Dorchester Minerals, L.P. Completes Acquisition of Mineral and Royalty Interests

Rhea-AI Summary

Dorchester Minerals, L.P. (NASDAQ-DMLP) has successfully completed an acquisition of approximately 3,600 net royalty acres across 13 states, including Colorado, Louisiana, Ohio, Oklahoma, Pennsylvania, West Virginia, and Wyoming. This non-taxable transaction involved the exchange of 570,000 common limited partnership units for the mineral and royalty interests. Dorchester Minerals, based in Dallas, owns various oil and natural gas interests across 28 states, and this acquisition is expected to enhance its asset portfolio.

Positive

• Acquisition of 3,600 net royalty acres expands asset portfolio significantly.
• Transaction structured as non-taxable, providing financial efficiency.
• Diversification across multiple states increases market presence.

Negative

• Integration of new assets may present operational challenges.
• Potential risks associated with fluctuating oil and natural gas prices.

DALLAS, TEXAS, March 31, 2022 (GLOBE NEWSWIRE) -- -- Dorchester Minerals, L.P. (the “Partnership”) (NASDAQ-DMLP) has completed its previously announced acquisition of mineral and royalty interests totaling approximately 3,600 net royalty acres located in 13 counties across Colorado, Louisiana, Ohio, Oklahoma, Pennsylvania, West Virginia and Wyoming.

The transaction is structured as a non-taxable contribution and exchange. The contributing entities conveyed their interests to the Partnership in exchange for 570,000 common limited partnership units of Dorchester Minerals, L.P.

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 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.

FAQ

What is the recent acquisition by Dorchester Minerals, L.P.?

Dorchester Minerals recently acquired approximately 3,600 net royalty acres across 13 states.

How many common units were exchanged in Dorchester Minerals' acquisition?

570,000 common limited partnership units were exchanged for the mineral and royalty interests.

What impact does the acquisition have on Dorchester Minerals' assets?

The acquisition enhances Dorchester Minerals' asset portfolio and increases its market presence.

In which states did Dorchester Minerals acquire royalty interests?

The acquisition spans across Colorado, Louisiana, Ohio, Oklahoma, Pennsylvania, West Virginia, and Wyoming.

What are the potential risks associated with the acquisition?

Risks include operational challenges and fluctuating oil and natural gas prices.