Black Stone Minerals announced a reduction in its cash distribution for the second quarter of 2025, approving $0.30 per common unit, down from the previous $0.375. This distribution will be payable on August 14, 2025, to unitholders of record on August 7, 2025.
The company attributed the distribution reduction primarily to a slower-than-expected increase in natural gas production, particularly within the Haynesville/Bossier play. This indicates a delay in anticipated production growth impacting near-term cash flow available for distributions.
Despite the reduction, Black Stone Minerals expects to announce a distribution coverage of approximately 1.18x for the second quarter, indicating that the revised distribution is well-covered by distributable cash flow. The company plans to deploy this excess cash towards strategic acquisitions that enhance its asset base and long-term growth prospects.
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