Q1 2022 Brigham Minerals Inc Earnings Call
Yes.
Okay.
Yes.
Okay.
Thanks.
Yes.
[music].
Yes.
Yeah.
No.
Okay.
Okay.
Okay.
[music].
Ladies and gentlemen, thank you for standing by.
<unk> will weaken momentarily again, thank you for standing by the conference will begin momentarily.
[music].
Yes.
Okay.
Okay.
[music].
Please go ahead.
[music].
Good morning, and thank you for attending today's Brigham Minerals' first quarter 2022 earnings conference call.
My name is Sam and I'll be the moderator for todays call all lines will be muted during the presentation portion of the call with an opportunity for questions and answers.
If you'd like to ask a question. Please press star followed by one on your telephone keypad.
This time I'd like to turn the call over to our host.
Jacobs Investor.
Investor Relations.
These proceed.
Thank you operator, and good morning, everyone welcome to the Brigham Minerals first quarter 2022 earnings conference call. Joining us today are Bud Brigham founder and executive Chairman, Rob Roosa, founder and Chief Executive Officer, Mike <unk>, Chief Financial Officer before we begin I would like to remind you that our remarks, including the answers to your questions contain forward.
Looking statements, we refer you to our earnings release for detailed discussion of these forward looking statements and the associated risks.
In addition, during this call we make references to certain non-GAAP financial measures reconciliations to applicable GAAP measures can also be found in our earnings release we.
We have a new investor presentation, titled first quarter 2020, Investor presentation available for download on our website www Brigham minerals Dot com recommend downloading the presentation in the event we refer to it during the conference call Lastly, as a reminder, today's call is being webcast is accessible through the audio link on our IR website.
I would now like to turn the call over to Bud Brigham founder and executive Chairman.
Thank you Jacob and thanks to everyone for joining us on our first quarter 2022 earnings conference call.
On both our year end 2020, and 2021 conference calls I indicated that companies that are optimally positions are going to generate substantial returns for shareholders.
Energy Super cycle.
More specifically.
Did that Brigham minerals was uniquely positioned to <unk> this year.
Given both our activity well inventory and high quality undeveloped inventory.
Our quarterly results reflect that outperformance.
Our team generated record production revenues, EBITDA and dividends and drilling activity.
Exceptional performance was driven by our incredibly strong DUC conversions, which were almost entirely backfield by a record drilling activity during the quarter.
I believe our high quality activity well inventory will continue to generate outperformance as we look to the remainder of 2022 and into 2023.
With respect to the current macro environment. Despite the recent COVID-19 concerns in China, I'd say no fundamental departure from my view that we are in the midst of the early stages of an extended energy Super cycle.
U S shale is still moderating production growth.
And our supply chain issues, including a constrained supply of materials, including tubular some sand and of course labor is in short supply.
We also continue to seek the U S DUC inventory decline, thereby mitigating our industry's ability to quickly ramp up supply.
All of these factors and others point to a longer runway of elevated oil and gas prices and strong economic returns.
Therefore companies such as ours that are optimally positioned with premium assets will continue to generate substantial returns for our shareholders.
With that I will turn the call over to Rob.
Thanks, but our team generated exceptional operating and financial results during the first quarter 2022, including record production revenues and EBITDA dividend distributions and drilling activity. Furthermore, we closed on approximately $44 million in acquisitions during the quarter deploying almost the entirety of our capital to the Permian Basin.
With an emphasis on acquiring in the Midland Basin under pioneer natural resources in endeavor again and over outstanding effort by our team.
Our production volumes are an all time company record $12 31 barrels of oil equivalent per day growing 31% from the fourth quarter of 2021, our production growth was driven by a record $2 seven net wells converted from DUC to PDP during the quarter.
This result into context, we converted $2 nine net locations during the entirety of 2021 further three of our top four conversions during the quarter occurred on assets that require pre 2020, pointing to the incredible organic horsepower embedded within our diversified mineral portfolio. As a reminder, we have an incremental 13000 plus gross low.
Patients and over 108 net locations in our undeveloped inventory at the end of the first quarter with approximately 60% of those net locations in the Permian Basin Importantly, we were able to almost entirely backfill our DUC conversions via the record drilling activity on our assets during the first quarter.
During the quarter approximately 238 gross wells and cheap one net wells were spud on our minerals. The key one net well spud on our assets and also an all time company record and a significantly higher than at any point during 2019, when 700 horizontal rigs running across the lower 48.
