Dorchester Minerals, L.P. Announces 2024 Results

Rhea-AI Summary

Dorchester Minerals (NASDAQ:DMLP) reported net income of $92,449,000 ($2.13 per common unit) for the year ended December 31, 2024. The company's total proved oil and natural gas reserves were estimated at 17.0 million barrels of oil equivalent (mmboe), with 86% attributed to Royalty Properties and 14% to Net Profits Interest. Oil and natural gas liquids represented 65% of proved reserves, all classified as proved developed producing.

The Partnership distributed a total of $141.6 million to common unitholders from May 2024 through February 2025 for 2024 activity. Dorchester Minerals operates in 28 states, owning producing and non-producing crude oil and natural gas mineral, royalty, overriding royalty, net profits, and leasehold interests.

Positive

• Net income of $92.4 million ($2.13 per unit) in 2024
• Substantial unitholder distributions of $141.6 million
• Strong proved reserves of 17.0 mmboe
• 65% of reserves in higher-value oil and natural gas liquids
• 100% of reserves are proved developed producing

Negative

• None.

Insights

Financial Analyst

The 2024 financial results reveal Dorchester Minerals' robust operational performance and strong cash generation capabilities. The partnership's $92.45 million net income translates to $2.13 per unit, while distributions to unitholders reached $141.6 million over the May 2024 to February 2025 period.

The reserves profile is particularly noteworthy, with 17.0 million barrels of oil equivalent (mmboe) classified entirely as proved developed producing (PDP). This classification is significant as it represents the highest certainty category of reserves, requiring no additional capital expenditure for production. The 65% weighting toward oil and natural gas liquids is advantageous, as these typically command higher margins than natural gas.

The partnership's business model, focused on mineral and royalty interests across 28 states, provides several strategic advantages:

• Zero capital expenditure requirements for development, as operating costs are borne by the operators
• Geographic diversification reduces basin-specific risks
• High-margin revenue stream from royalty interests (86% of reserves) versus net profits interests (14%)

The distribution level exceeding net income indicates strong free cash flow generation, typical of mineral rights businesses that benefit from minimal maintenance capital requirements. This structure allows for higher payout ratios compared to traditional E&P companies, making it an attractive vehicle for investors seeking yield with exposure to energy commodity prices.

DALLAS, Feb. 20, 2025 (GLOBE NEWSWIRE) -- Dorchester Minerals, L.P. (the “Partnership”) (NASDAQ-DMLP) announced today the Partnership’s net income for the year ended December 31, 2024 of $92,449,000 or $2.13 per common unit.

A comparison of the Partnership’s consolidated results for the twelve month periods ended December 31, 2024 and 2023 are set forth below:

	Twelve Months Ended
	December 31,
		2024				2023
Operating Revenues	$161,523,000				$163,799,000
Net Income	$92,449,000				$114,117,000
Net Income Per Common Unit	$2.13				$2.85

The Partnership’s independent engineering consultant estimated its total proved oil and natural gas reserves to be 17.0 million barrels of oil equivalent (mmboe) as of December 31, 2024. Approximately 86% of these reserves are attributable to the Partnership’s Royalty Properties and 14% are attributable to its Net Profits Interest. Oil and natural gas liquids accounted for 65% of proved reserves as of December 31, 2024, all of which were classified as proved developed producing.

The Partnership distributed a total of $141.6 million to its common unitholders from May 2024 through February 2025 attributable to 2024 activity.

Dorchester Minerals, L.P. is a Dallas based owner of producing and non-producing crude oil and natural gas mineral, royalty, overriding royalty, net profits, and leasehold interests in 28 states. Its common units trade on the NASDAQ Global Select Market under the symbol DMLP.

FORWARD-LOOKING STATEMENTS

Portions of this document may constitute "forward-looking statements" as defined by federal law. Such statements are subject to certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or projected. Examples of such uncertainties and risk factors include, but are not limited to, changes in the price or demand for oil and natural gas, changes in the operations on or development of the Partnership’s properties, changes in economic and industry conditions and changes in regulatory requirements (including changes in environmental requirements) and the Partnership’s financial position, business strategy and other plans and objectives for future operations. These and other factors are set forth in the Partnership's filings with the Securities and Exchange Commission.

Contact:

Martye Miller

(214) 559-0300

FAQ

What was Dorchester Minerals (DMLP) net income for 2024?

Dorchester Minerals reported a net income of $92,449,000, or $2.13 per common unit, for the year ended December 31, 2024.

How much did DMLP distribute to unitholders in 2024-2025?

DMLP distributed $141.6 million to common unitholders from May 2024 through February 2025, attributable to 2024 activity.

What are DMLP's total proved reserves as of December 31, 2024?

DMLP's total proved reserves were 17.0 million barrels of oil equivalent (mmboe), with 86% from Royalty Properties and 14% from Net Profits Interest.

What percentage of DMLP's reserves are oil and natural gas liquids?

65% of DMLP's proved reserves were oil and natural gas liquids as of December 31, 2024, all classified as proved developed producing.

How many states does Dorchester Minerals operate in?

Dorchester Minerals operates in 28 states, owning various oil and natural gas interests including mineral, royalty, and leasehold interests.