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

Rhea-AI Summary

Dorchester Minerals, L.P. (NASDAQ-DMLP) has finalized the acquisition of mineral and royalty interests covering approximately 4,600 net royalty acres across 27 counties in New Mexico, Oklahoma, Texas, and Wyoming. The transaction is structured as a non-taxable contribution, with the contributing entity receiving 1,580,000 common limited partnership units of Dorchester Minerals. This acquisition expands Dorchester's portfolio, which includes producing and non-producing interests in oil and natural gas across 26 states.

Positive

• Acquisition of approximately 4,600 net royalty acres enhances asset portfolio.
• Expansion into 27 counties across New Mexico, Oklahoma, Texas, and Wyoming.
• Transaction structured as a non-taxable contribution, benefiting tax position.

Negative

• None.

DALLAS, Dec. 31, 2021 (GLOBE NEWSWIRE) -- Dorchester Minerals, L.P. (the “Partnership”) (NASDAQ-DMLP) announced today that it has completed its previously announced acquisition of mineral and royalty interests totaling approximately 4,600 net royalty acres located in 27 counties across New Mexico, Oklahoma, Texas and Wyoming.

The transaction is structured as a non-taxable contribution and exchange. The contributing entity conveyed their interests to the Partnership in exchange for 1,580,000 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 26 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 did Dorchester Minerals, L.P. acquire recently?

Dorchester Minerals, L.P. recently acquired mineral and royalty interests totaling approximately 4,600 net royalty acres across 27 counties.

What is the value of the acquisition by Dorchester Minerals?

The acquisition involved the exchange of 1,580,000 common limited partnership units.

How does the acquisition impact Dorchester Minerals, L.P.'s operations?

The acquisition expands the operational footprint and resource base of Dorchester Minerals, enhancing its portfolio.

In which states are the acquired mineral interests located?

The acquired mineral interests are located in New Mexico, Oklahoma, Texas, and Wyoming.

What is the significance of the non-taxable contribution structure?

The non-taxable contribution structure allows Dorchester to avoid immediate tax liabilities related to the transaction.