TPL · Earnings call · 2026Q2T · Full report

Delaware Basin Gas Recovery

Texas Pacific Land Corp · 2026-08-05 · Importance 26 · Surprise 24

Weak in-basin natural gas prices caused operators to shift some development away from the Delaware Basin, reducing second-quarter water sales volumes sequentially. Substantial new gas pipeline capacity is expected to enter service over the next few quarters. Management expects improved local in-basin gas price differentials to support a mix shift back toward the Delaware Basin. Pipeline and wellbore easement activity also strengthened during the quarter.

Key facts

• Substantial new gas pipeline capacity enters service over the next few quarters, and TPL would expect some mix shift towards the Delaware as local in-basin gas price differentials improve.