Financial Performance - In 2022, Texas Pacific Land Corporation reported revenues of $667.4 million, a 48% increase from $451.0 million in 2021[20]. - The net income for 2022 was $446.4 million, representing a 65% increase compared to $270.0 million in 2021[20]. - Total revenues increased by $216.5 million, or 48.0%, to $667.4 million for the year ended December 31, 2022, compared to $451.0 million for 2021[137]. - Net income for the year ended December 31, 2022, was $446.4 million, up from $270.0 million in 2021, representing a 65.4% increase[166]. - Operating income for 2022 was $562.3 million, a 55.2% increase from $362.4 million in 2021[137]. - Adjusted EBITDA for the year ended December 31, 2022, was $591.8 million, compared to $388.0 million in 2021, indicating a significant increase in operational performance[166]. Revenue Sources - The company’s oil and gas royalties accounted for 68% of the total revenue in the Land and Resource Management segment, generating $452.4 million in 2022, up from $286.5 million in 2021[27]. - Water sales in the Water Services and Operations segment reached $84.7 million in 2022, a 25% increase from $67.8 million in 2021, driven by a 10.3% increase in the number of sourced and treated barrels sold[34]. - The company’s revenues are primarily derived from oil, gas, and produced water royalties, as well as sales of water and land, easements, and commercial leases[118]. - Oil and gas royalties rose by $166.0 million, contributing significantly to the revenue increase[137]. - Water Services and Operations segment revenues increased by 22.9% to $160.4 million in 2022, attributed to higher water sales and produced water royalties[159]. Market Conditions - The total equivalent price for crude oil, natural gas, and NGL production was $60.81 per barrel of oil equivalent (Boe) in 2022, a 37.8% increase from $44.14 per Boe in 2021[28]. - Average WTI Cushing price per barrel increased to $94.90 in 2022 from $68.14 in 2021, while Henry Hub average price per mmbtu rose to $6.45 from $3.89[123]. - Average realized prices for oil increased to $94.69 per barrel in 2022 from $66.62 in 2021, while natural gas prices rose to $6.19 per Mcf from $3.67[155]. Customer Base - Major customers included Occidental Petroleum Corporation, contributing $115.3 million (17.3% of total revenues), and Chevron Corporation, contributing $94.8 million (14.2% of total revenues) in 2022[37][38]. - 51.8% of the company's revenue comes from four major customers, all of which are among the top 25 energy companies globally, with two in the top 10[39]. Capital Expenditures and Investments - The company generated $13.3 million in capital expenditures in 2022 and 2021 for electric infrastructure to reduce costs and emissions[54]. - The company invested approximately $18.6 million in Texas Pacific Water Resources LLC (TPWR) projects in 2022, with $6.9 million allocated to electrifying water sourcing infrastructure[35]. Shareholder Returns - The company paid a total cash dividend of $12.00 per share for the year ended December 31, 2022, compared to $11.00 per share in 2021[107]. - Total cash dividends paid in 2022 amounted to $247.3 million, compared to $85.3 million in 2021, reflecting a significant increase in shareholder returns[135]. - The company repurchased $87.9 million of its Common Stock in 2022, up from $19.9 million in 2021[135]. - During the year ended December 31, 2022, the company repurchased 48,959 shares of Common Stock, which were placed in treasury[88]. Corporate Governance - The board of directors includes members with extensive experience in the energy sector and corporate governance, enhancing strategic oversight[190][191][193]. - The company has a robust governance structure with committees focused on Nominating and Corporate Governance, Compensation, and Audit[194][198]. - TPL is focused on expanding its market presence and enhancing its investment strategies through experienced leadership[208]. - The company is committed to maintaining strong governance practices with a well-structured Board[207]. Risks and Challenges - The company’s oil and gas royalties are highly dependent on market prices, which are subject to significant fluctuations due to various macroeconomic factors[57]. - The company faces risks from natural and human causes that could disrupt its operations and financial results[63]. - Global health threats, such as COVID-19, may lead to reduced demand for oil and gas, impacting the company's earnings and cash flow[68]. - Supply chain risks, including material shortages and price increases, could negatively affect revenues and operating costs[69]. - Supply chain issues may disrupt operations and development activities, impacting revenues from oil and gas royalties and water offerings[70]. ESG Initiatives - The company has developed a tailored ESG program addressing the ethical management of water resources and sustainability goals[45]. - The company’s ESG strategy includes annual reviews and assessments to ensure continuous improvement[48]. - The company has initiated energy tracking since 2020 to monitor energy consumption trends[54]. Management and Leadership - Tyler Glover serves as TPL's President and Chief Executive Officer, with over 10 years of experience in energy services and land management[208]. - Chris Steddum has been TPL's Chief Financial Officer since June 1, 2021, previously working in oil and gas investment banking for 10 years[210]. - TPL's leadership team has a combined experience of over 30 years in the energy and investment sectors, positioning the company for future growth[210].

