Record Performance Across Major Revenue Streams
TPL set quarterly revenue records for produced water royalties and easements and other surface-related income. Oil and gas royalty production reached a company record of 33,200 barrels of oil equivalent per day.
Strong Financial Metrics
Adjusted EBITDA margin was at an impressive 89%, and free cash flow increased by 12% year-over-year. SLEM revenue of $36 million and produced water royalty revenues of $31 million were company records.
Permian Basin's Long-term Potential
Despite recent slowdowns, TPL remains optimistic about the Permian Basin's long-term potential, citing undeveloped resources upwards of 30 billion barrels of oil.
Desalination Facility Progress
TPL is on track to bring online the largest desalination facility in the Permian by year-end, which will help manage produced water volumes.