declared per unit $ — $ 0.340 Total distributions to unitholders and general partner $ — $ 6.8 Distribution coverage ratio N/A 1.32 Reconciliation of Adjusted EBITDA to net cash from operating activities: Net cash (used) provided by operating activities $ (6.4 ) $ 16.7 Add/(less): Amortization of long-term loan financing (0.2 ) — Net change in working capital 20.9 4.4 Interest expense, net 1.3 1.3 Other non-cash items 0.1 — Adjusted EBITDA $ 15.7 $ 22.4 Less: Adjusted EBITDA attributable to non-controlling interest 8.0 11.2 Adjusted EBITDA attributable to Ciner Resources LP $ 7.7 $ 11.2 Less: Cash interest expense, net attributable to Ciner Resources LP 0.5 (0.5 ) Less: Maintenance capital expenditures attributable to Ciner Resources LP 2.5 2.7 Distributable cash flow attributable to Ciner Resources LP $ 4.7 $ 9.0 The following table presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA to GAAP financial measure of net income for the periods presented: (Dollars in millions, except per unit data) Cumulative Four Quarters ended Q1-2021 Q1-2021 Q4-2020 Q3-2020 Q2-2020 Q1-2020 Reconciliation of Adjusted EBITDA to net income: Net income (loss) $ 18.3 5.6 $ 12.7 $ 5.4 $ (5.4 ) $ 14.2 Add backs: Depreciation, depletion and amortization expense 31.0 8.7 8.0 7.8 6.5 6.5 Interest expense, net 5.2 1.3 1.3 1.2 1.4 1.3 Equity-based compensation expense (benefit), net of forfeitures 0.4 0.1 (0.2 ) 0.2 0.3 0.4 Adjusted EBITDA 54.9 15.7 21.8 14.6 2.8 22.4 Less: Adjusted EBITDA attributable to non-controlling interest 28.3 8.0 11.2 7.4 1.7 11.2 Adjusted EBITDA attributable to Ciner Resources LP $ 26.6 $ 7.7 $ 10.6 $ 7.2 $ 1.1 $ 11.2 Adjusted EBITDA attributable to Ciner Resources LP $ 26.6 $ 7.7 $ 10.6 $ 7.2 $ 1.1 $ 11.2 Less: Cash interest expense (income), net attributable to Ciner Resources LP 2.4 0.5 0.7 0.6 0.6 (0.5 ) Less: Maintenance capital expenditures attributable to Ciner Resources LP 11.5 2.5 4.3 2.8 1.9 2.7 Distributable cash flow attributable to Ciner Resources LP $ 12.7 $ 4.7 $ 5.6 $ 3.8 $ (1.4 ) $ 9.0 Cash distribution declared per unit $ — $ — $ — $ — $ — $ 0.340 Total distributions to unitholders and general partner $ — $ — $ — $ — $ — $ 6.8 Distribution coverage ratio N/A N/A N/A N/A N/A 1.32

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release first quarter 2021 financial results after the market closes on Monday, May 3, 2021. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming LLC, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been in

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) filed its annual report on Form 10-K for the year ended December 31, 2020 with the Securities and Exchange Commission on March 16, 2021. A copy of our annual report on Form 10-K is available to be viewed or downloaded at www.ciner.us.com by selecting the “Investor Overview” section and then the “SEC Filings” tab. Unitholders may also request, free of charge, a hard copy of our annual report on Form 10-K, which includes audited financial

Ciner Resources LP (CINR) CEO Oguz Erkan on Q4 2020 Results - Earnings Call Transcript

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) (“we”, “us”, “our”, or the “Partnership”) today reported its financial and operating results for the fourth quarter ended December 31, 2020. Fourth Quarter and Year Ended 2020 Financial Highlights: Net sales of $103.4 million decreased 17.5% over the prior-year fourth quarter; year-end net sales of $392.2 million decreased 25.0% over the prior-year. Soda ash volume produced and sold decreased 0.3% and 14.8%, respectively, over the prior-year fourth quarter; year-end soda ash volume produced and sold decreased 17.2% and 19.5%, respectively, over the prior-year primarily due to lower demand due to the COVID-19 pandemic. Net income of $12.7 million decreased $10.0 million over the prior-year fourth quarter; year-end net income of $26.9 million decreased $74.7 million over the prior-year. Net income for the year ended December 31, 2020 was significantly impacted by lower demand due to the COVID-19 pandemic. Adjusted EBITDA of $21.8 million decreased 31.4% over the prior-year fourth quarter; year-end Adjusted EBITDA of $61.6 million decreased 54.5% over the prior-year. Adjusted EBITDA for the year ended December 31, 2020 was significantly impacted by lower demand due to the COVID-19 pandemic. Earnings per unit of $0.300 for the quarter decreased 45.5% over the prior-year fourth quarter of $0.550; year-end earnings per unit of $0.580 decreased 76.4% over the prior-year. Net income attributable to the Partnership for the year ended December 31, 2020 was down due to significantly lower net income due to the COVID-19 pandemic. Net cash provided by operating activities of $2.3 million decreased 93.5% over the prior-year fourth quarter; year-end net cash provided by operating activities of $54.7 million decreased 47.3% over the prior-year. Distributable cash flow of $5.6 million decreased 39.1% over the prior-year fourth quarter; year-end distributable cash flow of $17.0 million decreased 69.0% over the prior-year due to lower net cash provided by operating activities for the year ended December 31, 2020 which was significantly impacted by the global COVID-19 pandemic. The distribution coverage ratio was N/A and 1.35 for the three months ended December 31, 2020 and 2019, respectively; and 2.50 and 2.00 for the years ended December 31, 2020 and 2019, respectively. Oğuz Erkan, CEO, commented: “Our results in the fourth quarter reflected a continued improvement in soda ash markets, highlighted by sequential revenue and adjusted EBITDA growth of 5% and 49%, respectively from the third quarter. Global soda ash demand, which saw dramatic declines during the peak of COVID-19 related shutdowns, continued to normalize in the quarter. Improved demand supported strong production levels totaling 686 thousand tons in the fourth quarter, which was in line with Q4 of 2019. Our industry continues to recover from the pandemic, and we are prepared to participate in a sustained recovery going forward. “As we endured the economic fallout from the COVID-19 pandemic, our year-end financial results understandably declined as compared to our record 2019 performance. Net sales of $392 million in 2020 declined 25% from 2019 and adjusted EBITDA of $62 million fell 55% from the prior year. Amid the challenges faced in 2020, our business performed admirably, reacting quickly to preserve liquidity and reducing operating and capital costs where prudent. The commitment of our workers cannot be overstated as our team diligently adhered to new safety protocols and several optimizing measures in our production plan, operating costs, and distribution strategy, all while also managing the operational complexity involved with our exit from ANSAC. “We continue to actively develop our export operations to capitalize on new opportunities post-ANSAC and look forward to new and brighter horizons in 