Texas Pacific Land Corporation (NYSE:TPL) Q3 2022 Earnings Conference Call November 3, 2022 8:30 AM ET Company Participants Shawn Amini - VP, Finance and IR Ty Glover - CEO Chris Steddum - CFO Conference Call Participants Derrick Whitfield - Stifel Hamed Khorsand - BWS Financial Operator Good morning, and welcome to Texas Pacific Land Corporation's Third Quarter 2022 Earnings Conference Call. This conference call is being recorded. I would now like to introduce your host for today's call, Shawn Amini, Vice ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission File Number: 1-39804 Exact name of registrant as specified in its charter: Texas Pacific Land Corporation State or other juris ...

Financial Data and Key Metrics Changes - Total revenue for Q2 2022 was $176 million, representing a 20% increase compared to the previous quarter [7][21] - Adjusted EBITDA reached a record $158 million with an EBITDA margin of 90% [7][8] - Oil and gas royalty revenue increased by 16% quarter-over-quarter, primarily due to higher commodity prices [21] - Royalty production was slightly lower at 19,800 barrels of oil equivalent per day, with oil production at approximately 8,900 barrels per day [22] Business Line Data and Key Metrics Changes - Source water revenues increased by 18%, while reduced water royalty revenues rose by 26% [9] - Revenues from surface leases, easements, and materials (SLEM) surged by 52%, indicating strong demand across various segments [9][13] - Sales volumes for source water increased by 40% sequentially, driven by high demand [11] Market Data and Key Metrics Changes - The outlook for the oil and gas industry remains positive, with ongoing development in the Permian Basin and high commodity prices expected to benefit shareholders [14] - New permits for wells increased significantly, with over 500 gross well permits issued in the first half of the year compared to approximately 750 for all of 2021 [24] Company Strategy and Development Direction - The company is focusing on next-generation opportunities beyond oil and gas, including a bitcoin mining venture and carbon capture projects [15][16] - The board has approved a proposal to declassify the board, indicating a move towards improved governance [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business and the potential for continued strong development on royalty acreage [10][14] - There are ongoing discussions regarding carbon capture opportunities, with studies being conducted to evaluate viability [30] Other Important Information - The company returned over $200 million to shareholders through dividends and share buybacks while maintaining a debt-free balance sheet and nearly $400 million in cash [8] - The capital expenditure budget for the water business has been increased to accommodate new contracts and demand, with expectations of $18 million to $20 million for the full year [11][33] Q&A Session Summary Question: Can you provide additional detail on SLEM strength this quarter? - Management indicated that the increase in SLEM revenue was due to heightened activity across various segments, suggesting a durable trend rather than sporadic activity [28] Question: Can you share how the next-gen opportunities came about and their revenue potential? - The company has a dedicated team seeking next-gen opportunities, with the bitcoin mining facility expected to be operational by Q4 2022 [29] Question: Was there any one-time revenue in the easement revenue bump? - Management confirmed that the increase was primarily due to increased activity, with some material sales being one-time events [32] Question: What is the timeline for supply chain bottlenecks to smooth out? - Management did not provide a specific timeline but noted that conditions seem to be easing slightly [35] Question: Is the company still seen as a natural consolidator of minerals longer term? - Management affirmed that they continue to evaluate potential acquisitions to add value for shareholders [37] Question: What guidelines exist for net debt leverage for larger scale deals? - Management indicated a preference for very low to zero leverage, consistent with their current position [39]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission File Number: 1-39804 Exact name of registrant as specified in its charter: Texas Pacific Land Corporation State or other jurisdicti ...

