Downside risks to our target price include: (1) slower producer activity in the Permian; (2) increasing seismic activity regulation; (3) federal land exposure; and (4) low trading liquidity. Upside risks to our target price include: (1) higher volumes due to enhanced commercialization; (2) accretively cutting royalty costs and increasing margins; (3) significant advances in mineral extraction or beneficial reuse.
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