2021, with a continued focus on a strong production profile, maintaining ample liquidity, and capital planning for our capacity investments in the coming years. We will also continue to evaluate on a quarterly basis our ability to resume a distribution, as we monitor the market trajectory in 2021. “Lastly, I continue to be extremely proud of our team’s dedication to safety. Safe operations are our most important operating tenet and getting our employees home safely every day will always be our number one priority.” Financial Highlights Three Months Ended December 31, Year Ended December 31, (Dollars in millions, except per unit amounts) 2020 2019 % Change 2020 2019 % Change Soda ash volume produced (millions of short tons) 0.686 0.688 (0.3) % 2.279 2.752 (17.2) % Soda ash volume sold (millions of short tons) 0.592 0.695 (14.8) % 2.222 2.759 (19.5) % Net sales $ 103.4 $ 125.4 (17.5) % $ 392.2 $ 522.8 (25.0) % Net income $ 12.7 $ 22.7 (44.1) % $ 26.9 $ 101.6 (73.5) % Net income attributable to Ciner Resources LP $ 6.0 $ 11.2 (46.4) % $ 11.7 $ 49.6 (76.4) % Earnings per Common Unit $ 0.30 $ 0.55 (45.5) % $ 0.58 $ 2.46 (76.4) % Adjusted EBITDA(1) $ 21.8 $ 31.8 (31.4) % $ 61.6 $ 135.4 (54.5) % Adjusted EBITDA attributable to Ciner Resources LP(1) $ 10.6 $ 16.1 (34.2) % $ 30.1 $ 67.5 (55.4) % Net cash provided by operating activities $ 2.3 $ 35.4 (93.5) % $ 54.7 $ 103.8 (47.3) % Distributable cash flow attributable to Ciner Resources LP(1) $ 5.6 $ 9.2 (39.1) % $ 17.0 $ 54.9 (69.0) % Distribution coverage ratio (1) N/A 1.35 N/A 2.50 2.00 25.0 % (1) See non-GAAP reconciliations Three Months Ended December 31, 2020 compared to Three Months Ended December 31, 2019 The following table sets forth a summary of net sales, sales volumes and average sales price, and the percentage change between the periods. Three Months Ended December 31, Percent Increase/(Decrease) Net sales (Dollars in millions): 2020 2019 Domestic $ 55.7 $ 49.3 13.0% International 47.7 76.1 (37.3)% Total net sales $ 103.4 $ 125.4 (17.5)% Sales volumes (thousands of short tons): Domestic 264.7 213.7 23.9% International 326.8 480.9 (32.0)% Total soda ash volume sold 591.5 694.6 (14.8)% Average sales price (per short ton): Domestic $ 210.43 $ 230.70 (8.8)% International $ 145.96 $ 158.24 (7.8)% Average $ 174.81 $ 180.54 (3.2)% Percent of net sales: Domestic sales 53.9 % 39.3 % 37.2% International sales 46.1 % 60.7 % (24.1)% Total percent of net sales 100.0 % 100.0 % Percent of soda ash volume sold: Domestic volume 44.8 % 30.8 % 45.5% International volume 55.2 % 69.2 % (20.2)% Total percent of soda ash volume sold 100.0 % 100.0 % Consolidated Results Net sales. Net sales decreased by 17.5% to $103.4 million for the three months ended December 31, 2020 from $125.4 million for the three months ended December 31, 2019, primarily driven by a decrease in soda ash volumes sold of 14.8% due to lower international demand for the three months ended December 31, 2020, as well as a decrease in average sales prices of 3.2%. The decrease in sales prices was primarily driven by a decrease in domestic and international pricing during the three months ended December 31, 2020. The overall decrease in soda ash volumes sold was primarily driven by the decrease in international demand due to the COVID-19 pandemic. However, the Partnership experienced an increase in domestic sales volume primarily driven by recovery from declines in the previous quarters and new customers. Cost of products sold. Cost of products sold, including depreciation, depletion and amortization expense and freight costs, declined to $84.2 million for the three months ended December 31, 2020 compared to $97.2 million for the three months ended December 31, 2019, primarily due to lower production and sales volume impacted by the COVID-19 pandemic for the three months ended December 31, 2020. Selling, general and administrative expenses. Our selling, general and administrative expenses increased 20.9% to $5.2 million for the three months ended December 31, 2020, compared to $4.3 million for the three months ended December 31, 2019. The increase was driven primarily by an increase in employee compensation costs compared to the fourth quarter of 2019 as we continued building our infrastructure for international sales, marketing, and logistics. Operating income. As a result of the foregoing, operating income decreased by 41.4% to $14.0 million for the three months ended December 31, 2020, compared to $23.9 million for the three months ended December 31, 2019. Net income. As a result of the foregoing, net income decreased by 44.1% to $12.7 million for the three months ended December 31, 2020, compared to $22.7 million for the three months ended December 31, 2019. Year Ended December 31, 2020 compared to Year Ended December 31, 2019 The following table sets forth a summary of net sales, sales volumes and average sales price, and the percentage change between the periods. Year Ended December 31, Percent Increase/(Decrease) Net sales (Dollars in millions, except average sales price): 2020 2019 Domestic $ 208.8 $ 207.0 0.9% International 183.4 315.8 (41.9)% Total net sales $ 392.2 $ 522.8 (25.0)% Sales volumes (thousands of short tons): Domestic 940.9 874.5 7.6% International 1,281.0 1,884.6 (32.0)% Total soda ash volume sold 2,221.9 2,759.1 (19.5)% Average sales price (per short ton): Domestic $ 221.92 $ 236.71 (6.2)% International $ 143.17 $ 167.57 (14.6)% Average $ 176.52 $ 189.48 (6.8)% Percent of net sales: Domestic sales 53.2 % 39.6 % 34.3% International sales 46.8 % 60.4 % (22.5)% Total percent of net sales 100.0 % 100.0 % Percent of soda ash volume sold: Domestic volume 42.3 % 31.7 % 33.4% International volume 57.7 % 68.3 % (15.5)% Total percent of soda ash volume sold 100.0 % 100.0 % Consolidated Results Net sales. Net sales decreased by 25.0% to $392.2 million for the twelve months ended December 31, 2020 from $522.8 million for the twelve months ended December 31, 2019, primarily driven by a decrease in soda ash volumes sold of 19.5% and a decrease in average sales price per short ton of 6.8% primarily due to the COVID-19 pandemic. The decrease in sales prices was driven by a decrease in domestic and international pricing during the twelve months ended December 31, 2020. Contributing to the decrease in net sales was a decline in international pricing, which continued the trend that began in the fourth quarter in 2019. The overall increase in domestic soda ash volumes sold was primarily driven by the domestic market not being as adversely impacted by COVID-19 as the international market. Cost of products sold. Cost of products sold, including depreciation, depletion and amortization expense and freight costs, decreased by 13.7% to $338.1 million for the twelve months ended December 31, 2020 from $391.9 million for the twelve months ended December 31, 2019, primarily due to lower sales volumes for the twelve months ended December 