Financial Data and Key Metrics Changes - Total revenue for Q1 2022 was $147 million, remaining flat compared to Q4 2021 despite higher oil prices, with a modest decline in royalty production [16] - Adjusted EBITDA and net income for the quarter were $130 million and $98 million, respectively, with approximately $507 million in cash before the special dividend [18] Business Line Data and Key Metrics Changes - The surface leases, easements, and materials business (SLEM) saw an uptick in requests for new infrastructure and well pads, particularly in the Northern Delaware region, indicating future development activity [8] - The water segment performed solidly, although some frac jobs were deferred due to operators struggling to procure frac sand, with expectations for increased volumes throughout the year [9] Market Data and Key Metrics Changes - The company reported 200 gross spuds on its royalty acreage in Q1 2022, the highest level since the pandemic, indicating strong overall completions [9] - Crude oil price realizations remained strong, generally $1 or $2 less than WTI Midland, while gas realizations improved over the last six months [17] Company Strategy and Development Direction - The company announced a special dividend of $20 per share, in addition to a $100 million share repurchase plan, reflecting a strong return of capital to shareholders [7] - The company is exploring innovative projects, including behind-the-meter solar projects and discussions on utility-scale renewable projects, Bitcoin mining, and carbon capture [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the underlying business fundamentals remaining constructive, with expectations for continued growth in completions and water sales [7] - The management acknowledged challenges in the supply chain, particularly regarding frac sand, but remains confident in the long-term performance of the water business [24] Other Important Information - The company is advancing discussions on various innovative opportunities and has welcomed new board members to enhance its governance [13] - The company is committed to maintaining flexibility in capital allocation, balancing growth opportunities with shareholder returns [25] Q&A Session Summary Question: Can you offer color on Q1 oil production and overall production trends for the year? - Management noted that Q1 saw high levels of permitting and DUCs, indicating a positive outlook for production activity for the rest of the year [21] Question: What are the best opportunities for balancing growth versus return of capital? - Management indicated that while there are still deals available, the current high commodity prices have made them more cautious about acquisitions, focusing instead on buybacks and dividends [25] Question: Is the drilling activity driven by low inventory or price? - Management confirmed that there has been a drawdown of DUCs, and Q1 marked a quarter where operators began to replenish their inventory [28] Question: How does the sand-sourcing issue affect your customers? - Management stated that the sand-sourcing issue is widespread across the basin, affecting many operators, particularly smaller ones [29] Question: Can you elaborate on the $20 special dividend decision? - Management explained that the decision was influenced by strong cash flow generation and a desire to return excess capital in a high-price environment [36]

Financial Performance - Total revenues for the three months ended March 31, 2022, were $147.3 million, an increase of $63.2 million compared to $84.2 million in the same period of 2021[85]. - Net income for the three months ended March 31, 2022, was $97.9 million, up from $50.1 million in the same period of 2021, reflecting an increase of $47.8 million[85]. - Total consolidated revenues increased by 75.0% to $147.3 million for the three months ended March 31, 2022, compared to $84.2 million for the same period in 2021[97]. - Net income for the company increased by 95.5% to $97.9 million for the three months ended March 31, 2022, compared to $50.1 million for the same period in 2021[112]. - Adjusted EBITDA for the three months ended March 31, 2022 was $129.8 million, compared to $69.8 million for the same period in 2021[112]. Revenue Breakdown - Oil and gas royalty revenue increased by $54.6 million to $104.2 million for the three months ended March 31, 2022, compared to $49.5 million in the same period of 2021[86]. - Oil and gas royalty revenue rose by 110.3% to $104.2 million for the three months ended March 31, 2022, compared to $49.5 million for the same period in 2021[99]. - Water sales revenue increased by 45.3% to $18.8 million for the three months ended March 31, 2022, compared to $13.0 million for the same period in 2021[105]. - Produced water royalties increased by 18.6% to $14.9 million for the three months ended March 31, 2022, compared to $12.5 million for the same period in 2021[106]. - Land and Resource Management segment revenues increased by 96.1% to $113.3 million for the three months ended March 31, 2022, compared to $57.8 million for the same period in 2021[98]. - Water Services and Operations segment revenues increased by 28.9% to $34.0 million for the three months ended March 31, 2022, compared to $26.4 million for the same period in 2021[104]. Pricing and Market Conditions - Average WTI Cushing price per barrel was $95.18 in Q1 2022, compared to $58.09 in Q1 2021, representing a 63.8% increase[73]. - Average Henry Hub price per mmbtu was $4.67 in Q1 2022, up from $3.50 in Q1 2021, indicating a 33.4% increase[73]. - The average