Kimbell Royalty Partners has completed its previously announced $221.2 million acquisition of mineral and royalty interests from affiliated sellers, expanding its portfolio across the Eagle Ford, Permian, Mid-Continent and Appalachia regions.
The transaction consists of approximately $74.9 million in cash and 9.5 million common units of Kimbell Royalty Operating valued at approximately $146.3 million.
Cash represented approximately 34% of the purchase price, with operating-company units accounting for the remainder.
Kimbell is entitled to cash flow generated by the acquired interests beginning from the June 1 effective date, although GAAP revenue and operating statistics will be recognized beginning with the August 21 closing date.
The acquired portfolio was producing approximately 2,347 barrels of oil equivalent per day as of June 1.
That production consisted of approximately 841 barrels per day of oil, 569 barrels per day of natural gas liquids and 5.624 million cubic feet per day of natural gas.
The assets span more than 3 million gross acres and include interests in more than 29,000 gross producing wells.
The acquisition further diversifies Kimbell’s mineral and royalty portfolio across several of the largest U.S. onshore hydrocarbon basins.
Following the transaction, Kimbell’s broader portfolio includes mineral and royalty interests covering more than 17 million gross acres across 28 states.
The company has ownership interests in more than 137,000 gross wells and holds assets in every major onshore basin in the continental U.S.