31, 2020 as a result of a decline in demand due to the COVID-19 pandemic. Selling, general and administrative expenses. Our selling, general and administrative expenses decreased 8.8% to $21.7 million for the twelve months ended December 31, 2020, compared to $23.8 million for the twelve months ended December 31, 2019. The decrease was primarily due to decreases in sales and marketing expenses and professional fees and contracted services during the twelve months ended December 31, 2020 as a result of decreased travel and deferring most non-essential costs due to the global COVID -19 pandemic for the twelve months ended December 31, 2020 compared to the twelve months ended December 31, 2019. Operating income. As a result of the foregoing, and primarily lower net sales that were led by lower demand and lower average net price, operating income decreased by 69.7% to $32.4 million for the twelve months ended December 31, 2020, compared to $107.1 million for the twelve months ended December 31, 2019. Net income. As a result of the foregoing, net income decreased by 73.5% to $26.9 million for the twelve months ended December 31, 2020, compared to $101.6 million for the twelve months ended December 31, 2019. CAPEX AND ORE METRICS The following table summarizes our capital expenditures, on an accrual basis, ore grade and ore to ash ratio: Three Months Ended December 31, Year Ended December 31, (Dollars in millions) 2020 2019 2020 2019 Capital Expenditures Maintenance $ 6.2 $ 10.7 $ 22.9 $ 20.5 Expansion 0.2 6.3 14.5 37.6 Total $ 6.4 $ 17.0 $ 37.4 $ 58.1 Operating and Other Data: Ore grade(1) 85.7 % 86.6 % 86.6 % 86.6 % Ore to ash ratio(2) 1.56: 1.0 1.50: 1.0 1.60: 1.0 1.51: 1.0 (1) Ore grade is the percentage of raw trona ore that is recoverable as soda ash free of impurities. A higher ore grade will produce more soda ash than a lower ore grade. (2) Ore to ash ratio expresses the number of short tons of trona ore needed to produce one short ton of soda ash and includes our deca rehydration recovery process. In general, a lower ore to ash ratio results in lower costs and improved efficiency. During the year ended December 31, 2020, capital expenditures decreased $20.7 million compared to the year ended December 31, 2019 primarily due to the decrease in expansion capital expenditures since the co-generation facility construction costs were largely absorbed in the year ended December 31, 2019 with construction of the facility being complete in the first quarter of 2020. Maintenance capital expenditures increased 11.7% during the year ended December 31, 2020, which was primarily to both adequately maintain the facility’s physical assets and improve its operational reliability. We continue to develop plans and execute the early phases for a potential new Green River Expansion Project. We have conducted the initial basic design and are currently evaluating and pursuing the related permits and detailed cost analysis pursuant to the basic design. This project will require capital expenditures materially higher than have been recently incurred by Ciner Wyoming. When considering the significant investment required by this expansion and the infrastructure improvements designed to increase our overall efficiency, combined with the COVID-19 pandemic’s negative impact on our financial results, we have re-prioritized the timing of the significant expenditure items in order to increase financial and liquidity flexibility until we have more clarity and visibility into the ongoing impact of the COVID-19 pandemic on our business. FINANCIAL POSITION AND LIQUIDITY As of December 31, 2020, we had cash and cash equivalents of $0.5 million. In addition, as of December 31, 2020, we had approximately $122.5 million ($225.0 million, less $102.5 million outstanding) of remaining capacity under our Ciner Wyoming Credit Facility. As of December 31, 2020, the Partnership had approximately $9.0 million ($10.0 million, less $1.0 million outstanding) available for borrowing under the Partnership’s credit facility (the “Ciner Resources Credit Facility”). As of December 31, 2020, our leverage and interest coverage ratios, as calculated pursuant to the credit agreement for the Ciner Wyoming Credit Facility and the Ciner Resources Credit Facility, were 2.15: 1.0 and 11.43: 1.0, respectively. As previously disclosed in the Partnerships Form 8-K on March 11, 2021, in February 2021, the Partnership and Ciner Wyoming (the “Company”) were informed that an event of default (the “Ongoing Event of Default”) arose under the facilities agreement and certain related finance documents, pursuant to which WE Soda Ltd. (“WE Soda”) and Ciner Enterprises Inc. (“Ciner Enterprises”), as borrowers (the “borrowers”), KEW Soda Ltd., as parent, and certain related parties and other beneficial owners of the Partnership and the Company, as original guarantors, (as original guarantors and together with the borrowers, the “Ciner Obligors”) are parties (as amended and restated or otherwise modified, the “Facilities Agreement”). In response, the Company sought to amend its existing credit agreements, and the Partnership sought to repay and terminate its existing credit agreement to prevent the possibility of a default (a “Possible Default”) thereunder if the lenders under the Facilities Agreement chose to foreclose on certain equity interests of the Partnership’s and the Company’s beneficial owners (the “Equity Foreclosure Remedy”). Absent these actions, the exercise of the Equity Foreclosure Remedy would have resulted in a change of control under the Ciner Wyoming Credit Facility, Ciner Resources Credit Facility and Ciner Wyoming Equipment Financing Arrangement (collectively the “Credit Agreements”), which would be an event of default thereunder and would have provided the lenders under the Credit Agreements with certain rights, including declaring the outstanding debt under the Credit Agreements to be immediately due and payable. Further, the timing of our expansion projects may be impacted by certain performance ratios requirements of the Ciner Obligors under the Facilities Agreement. Based on the Ciner Obligors' applicable ratios at December 31, 2020 the Partnership’s expansion capital expenditures are prohibited until the Ciner Obligors' applicable ratios are at specified levels pursuant to the Facilities Agreement. CASH FLOWS AND QUARTERLY CASH DISTRIBUTION Cash Flows Cash provided by operating activities decreased to $54.7 million during the twelve months ended December 31, 2020 compared to $103.8 million of cash provided during the twelve months ended December 31, 2019, primarily driven by $26.9 million of net income during the twelve months ended December 31, 2020, compared to $101.6 million of net income during the twelve months ended December 31, 2019. The $24.2 million decrease in working capital used by operating activities was primarily due to the $8.5 million decrease in due from affiliates