realized price for oil increased to $94.24 per barrel for the three months ended March 31, 2022, compared to $55.53 per barrel for the same period in 2021[101]. Cash Flow and Expenditures - Cash and cash equivalents as of March 31, 2022, were $507.4 million, expected to support business growth and dividends[77]. - Cash flow from operating activities for Q1 2022 was $107.7 million, compared to $52.4 million in Q1 2021, marking a significant increase[79]. - Capital expenditures for Q1 2022 were approximately $5.2 million, up from $1.4 million in Q1 2021, reflecting increased investment in water services[81]. Dividends and Shareholder Returns - Dividends paid in Q1 2022 totaled $23.2 million, with a cash dividend of $3.00 per share, compared to $21.3 million and $2.75 per share in Q1 2021[84]. Operational Activity - Average monthly horizontal permits in the Permian Basin increased to 572 in Q1 2022 from 446 in Q1 2021, indicating a rise in drilling activity[73]. Taxation - Total income tax expense rose to $26.5 million for the three months ended March 31, 2022, compared to $12.0 million for the same period in 2021, primarily due to increased operating income[92]. Market Risk - There have been no material changes in the information related to market risk of the Company since December 31, 2021[117].

Financial Data and Key Metrics Changes - Texas Pacific Land Corporation (TPL) reported consolidated adjusted EBITDA of $130 million for Q4 2021, with total revenue of $147.2 million, a 98% year-over-year increase from $74.3 million in Q4 2020 [34][7] - Net income for Q4 2021 was $79 million or $10.21 per share, compared to $44.8 million or $5.77 per share in the same quarter of the prior year [35] - For the full year 2021, TPL's revenues reached $451 million, a 49% increase compared to the previous year, while total operating expenses only increased by 4% [15][34] Business Line Data and Key Metrics Changes - Oil and gas royalty production volumes were approximately 22,000 barrels of oil equivalent (Boe) per day in Q4 2021, up from 17,000 Boe per day in Q4 2020, reflecting a 15% growth in royalty production for the full year 2021 compared to 2020 [11][36] - Non-oil and gas royalty revenue streams saw significant growth, with source water royalties increasing by 24% and produced water royalties by 15% year-over-year [13] - The easements and surface-related income decreased modestly year-over-year due to producers focusing on existing infrastructure [14] Market Data and Key Metrics Changes - Commodity prices improved throughout 2021, with TPL's average commodity price realization over 80% higher than in 2020, benefiting from being completely unhedged [12] - The company noted strong development activity in the Permian Basin, particularly in its Loving, Northern Reeves, and Culberson acreage, with increased permitting and completion activities [16][17] Company Strategy and Development Direction - TPL aims to maintain momentum from 2021 into 2022, focusing on long-term value creation and attractive acquisition opportunities in the market [22][23] - The company is exploring next-generation opportunities, including soil carbon sequestration projects to generate carbon credits [21] - TPL's capital allocation strategy remains flexible, with the potential for stock buybacks and increased dividends depending on market conditions [24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued strong development activity in the Permian, despite some concerns about the pace of growth compared to 2021 [52] - The company is actively addressing seismicity issues in the Permian, with a focus on sustainable solutions and maintaining communication with operators [54][25] - Management highlighted the importance of their contract structure, which allows TPL to generate fees regardless of produced water disposal challenges [30] Other Important Information - TPL's Board raised the base dividend by $0.25 to $3 per share, reflecting confidence in the company's financial health [38] - The company ended Q4 2021 with $428 million in cash and no debt, indicating a strong balance sheet [37] Q&A Session Summary Question: Insights on return of capital and growth balance - Management indicated flexibility in capital allocation, considering stock buybacks if the stock price remains dislocated, while also having raised the regular dividend [44] Question: Corporate governance and board evaluation process - The Nomination and Governance Committee is handling the evaluation of board changes, with a 90-day timeframe for recommendations [47] Question: Business outlook for the next 6-12 months - Management noted that while strong growth is expected, it may not reach robust double-digit levels due to a slowdown in completion activity [52] Question: Tax misstatement details - Management explained that a misstatement regarding depletion was identified and corrected, with plans to implement controls to prevent future occurrences [57] Question: Strategies for accessing currently unused land - TPL is focused on facilitating easier access for operators to develop their land rather than financing drilling programs [60] Question: Future stock buyback intentions - Management stated that while no new buyback program has been announced, it is under consideration depending on market conditions [61] Question: Growth drivers for oil and gas production - The significant growth in production was attributed to high completion activity in Q2 and Q3 of 2021, with a cautious outlook on organic growth moving forward [68]

