The decision to preserve liquidity comes even as Oxford continues to benefit from a 98%-committed sales book for 2013 and a low-cost production profile.

The partnership said it was pursuing other opportunities to enhance liquidity as well, including the sale of certain excess Illinois Basin equipment and the refinancing of its credit facility.

Oxford stock yesterday fell 30%, or $1.80, on the news to $4.14.

The stock has plunged some 65% since January last year.

Oxford noted that arrears resulting from suspension of the common units distribution accumulated but arrears resulting from suspension of the subordinated units distribution did not.

The company said as distributions were made in the future, first priority would then be to pay the minimum quarterly distribution to common unitholders.

Any additional distribution amounts paid at that time will then be paid to common unitholders until their previously unpaid accumulated arrears have been paid in full.