for the twelve months ended December 31, 2020, compared to a $24.9 million increase for the twelve months ended December 31, 2019, which increase was primarily due to an increase in due from affiliates as a result of the timing of our funding of pension benefits offered and administered by Ciner Resources Corporation (“Ciner Corp”) for the Partnership and its subsidiary, Ciner Wyoming LLC (“Ciner Wyoming”). Cash provided by operating activities during the twelve months ended December 31, 2020 was offset by cash used in investing activities of $42.2 million for capital expenditures and cash used in financing activities during the twelve months ended December 31, 2020 of $26.9 million. The decrease in cash used in financing activities during the twelve months ended December 31, 2020 was due to distributions paid of $27.9 million, net borrowings of $241.9 million, and net repayments of $240.7 million during the twelve months ended December 31, 2020, compared to distributions paid of $63.7 million, net borrowings of $102.0 million and net repayments of $71.5 million during the twelve months ended December 31, 2019. The increase in net borrowings during the twelve months ended December 31, 2020 was primarily related to funding of capital expenditures and to provide greater liquidity flexibility for operations. Quarterly Distribution Our general partner has considerable discretion in determining the amount of available cash, the amount of distributions and the decision to make any distribution. Although our partnership agreement requires that we distribute all of our available cash quarterly, there is no guarantee that we will make quarterly cash distributions to our unitholders or at any other rate, and we have no legal obligation to do so. In an effort to achieve greater financial and liquidity flexibility during the COVID-19 pandemic, on August 3, 2020, each of the members of the board of managers of Ciner Wyoming approved a suspension of quarterly distributions to its members. In addition, effective August 3, 2020, in connection with the quarterly distribution for the quarter ended June 30, 2020, each of the members of the board of directors of our general partner approved a suspension of quarterly distributions to our unitholders. Each of the board of managers of Ciner Wyoming and the board of directors of our general partner approved the continuation of the suspension of quarterly distributions to the members of Ciner Wyoming and our unitholders, as applicable, for each of the quarters ended September 30, 2020 and December 31, 2020 in a continued effort to achieve greater financial and liquidity flexibility during the COVID-19 pandemic. In March 2021, the board of managers of Ciner Wyoming approved a special $8.0 million distribution to, amongst other things, provide the Partnership with funds to retire the Ciner Resources Credit Facility. Management and the board of directors of our general partner will continue to evaluate, on a quarterly basis, whether it is appropriate to reinstate a distribution to our unitholders, which will be dependent in part on our cash reserves, liquidity, total debt levels and anticipated capital expenditures. Green River Expansion Project We continue to develop plans and execute the early phases for a potential new Green River Expansion Project that, we believe, could increase production levels up to approximately 3.5 million tons of soda ash per year. We have conducted the initial basic design and are currently evaluating and pursuing the related permits and detailed cost and market analysis pursuant to the basic design. This project will require capital expenditures materially higher than have been recently incurred by Ciner Wyoming. When considering the significant investment required by this expansion and the infrastructure improvements designed to increase our overall efficiency, combined with the COVID-19 pandemic’s negative impact on our financial results, we have re-prioritized the timing of the significant expenditure items in order to increase financial and liquidity flexibility until we have more clarity and visibility into the ongoing impact of the COVID-19 pandemic on our business. The timing of the new Green River Expansion Projects as well as any other expansion capital expenditures may be impacted by certain performance ratios requirements of the Ciner Obligors’ Facilities Agreement. Based on the Ciner Obligors’ applicable ratios at December 31, 2020 our expansion capital expenditures are prohibited until the Ciner Obligors’ applicable ratios are at acceptable levels pursuant to the Facilities Agreement. COVID-19 Public health epidemics, pandemics or outbreaks of contagious diseases could adversely impact our business. In December 2019, a novel strain of coronavirus (“COVID-19”) emerged in Wuhan, Hubei Province, China. On March 11, 2020, the World Health Organization declared COVID-19 a pandemic. It has spread throughout the world, and significant numbers of infections have been reported, including in the United States and markets to which our products have historically been exported. Governmental jurisdictions in the United States and globally have taken various actions to reduce the transmission of COVID-19, which has resulted in disruption in the national and global economic and financial markets. Since late December 2020, the vaccines for COVID-19 have become more widely available in the United States and globally. Our Response to COVID-19 We continue to closely monitor the impact of the outbreak of COVID-19 and all governmental actions in response thereto on all aspects of our business, including how it impacts our customers, employees, supply chain, distribution network and cash flows. We have taken strong proactive steps to keep the safety of our team and their families as the priority. We have been executing and continue to execute a comprehensive plan to help prevent the spread of the virus in our work locations and it appears to be having a positive impact. This plan includes multiple layers of protection for our employees, including but not limited to, social distancing, working from home for certain employees, splitting shifts, increased sanitation, restricted contractor and visitor access, temperature checks on all contractors and third-party vendors, travel restrictions, mask wearing requirements, and daily communication with our teams. We have conducted proactive quarantining and contact tracing from the early days of this pandemic and require self-reporting of any illness, in addition to a company doctor, weekly status meetings, tracking local resources, and industry wide efforts. We have also prepared strong contingency plans for all our operations with specific actions based on absentee rates. While we have not utilized any such plans to date as they have not been needed, they are continuously refined in case needed. As COVID-19 vaccines become more broadly available, we