Texas Pacific Land Corp (TPL) 2025 Q1 法說會逐字稿

Greetings and welcome to the Texas Pacific Land Corporation first quarter 2025 earnings call (Operator Instructions) It is now my pleasure to introduce your host Shawn Amini, Investor Relations. Thank you, you may begin.

問候並歡迎參加德克薩斯太平洋土地公司 2025 年第一季收益電話會議（操作員指示）現在我很高興介紹您的主持人、投資者關係部 Shawn Amini。謝謝，你可以開始了。

Thank you for joining us today for Texas Pacific Land Corporation's first quarter of 2025 earnings conference call. Yesterday afternoon, the company released its financial results and filed its form.

感謝您今天參加德州太平洋土地公司 2025 年第一季財報電話會議。昨天下午，該公司公佈了財務業績並提交了表格。

Thank you with the Securities and Exchange Commission, which is available on the investor section of the company's website at www.texasspacific.com.

感謝美國證券交易委員會的協助，您可以在公司網站 www.texasspacific.com 的投資者部分找到這些資訊。

As a reminder remark on today's conference call may include forward-looking statements. Forward-looking statements are subject to risk and uncertainties that may cause actual results that differ materially from those discussed today.

提醒一下，今天的電話會議中的評論可能包含前瞻性陳述。前瞻性陳述受風險和不確定性的影響，可能導致實際結果與今天討論的結果有重大差異。

We do not undertake any obligation to update our forward statements in light of new information or future events.

我們不承擔根據新資訊或未來事件更新前瞻性聲明的任何義務。

More detailed discussion of the factors that may affect the company's results, please refer to our earnings release for this quarter and to our recent SEC filings.

有關可能影響公司業績的因素的更詳細討論，請參閱我們本季的收益報告和我們最近向美國證券交易委員會提交的文件。

During this call, we'll also be discussing certain non-GAAP financial measures. More information and reconciliations about these non-GAAP financial measures are contained in our earnings relief and SEC filings.

在本次電話會議中，我們也將討論某些非公認會計準則財務指標。有關這些非公認會計準則財務指標的更多資訊和對帳表包含在我們的收益減免和美國證券交易委員會 (SEC) 文件中。

There's also note, we may at times refer to our company by stock or TPL.

也請注意，我們有時可能會透過股票或 TPL 來指涉我們的公司。

This morning's conference call is hosted by TPL's Chief Executive Officer Tyler Glover; and TLPs Chief Financial Officer Chris Steddum; and Executive Vice President of Texas Pacific Water Resources, Robert Crain.

今天早上的電話會議由 TPL 執行長 Tyler Glover 主持；以及 TLP 財務長 Chris Steddum；以及德州太平洋水資源公司執行副總裁 Robert Crain。

Management will make some prepared comments, after which we will open the call for questions. Now I will turn the call over to time.

管理層將發表一些準備好的評論，之後我們將開始提問。現在我將發言時間交給大家。

Good morning everyone and thank you for joining us today.

大家早安，謝謝你們今天加入我們。

TPL's first quarter 2025 marked a strong start to the year with quarterly records set in both oil and gas royalty production and water segment revenues.

TPL 2025 年第一季取得了強勁開局，石油和天然氣特許權使用費產量和水務部門收入均創下季度紀錄。

Oil and gas royalty production averaged approximately 31,100 barrels of oil equivalent per day, representing 7% growth sequential quarter over quarter, and 25% growth year over year.

石油和天然氣特許權使用費產量平均每天約 31,100 桶油當量，比上一季成長 7%，比去年同期成長 25%。

This performance was driven by strong development activity in our Northern Culberson, Northern Reeves, and Central Midlands subregions led by operators including Chevron, BP, Devon, and Koterra.

這項業績得益於我們在北部卡爾伯森、北部里夫斯和中部米德蘭茲子區域的強勁開發活動，這些活動由雪佛蘭、英國石油、德文郡和 Koterra 等業者引領。

Water segment revenues totalled $69 million representing 3% sequential quarter over quarter growth and 11% growth year over year as our commercial efforts continue to yield robust volume gains in both water sales and produced water royalties.