Similar to our conversions, we saw meaningful contributions to our drilling activity from our organic asset portfolio. During the quarter approximately two thirds of our drilling activity was attributable to assets that were acquired pre 2020. Furthermore, we immediately saw drawing activity by PDC and the DJ basin under our large acquisition that we closed in the fourth quarter or.
We're all a really sound mix of organic development with contributions from recent acquisitions.
On the acquisition front during the first quarter, we deployed approximately $44 million in capital, including closing on our previously announced Midland Basin transaction. Despite a tough ground game acquisition market, which is attributable to strong commodity pricing our extensive sourcing and streamlined evaluation process has enabled us to continue to source attractive opportunities, while maintaining a disc.
Underwriting process, which we considered to be of Paramount importance, regardless of deal size we.
We are seeing a significant increase in the number of large mineral opportunities come to market as we've said and approved with our DJ and Midland transaction any large deal needs to check multiple boxes in terms of being accretive to near term cash flow as well as the net asset value. We will continue to endeavor to prioritize a healthy balance sheet and these transactions as a reminder, we funded both our DJ and Midland.
Based on transactions with approximately 50% equity as it reduces the burden on our balance sheet provides significant flexibility with respect to future acquisitions. Looking ahead, our net activity will inventory, which represents the combination of our drilled but uncompleted locations or docs and our permit was 11 seven net locations at the end of the first quarter.
Net DUC inventory at the end of the first quarter stayed roughly flat versus the fourth quarter. Despite our extremely strong April mentioned Doc conversions, we anticipate that PDC Chevron pioneer oxy and Diamondback will convert the majority of our DUC inventory.
Given both our strong production growth and substantial activity well inventory at the end of the first quarter 2022, we now anticipate our production volumes, averaging approximately 12000 barrels of oil equivalent per day for the remaining nine months of 2022 realm.
Relative to Q4 9170 barrels of oil equivalent per day. This would represent over a 30% increase in our production volumes for the full year 2020. As a reminder, we plan to formally update guidance in August associated with our Q2 2022 earnings conference call for the next 12 months. Finally, we are extremely.
Pleased to announce a 14% increase in our base dividend from <unk> 14 to 16.
42% increase in our variable dividend for 31% to 44.
Of note, we were able to increase our variable dividend, 42%, while reducing our payout ratio from 80% to 75% overall, we were able to increase our dividend by 33% to 60.
While again, reducing our payout ratio to 75% in summary, just a terrific job by our team I'll now turn the call over to Blake. So he can summarize for you our financial performance Blake.
Thank you Rob our daily production for the quarter was 12 31 barrels of oil equivalent per day up 31% sequentially and our oil cut remained at 51% with a significant growth out of the Permian basin our.
Our portfolio generated record royalty revenue of $70 million for the quarter up 49% sequentially due to a 31% increase in production volumes, 16% improvement in realized pricing.
Realized pricing for the quarter came in at $64.64 per barrel of oil equivalent.
Individually realized pricing per barrel of oil was $91 90.
Realized natural gas was $5 52 per Mcf and realized Ngls were $40 90 per barrel of NGL.
We also collected $1 $4 million in lease upon this during the first quarter.
Net income for the quarter was $39 1 million record adjusted EBITDA for the quarter was $60 7 million and the adjusted EBITDA, excluding lease bonus was $59 2 million, which was up roughly 53% sequentially.
On costs gathering transportation, and marketing expenses were $2 million or $1 85 per Boe.
Expect to see the trend of slightly higher GPM to continue given the current environment and our recent operator commentary on the increase in service costs.
And after Lauren taxes were $4 3 million or 6% of mineral and royalty revenue and in line with historical levels.
Cash G&A expense was $4 4 million.
Subsequent to the release of our year end results in February we announced updates to our executive compensation program, which now includes short term incentives. We believe this change will increase managements at risk compensation and further align pay with performance the.
The change resulted in roughly $2 million of stock based compensation moving to cash G&A. During the full year 2022, so in essence, our $13 $5 million of cash G&A midpoint that we issued in February becomes $15 5 million and $9 6 million share based compensation expense midpoint becomes.
$7 $6 million with no change to the total cash and stock based compensation for the year and facts on a unit basis total G&A per BOE decreased 18% this quarter as compared to the fourth quarter, highlighting the scalability of our corporate platform.