Company Overview - Texas Pacific Land Corporation owns approximately 880,000 surface acres of land in West Texas and various oil and gas royalty interests across approximately 456,000 acres[11][13]. - As of December 31, 2021, the company owned 880,581 acres of surface estate and additional royalty interests under 454,671 acres of land in West Texas[94]. - The company’s stock is traded on the NYSE under the ticker symbol "TPL," with 219 registered holders as of January 31, 2022[101]. Financial Performance - For the year ended December 31, 2021, total revenues were $450.96 million, a 48.9% increase from $302.56 million in 2020[18]. - Net income for 2021 was $269.98 million, representing a 53.2% increase from $176.05 million in 2020[18]. - Cash flows from operating activities increased to $265.2 million in 2021 from $207.0 million in 2020, primarily due to higher oil and gas prices and production volumes[119][120]. - Operating income for the year ended December 31, 2021, was $362.39 million, compared to $217.26 million in 2020, indicating improved operational efficiency[125][126]. - EBITDA for the year ended December 31, 2021, was $379.27 million, compared to $234.06 million in 2020[153]. - Adjusted EBITDA for 2021 was $387.98 million, an increase from $239.11 million in 2020[153]. Revenue Breakdown - Oil and gas royalty revenue for the Land and Resource Management segment was $286.47 million in 2021, accounting for 64% of total segment revenue[24]. - Oil and gas royalty revenue reached $286.47 million in 2021, up from $137.95 million in 2020, reflecting a significant recovery in commodity prices[125][126]. - Water Services and Operations segment revenue increased to $130.57 million in 2021, up from $107.42 million in 2020, driven by a 14.7% increase in sourced and treated barrels sold[31]. - Land and Resource Management segment revenues rose by $125.2 million, or 64.2%, to $320.39 million in 2021 compared to $195.14 million in 2020[139]. - Average realized prices for oil increased to $66.62 per barrel in 2021 from $41.13 per barrel in 2020, while natural gas prices rose to $3.67 per Mcf from $1.24 per Mcf[142]. Investments and Capital Allocation - The company invested approximately $11.7 million in Texas Pacific Water Resources LLC projects in 2021, with $6.4 million allocated to electrifying water sourcing infrastructure[32]. - The company has invested in electrifying its water sourcing infrastructure to reduce dependence on fuel and improve operational efficiency[110]. - Total cash and cash equivalents as of December 31, 2021, were $428.2 million, which the company plans to use for business growth, stock repurchases, and dividends[118]. - The company repurchased $19.9 million of shares and paid $85.3 million in dividends during the year ended December 31, 2021[118][124]. Governance and Corporate Structure - The Company converted from a business trust to a Delaware corporation, enhancing governance for stockholders[42]. - The board of directors was established as part of the corporate reorganization, replacing the previous governance structure of trustees[180]. - The Company has instituted a governance framework for overseeing ESG strategies, with annual reviews to assess updates or improvements[41]. - The Board has adopted a Code of Business Conduct and Ethics applicable to all members, ensuring compliance and ethical standards[205]. Internal Controls and Compliance - A material weakness in internal controls over financial reporting was identified, particularly related to accounting for income taxes[64]. - The company identified a material weakness in internal control over financial reporting related to the evaluation of historical tax returns and tax positions, which could lead to material misstatements[163]. - Deloitte & Touche LLP concluded that the company did not maintain effective internal control over financial reporting as of December 31, 2021, due to the identified material weakness[167]. - Management has proposed remediation activities, including implementing controls to evaluate the technical merits of existing tax positions on a quarterly basis[165]. Market and Economic Conditions - The Company’s revenues from oil and gas royalties are dependent on market prices, which are subject to significant fluctuations due to various factors[51]. - The Company’s land sales are subject to substantial fluctuations influenced by national and local economic conditions and development rates[53]. - Oil and gas prices rebounded in 2021, positively impacting oil and gas royalty revenues after a decline in 2020[51]. - Development activity in the Permian Basin significantly improved in 2021 compared to 2020, although it remains below pre-pandemic levels[108]. Employee and Safety Policies - The Company had 92 full-time employees as of December 31, 2021, emphasizing the importance of attracting and retaining skilled professionals[43]. - The Company aims for zero occupational injuries and has implemented safety policies compliant with OSHA standards[46]. Risks and Challenges - The company may face adverse effects from global health threats, such as COVID-19, which could lead to increased operating costs and impact earnings, cash flow, and financial condition[66]. - The Corporate Reorganization may not achieve expected strategic and financial benefits, potentially impacting business operations[67]. - The company faces risks related to stockholder activism, which could hinder business strategy execution and impact trading value[79]. - The stock price may experience significant fluctuations due to various factors, including changes in operating results and market conditions[80].