水務部門營收總計 6,900 萬美元，比上一季成長 3%，比去年同期成長 11%，這得益於我們的商業努力繼續在水銷售和生產水特許權使用費方面取得強勁增長。

Given the evolving macroeconomic landscape and volatility in commodity markets, my prepared remarks today will focus on what we're seeing and hearing from our operator customers, the natural business hedges, and the built-in growth TPL retains to withstand a potential oil price downturn.

鑑於宏觀經濟情勢的變化和大宗商品市場的波動，我今天的準備發言將集中於我們從運營商客戶那裡看到和聽到的內容、自然的商業對沖以及 TPL 為抵禦潛在的油價下跌而保留的內在增長。

Beginning with our outlook on near term activity.

從我們對近期活動的展望開始。

We have not yet seen a widespread downturn in activity as oil prices have weakened this year, although a few operators have recently announced intentions to drop rigs and frac spreads.

儘管今年油價走弱，我們尚未看到活動普遍下滑，儘管一些業者最近宣布有意放棄鑽機和壓裂價差。

Feedback from other operators is they are cautiously evaluating activity plans. If oil were to stay below $60 for a sustained period of time. Then we would expect more meaningful activity declines to emerge in the back half of the year.

其他業者的回饋是，他們正在謹慎評估活動計畫。如果油價持續保持在 60 美元以下一段時間。那麼我們預計今年下半年將出現更有意義的活動下降。

Specific to TPL, our royalty acreage is predominantly operated by super majors and large independents whose development plans, while not completely impervious to price declines, tend to exhibit more inertia than those of midcap independence and privates.

具體到TPL，我們的特許權使用費土地主要由超級巨頭和大型獨立公司經營，他們的開發計劃雖然不能完全不受價格下跌的影響，但往往比中型獨立公司和私人公司表現出更多的慣性。

We would expect overall permanent activity and production declines to be slower relative to other US oil basins, and we believe TPL's net production will continue to outperform the basin overall, given our near-term well inventory and the broad resilience of our operators' activity plans.

我們預計，相對於美國其他油盆地，整體永久性活動和產量下降將會比較慢，而且我們相信，鑑於我們近期的油井庫存和運營商活動計劃的廣泛彈性，TPL 的淨產量將繼續優於整個油盆地。

Our near term well inventory remains robust with net permitted wells, net drilled but uncompleted wells, and net completed but not producing wells at levels above our historical averages.

我們的近期油井庫存仍然強勁，淨許可油井、淨鑽探但未完工油井以及淨完工但未生產油井的水準高於歷史平均水準。

The total of these well categories represents the highest TPLs ever recorded. Of this specific set of wells, a total of approximately 18 net wells comes from an operator group consisting of Exxon, Chevron, Conoco, BP, Occidental, EOG, and Cerra.

這些井類別的總和代表了有史以來記錄的最高 TPL。在這組特定的油井中，總共約有 18 口淨油井來自由埃克森美孚、雪佛龍、康菲、英國石油、西方石油、EOG 和 Cerra 組成的營運商集團。

Turning to the impact of commodity prices affecting TPL's various revenue streams.

談到商品價格對TPL各項收入來源的影響。

Although our oil and gas royalties are directly exposed to commodity prices, it's important to note that we are not burdened by well capital expenditures or operating expenses. As a result, this revenue stream generates positive free cash flow even a severely depressed pricing environment.

雖然我們的石油和天然氣使用費直接受到商品價格的影響，但值得注意的是，我們並沒有受到油井資本支出或營運費用的負擔。因此，即使在價格環境嚴重低迷的情況下，該收入流也能產生正的自由現金流。

For water sales, while there is indirect sensitivity to operator drilling plans, since completion activity reduces demand for brackish and recycled water volumes, the business retains operational and financial flexibility to reduce capital expenditures and variable costs.

