KRP News & Events

Kimbell Royalty Partners (KRP) has agreed to acquire mineral and royalty interests from Mesa Royalties (MTR), in a cash and unit transaction valued at approximately $147.0M, subject to purchase price adjustments and other customary closing adjustments. The purchase price for the acquisition is comprised of $44.0M in cash - approximately 30% of the total consideration - and approximately 6.9 million newly issued common units of Kimbell Royalty Operating valued at $103.0M. For the next twelve months, Kimbell estimates that, as of June 1, 2026, the acquired assets will produce approximately 1,390 Boe/d - 754 Bbl/d of oil, 315 Bbl/d of NGLs, and 1,928 Mcf/d of natural gas -. The acquisition is expected to close in Q2, subject to customary closing conditions, and the effective date is expected to be June 1. Management estimates 7.67 MMBoe in total proved reserves, reflecting a purchase price of approximately $19.17 per total proved Boe. The assets are expected to provide 93% of estimated first year cash flow from PDP and PDNP wells. Kimbell is expected to have over 17 million gross acres, over 135,000 gross wells and a total of 93 active rigs on its properties, which represents approximately 18%4 of the total active land rigs drilling in the continental United States. In addition, over 98% of all rigs in the continental U.S. are located in counties where Kimbell is expected to hold mineral interest positions following the consummation of the acquisition.

Reports Q1 revenue $65.5M, consensus $89.78M. Q2 run-rate daily production was 25,522 Boe per day. CEO Robert Ravnaas commented, "We are pleased to report another strong quarter with robust drilling activity across our acreage. Kimbell's production exceeded the midpoint of guidance, showing once again the resilience of our high quality, diversified and low decline production base. Kimbell's active rig count remains robust with 85 rigs drilling across our acreage, led by the Permian Basin, and our market share of U.S. land rigs remained at 16%...We are pleased to declare the Q1 2026 distribution of 41c per common unit, reflecting a 11.2% annualized tax advantaged yield based on Kimbell's closing price on May 6...We believe higher oil prices will likely result in a modest increase in activity across oil-weighted basins as we progress through 2026 as many operators will likely move up the completion of DUCs to take advantage of higher prices and gradually add additional rigs. We remain extremely excited about the U.S. oil and natural gas royalty industry, our role as a leading consolidator and the prospects for Kimbell to generate long-term unitholder value for years to come."