Presentation materials for the Raymond James Coal Investors Conference

Raymond James

Coal Investor Conference

December 4, 2008

Alliance Resource Partners, L.P.

Alliance Holdings GP, L.P.

Exhibit 99.2

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Forward-Looking Statements

This presentation contains forward-looking statements and information that are based on the beliefs

of Alliance

Resource Partners, L.P. and Alliance Holdings GP, L.P. (the “Partnerships”) and those of their respective general

partners (the “General Partners”), as well as assumptions made by and information currently available to them.

When used in this presentation, words such as “anticipate,”

“project,”

“expect,”

“plan,”

“goal,”

“forecast,”

“intend,”

“could,”

“believe,”

“may,”

and similar expressions and statements regarding the plans and objectives of

the Partnerships for future operations, are intended to identify

forward-looking statements.

Although the Partnerships and their General Partners believe that such expectations reflected in such forward-

looking statements are reasonable at the time such statements are made, neither the Partnerships nor the General

Partners can give assurances that such expectations will prove to be correct. Such statements are subject to a

variety of risks, uncertainties and assumptions. If one or more

of these risks or uncertainties materialize, or if

underlying assumptions prove incorrect, actual results may vary materially from those the Partnerships anticipated,

estimated, projected or expected.

The Partnerships have no obligation to publicly update or revise

any forward-looking statement, whether as a result

of new information, future events or otherwise.

Industry Overview

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Macro Coal Overview

Hedge fund deleveraging

Financial coal traders exiting the market

Reduced availability of capital

•

Instinct to preserve capital countered by….

•

Anticipated 2009 –

2010 cash flow surge

Alternative energy investments

Liquidity Crunch

Demand destruction

China, India and global economic slowdown

Domestic energy consumption

Natural gas competition mitigated by….

•

Base load nature of coal

Recessionary pressures

Hyperinflation has been arrested

Macro Coal Overview

Positives

•

Acknowledged importance of coal

–

Generates

~50%

U.S.

electricity

–

Employs hundreds of thousands of Americans

–

Provides millions in tax revenues to coal states

–

America’s most abundant low-cost fuel source

•

Economic stimulus and commitment to U.S. jobs

•

Infrastructure investments will increase energy demand

•

Investment in Clean Coal technology

Negatives

•

Challenging legislative/regulatory landscape

•

Climate change –

Cap & Trade? Structure?

•

Renewable energy standard

•

Union influence –

Card Check

•

New MSHA

Obama and a Democratic Congress

(1) Energy Information Administration

Domestic Coal Supply Outlook

Reduced investment capital and credit capacity

Lack of equipment availability

MSHA –

productivity declines

Permitting delays and litigation

Labor shortages are still a factor

High cost operations at risk

International production constraints continue

Short Term Supply –

Will Be Lower

Long Term Supply

Governmental action

Depletion of low cost reserves

Domestic Coal Demand Outlook

Short Term Demand –

Will Be Lower Due To

Worldwide Economic Downturn

Met market

•

Steel production cuts

•

Coal

pricing

–

U.S.

Australian

production

•

U.S. currency value

PCI market

Steam coal

Natural gas competition

Stockpiles are normal?

Domestic Coal Demand Outlook

Long Term Demand

Positives

•

New power plants –

29 coal-fired plants (16.5GW) currently

under construction in the U.S.

•

Economic stimulus programs –

U.S. $700B / China $600B

–

Met market will return

–

U.S. currency will reverse

•

BTU conversion technologies –

coal to gas / liquids

•

Clean coal technology investments

Negatives

•

Climate change

•

Renewable energy standard

•

Conservation / energy efficiency –

smart meters, save-a-watt

programs…

•

Natural gas competition –

price/demand volatility, depletion,

capital constraints

(1) U.S. Department of Energy, “Tracking New Coal-Fired Power Plants”, June 2008

Summary -

Domestic Coal Outlook

Despite challenges….

