Company: BSM
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001628280-25-022559
Chunk: 101

Company: Black Stone Minerals, L.P.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 2
Chunk 101
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15,172 14,090 1,082 7.7 %Other expense:Interest expense1,397 629 768 122.1 %

1    As a mineral and royalty interest owner, we are often provided insufficient and inconsistent data on NGL volumes by our operators. As a result, we are unable to reliably determine the total volumes of NGLs associated with the production of natural gas on our acreage. Accordingly, no NGL volumes are included in our reported production; however, revenue attributable to NGLs is included in our natural gas revenue and our calculation of realized prices for natural gas.

2    Not meaningful.

Revenue

Total revenue for the quarter ended March 31, 2025 decreased compared to the quarter ended March 31, 2024. The decrease is primarily due to an increase in unrealized losses from our commodity derivative instruments and a decrease in oil, and condensate sales, compared to the corresponding prior period. The decreased in revenue was partially offset by an increase in natural gas and NGL sales.

24

Oil and condensate sales. Oil and condensate sales decreased for the quarter ended March 31, 2025 as compared to the corresponding period in 2024 primarily due to lower production volumes and realized commodity prices. The decrease in oil and condensate production was driven by reduced mineral and royalty production in the Permian Basin. Our mineral and royalty interest oil and condensate volumes accounted for 96% and 94% of total oil and condensate volumes for quarters ended March 31, 2025 and 2024, respectively.

Natural gas and natural gas liquids sales. Natural gas and NGL sales increased for the quarter ended March 31, 2025 as compared to the corresponding prior period. The increase was due to higher realized commodity prices between the comparative periods partially offset by a reduction in production volumes. The decrease in natural gas and NGL production was driven by lower mineral and royalty production in the Haynesville/Bossier, Fayetteville, and Austin Chalk play trends. Mineral and royalty interest production accounted for 97% and 95% of our natural gas volumes for the quarters ended March 31, 2025 and 2024, respectively.

Gain (loss) on commodity derivative instruments. Cash settlements we receive represent realized gains, while cash settlements we pay represent realized losses related to our commodity derivative instruments. In addition to cash settlements, we also recognize fair value changes on our commodity derivative instruments in each reporting