Viper Energy, Inc. (NASDAQ: VNOM)

Viper Energy, Inc. is a publicly traded Delaware corporation focused on owning and acquiring mineral and royalty interests in oil and natural gas properties primarily in the Permian Basin. As of September 30, 2025, the company held approximately 95,846 net royalty acres spread across several basins, with the largest concentration in the Permian Basin. The company also announced a pending divestiture of its non Permian assets, which include approximately 9,400 net royalty acres in the Denver Julesburg, Eagle Ford and Williston basins with current production of approximately 4,750 BO/d.

The company generates revenue chiefly from royalty income that accrues from the production of oil, natural gas, and natural gas liquids on its mineral and royalty interests. It also earns lease bonus income when third party operators acquire drilling rights on its acreage. Royalty volumes are sold to third party marketers under prevailing market prices, and the company may use commodity derivative contracts to manage price exposure.

The company operates through the following segments. It reports its financial results in a single reportable segment that encompasses all of its mineral and royalty interest activities.

• Mineral and Royalty Interests: This segment encompasses the ownership of mineral and royalty interests in oil and natural gas properties, primarily in the Permian Basin, and it generates revenue through royalty payments based on volume and prices, as well as lease bonus payments from operators seeking to develop the acreage. The segment includes interests in the Permian Basin as well as smaller positions in the Denver Julesburg, Eagle Ford and Wiliston basins.

Viper Energy, Inc. holds a substantial position in the mineral royalty sector, reporting approximately 95,846 net royalty acres as of September 30, 2025, of which about 39% are operated by Diamondback Energy, providing the company with exposure to major active drilling programs. The company’s competitive advantages stem from its concentrated focus on high quality mineral royalty assets, its large acreage base that offers scale and diversification across multiple basins, its investment grade credit rating that lowers borrowing costs, and its strong liquidity position supported by cash flow from operations and available credit facilities. As of September 30, 2025, Viper reported approximately $1.4 billion of liquidity consisting of $53 million in cash and cash equivalents and $1.3 billion of available borrowings under its revolving credit facility. In May 2025, Fitch Investor Services upgraded the company’s credit rating to investment grade, joining Standard and Poor’s Global Ratings Services and Moody’s Investor Services which also rate the debt.

The company serves a broad base of customers that purchase its production, including oil and natural gas marketers, midstream companies, and other energy firms that take delivery of its hydrocarbons. Lease bonus income is received from operators such as Diamondback Energy that seek to develop drilling locations on Viper’s acreage. These customers range from large integrated energy companies to independent exploration and production firms that rely on Viper’s mineral and royalty interests for access to hydrocarbon production.