對於水銷售，雖然對營運商鑽井計劃具有間接敏感性，但由於完井活動減少了對鹹水和再生水量的需求，因此業務保留了營運和財務靈活性，以減少資本支出和變動成本。

For produced water royalties, the revenues are fixed fee based, thus mitigating the direct impact of lower commodity prices.

對於採出水特許權使用費，收入是固定費用，從而減輕了商品價格下跌的直接影響。

Indirectly, however, volumes could potentially increase during a downturn in drilling activity.

然而，間接地，在鑽井活動減少期間，產量可能會增加。

We estimate that basin wide, approximately 30% to 50% of water used for completion activity comes from recycled produced water.

我們估計，在整個盆地內，完井活動所用的水約有 30% 至 50% 來自回收的生產水。

If new completion activity were to slow down, produced water that would otherwise have been recycled for fracking would instead need to be transported and injected for disposal.

如果新的完井活動放緩，原本可以回收用於水力壓裂的採出水將需要運輸和注入進行處置。

We saw this dynamic play out in 2020 when basin win drilling and completion activity declined and our produced water volumes increased by over 30% year over year.

我們在 2020 年看到了這種動態的發揮，當時盆地鑽井和完井活動減少，而我們的產水量比去年同期增加了 30% 以上。

Our surface leases, easements, and material sales revenue, which we refer to by its acronym Slim, is generally a fixed fee-based revenue model that is largely tied to oil and gas activities such as pipeline easements, commercial leases, well bore easements, and coliche sales, among other items.

我們的地面租賃、地役權和材料銷售收入（我們稱之為首字母縮略詞 Slim）通常是一種基於固定費用的收入模式，主要與石油和天然氣活動相關，例如管道地役權、商業租賃、井筒地役權和 coliche 銷售等項目。

Slim revenues were generally flex up or down with the broader permanent activity levels.

微薄的收入通常會隨著更廣泛的永久性活動水平而上下波動。

Many of the easement contracts contain 10 year renewal payments. They're subject to CPI escalators upon renewal.

許多地役權合約包含 10 年的續約付款。續約時，它們將受到 CPI 自動調整的影響。

In 2016, we began implementing these renewal payment features into our easement contracts.

2016 年，我們開始在地役權合約中實施這些續約付款功能。

As a result, beginning next year, TPO will begin benefiting from this built-in revenue tailwind regardless of the price of oil.

因此，從明年開始，無論油價如何，TPO 都將開始受益於這種內在的收入順風。

Given the significant cumulative increase in CPI levels over the last decade, we anticipate that the renewal payment escalators will be approximately 35%. In 2026, we anticipate approximately $10 million in renewal payments derived from easements signed in 2016.

鑑於過去十年CPI水準累積大幅上漲，我們預期續保支付額度將上升至35%左右。2026 年，我們預計 2016 年簽署的地役權續約費用約為 1,000 萬美元。

The payment renewals will then ramp up in the three years following 2026 as we anticipate upwards of $35 million per year in renewals.

我們預計，2026 年後的三年內，續費金額將會增加，每年的續約金額將超過 3,500 萬美元。

In total, we estimate that the easement renewals over the next decade will exceed $200 million, and to be clear, these renewal payments will then reoccur in another 10 years with CPI escalation.

總體而言，我們估計未來十年的地役權續期費用將超過 2 億美元，而且需要明確的是，隨著 CPI 上漲，這些續期付款將在未來 10 年後再次出現。

This will be incremental to the cash flow generated from new ongoing swim activities as permanent development is likely to continue for decades.

這將增加新的正在進行的游泳活動所產生的現金流，因為永久性發展可能會持續數十年。

In summary, while we're certainly not hoping for a protracted downturn in commodity prices, TPL is built to withstand it.

總而言之，雖然我們當然不希望大宗商品價格長期下滑，但 TPL 有能力抵禦這種下滑。

Whereas many oil and gas upstream operators might experience negative free cash flow under a depressed commodity price environment, TPL's industry leading margins could allow the company to still maintain positive free cash flow.

