Dorchester Minerals, L.P. Announces Its Second Quarter Distribution

Rhea-AI Summary

Dorchester Minerals, L.P. (NASDAQ:DMLP) announced a cash distribution of $0.480528 per common unit for Q2 2021, payable on August 12, 2021. The distribution marks a total of over $1 billion distributed to partners since inception. Q2 cash receipts totaled approximately $15 million from royalty properties and $3.4 million from net profits interests, primarily from oil and gas sales. The company maintains a strong financial standing with no debt and no dilutive equity. This release includes forward-looking statements that may be affected by various risks and uncertainties.

Positive

• Cash distribution of $0.480528 per common unit, highlighting consistent payouts.
• Total distributions exceeding $1 billion demonstrates strong financial performance.
• No debt or dilutive equity compensation indicates robust financial health.

Negative

• Future results may face risks from oil and gas price volatility and regulatory changes.

DALLAS, July 23, 2021 (GLOBE NEWSWIRE) -- Dorchester Minerals, L.P. (NASDAQ:DMLP) announced today the Partnership’s second quarter 2021 cash distribution. The distribution of $0.480528 per common unit represents activity for the three-month period ended June 30, 2021 and is payable on August 12, 2021 to common unitholders of record as of August 2, 2021.

Cash receipts attributable to the Partnership’s Royalty Properties during the second quarter totaled approximately $15.0 million. Approximately 82% of these receipts reflect oil sales during March 2021 through May 2021 and gas sales during February 2021 through April 2021, and approximately 18% from prior sales periods. Cash receipts attributable to the Partnership’s Net Profits Interests during the second quarter totaled approximately $3.4 million. Approximately 69% of these receipts reflect oil sales and gas sales during February 2021 through April 2021, and approximately 31% from prior sales periods.

Small, Quiet and Boring Outfit Distributes a Billion Dollars to Its Partners

Dorchester Minerals, L.P., the first publicly traded minerals and royalty partnership, will have distributed more than a billion dollars to its partners as of the August 12^th distribution date. The Partnership achieved this milestone with no debt, no dilutive equity compensation, and no UBTI.

The Partnership is the result of the merger of Republic Royalty Company, Spinnaker Royalty Company and Dorchester Hugoton, Ltd. in January 2003. The founders of Republic, its predecessor SASI Minerals, and Spinnaker started acquiring minerals and royalties in 1986, and Vaughn Petroleum, Inc and its predecessors since the 1920’s. All of those assets were ultimately rolled up into Dorchester Minerals; several of the original founders continue to be engaged in the Partnership’s activities including General Partners and Board Members Pete Allen and Robie Vaughn, and CEO, Board Chairman and General Partner, Casey McManemin.

Dorchester Minerals, L.P. is a Dallas-based owner of producing and non-producing oil and natural gas mineral, royalty, overriding royalty, net profits, and leasehold interests located in 26 states. Its common units trade on the Nasdaq Global Select Market under the symbol DMLP.

This release serves as qualified notice to nominees as provided for under Treasury Regulation Section 1.1446-4(b)(4) and (d). Although a portion of Dorchester Minerals, L.P.’s income may not be effectively connected income and may be subject to alternative withholding procedures, brokers and nominees should treat 100% of Dorchester Minerals, L.P.’s distributions to non-U.S. investors as being attributable to income that is effectively connected with a United States trade or business. Accordingly, Dorchester Minerals, L.P.’s distributions to non-U.S. investors are subject to federal income tax withholding at the highest marginal rate for individuals or corporations, as applicable. Nominees, and not Dorchester Minerals, L.P., are treated as withholding agents responsible for withholding on distributions received by them on behalf of non-U.S. investors.

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.

FAQ

What is the cash distribution amount for DMLP in Q2 2021?

Dorchester Minerals, L.P. announced a cash distribution of $0.480528 per common unit for Q2 2021.

When will the cash distribution for DMLP be paid?

The cash distribution will be paid on August 12, 2021, to unitholders of record as of August 2, 2021.

How much has DMLP distributed to partners since its inception?

Dorchester Minerals, L.P. has distributed more than $1 billion to its partners since its inception.

What were the cash receipts for DMLP's Royalty Properties in Q2 2021?

Cash receipts from Royalty Properties in Q2 2021 totaled approximately $15 million.

What risks does DMLP face according to its press release?

DMLP faces risks from changes in oil and gas prices, regulatory changes, and economic conditions.