Commodities - NOVEMBER 22, 2022

To read this full article you need to be subscribed to Newsline.

Sign in Sign up for a FREE subscription

Desert Royalty Company acquires Legacy Mineral Position from private seller

by Released

Desert Royalty Company has purchased a material mineral position from a private seller in core areas of Reeves and Loving Counties, Texas.

The undisclosed consideration was primarily equity in Desert’s current mineral fund, Desert Partners VII (DP7).

Asset summary:

2,905 net royalty acres 86 percent of the acreage operated by Oxy and Callon Recent permitted wells or DUC activity greater than 0.2 of a net well Total horizontal PDP over 1.65 of a net well Current production estimated at more than 180 net BOPD and 1,300 net MCFD Effective September 1, 2022

Once the acquisition closes, DP7 will be completely invested.

“We are very fortunate to close our mineral fund with this tremendous Delaware asset. To our existing partners, the deal is immediately accreditive on a cash flow basis, with plenty of long-term inventory, and to the seller, the outcome provides the right type of exposure and s

Forgot your username or password?