A low-decline, IDR-free “New MLP” consolidator with XTO pedigree—buying mature basins for durable cash flow, with a near-term liquidity catalyst and a longer-dated Mancos upside call option.
Overview
TXO Partners LP is an IDR-free upstream MLP designed as a consolidation vehicle for conventional, long-lived U.S. oil and gas assets with predictable geology and low declines. Led by a veteran team associated with XTO Energy, TXO targets mature fields in the Permian, San Juan, and Williston basins to acquire, optimize, and develop “bedrock” production that supports variable cash distributions while maintaining conservative leverage. 2025 revenue rose to ~$401M (+42% YoY), driven largely by Williston acquisitions; the commodity mix was ~71% oil, ~21% gas, and ~8% NGLs. Despite a GAAP net loss tied to non-cash impairments and Successful Efforts accounting, cash metrics (operating cash flow and EBITDAX) improved materially and funded ~$101M of distributions. The equity story is a defensive, yield-oriented exposure to a plateau production environment, enhanced by unusually high insider ownership (~31%) and a near-term balance-sheet catalyst tied to asset divestiture proceeds.