What Viper Energy, Inc. told the SEC could break it.

As a mineral/royalty owner, Viper's income is a direct function of oil, natural gas and NGL production volumes and prices; 2025 royalty income was cut by ~$209M from lower realized oil/NGL prices, and WTI ranged $55-94 over 2023-2025, leaving Viper a pure price-taker exposed to energy-market volatility and OPEC+ actions.

“This net increase consisted of an additional $701 million in royalty income from the 91% growth in production, partially offset by a net decrease of $209 million due primarily to lower average prices received for our oil and natural gas liquids production during 2025 compared to the same period in 2024.”

Viper's royalty income is concentrated among a limited number of significant operators (one of which is its controlling parent Diamondback); for the years ended December 31, 2025 and 2024, two operators each accounted for more than 10% of its income, so a slowdown or default by a major operator would materially affect royalty cash flows.

“For the years ended December 31, 2025 and 2024, two operators each accounted for more than 10% of our income, respectively.”

Viper's mineral and royalty interests (including the Endeavor interests) are principally concentrated in the Midland Basin, with the balance in the Delaware and Williston Basins, and all proved reserves are in the continental U.S. — concentrating its income in Permian-region production and any basin-specific operational, regulatory or takeaway constraints.

“The Endeavor Mineral and Royalty Interests include interests in horizontal wells comprised of 5,574 gross proved developed production wells (of which approximately 32 % are operated by Diamondback), 116 gross completed wells and 394 gross drilled but uncompleted wells, all of which are principally concentrated in the Midland Basin, with the balance located primarily in the Delaware and Williston Basins.”