儘管許多石油和天然氣上游業者在商品價格低迷的環境下可能會出現負自由現金流，但TPL產業領先的利潤率可能使該公司仍能保持正自由現金流。

In addition to our high margin resilient cash flow streams, our balance sheet is equally strong.

除了高利潤率的彈性現金流外，我們的資產負債表也同樣強勁。

We continue to maintain a net cash position with zero debt and $460 million of cash and cash equivalent at March 31.

截至 3 月 31 日，我們繼續維持淨現金狀況，零負債，現金及現金等價物為 4.6 億美元。

We understand that commodity businesses are inherently cyclical and we've intentionally managed and structured our business to perform well during difficult periods.

我們明白大宗商品業務本質上具有週期性，我們有意管理和建構我們的業務，以便在困難時期也能表現良好。

With TPL operating from arguably the strongest financial position it has ever been in we look to take advantage of any opportunities that might materialize.

TPL 的財務狀況可以說是前所未有的強勁，我們希望利用可能出現的任何機會。

That could mean adding high quality and strategic royalties, surface and water assets, substantially ramping up buybacks, or a combination thereof.

這可能意味著增加高品質和策略​​性的特許權使用費、地面和水資產、大幅增加回購，或兩者兼而有之。

Our goal is to maximize stockholder value over the long term, and we retain the flexibility and possess the wherewithal to execute throughout commodity cycles.

我們的目標是長期內實現股東價值最大化，並且我們在整個商品週期中保持靈活性並擁有執行的必要資金。

With that, I'll hand the call over to Chris.

說完這些，我就把電話交給克里斯。

Thanks, Tyler. For the first quarter of 2025, consolidated revenues were $196 million. Consolidated adjusted EBITDA was $169 million with an adjusted EBITDA margin of 86.4%. Free cash flow was $127 million representing an 11% increase year over year. As I mentioned earlier, royalty production this past quarter was approximately 31,100 barrels of oil equivalent per day, representing a 25% increase year over year.

謝謝，泰勒。2025 年第一季度，合併收入為 1.96 億美元。合併調整後 EBITDA 為 1.69 億美元，調整後 EBITDA 利潤率為 86.4%。自由現金流為 1.27 億美元，年增 11%。正如我之前提到的，上個季度的特許權使用費產量約為每天 31,100 桶油當量，年增 25%。

As a quarter end, we had 5.9 net permanent wells, 12.9 net drilled but uncompleted wells, otherwise known as ducts, and 5.4 net completed but not producing wells, otherwise known as cups.

截至本季末，我們擁有 5.9 口淨永久井、12.9 口淨鑽探但未完工的井（也稱為管道井）和 5.4 口淨完工但未生產的井（也稱為杯井）。

The sum of permitted wells, ducts, cups totals 24.3 net wells of near term inventory. This number reflects an all-time high and a 7% higher sequential quarter over quarter and 38% higher on a year over year basis. We estimate that it would take approximately 12 net wells turned to cells per year to maintain TPL's current production.

許可的井、管道、杯總計為 24.3 個近期庫存淨井。這一數字創下歷史新高，比上一季成長 7%，比去年同期成長 38%。我們估計，每年大約需要 12 口淨井轉化為電池才能維持 TPL 目前的產量。

Based on recent historical trends, approximately 93% of permitted wells are drilled within a year. Approximately 90% of ducts are completed within a year, and approximately 96% of cups are turned to cells within one month. Of course, development timing may change depending on commodity price environment, but we expect our operator group to maintain steadier levels of development relative to the overall industry.

根據最近的歷史趨勢，約有 93% 的獲準鑽井在一年內完成。約 90% 的管道在一年內完成，約 96% 的杯子在一個月內變成電池。當然，發展時機可能會根據商品價格環境而改變，但我們預計我們的營運商集團將相對於整體產業保持更穩定的發展水平。

Specifically for ducks and cups, these types of wells have already had substantial capital invested in them, and thus we would expect these wells to still be turned to cells along a relatively typical cadence, even if commodity prices were to weaken. With respect to our desalination and beneficial reuse initiatives, we now expect our Phase 2B desalination unit to come online by the end of the year.

