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Dorchester Minerals(DMLP) - 2024 Q3 - Quarterly Report
DMLPDorchester Minerals(DMLP)2024-10-31 20:08

Financial Performance - For the three months ended September 30, 2024, natural gas sales volumes from Royalty Properties increased by 17% to 1,569 mmcf compared to 1,344 mmcf in the same period of 2023[54]. - Oil sales volumes from Royalty Properties increased by 35% to 642 mbbls for the three months ended September 30, 2024, compared to 477 mbbls in the same period of 2023[54]. - The company experienced a decrease in NPI natural gas sales volumes by 7% for the nine months ended September 30, 2024, compared to the same period in 2023[54]. - Cash receipts from Royalty Properties in Q3 2024 totaled 40.2million,withaverageindicatedpricesforoilandnaturalgassalesat40.2 million, with average indicated prices for oil and natural gas sales at 69.91/bbl and 1.08/mcf,respectively[61].−CashreceiptsfromNPIinQ32024totaled1.08/mcf, respectively[61]. - Cash receipts from NPI in Q3 2024 totaled 6.0 million, with average indicated prices for oil and natural gas sales at 65.51/bbland65.51/bbl and 1.27/mcf, respectively[62]. - Net cash provided by operating activities remained consistent from the first nine months of 2023 to the same period of 2024, driven by higher royalties revenue receipts, net of production taxes and operating expenses[59]. Acquisitions and Investments - The company acquired mineral, royalty, and overriding royalty interests in approximately 14,225 net mineral acres for 202.6milliononSeptember30,2024[45].−Thecompanyalsoacquiredmineralintereststotalingapproximately1,204netroyaltyacresinColoradofor202.6 million on September 30, 2024[45]. - The company also acquired mineral interests totaling approximately 1,204 net royalty acres in Colorado for 16.0 million on September 30, 2024[46]. - Cash receipts attributable to contributed cash from two acquisitions closed on September 30, 2024, totaled approximately 6.8million,reflectingreceiptsfromthetwomonthsendedAugust31,2024[61].CostsandExpenses−Operatingcostsincreasedby116.8 million, reflecting receipts from the two months ended August 31, 2024[61]. Costs and Expenses - Operating costs increased by 11% from the third quarter of 2023 to the same period of 2024, primarily due to higher oil and natural gas sales volumes[56]. - Depreciation, depletion, and amortization increased by 52% from the third quarter of 2023 to the same period of 2024[57]. - General and administrative expenses increased by 3% from Q3 2023 to Q3 2024 and by 5% from the first nine months of 2023 to the same period of 2024, primarily due to higher compensation expenses and increased professional service fees[58]. Liquidity and Financial Position - Cash and cash equivalents increased to 56.5 million as of September 30, 2024, up from 47.0millionatDecember31,2023[70].−Thepartnershipexpectstomaintainsufficientliquiditytofunddistributionstounitholdersandoperationsdespitepotentialuncertaintiesfromglobalmilitaryconflictsandeconomicconditions[67].−TotalleaseobligationsasofSeptember30,2024,amountto47.0 million at December 31, 2023[70]. - The partnership expects to maintain sufficient liquidity to fund distributions to unitholders and operations despite potential uncertainties from global military conflicts and economic conditions[67]. - Total lease obligations as of September 30, 2024, amount to 1.107 million, with future lease payments summarized in a detailed table[69]. Market Influences - The company’s profitability is significantly affected by fluctuating oil and natural gas market prices, influenced by global events and supply chain disruptions[43]. Accounting Policies - The company has not incurred any significant changes to its critical accounting policies and related estimates since the last annual report[69].