Financial Data and Key Metrics Changes - Total consolidated revenues increased by 66% year-over-year, reaching $123.7 million in Q3 2021 compared to $74.4 million in Q3 2020 [38] - Net income for Q3 2021 was $83.8 million, or $10.82 per share, up from $46.3 million, or $5.97 per share in the same quarter of the prior year [37] - Adjusted EBITDA for Q3 2021 was $107.6 million, compared to $62.3 million for the same period last year, reflecting an improved adjusted EBITDA margin of 87% [11][38] Business Line Data and Key Metrics Changes - Royalty daily production increased by 24%, reaching approximately 19.5 thousand barrels of oil equivalent per day in Q3 2021, up from 15.7 thousand barrels in Q3 2020 [38] - Water revenue was $36.9 million in Q3 2021, up from $24.5 million in the prior year, driven by increases in both source water sales volumes and produced water royalty volumes [40] Market Data and Key Metrics Changes - The company reported a significant increase in permitting activity, indicating a positive trend for Q4 2021 and into 2022, with strong permitting from major operators like Chevron [50] - The company has a market share of approximately 30% of Northern Delaware source water volumes, with the capability to deliver over 800,000 barrels of water per day [25] Company Strategy and Development Direction - The company emphasizes its vertically integrated business model, which has allowed it to create multiple high-quality cash flow streams from its legacy asset base [9][12] - The focus remains on acquiring high-quality integrated assets that include surface, minerals, and water components, with a cautious approach to potential acquisitions [62] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business, highlighting the ability to fully benefit from rising commodity prices as the company remains unhedged [39] - The management team is optimistic about the future, citing strong relationships with operators and a positive outlook for activity in the Delaware Basin [55][56] Other Important Information - The company declared a cash dividend of $2.75 per common share, with year-to-date dividends totaling $8.25 per share [43] - The company has completed $11.2 million of share repurchases and has $8.8 million remaining on the current repurchase authorization [43] Q&A Session Summary Question: Activity trends in Q4 and 2022 based on permit data - Management noted strong permitting activity in Q3, with a positive outlook for Q4 and 2022 based on the backlog of permits [50] Question: Current opportunities in the A&D market - Management indicated that while the bid-ask spread for high-quality deals has been wider, it is starting to narrow, leading to more opportunities in the market [51][52] Question: Return of capital strategy with strong cash position - Management emphasized the importance of maintaining a healthy cash balance and indicated that returning capital to shareholders could be considered if opportunities do not materialize [53] Question: Impact of changing dynamics in the Permian on negotiations - Management stated that consolidation among legacy operators has been positive for the company, enhancing relationships and prioritizing acreage [55] Question: Expectations for increasing Delaware Basin acreage in 2022 - Management confirmed strong permitting activity in the Delaware Basin and indicated expectations for increased activity going forward [56] Question: Strategic outlook for cash deployment - Management reiterated a focus on high-quality integrated assets and the importance of retaining cash for the right opportunities [62] Question: Potential for special dividends or expanded buyback - Management acknowledged that if the opportunity set does not materialize, both special dividends and increased buybacks could be considered [63] Question: Next-gen wind and solar opportunities - Management highlighted ongoing discussions regarding renewable energy opportunities, emphasizing the importance of relationships with operators [65]