具體來說，對於鴨子和杯子來說，這些類型的井已經投入了大量的資金，因此我們預計，即使商品價格走弱，這些井仍將按照相對典型的節奏轉變為細胞。關於我們的海水淡化和有益再利用計劃，我們目前預計第 2B 階段海水淡化裝置將在今年年底投入使用。

Recall this is a 10,000 barrel per day R&D test facility where we are processing oil and gas produced water and treating it to produce a high spec fresh water that could potentially be used for beneficial reuse endeavours such as grassland restoration, aquifer recharge, data centre and power plant cooling, and other potential environmental and industrial uses.

回想一下，這是一個每天 10,000 桶的研發測試設施，我們正在處理石油和天然氣生產水，並對其進行處理以生產高規格的淡水，這些淡水可能用於有益的再利用工作，例如草地恢復、含水層補給、數據中心和發電廠冷卻，以及其他潛在的環境和工業用途。

The desalination unit is currently being constructed and tested at our technology and manufacture partners facility located in the US.

該海水淡化裝置目前正在我們位於美國的技術和製造合作夥伴工廠建造和測試。

We are encouraged by our progress and we believe we have identified multiple new avenues to substantially lower the operating cost of a potential commercial scale desalination facility.

我們對我們的進展感到鼓舞，我們相信我們已經找到了多種新途徑來大幅降低潛在商業規模海水淡化設施的營運成本。

Once the Phase 2B unit meets our various technical specifications, the unit will then be moved and assembled on TPL's property in Ola, Texas.

一旦第 2B 階段裝置滿足我們的各種技術規格，裝置將被運送到位於德克薩斯州奧拉的 TPL 工廠並進行組裝。

Our CapEx estimates related to the desalination remain unchanged as it relates to our efforts with power and data centres. We continue to advance discussions and have not seen a material downshift in development opportunities. Recently, the Public Utility Commission of Texas approved the first extra high voltage transmission lines in URAT geared toward enhancing electric reliability in the Permian Basin.

我們與海水淡化相關的資本支出估算保持不變，因為它與我們的電力和資料中心工作有關。我們繼續推進討論，並沒有看到發展機會出現實質下降。最近，德州公共事業委員會批准了 URAT 第一條超高壓輸電線路，旨在提高二疊紀盆地的電力可靠性。

Portions of the proposed high voltage transmission lines and substations will likely overlap TPL property which we believe will drive substantial local low growth to support the oil and gas industry while unlocking solar, wind, and gas generation capacity. In addition, we are actively educating developers and pursuing opportunities where we can potentially leverage TPO desalination efforts to provide substantial supplies of high spec fresh water for industrial use.

擬建的高壓輸電線路和變電站的部分可能與 TPL 財產重疊，我們認為這將推動當地大幅低成長，以支持石油和天然氣產業，同時釋放太陽能、風能和天然氣發電能力。此外，我們正在積極教育開發人員並尋求機會利用 TPO 海水淡化技術為工業用途提供大量高規格淡水。

Now approved, we look forward to this grid infrastructure progressing towards development and ultimately, upon completion, we think this enhances the commercial potential of the Permian overall and for the TPL land to all sorts of opportunities.

現在已獲得批准，我們期待該電網基礎設施能夠逐步發展，最終建成後，我們認為這將增強二疊紀盆地的整體商業潛力，並為 TPL 土地帶來各種機會。

In conclusion, TPL continues to set new records across major KPIs and business segments despite oil and gas prices remaining well below the highs of the past few years.

總而言之，儘管石油和天然氣價格仍遠低於過去幾年的高點，但TPL 仍在主要 KPI 和業務領域創下新紀錄。

Our balance sheet remains exceptionally strong, which affords us our ability to execute on a strategy to maximizing shareholder value.