will encourage employees to consider getting vaccinated. We anticipate a re-opening of society when the virus plateaus and diminishes, and we have completed re-entry plans to implement as they become appropriate. We are using data to guide our actions rather than firm dates, and our teams are kept up to date on these plans. Our focus prior to and during this pandemic has been the safety of our teams and this will continue to be our priority as we scale our operations back to normal as the data guides us to do so. We continue to actively monitor and adhere to applicable local, state, federal, and international governmental guideline actions to better ensure the safety of our employees. The impact of COVID-19 In the first quarter of 2020, we started to see the impact of COVID-19 on our operations in the form of slowing global demand and downward pricing pressure and we began at that time to utilize the flexibility of our production assets to adjust to the COVID-19 uncertainties and our customers’ demands. In the second quarter of 2020, the decline in demand adversely impacted our sales and production volume, and price per ton. We experienced an approximately 33.4% decline in production volumes and 35.7% decline in sales volumes when compared to our pre-COVID-19 production and sales levels in the quarter ended March 31, 2020, respectively, primarily as a result of utilizing the flexibility of our production assets to adjust to the COVID-19 uncertainties and our customers’ demands in the near- and mid-term. Our international demand was impacted the most as different countries dealt with different levels of the outbreak and shutdowns. In addition, our customers in the flat glass and in particular the automotive business were significantly negatively impacted. In the third quarter of 2020, demand showed signs of recovery domestically; however, there was still a decline in the global market compared to the third quarter of 2019. Our international demand was impacted the most as different countries dealt with different levels of the outbreak and shutdowns, but showed signs of recovery during the third quarter of 2020 as compared to the second quarter of 2020. While we have yet to recover to pre-COVID-19 levels, overall sales volumes increased 26.7% and overall production volumes increased 1.5% over the second quarter 2020 results. Our production volume trended upward consistently with our sales volume except for an unplanned weather-related outage in September. In the fourth quarter of 2020, the decline in demand compared to the fourth quarter of 2019 adversely impacted our sales and production volume, and price per ton due to the continued impact of the COVID-19 pandemic. Our international demand continued to recover in the fourth quarter of 2020 as compared to the third quarter of 2020. While we have yet to recover to the pre-COVID-19 levels, overall sales volumes increased 9.5% and overall production volumes increased 49.1% over the third quarter 2020 results. So far, we have been able to utilize the flexibility of our production assets to adjust to the COVID-19 uncertainties and customers’ demands, but the Partnership may experience similar variability or declines in operating and financial results in the near- and mid-term as the duration and severity of the COVID-19 pandemic cannot be predicted with confidence. Our increased fourth quarter production was also part of our plan to exit ANSAC and transition our international sales, marketing and logistics internally. At this time, we are unable to predict the ultimate long-term impacts that COVID-19 may have on our business, future results of operations, financial position, cash flows or ability to make distributions to unitholders. The extent to which our operations may be impacted by the COVID-19 pandemic will depend largely on future developments, which are still uncertain and cannot be accurately predicted, including new information that may emerge concerning the severity of the outbreak and actions by local, state, federal or international government authorities to contain the outbreak or treat its impact even where the vaccines are becoming more available. Furthermore, the impacts of a potential worsening of global economic conditions and the continued disruptions to and volatility in the financial markets remain unknown. While we have begun to see signs of recovery with some of our customers and industries, primarily in the form of government re-openings and increasing orders these recoveries are very fluid. We are actively managing the business to maintain cash flow, and we believe we have enough liquidity to meet our anticipated liquidity requirements. As of December 31, 2020, we cannot predict the duration or the scope of the COVID-19 pandemic and its impact on our operations, and the potential negative financial impact to our results cannot be reasonably estimated but could be material. For the year ended December 31, 2020 we incurred $2.4 million in net costs directly related to COVID-19 primarily in the form of costs related to employee safety and retention and additional inventory storage and logistics costs during the COVID-19 pandemic. Notice to Terminate Membership in ANSAC As previously disclosed, the Partnership was informed on November 9, 2018 that Ciner Corp, an affiliate of the Partnership, had as part of its strategic initiative to gain better direct access and control of international customers and logistics and the ability to leverage the expertise of Ciner Group, the world’s largest natural soda ash producer, delivered a notice to terminate its membership in ANSAC. Such termination was expected to be effective as of the end of day on December 31, 2021. On July 27, 2020, ANSAC and the members thereof entered into an agreement, effective as of July 24, 2020, that, among other things, terminated Ciner Corp’s membership in ANSAC effective as of December 31, 2020 (the “ANSAC termination date”), a year earlier than previously announced (the “ANSAC Early Exit Agreement”). Effective as of the end of day on December 31, 2020 Ciner Corp exited ANSAC. In connection with the settlement agreement with ANSAC, there are sales commitments to ANSAC in 2021 and 2022 where Ciner Corp will continue to sell, at substantially lower volumes, product to ANSAC for export sales purposes, with a fixed rate per ton selling, general and administrative expense, and will also purchase a limited amount of export logistics services in 2021. Through in part the Partnership’s affiliates, the Partnership has amongst other things: (i) obtained its own international customer sales arrangements for 2021, (ii) obtained third-party export port services, and (iii) chartered and executed its own international product delivery. Historically, by design and prior to Ciner Corp’s exit from ANSAC, ANSAC managed most of our international sales, marketing and logistics, and as a result, was our largest