Kimbell Royalty Partners Closes $230 Million Acquisition of Midland Basin Mineral and Royalty Interests in Cash Transaction

Core Viewpoint - Kimbell Royalty Partners has successfully completed the acquisition of mineral and royalty interests valued at approximately $230 million, enhancing its asset portfolio and expected production capacity [1][2]. Group 1: Acquisition Details - The acquisition involves mineral and royalty interests from a private seller, with a purchase price of around$230 million, funded through a public offering and borrowings [1]. - The acquisition was finalized on January 17, 2025, and Kimbell will receive cash flow from production attributable to the acquired assets starting from October 1, 2024 [1]. - The acquired assets are located under the historic Mabee Ranch in the Midland Basin, primarily in Martin County (63%) and Andrews County (37%) [2]. Group 2: Production Estimates - As of October 1, 2024, the acquired assets produced approximately 1,842 Boe/d, consisting of 1,125 Bbl/d of oil, 410 Bbl/d of NGLs, and 1,842 Mcf/d of natural gas [2]. - For the full year 2025, Kimbell estimates production from the acquired assets to be approximately 1,842 Boe/d, with a slight adjustment in oil and NGL production [2]. Group 3: Company Overview - Kimbell Royalty Partners is a prominent oil and gas mineral and royalty company based in Fort Worth, Texas, owning interests in over 17 million gross acres across 28 states [3]. - The company has ownership in more than 130,000 gross wells, with over 51,000 wells located in the Permian Basin [3].