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

Rhea-AI Summary

Dorchester Minerals, L.P. (NASDAQ: DMLP) announced a cash distribution of $0.226318 per common unit for Q2 2020, payable on August 13, 2020, to unitholders of record as of August 3, 2020. During this period, cash receipts from royalty properties were approximately $6.3 million, with about 62% from oil and gas sales in early 2020. Additionally, net profits interests contributed around $4.0 million. The partnership holds interests in oil and natural gas operations across 27 states.

Positive

• Q2 2020 cash distribution of $0.226318 per common unit indicates steady income.
• Royalty properties generated $6.3 million in cash receipts.

Negative

• Cash receipts show reliance on prior sales periods, indicating potential volatility in future income.

DALLAS, TEXAS, July 23, 2020 (GLOBE NEWSWIRE) -- Dorchester Minerals, L.P. (NASDAQ:DMLP) announced today the Partnership’s second quarter 2020 cash distribution.  The distribution of $0.226318 per common unit represents activity for the three-month period ended June 30, 2020 and is payable on August 13, 2020 to common unitholders of record as of August 3, 2020.

Cash receipts attributable to the Partnership’s Royalty Properties during the second quarter totaled approximately $6.3 million. Approximately 62% of these receipts reflect oil sales during March 2020 through May 2020 and gas sales during February 2020 through April 2020, and approximately 38% from prior sales periods. Cash receipts attributable to the Partnership’s Net Profits Interests during the second quarter totaled approximately $4.0 million. Approximately 59% of these receipts reflect oil sales and gas sales during February 2020 through April 2020, and approximately 41% from prior sales periods.

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 27 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.

 

Martye Miller              (214) 559-0300

FAQ

What is the cash distribution for DMLP in Q2 2020?

The cash distribution for DMLP in Q2 2020 is $0.226318 per common unit.

When is the cash distribution payable for Dorchester Minerals?

The cash distribution is payable on August 13, 2020, to unitholders of record as of August 3, 2020.

What were the cash receipts from royalty properties for DMLP in Q2 2020?

The cash receipts from royalty properties for DMLP in Q2 2020 totaled approximately $6.3 million.

How much did net profits interests contribute to DMLP's cash receipts in Q2 2020?

Net profits interests contributed approximately $4.0 million to DMLP's cash receipts in Q2 2020.

In how many states does Dorchester Minerals operate?

Dorchester Minerals operates in 27 states.