Moving to our balance sheet, our prudent leverage and liquidity profile provides us with ample dry powder to continue to pursue the highly accretive acquisition opportunities Rob spoke about earlier.
We exited the quarter with $6 million of cash and $93 million drawn on our revolving credit facility for net debt of $87 million, which results in leverage of four times net debt to last quarter annualized adjusted EBITDA.
Further as a result of our spring Redetermination, which is expected to be finalized at the end of May our administrative agent has given us a preliminary indication of an increase in the borrowing base to $300 million, which will add another $70 million of liquidity, bringing the new total to $213 million.
Lastly, as Rob already stated we declared a dividend of <unk> 60 per share of class a common stock. This dividend is payable on may 27 to shareholders of record as of May 20 <unk>.
This represents a 75% payout of our discretionary cash flow excluding lease bonus, which is an incremental 5% reduction from the last several quarters.
Going forward, we expect to target a payout at this percentage level with the potential to move up or down 5% keeping us in a range of 70% to 80%.
The retained the cash provides incremental liquidity to fund reinvestment in our business and continue to grow our reserves per share.
I will now turn the call back over to Rob to wrap things up again.
Again, we appreciate you joining our first quarter 2022 conference call is Bob and I have indicated Brigham minerals is uniquely positioned to excel during the remainder of 2022 and enter 2023, operator I'll now turn the call back over to you to begin the question and answer portion of our conference call.
Thank you Rob.
We'll now begin the question and answer session, if you'd like to ask a question. Please press star one on your telephone keypad and if for any reason you'd like to remove that question. Please press star two.
As a reminder, if you are using a speakerphone. Please remember to pick up your handset before asking your question again to ask a question. It is star one.
We will take our first question from the line of Chris Baker of Credit Suisse. Chris Your line is open.
Hey, good morning, guys. Congrats on a very solid update here.
I just wanted to ask two bigger picture questions since I think the quarter.
Peaks for itself.
The first one was could you maybe just share your latest thoughts around how should how we should think about long term organic growth for the portfolio like I said, obviously, a stellar <unk> and it looks like high teens organic growth for the year, but just curious directionally.
How we should think about bringing on versus say Permian oil or lower 48 volumes.
Yes, Chris Great point to bring up you know I think the organic development on our portfolio. This quarter has been tremendous really wanted to highlight that.
In both the earnings press release as well as the conference call earlier comments that we made when you think about our portfolio performing as it did the record drilling result, really wanted to reiterate to everyone that when you think about the $2. One net wells that were spud during the quarter roughly two thirds of those were organically.
Source from acquisitions that we had affected prior to 2020. So when you look at some of our bigger drilling units that encapsulates the Patriot Brickyard unit at <unk>.
Alan Fox units Oxy Banzai unit, so really nice contributions from pre 2020.
Assets and so I would think and hope just given what we're seeing in the portfolio that we can replicate kind of that two thirds, one thirds organic to potentially more near term acquisition mix in terms of drilling contributions. Similarly on the conversion side and when we talked about the record $2 seven net <unk>.
Versions there.
Two the fact that three of our four largest.
Convergence during the quarter were similarly sourced.
Source from pre 2020 acquisitions and so when you look at those that was the Chevron Rev. VX conversion in the Delaware Basin that we acquired in 2016 Exxonmobil St. John's Delaware Basin unit that we acquired in 2018 and then the Chevron had one unit also in the Delaware Basin that we acquired in 2014, and so really just to.
We reiterate there's 13000 gross organic locations that we have in inventory roughly a 108 net locations 60% of those are in the Permian basin. So I think we're going to see solid growth.
Across all of our basins.
Can you break down the production growth of our asset we had 20% production growth in the Permian, 100% production growth in the DJ Basin, largely as a result of the acquisition that we completed in the fourth quarter, but also we had meaningful contributions from the end of Darko Basin and Williston Basin, largely result of organic portfolio. So when you look at the Anadarko that was up 10%.
The Williston basin was up 12%.
Look at those basins really not acquiring there the messaging there was first quarter acquisitions, almost 99% of those.
Were related to in the Permian Basin. So when you think about contributions from these other basins, it's powerful and so I'm hopeful we'll be able to achieve similar type levels of organic integration in terms of growth into our portfolio going forward.
Great, Thanks, and as a follow up.
Just wanted to touch on the inventory depth.
