PEO Adams Natural Resources Fund Inc

Adams Natural Resources Fund, Inc. (NYSE: PEO) today announced an initiative reflecting our ongoing commitment to long-term shareholder value creation – the implementation of a managed distribution policy (“Policy”) that will provide a higher annual distribution rate more evenly on a quarterly basis throughout the year. This initiative underscores our dedication to delivering long-term value, competitive performance, and stable, consistent distributions to our valued shareholders.

MANAGED DISTRIBUTION POLICY

Under the new Policy, the Fund commits to distribute a minimum 8% annual rate of the Fund’s average net asset value (“NAV”) to shareholders beginning with the third quarter distribution expected to be paid at the end of August 2024. The Fund expects to distribute 2% of average NAV for each quarterly distribution, with the fourth quarter distribution expected to be the greater of 2% of average NAV or the amount needed to satisfy minimum distribution requirements of the Internal Revenue Code for regulated investment companies. Average NAV will be based on the average of the previous four quarter-end NAVs per share prior to each declaration date. The distributions may consist of year-to-date estimated net investment income, capital gains, and/or return of capital, and will be payable in shares of common stock or optionally in cash by specific shareholder election. This Policy will provide regular, more predictable distributions and replaces the 6% minimum annual distribution commitment based on market value that the Fund had established and met since 2012. The Fund’s distribution level will be monitored and may be changed in the future by the Board as warranted.

Fund CEO James Haynie said, “We believe that this new Policy will be another attractive feature of the Fund, adding to its strong value proposition and further benefiting our shareholders. The strong relative returns and low expense ratio the Fund has provided will now be enhanced by a more consistent, higher level of distributions throughout the year.”

CONTINUED FOCUS ON LONG-TERM VALUE

For nearly 100 years, Adams Funds has consistently implemented enhancements to Fund management and governance to meet market realities and changing dynamics, and today’s announcement is an embodiment of this focus.   It is part of a core strategy to deliver competitive performance and stable, consistent distributions to shareholders. As fellow shareholders, the Board of Directors and everyone at Adams Funds remain steadfast in our mission to align our interests with those of our shareholders, fostering a culture of transparency, trust, and long-term value creation.

About Adams Funds

Since 1929, Adams Funds has consistently helped generations of investors reach their investment goals. Adams Funds is comprised of two closed-end funds, Adams Diversified Equity Fund, Inc. (NYSE: ADX) and Adams Natural Resources Fund, Inc. (NYSE: PEO). The Funds are actively managed by an experienced team with a disciplined approach and have paid dividends for more than 85 years across many market cycles. The Funds are committed to paying a minimum annual distribution rate of 8% of NAV or more, providing reliable income to long-term investors. Shares can be purchased through our transfer agent or through a broker. For more information about Adams Funds, please visit: adamsfunds.com.

For further information please contact: adamsfunds.com/about/contact or 800.638.2479