IN A TOUGH MARKET,TRADE FOR CERTAINTY IN CASH

摘要

The nature of the Permian Basin is changing from historically profitable wells,predictable revenue and the low-decline production that anchored the mindset in legacy mineral owners,who stated"Daddy always said never sell your Minerals,"and J.Paul Getty's infamous"The meek shall inherit the earth,but not its mineral rights."Today,the Permian experience is much different.It includes many new risks,which in turn result in wildly variable results for our industry and its mineral owners.Geopolitical risks are no longer concentrated in the Middle East.The war on fossil fuel is organized here at home and achieving material wins that are reducing the current and future value of many E&P companies and associated mineral estates.Funding remains tough for E&P and private equity as the trend to be politically correct and divest in fossil fuels continues.