我們的資產負債表依然異常強勁，這使我們能夠執行最大化股東價值的策略。

And with that operator, we will now take questions.

現在，我們將透過這位接線生來回答問題。

(Operator Instructions) Derrick Whitfield, Texas Capital.

（操作員指示）德里克·惠特菲爾德，德克薩斯首府。

Good morning all and congrats on a record quarter.

大家早安，恭喜本季創下紀錄。

Thanks. Good morning.

謝謝。早安.

Tyler, maybe starting with you. Certainly, thanks for your thoughts, macro thoughts on the oil and gas activity and the impacts across your business segments. With the first question, I really wanted to lean in on the water side and specifically the fundamentals, water fundamentals within Delaware Basin. Given the recent flurry of midterm announcements we've seen, it's quite clear there's significant demand for water handling.

泰勒，也許從你開始。當然，感謝您的想法，關於石油和天然氣活動及其對您的業務部門的影響的宏觀想法。對於第一個問題，我真正想關注的是水資源方面，特別是基本面，特拉華盆地內的水資源基本面。從我們最近看到的一系列中期選舉公告來看，很明顯對水處理的需求很大。

Do you have a sense on the underlying growth and produced water volumes across the basin before activity adjustments are considered, and where I'm going with this is kind of setting aside the water oil ratio increase within a well over time. We are broadly seeing a shift to deeper intervals which are more water wet and that's seemingly driving water growth at levels elevated to that of oil growth. So any perspective you could offer that would be greatly appreciated.

在考慮活動調整之前，您是否了解整個盆地的潛在增長和產水量，而我要說的是，隨著時間的推移，油井內的水油比會增加。我們普遍看到油藏向更深的層段轉變，這些層段含水量更高，這似乎正在推動水的增長水平上升到與油的增長水平相同的水平。因此，如果您能提供任何觀點，我們將不勝感激。

Yeah, I mean, we're definitely seeing higher water cuts as operators move to second third and third tier formations.

是的，我的意思是，隨著營運商轉向第二、第三和第三層地層，我們肯定會看到更高的含水量。

Yeah, I think we've seen as high as 10 to 1 on some pads and so we expect to produce water to continue to grow at a pretty rapid pace over the next 10 years, which is, why we think.

是的，我認為我們已經看到一些區塊的比例高達 10 比 1，因此我們預計未來 10 年產水量將繼續以相當快的速度成長，這就是我們的想法。

It's going to take out disposal. It's going to take, beneficial reuse. It's going to take continuing to treat and reuse more and more water to be able to effectively handle the volumes of produce water that we're going to need to, so that development of minerals doesn't bottle that.

它將要被處理掉。這將帶來有益的重複利用。我們需要繼續處理和重複使用越來越多的水，以便能夠有效地處理我們所需的生產用水量，從而避免礦產開發受到限制。

And then kind of along the same lines Tie with those three larger pipeline projects that appear to be moving forward with Water Bridge, Western, and Eris. How does that impact you guys?

然後沿著同樣的思路，與似乎正在推進的三個較大的管道項目——Water Bridge、Western 和 Eris——聯繫起來。這對你們有什麼影響？

Well, we think I mean, it, it's a benefit to the basin, benefit to the development of our minerals, operators need more for space to Head off potential bottlenecks on, having to shut in wells or forego development in certain areas because of water cuts. So, from that standpoint, it really is a benefit and then I would just add to that that on the western Pathfinder pipeline.

嗯，我們認為我的意思是，這對盆地有利，有利於我們礦產的開發，運營商需要更多的空間來避免潛在的瓶頸，因為缺水而不得不關閉油井或放棄某些地區的開發。因此，從這個角度來看，這確實是一個好處，然後我還要補充一點，西部探路者管道也是如此。

We will be paid because of our relationship with Western and where our assets sit, we'll be paid for those barrels. They're going to move through that first phase of that project and then the second phase of that project is a pipeline that actually goes to out of basin surface that we've acquired.