Slide five talks about 13 to 18 years of high quality inventory based on <unk> spuds.
I'm just curious if there is a.
Just sort of ballpark growth CAGR that that wood.
Lineup with.
Is that sort of a high single digit type number.
Any additional context, there would be great. Thanks.
Yes, I think as we've said in the past, we expect our portfolio to given the asset quality to outperform a basket of the operators.
So as these operators continue to put activity back to work in.
They're in the kind of low to no growth as you've seen with this quarter, we should outperform that given the quality of the asset and the quality of the operators, we have operating across our position, yes, Chris one thing to point out on page 16 of the presentation as kind of an in depth breakdown of that organic inventory that we have.
To work with going forward. So on the left part of that slides the horizontal the gross wells on the right. The net wells and again just to point out.
48% of that inventories in the Delaware basin, and 11% in the Midland Basin, Youre approaching 60% of our net net locations during the Permian So really powerful in terms of what the organic portfolio can drive going forward.
Okay.
Okay, great. So I think just so unclear the 13 to 18 years of inventory is certainly on a growth trajectory in the single digits does that fair.
Yes.
Flat scenario.
Now I would not expect that right.
When you think about another data point to think about the drilling activity. Chris is the fact that from the end of the year to the end of the first quarter, we actually grew our debt balance, whereas most throughout the United States. The DUC balance has continued to decrease so when you look at our docks, we grew our ducks roughly from 850 locations 930.
<unk> location, so tremendous growth there, whereas in the United States overall docs decrease from by about 300 locations. So we're seeing growth in our debt balance relative to an overall drawdown so that points to you operators opportunistically pointing towards development of our organic inventory because it has such high IRR returns.
Alright, great and congrats.
Congrats again on the corner I appreciate the answers.
I appreciate you joining thank you.
Thank you Chris next question is from <unk> capital one Kyle.
Hi, good morning, everyone.
Rob morning, following up on the.
Last comments, you were making you were able to capitalize on strong well conversions in the first quarter. We continue to hear producers' stress capital discipline. So can you share any additional thoughts about where you are seeing higher activity levels and how you think about conversions for the balance of the year.
We are seeing very high conversion levels in the Delaware and Midland basins also seeing nice conversions in the Midland basin or sorry, the Williston basin and the DJ basins.
To point out to reiterate the conversions they were across all of our basins. When you think about some of these they were the in the Midland Basin, we converted the pioneer quite a Rogers unit.
We had those list of organic conversions that I talked about and then also I think importantly in the DJ Basin, we had a conversion by Chevron and the independents unit that we just acquired in December . So we are seeing conversions across the board in all of our units and so.
When I think about it I think we're going to have strong conversions relative to just the generic operators because our thesis all along Kyle has been to target the best rock under the best operators.
If we've done our job, which obviously I think.
If that has played out and you're proving that this quarter, we've targeted those operators best there.
Best rock and so theyre going to deploy the rigs, which you saw through the increase in our record drilling activity and then there were subsequently going to deploy the frac crews to our position and so we saw that with the conversions. This year. So on both facets youre seeing us outpace I think the general basket of lower 48 resource.
And that's really borne out by the 30 plus percent growth in our production volumes.
In first quarter relative to the fourth quarter. So as we think about it we're still seeing nice activity levels as we looked at.
Occurrences in April so, hence us then.
Looking forward and given the strong net activity well inventory that we have in inventory roughly the 11 seven net locations at the end of March.
Yes.
Providing guidance for the remaining nine months of the year that we look at we're looking at potentially nine sorry, 12000 barrels of oil equivalent per day of production during the remainder of the year. So really a tremendous result, because we are seeing such strong conversions in drilling activity on the asset.
Great I appreciate that additional color and maybe looking at the M&A side, you've mentioned the <unk>.
M&A market is a little bit more difficult right now and in the past you've talked about the differences based on transaction size. So.
Any thoughts.
More recently about kind of what youre seeing in the current M&A landscape.
Yes, we've talked in the past about bifurcate the market in terms of our ground game deal. So those are the 50 to 100 acre deals that we've historically done roughly probably 2000 transactions thus far over the life of the company and then the larger deals such as the DJ Basin deal that closed in the fourth quarter. The Midland Basin deal that we closed this quarter and so when I think about it.
The biggest headwind that we face right now is just crude oil pricing and the fact that.
Sellers in our reservation price, obviously at 100 approaching $110 per barrel.