Coal has been and is best positioned to

remain the Cornerstone of America’s

Electric Energy Future

Company Overview

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Alliance Snapshot

Illinois

Indiana

Ohio

Pennsylvania

Maryland

Virginia

West

Virginia

Kentucky

Current Mining Operation

Future Growth Project

Transfer Terminal

Pattiki Complex

River View Complex

Dotiki Complex

Mount Vernon

Transfer Terminal

Warrior Complex

Hopkins Complex

Gibson Complex

Pontiki Complex

MC Mining Complex

Tunnel Ridge Complex

Penn Ridge Complex

Mettiki Complex

Fifth largest coal producer in the

eastern United States

Eight underground mining

complexes in all major eastern coal

producing regions

Significant organic development

projects in the growing Illinois

Basin and Northern Appalachia

markets

Marketable coal reserves of ~713

million tons at 12/31/07

FY2008 estimated coal sales of 26.8

to 27.3 million tons and revenue of

$1.03 to $1.1 billion

Overview

Consistent Track Record of Distribution Growth

ARLP has increased quarterly distributions 40% since June 2006

AHGP has increased quarterly distributions 81% since June 2006

ARLP

AHGP

Source: Public filings

$2.24

$2.34

$2.64

$2.80

$2.00

$2.16

$2.24

$1.25

$1.50

$1.75

$2.00

$2.25

$2.50

$2.75

$3.00

$1.06

$1.15

$1.41

$1.56

$0.86

$1.00

$1.06

$0.25

$0.50

$0.75

$1.00

$1.25

$1.50

$1.75

Strong Realized Coal Price Growth

(1)

Based

guidance

from

October

27,

2008

earnings

release.

For

2008,

estimate

reflects

midpoint

guidance.

For

2009

estimate,

the

guidance

range

reflects

increase

25%

35%

over

the

midpoint

2008

estimated

pricing.

For

2010

estimate,

the

guidance

range

reflects

increase

40%

50%

over

the

midpoint

2008

estimated

pricing.

$53.74

$49.76

$55.74

$59.72

$39.81

Strong Coal Sales Commitments

Committed and priced coal

sales

•

2009 ~ 90%

•

2010 ~ 80%

Executed agreements during

the 2008Q3 for 22.9 million tons

•

Terms up to 10 years

•

Prices 65% above

historical levels

Estimated Coal Sales Price/Ton

(1)

$20.00

$30.00

$40.00

$50.00

$60.00

2008(e)

2009(e)

2010(e)

Alliance’s Long Term Growth Strategy

Capitalize on the expected strong demand

growth in scrubber quality coal

Continue to be a disciplined producer -

project developments tied to sales

commitments

Continuous focus on safety and operational

optimization

Pursue opportunistic acquisitions

Large Inventory of Organic Growth Projects

Construction in progress

Estimated

capital

cost

$265

–

$285

million

Estimated reserves ~ 70 million tons high sulfur coal

Production capacity ~ 6 million tons/year

Initial longwall production in 2010Q4

Tunnel Ridge

Initiating permitting process

Estimated

capital

cost

$165

–

$175

million

Estimated reserves ~ 57 million tons high sulfur coal

Production capacity ~ 5 million tons/year

Initial

production

2011

–

2013

Penn Ridge

Construction in progress

Estimated

capital

cost

$250

–

$275

million

Estimated reserves ~ 117 million tons high sulfur coal

Production capacity ~ 6.4 million tons/year

Initial production in 2009Q4

River View

Permitting in progress

Estimated

capital

cost

$100

–

$110

million

Estimated reserves ~ 83 million tons medium sulfur coal

Production

capacity

2.7

–

3.1

million

tons/year

Initial

production

2010

–

2012

Gibson South

Illinois

Indiana

Ohio

Pennsylvania

Maryland

Virginia

West

Virginia

Kentucky

Note: Estimated capital costs are based on 2008 dollars and exclude capitalized development and interest expenses. Timing of anticipated initial

production dependent upon obtaining required permits and customer contracts.

Well Capitalized and Well Positioned for

Growth

2003YE

2004YE

2005YE

2006YE

2007YE

92.1%

64.3%

34.1%

30.1%

32.5%

Source: Public filings

Net Debt as Percentage of Capitalization

2008Q3

24.14%

Strong Balance Sheet

$350 million private placement of

Senior Notes completed 06/26/08

•

$205 million at 6.28% due

2015

•

$145 million at 6.72% due

2018

Existing $150 million revolving

credit facility expires in 2012

Liquidity of ~$380 million available

at 2008Q3

Current debt obligation of $18

million

Visible cash flow growth

Raymond James

Coal Investor Conference

December 4, 2008

Alliance Resource Partners, L.P.

Alliance Holdings GP, L.P.

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