customer for the years ended December 31, 2020, 2019 and 2018, accounting for 45.4%, 60.4% and 52.0%, respectively, of our net sales. Although ANSAC was our largest customer for the aforementioned periods, we anticipate that the impact of Ciner Corp’s exit from ANSAC on our net sales, net income and liquidity will be limited. We made this determination primarily based upon the belief that we will continue to be one of the lowest cost producers of soda ash in the global market. With a low-cost position combined with better direct access and control of our customers and logistics and the ability to leverage Ciner Group’s expertise in these areas, we believe we will be able to adequately replace these net ANSAC sales. As of January 1, 2021, Ciner Corp began managing the Partnership’s sales and marketing efforts for exports with the ANSAC exit being complete. Ciner Corp is leveraging the distributor network established by Ciner Group while independently reviewing current and potential distribution partners to optimize our reach into each market. RELATED COMMUNICATIONS Ciner Resources LP will host a conference call on March 16, 2021 at 8:30 a.m. ET. Participants can listen in by dialing 1-866-550-6980 (Domestic) or 1-804-977-2644 (International) and referencing Conference ID 2238705. Please log in or dial in at least 10 minutes prior to the start time to ensure a connection. A telephonic replay of the call will be available approximately two hours after the call’s completion by calling 1-800-585-8367 or 404-537-3406 and referencing Conference ID 2238705, and will remain available for the following seven days. This conference call will be webcast live and archived for replay on Ciner Resources’ website at www.ciner.us.com. ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been in operation for more than 50 years. NATURE OF OPERATIONS Ciner Resources LP owns a controlling interest comprised of a 51% membership interest in Ciner Wyoming. Natural Resource Partners L.P. owns a non-controlling interest consisting of a 49% membership interest in Ciner Wyoming. FORWARD-LOOKING STATEMENTS This press release contains forward-looking statements. Statements other than statements of historical facts included in this press release that address activities, events or developments that the Partnership expects, believes or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements include all statements that are not historical facts and in some cases may be identified by the use of forward-looking terminology such as the words “believe,” “expect,” “plan,” “intend,” “seek,” “anticipate,” “estimate,” “predict,” “forecast,” “project,” “potential,” “continue,” “may,” “will,” “could,” “should” or the negative of these terms or similar expressions. Such statements are based only on the Partnership’s current beliefs, expectations and assumptions regarding the future of the Partnership’s business, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Partnership’s control. The Partnership’s actual results and financial condition may differ materially from those implied or expressed by these forward-looking statements. Consequently, you are cautioned not to place undue reliance on any forward-looking statement because no forward-looking statement can be guaranteed. Factors that could cause the Partnership’s actual results to differ materially from the results contemplated by such forward-looking statements include: changes in general economic conditions, changes in the Partnership’s relationships with its customers, including ANSAC, and customers with whom the global Ciner Group has relationships, the domestic and international demand for soda ash and the opportunities for the Partnership to increase its volume sold, the development of glass and glass making product alternatives, changes in soda ash prices, operating hazards, unplanned maintenance outages at the Partnership’s production facility, construction costs or capital expenditures exceeding estimated or budgeted costs or expenditures, the effects of government regulation, tax position, and other risks incidental to the mining and processing of trona ore, and shipment of soda ash, the impact of a cybersecurity event, the impact of our exit from ANSAC effective as of December 31, 2020 and our utilization of Ciner Group’s global distribution network for some of our export and export sales operations, our ability to reinstate our distributions, and the short- and long-term impacts of the COVID-19 pandemic, including the impact of government orders on our employees and operations, as well as the other factors discussed in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2020, and any additional subsequent reports filed with the United States Securities and Exchange Commission. All forward-looking statements included in this press release are expressly qualified in their entirety by such cautionary statements. Unless required by law, the Partnership undertakes no duty and does not intend to update the forward-looking statements made herein to reflect new information or events or circumstances occurring after this press release. All forward-looking statements speak only as of the date made. Supplemental Information CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) Three Months Ended December 31, Year Ended December 31, (In millions, except per unit data) 2020 2019 2020 2019 Net sales: Sales—affiliates $ 47.7 $ 76.1 $ 177.9 $ 315.8 Sales—others 55.7 49.3 214.3 207.0 Net sales $ 103.4 $ 125.4 $ 392.2 $ 522.8 Operating costs and expenses: Cost of products sold (excludes depreciation, depletion and amortization expense set forth separately below) 76.2 90.3 309.3 365.0 Depreciation, depletion and amortization expense 8.0 6.9 28.8 26.9 Selling, general and administrative expenses—affiliates 4.5 3.2 17.5 18.4 Selling, general and administrative expenses—others 0.7 1.1 4.2 5.4 Total operating costs and expenses 89.4 101.5 359.8 415.7 Operating income 14.0 23.9 32.4 107.1 Other income (expenses): Interest income — 0.1 0.1 0.4 Interest expense (1.3 ) (1.3 ) (5.3 ) (5.9 ) Other, net — — (0.3 ) — Total other expense, net (1.3 ) (1.2 ) (5.5 ) (5.5 ) Net income $ 12.7 $ 22.7 $ 26.9 $ 101.6 Net income attributable to non-controlling interest 6.7 11.5 15.2 52.0 Net income attributable to Ciner Resources LP $ 6.0 $ 11.2 $ 11.7 $ 49.6 Other comprehensive loss: Income on derivative financial instruments 0.3 2.3 5.9 1.6 Comprehensive income 13.0 25.0 32.8 103.2 Comprehensive income attributable to non-controlling interest 6.9 12.5 18.1 52.7 Comprehensive income attributable to Ciner Resources LP $ 6.1 $ 12.5 $ 14.7 $ 50.5 Net income per limited partner unit: Net income per limited partner unit (basic) $ 0.30 $ 0.55 $ 0.58 $ 2.46 Net income per limited partner unit (diluted) $ 0.30 $ 0.55 $ 0.58 $ 2.46 Limited partner units outstanding: Weighted average limited partner units outstanding (basic) 19.7 19.7 19.7 19.7 Weighted