Is Alliance Resource Partners (ARLP) stock Halal?

Alliance Resource Partners is a diversified coal producer that focuses on producing and marketing a range of steam and metallurgical coal. As a major player in the coal industry, it supplies these resources to utilities and industrial users in the United States, primarily in the Midwestern, Eastern, and Southern regions. Its operations encompass more than just coal mining; the company also engages in mining services and marketing activities. Before any of that matters to a Muslim investor, one question comes first: is Alliance Resource Partners stock Halal?

Is Alliance Resource Partners Shariah compliant?

For a resources company like Alliance Resource Partners, AAOIFI Shariah Standard No. 21 has little quarrel with the product; the scrutiny falls on the financing. Heavy machinery and long project cycles are usually funded with debt, and the standard tolerates interest bearing borrowing only below 30% of market capitalisation.

Does Alliance Resource Partners pass the business activity test?

Yes. In the September 2026 screening Alliance Resource Partners holds an overall PASS, which a stock only earns when its core business clears the activity screen. The activity itself, extracting and selling resources, raises no Shariah objection; the scrutiny belongs to the financing.

Is Alliance Resource Partners' income Halal?

Yes, within AAOIFI's tolerance. Alliance Resource Partners' income from non-permissible sources stays below 5% of revenue in the September 2026 screening, and the small impure portion is handled through purification: the factor of 99.94% tells holders of ARLP what share of each dividend to keep and what remainder to donate to charity.

Does Alliance Resource Partners meet AAOIFI's debt and investment ratio requirements?

Yes. Both caps hold this month: interest bearing investments and interest bearing debt each stay below 30% of market capitalisation. Because the caps move with the share price, our Shariah Supervisory Board has ARLP re-screened every month, and the result above always shows the latest verdict.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the four screens? Read AAOIFI Standards Explained: What Makes a Stock Halal?