Given you guys have looked at alot of royalty firms, have you ever looked a Dorchester Minerals, LP? Its performance is the amongst the highest amongst O&G royalty firms over the last 20, 10 & 5 years? It generates no UBTI so it works well with IRAs. They also are buying royalties every year to keep the royalties flowing.
I wanted to thank you for not paywalling your content. IMO whether you paywall or not sheds light on your objective is to either receive feedback on ideas/develop a community or make money selling subscriptions.
Great write-up! TPL surface, water & royalty rights means they benefit from anything on the land including solar, wind, & water sales. 1Q water sales went from $21.7M to $37M which is very impressive & plenty of room to grow. Delaware Basin produces a lot of water, new desalinization position benefits from it along with new pilot programs.
Our personal portfolio's are heavy in royalty trusts for the better part of the past decade & we have benefited heavily off of them as an inflation hedge with quality monthly/quarterly cash distribution.
TPL is a unique company with so much potential due to its surface ownership, as opposed to most royalty/mineral companies that only own mineral rights. We are excited to see what comes from its newest water venture.
Also, dude, love your work. And to anyone reading this comment, we recommend you check out his substack.
TPL definitely is in a unique position compared to most royalties. I had started writing on it many times but find others have covered its potential so extensively that there isn't much more to add.
I like how you updated the whole portfolio in one post. Nicely done. Interesting stuff on the TPL process for treating fracking water. That's an unexpected bonus that could turn into a meaningful part of their business.
Great work again. Thanks for not trying to monetize this forum. Really appreciated. And I will say that I very much appreciate that you have the courage to continue to write about BTC. It's such a new asset class and therefore is generally extremely mis-understood. Most of us need to put in at least 20 hours of research (if we have great discernment about our sources of info) to understand the various value propositions. I've done at least 300 hours bc I'm 66 and cautious. And I keep doing my cautious style DCA into more BTC to this day.
Derek, thanks for your many contributions to our work. We appreciate you reading and your interactions. Thanks.
We have no idea what BTC will ultimately do or become. Thus we believe it should be allocated to accordingly. But we are glad you enjoy those posts and we admire your open-mindedness and your consistent approach.
Love your work- is customer concentration a worry at all for NRP? Last I recall, Alpha Metallurgical Resources and Foresight Energy Resources accounted for 60%+ of NRP LP revenue.
Great post,
Thanks for those kind words, Christian.
Given you guys have looked at alot of royalty firms, have you ever looked a Dorchester Minerals, LP? Its performance is the amongst the highest amongst O&G royalty firms over the last 20, 10 & 5 years? It generates no UBTI so it works well with IRAs. They also are buying royalties every year to keep the royalties flowing.
You know what? It’s been on our list to look into and alas we are finite and simply haven’t gotten to it. But you’ve peaked our interest. Thanks!
I wanted to thank you for not paywalling your content. IMO whether you paywall or not sheds light on your objective is to either receive feedback on ideas/develop a community or make money selling subscriptions.
Will NRP be debt free within a year?
Totally dependent on cash flow. But it’ll be close in most probabilities.
Great write-up! TPL surface, water & royalty rights means they benefit from anything on the land including solar, wind, & water sales. 1Q water sales went from $21.7M to $37M which is very impressive & plenty of room to grow. Delaware Basin produces a lot of water, new desalinization position benefits from it along with new pilot programs.
Our personal portfolio's are heavy in royalty trusts for the better part of the past decade & we have benefited heavily off of them as an inflation hedge with quality monthly/quarterly cash distribution.
TPL is a unique company with so much potential due to its surface ownership, as opposed to most royalty/mineral companies that only own mineral rights. We are excited to see what comes from its newest water venture.
Also, dude, love your work. And to anyone reading this comment, we recommend you check out his substack.
TPL definitely is in a unique position compared to most royalties. I had started writing on it many times but find others have covered its potential so extensively that there isn't much more to add.
I like how you updated the whole portfolio in one post. Nicely done. Interesting stuff on the TPL process for treating fracking water. That's an unexpected bonus that could turn into a meaningful part of their business.
Thanks TJ. Yeah, this opportunity for TPL could be huge.
Great work again. Thanks for not trying to monetize this forum. Really appreciated. And I will say that I very much appreciate that you have the courage to continue to write about BTC. It's such a new asset class and therefore is generally extremely mis-understood. Most of us need to put in at least 20 hours of research (if we have great discernment about our sources of info) to understand the various value propositions. I've done at least 300 hours bc I'm 66 and cautious. And I keep doing my cautious style DCA into more BTC to this day.
Derek, thanks for your many contributions to our work. We appreciate you reading and your interactions. Thanks.
We have no idea what BTC will ultimately do or become. Thus we believe it should be allocated to accordingly. But we are glad you enjoy those posts and we admire your open-mindedness and your consistent approach.
Love your work- is customer concentration a worry at all for NRP? Last I recall, Alpha Metallurgical Resources and Foresight Energy Resources accounted for 60%+ of NRP LP revenue.
Nick, I just checked. Alpha Met is 31%, Foresight is 17% and Hatfield is 13%. Those top three together are 61%. Yes, a risk but not outrageous.