average limited partner units outstanding (diluted) 19.8 19.8 19.8 19.7 CINER RESOURCES LP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) As of (In millions) December 31, 2020 December 31, 2019 ASSETS Current assets: Cash and cash equivalents $ 0.5 $ 14.9 Accounts receivable—affiliates 86.5 95.0 Accounts receivable, net 40.6 36.0 Inventory 33.5 24.2 Other current assets 4.1 2.2 Total current assets 165.2 172.3 Property, plant and equipment, net 307.4 297.7 Other non-current assets 25.4 24.3 Total assets $ 498.0 $ 494.3 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 3.0 $ — Accounts payable 16.4 14.2 Due to affiliates 2.9 3.0 Accrued expenses 33.6 39.1 Total current liabilities 55.9 56.3 Long-term debt 128.1 129.5 Other non-current liabilities 8.7 8.6 Total liabilities 192.7 194.4 Equity: Common unitholders - Public and Ciner Holdings (19.8 and 19.8 units issued and outstanding at December 31, 2020 and 2019) 170.0 171.4 General partner unitholders - Ciner Resource Partners LLC (0.4 units issued and outstanding at December 31, 2020 and 2019) 4.2 4.3 Accumulated other comprehensive loss — (3.0 ) Partners’ capital attributable to Ciner Resources LP 174.2 172.7 Non-controlling interest 131.1 127.2 Total equity 305.3 299.9 Total liabilities and partners’ equity $ 498.0 $ 494.3 CINER RESOURCES LP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Year Ended December 31, (In millions) 2020 2019 Cash flows from operating activities: Net income $ 26.9 $ 101.6 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion and amortization expense 29.2 27.1 Impairment and loss on disposal of assets, net — 0.6 Equity-based compensation expense 0.7 0.8 Other non-cash items 0.3 0.3 Changes in operating assets and liabilities: (Increase)/decrease in: Accounts receivable - affiliates 8.5 (24.9 ) Accounts receivable, net (4.6 ) 0.9 Inventory (9.8 ) (0.4 ) Other current and other non-current assets (0.5 ) 0.1 Increase/(decrease) in: Accounts payable 2.2 (3.1 ) Due to affiliates (0.1 ) 0.4 Accrued expenses and other liabilities 1.9 0.4 Net cash provided by operating activities 54.7 103.8 Cash flows from investing activities: Capital expenditures (42.2 ) (65.4 ) Net cash used in investing activities (42.2 ) (65.4 ) Cash flows from financing activities: Borrowings on Ciner Wyoming and Ciner Resources credit facilities 212.5 102.0 Borrowings on Ciner Wyoming Equipment Financing Arrangement 30.0 — Repayments on Ciner Wyoming credit facility (238.5 ) (71.5 ) Repayments on Ciner Wyoming Equipment Financing Arrangement (2.2 ) — Debt issuance costs (0.6 ) — Common units surrendered for taxes (0.2 ) (0.5 ) Distributions to common unitholders (13.4 ) (31.2 ) Distributions to general partner (0.3 ) (0.6 ) Distributions to non-controlling interest (14.2 ) (31.9 ) Net cash used in financing activities (26.9 ) (33.7 ) Net increase/(decrease) in cash and cash equivalents (14.4 ) 4.7 Cash and cash equivalents at beginning of period 14.9 10.2 Cash and cash equivalents at end of period $ 0.5 $ 14.9 Supplemental disclosure of cash flow information: Interest paid during the period $ 5.1 $ 5.5 Supplemental disclosure of non-cash investing activities: Accrued capital expenditures $ 2.0 $ 6.8 Non-GAAP Financial Measures We report our financial results in accordance with generally accepted accounting principles in the United States (“GAAP”). We also present the non-GAAP financial measures of: Adjusted EBITDA; Distributable cash flow; and Distribution coverage ratio. We define Adjusted EBITDA as net income (loss) plus net interest expense, income tax, depreciation, depletion and amortization, equity-based compensation expense and certain other expenses that are non-cash charges or that we consider not to be indicative of ongoing operations. Distributable cash flow is defined as Adjusted EBITDA less net cash paid for interest, maintenance capital expenditures and income taxes, each as attributable to Ciner Resources LP. The Partnership may fund expansion-related capital expenditures with borrowings under existing credit facilities such that expansion-related capital expenditures will have no impact on cash on hand or the calculation of cash available for distribution. In certain instances, the timing of the Partnership’s borrowings and/or its cash management practices will result in a mismatch between the period of the borrowing and the period of the capital expenditure. In those instances, the Partnership adjusts designated reserves (as provided in the partnership agreement) to take account of the timing difference. Accordingly, expansion-related capital expenditures have been excluded from the presentation of cash available for distribution. Distributable cash flow will not reflect changes in working capital balances. We define distribution coverage ratio as the ratio of distributable cash flow as of the end of the period to cash distributions payable with respect to such period. Adjusted EBITDA, distributable cash flow and distribution coverage ratio are non-GAAP supplemental financial measures that management and external users of our consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess: our operating performance as compared to other publicly traded partnerships in our industry, without regard to historical cost basis or, in the case of Adjusted EBITDA, financing methods; the ability of our assets to generate sufficient cash flow to make distributions to our unitholders; our ability to incur and service debt and fund capital expenditures; and the viability of capital expenditure projects and the returns on investment of various investment opportunities. We believe that the presentation of Adjusted EBITDA, distributable cash flow and distribution coverage ratio provide useful information to investors in assessing our financial condition and results of operations. The GAAP measures most directly comparable to Adjusted EBITDA and distributable cash flow are net income and net cash provided by operating activities. Our non-GAAP financial measures of Adjusted EBITDA, distributable cash flow and distribution coverage ratio should not be considered as alternatives to GAAP net income, operating income, net cash provided by operating activities, or any other measure of financial performance or liquidity presented in accordance with GAAP. Adjusted EBITDA and distributable cash flow have important limitations as analytical tools because they exclude some, but not all items that affect net income and net cash provided by operating activities. Investors should not consider Adjusted EBITDA, distributable cash flow and distribution coverage ratio in isolation or as a substitute for analysis of our results as reported under GAAP. Because Adjusted EBITDA, distributable cash flow and distribution coverage ratio may be defined differently by other companies, including those in our industry, our definition of Adjusted EBITDA, distributable cash flow and distribution coverage