Company: BSM
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001621434-25-000108
Chunk: 26

Company: Black Stone Minerals, L.P.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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 open derivative contracts for natural gas as of June 30, 2025: Weighted Average Price (Per MMBtu)Range (Per MMBtu)Period and Type of ContractVolume (MMBtu)LowHighNatural Gas Swap Contracts:    2025    Third Quarter11,040,000 $3.45 $3.34 $3.65 Fourth Quarter11,040,000 3.45 3.34 3.65 2026First Quarter11,700,000 $3.67 $3.50 $4.05 Second Quarter11,830,000 3.67 3.50 4.05 Third Quarter11,960,000 3.67 3.50 4.05 Fourth Quarter11,960,000 3.67 3.50 4.05 

9

BLACK STONE MINERALS, L.P. AND SUBSIDIARIESNOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 5 - FAIR VALUE MEASUREMENTS

Fair value is defined as the amount at which an asset (or liability) could be bought (or incurred) or sold (or settled) in an orderly transaction between market participants at the measurement date. Further, ASC 820, Fair Value Measurement, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and includes certain disclosure requirements. Fair value estimates are based on either (i) actual market data or (ii) assumptions that other market participants would use in pricing an asset or liability, including estimates of risk.ASC 820 establishes a three-level valuation hierarchy for disclosure of fair value measurements. The valuation hierarchy categorizes assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement. The three levels are defined as follows:Level 1—Unadjusted quoted prices for identical assets or liabilities in active markets.Level 2—Quoted prices for similar assets or liabilities in non-active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.Level 3—Inputs that are unobservable and significant to the fair value measurement (including the Partnership’s own assumptions in determining fair value).A financial instrument’s categorization within the valuation hierarchy is based upon