由於我們與西方的關係，以及我們的資產所在地，我們將獲得這些石油的報酬。他們將完成專案的第一階段，然後專案的第二階段是鋪設一條通往我們已經獲得的盆地表面的管道。

So we'll receive a payment on existing barrels that are moved to the east and then payment on new barrels as well, so that project is a is a pretty fantastic benefit for TPL and Robert, I don't know if you have anything to add. To any of those questions.

因此，我們將收到運往東部的現有桶的付款，然後還會收到新桶的付款，所以這個項目對 TPL 和羅伯特來說是一個非常好的福利，我不知道您是否還有什麼要補充的。對於其中任何一個問題。

Yeah, I'll add on the first one really quick.

是的，我會很快添加第一個。

From a just strictly volume standpoint, varying numbers on how it's calculated on where we at it today on total Delaware, produced water production, probably somewhere in the $12million to $15 million, I think if you look at most forecaster, as you see the proliferation of the secondary benches start to, development start to occur.

從嚴格的數量角度來看，我們今天在特拉華州的總產水量上計算出的數字各不相同，大概在 1200 萬美元到 1500 萬美元之間，我想如果你看看大多數預測，你會看到次級台階的擴散開始發生，開發開始發生。

You're probably, getting into the $18million to $20 million barrels a day, 2028 through 2030. So, as I mentioned, secondary out of base disposal beneficial reuse, it has to occur, the just, our stance on out of base and I'll say we truly led the charge on it from the beginning.

從 2028 年到 2030 年，你的日產量可能達到 1,800 萬到 2,000 萬美元。因此，正如我所提到的，二次基地外處置有益的再利用必鬚髮生，這就是我們對基地外處置的立場，我想說我們從一開始就真正引領了這方面工作。

And saw this trend coming, many years ago, as we knew it was going to take a little bit of time for beneficial reuse to get there from the technology and the regulatory standpoint, led the charge on that and continue to help facilitate the development and the redistribution of volumes because as Tyler has mentioned, a lot of our legacy contracts, we still take part and we'll be compensated on those volumes moving even if it, if perhaps in the early phases, certain projects are not moving directly to our acreage, and there's still compensation, as we help redistribute those volumes.

多年前我們就預見到了這一趨勢，因為我們知道從技術和監管角度來看，實現有益的再利用需要一些時間，因此我們在這方面發揮了帶頭作用，並繼續幫助促進開發和資源量的重新分配，因為正如泰勒提到的那樣，我們仍然參與許多遺留合同，並且我們會因為這些資源量的轉移而得到補償，即使在早期階段，某些資源

That's great color. And then lastly, could you guys offer some perspective on the M&A landscape in the basin at present? I realize volatility tends to create challenges with deal flow. Having said that, we are seeing some transactions clear on the EMP side. So, any perspective you guys could offer on kind of framing up the competitive landscape for both minerals and surface would be greatly appreciated.

顏色真棒。最後，你們能否就目前盆地的併購狀況提供一些看法？我意識到波動性往往會為交易流程帶來挑戰。話雖如此，我們看到 EMP 方面的一些交易清晰。因此，如果你們能就礦物和地表的競爭格局提出任何看法，我將不勝感激。

Yeah, I mean, I think on the M&A front there's still a lot of opportunity. We haven't seen a big pullback from sellers, if commodity prices continue to decrease, the bid as spread may widen, but right now it still seems like a pretty friendly environment, a lot of opportunity in the pipeline.

是的，我的意思是，我認為在併購方面仍然有很多機會。我們還沒有看到賣家大幅撤退，如果商品價格繼續下跌，買賣價差可能會擴大，但目前看來環境仍然相當友好，有很多機會。

All right, very helpful. I'll turn it back to the operator, thanks.

好的，非常有幫助。我會將其轉回給接線員，謝謝。

Thank you. This does conclude today's teleconference. We thank you for your participation. You may disconnect your laser this time and have a great day.

謝謝。今天的電話會議到此結束。我們感謝您的參與。這次您可以斷開雷射並度過美好的一天。