ratio may not be comparable to similarly titled measures of other companies, thereby diminishing its utility. The table below presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA and distributable cash flow to the GAAP financial measures of net income and net cash provided by operating activities: Three Months Ended December 31, Year Ended December 31, (Dollars in millions, except per unit data) 2020 2019 2020 2019 Reconciliation of Adjusted EBITDA to net income: Net income $ 12.7 $ 22.7 $ 26.9 $ 101.6 Add backs: Depreciation, depletion and amortization expense 8.0 6.9 28.8 26.9 Impairment and loss on disposal of assets, net — 0.6 — 0.6 Interest expense, net 1.3 1.2 5.2 5.5 Equity-based compensation expense, net of forfeitures (0.2 ) 0.4 0.7 0.8 Adjusted EBITDA $ 21.8 $ 31.8 $ 61.6 $ 135.4 Less: Adjusted EBITDA attributable to non-controlling interest 11.2 15.7 31.5 67.9 Adjusted EBITDA attributable to Ciner Resources LP $ 10.6 $ 16.1 $ 30.1 $ 67.5 Reconciliation of distributable cash flow to Adjusted EBITDA attributable to Ciner Resources LP: Adjusted EBITDA attributable to Ciner Resources LP $ 10.6 $ 16.1 $ 30.1 $ 67.5 Less: Cash interest expense, net attributable to Ciner Resources LP 0.7 0.6 1.4 2.8 Less: Maintenance capital expenditures attributable to Ciner Resources LP 4.3 6.3 11.7 9.8 Distributable cash flow attributable to Ciner Resources LP $ 5.6 $ 9.2 $ 17.0 $ 54.9 Cash distribution declared per unit $ — $ 0.340 $ 0.340 $ 1.360 Total distributions to unitholders and general partner $ — $ 6.8 $ 6.8 $ 27.4 Distribution coverage ratio N/A 1.35 2.50 2.00 Reconciliation of Adjusted EBITDA to net cash from operating activities: Net cash provided by operating activities $ 2.3 $ 35.4 $ 54.7 $ 103.8 Add/(less): Amortization of long-term loan financing (0.3 ) (0.1 ) (0.4 ) (0.2 ) Net change in working capital 18.6 (4.8 ) 2.4 26.6 Interest expense, net 1.3 1.2 5.2 5.5 Other non-cash items (0.1 ) 0.1 (0.3 ) (0.3 ) Adjusted EBITDA $ 21.8 $ 31.8 $ 61.6 $ 135.4 Less: Adjusted EBITDA attributable to non-controlling interest 11.2 15.7 31.5 67.9 Adjusted EBITDA attributable to Ciner Resources LP $ 10.6 $ 16.1 $ 30.1 $ 67.5 Less: Cash interest expense, net attributable to Ciner Resources LP 0.7 0.6 1.4 2.8 Less: Maintenance capital expenditures attributable to Ciner Resources LP 4.3 6.3 11.7 9.8 Distributable cash flow attributable to Ciner Resources LP $ 5.6 $ 9.2 $ 17.0 $ 54.9 The following table presents a reconciliation of the non-GAAP financial measures of Adjusted EBITDA to GAAP financial measure of net income for the periods presented: (Dollars in millions, except per unit data) Cumulative Four Quarters ended Q4-2020 Q4-2020 Q3-2020 Q2-2020 Q1-2020 Q4-2019 Reconciliation of Adjusted EBITDA to net income: Net income $ 26.9 $ 12.7 $ 5.4 $ (5.4 ) $ 14.2 $ 22.7 Add backs: Depreciation, depletion and amortization expense 28.8 8.0 7.8 6.5 6.5 6.9 Impairment and loss on disposal of assets, net — — — — — 0.6 Interest expense, net 5.2 1.3 1.2 1.4 1.3 1.2 Equity-based compensation (benefit) expense, net of forfeitures 0.7 (0.2 ) 0.2 0.3 0.4 0.4 Adjusted EBITDA 61.6 21.8 14.6 2.8 22.4 31.8 Less: Adjusted EBITDA attributable to non-controlling interest 31.5 11.2 7.4 1.7 11.2 15.7 Adjusted EBITDA attributable to Ciner Resources LP $ 30.1 $ 10.6 $ 7.2 $ 1.1 $ 11.2 $ 16.1 Adjusted EBITDA attributable to Ciner Resources LP $ 30.1 $ 10.6 $ 7.2 $ 1.1 $ 11.2 $ 16.1 Less: Cash interest expense, net attributable to Ciner Resources LP 1.4 0.7 0.6 0.6 (0.5 ) 0.6 Less: Maintenance capital expenditures attributable to Ciner Resources LP 11.7 4.3 2.8 1.9 2.7 6.3 Distributable cash flow attributable to Ciner Resources LP $ 17.0 $ 5.6 $ 3.8 $ (1.4 ) $ 9.0 $ 9.2 Cash distribution declared per unit $ 0.340 $ — $ — $ — $ 0.340 $ 0.340 Total distributions to unitholders and general partner $ 6.8 $ — $ — $ — $ 6.8 $ 6.8 Distribution coverage ratio 2.50 N/A N/A N/A 1.32 1.35

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release fourth quarter and year-end 2020 financial results before the market opens on Monday, March 15, 2021 and will host a conference call on Tuesday, March 16, 2021 at 8:30 a.m. ET to discuss the results. Those wishing to participate should call one of the following numbers and reference confirmation 2238705: Domestic (Toll Free): 1-866-550-6980 International: 1-804-977-2644 Conference ID: 2238705 The conference call will be made

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release fourth quarter and year-end 2020 financial results before the market opens on Monday, March 15, 2021 and will host a conference call on Tuesday, March 16, 2021 at 8:30 a.m. ET to discuss the results. Those wishing to participate should call one of the following numbers and reference confirmation 2238705: Domestic (Toll Free): 1-866-550-6980 International: 1-804-977-2644 Conference ID: 2238705 The conference call will be made available via a simultaneous webcast live (https://event.on24.com/wcc/r/2990273/B839429A67937D78B76876372FD67049) and archived for replay at www.ciner.us.com. The replay will be available two hours after the call’s completion for seven days by calling one of the below numbers: Domestic (Toll Free): 1-800-585-8367 International: 404-537-3406 Conference ID: 2238705 ABOUT CINER RESOURCES LP Ciner Resources LP, a master limited partnership, operates the trona ore mining and soda ash production business of Ciner Wyoming LLC, one of the largest and lowest cost producers of natural soda ash in the world, serving a global market from its facility in the Green River Basin of Wyoming. The facility has been in operation for more than 50 years.

Ciner Resources results can be used an indicator of general economic activity. Debt levels are extremely conservative.

The soda ash producer, Ciner Resources completely suspended their distributions that otherwise would have provided a high yield of almost 10%. Their ability to fully reinstate these once operating conditions recover is questionable, as they were barely affordable even before this latest economic downturn.

Ciner Resources' (CINR) CEO Oğuz Erkan on Q3 2020 Results - Earnings Call Transcript

The Green River Basin of Wyoming is home to the world's largest trona deposit, from which soda ash can be produced at very competitive costs. Three MLPs - Ciner Resources LP ("Ciner"), Genesis Energy LP and Natural Resource Partners LP - offer investors exposure to this unglamorous but essential industry.

ATLANTA--(BUSINESS WIRE)--Ciner Resources LP (NYSE: CINR) will release third quarter 2020 financial results after the market closes on Monday, November 2, 2020 and will host a conference call on Tuesday, November 3, 2020 at 8:30 a.m. EST to discuss the results. Those wishing to participate should call one of the following numbers and reference confirmation 9177187: Domestic (Toll Free): 1-866-550-6980 International: 1-804-977-2644 Passcode: 9177187 The conference call will be made available via