It's made sellers less likely to sell as I've indicated in the past our job is to continue to stay in touch with those sellers on the ground game constantly reaching out more so than ever letters calls et cetera on the bigger deals.
Being involved in different processes, reaching out to folks and so again, we streamline the teams such that we can very efficiently prosecute both the smaller ground game deals and the larger deals because we know that the hit rate or our acquisition rate has gone down over the last couple of quarters as it relates to crude oil pricing going so we've got to be that much more efficient in terms of.
Being able to analyze and evaluate deals.
What I mentioned in the conference call transcript.
We tried to do that but of most importance is just being disciplined in the process and making sure that we're doing deals are accretive near term cash flow wise as well as on a NAV basis, because obviously our job is to create value for shareholders. So that's paramount in number one goal is to once these deals come in that would that we bid them appropriate such that we're generating.
And for shareholders.
Okay, Great I appreciate the time this morning, and great quarter guys.
Yes. Thank you I appreciate you joining us.
Thank you Kyle.
Our next question is from Jeanine Wai of Barclays. Your line is open.
Hi, Good morning, this is Ken Cheng for getting Y and congrats on quarter.
Thank you.
So.
For the first question on the free cash flow priority, you have lower payout ratio from 80%, 75% and you have $93 million on the revolver with a low leverage of two five times.
Going forward, how do you prioritize between mineral acquisition.
No I appreciate the question so we pretty clearly message through throughout time that at the end of the day, we'd be in the 75% to 8% payout ratio. We've now given just the stellar production growth as well as the pricing tailwind have reduced that to 75% now.
Now, we've indicated that plus or minus 5% around that 75% level. So basically we see distributions on an operating cash flow basis between 70%, 80% going forward and so I think what that does it provides quite a bit of flexibility going forward as we think about doing acquisitions going forward because one important point to make is is that that <unk>.
$93 million debt balances the same as it was at the end of the year. So we were able to execute upon $44 million of acquisitions in the first quarter with basically no change to our debt balance because we internally funded those acquisitions by retained cash flow. So I think a lot of what we're trying to build around that range of 70% to 80%.
Is providing optionality to do highly accretive transactions and so Blake.
Yes, I'd say its certainly with oil prices. These levels were 85 cents on the dollar goes straight to the bottom line, we're going to have plenty of flexibility to manage all of our objectives.
And we will continue to prioritize the dividend and balance sheet management as well as the acquisitions I think you can see evidence of this with our DJ and Midland deals, where we use stock as some of the consideration. So we've always said that that will keep net debt to EBITDA below one five times, but I think realistically and this <unk>.
Environments.
We will plan to keep it below one times and make sure we've got that added flexibility at all times.
Okay. Thanks for the color and then as a follow up on.
The 19 million and working capital draw during the quarter.
Obviously, many of the E&P companies.
I'll have some level of debt can you. Please share your thoughts on whether you see further working capital headwind in the form of increasing accounts receivable for the remainder of the year.
Do you view this or transitory.
Thank you.
Yes, I think this is just a function of increased production and prices, it's pretty common for us to see this given the slight delay in payment that we experience as a mineral company.
Sorry, we usually get data from other sources so.
Before we see a check from an operator, so if prices flatten out we expect to this.
The growth in the AR balance to slow and it'll it'll be more steady state. So it is just when you see differences.
The quarter end production and prices that that this occurs but.
It's nothing that we think is a headwind but.
Something we expected.
Okay. Thank you.
Thank you for joining us.
Next question is from Nate Pendleton, the Stifel. Nate Your line is open.
Good morning, and congrats on the strong quarter.
Yes, Thanks I appreciate it.
Well My first question I wanted to go back to M&A given your diversification in your prior commentary about the strong results from different basin can you speak to the most attractive basins you are seeing for deals going forward.
Nate we're seeing attractive deals across the Permian DJ.
DJ basins as well as the Williston basin. So we're actively working on deals and all of those basins. The key as I've indicated in the past and just to be disciplined in the process, So making sure we.
Sadly underwrite these deals from the number of horizons number of wells per horizon, operator timeline for development. So we're actively working on deals in all these basins and you know I think very opportunistically in the fourth quarter, we were able to add really that really nice $93 million DJ that acquisition. That's immediately paying results in terms of.
Active conversions and developments and so I think that theres deals.
Continue to be deals in the DJ basin that we will continue to evaluate similarly there'll be deals in the Williston basin that are highly attractive under active operators that will also continue to evaluate.
But I would say probably the preponderance of our time of our evaluation team's time will be related to Permian basin deals. There just seems to be a much larger throughput or deal throughput in those basins, both in Delaware and Midland basins, and so we're prosecuting deals there, but I think when I look back at the DJ deal, we were able to achieve some highly highly.
We have highly economic returns there when I think about the near term cash flow accretion as well as the NAV accretion that we've generated via that deal. So we'll be opportunistic looking at all these basins because I think that there is ample opportunity to generate some significant shareholder value in all of those.
Great. Thanks, and for my follow up in Q1, it looked like your lease bonus bounce that quite nicely can you provide any insight into the drivers there and how we see the outlook for lease bonus is going forward.
Interestingly Nate that was the composition of both Delaware as well as DJ Basin. These things. So it's just part of what we've talked about in the past the perpetual option of minerals you hold these mineral rights into perpetuity, so theres events, even given the rig count approaching.
620 rigs currently with Tpa is currently forecasting it to go to 700 operators can't always hold all the acreage and so I think youll continue to potentially see us generate lease bonus going forward. There's there's just opportunities there that are always going to.
Present themselves and Thats something that we actively monitor and engage with operators and so im hopeful youll continue to see some upside from us throughout the remainder of 'twenty two in terms of lease bonus.
Really one of the pleasant surprises that presents itself with respect to minerals.
Absolutely thanks for taking my questions.
Thanks for joining.
Thank you Nick.
But the final reminder to ask a question. It is star one on your telephone keypad.
Next question is from grant Atkins of Raymond James Your line.
Hi, guys congrats on the.
Strong quarter.
So we're going to start is kind of from a production cadence standpoint. So obviously you guided to 12 <unk> for the remainder of the year, but is there any I guess additional color that we could see on that.
Have you all I guess ramping up and closing the year around that 12 number but are you expecting more flat production or lumpier.
And just any additional color you can give me on that I'd appreciate it.
Yes, so just to level set so everybody kind of understands how we forecast activity going forward, obviously in the near term I would say the next six months to 12 months. The most impactful piece to production ramp is going to be our docs. So thats. The seven one net ducks that we have in inventory.
<unk> kind of when you think about the next 12 to 24 months, that's going to be the permits that are in inventory. So that's the $4 six net locations that we have in inventory and so it's really.
Largely the next nine or so months as it can be driven by our DUC inventory so it could be that.
Just based on the data that we're seeing I believe is a very early and we don't have perfect information, but it could be more heavily weighted towards the first half of these nine months in terms of production than the latter part is just something that we'll have to monitor and as data comes in we'll have better insight but.
As being in essence, a non operated position don't always have perfect Gan, but it could be that it's more front end loaded in terms of kind of Q2. The first half of Q3, then the latter part in terms of the growth.
Pardon me thank you.
And the second question is a follow up.
Is going to be related to kind of I mean, you just got the payout.
Payout ratio.
But I'm kind of thinking it more from the dividend perspective.
Okay.
Necessarily targeting say, maintaining that 60 per share or higher.
Dividends as long as you all can do so remaining in that 70% to 80% range. I guess is that payout ratio kind of your <unk> is that how we should think about it.
I think that payout ratio really is driven by what our opportunity set is in front of us. So we've got plenty of acquisition opportunities and again as we were saying.
Use that flexibility with the retained cash in these price environments to help fund some of those opportunities that we see but.
We did step up the base dividend from 14 to 16.
And then we've got the variable piece on top so we're just.
<unk> paying out.
70% to 80% of our discretionary cash flow so.
Obviously, we'd like to see the dividend continue to continue to grow.
Quarter after quarter, but.
We're kind of looking at all the different variables that we have to spend capital on between.
Our reinvestments and.
Return of capital to shareholders.
Awesome, Thanks, guys congrats on the quarter.
Yes, thanks for joining.
Okay.
Great. Thank you grant.
At this time I'd like to hand, the call back over to Rob for any closing remarks.
No again, we appreciate everybody joining us on our first quarter 2022 conference call and look forward to getting back together with you in August as we discuss our second quarter results. Thanks again for joining.
That concludes the Brigham minerals first quarter 2022 earnings conference call. Thank you all for your participation you may now disconnect your lines.
Yes.
Sure.