Investor Presentaiton
TEXAS
EST. 1888
PACIFIC
TPL Revenue Streams Through the Life Cycle of a Well
Typical
Activities
TPL
Revenue
Sources
1 Initial Development Phase
Infrastructure for oil & gas development
■ Fixed fee payments for use of TPL's
surface to build infrastructure
Sale of materials (caliche) used in the
construction of infrastructure
2 Drilling and Completion Phase
■Sourced / Treated water volumes (1)
■ Development of gathering, transportation and
processing infrastructure
■ Fixed price per barrel for providing brackish
groundwater and / or treated produced water
■ Fixed fee payments for the use of TPL's surface for a
variety of midstream infrastructure requirements
3
Production Phase
■ Significant produced water volumes
(gathering, treating and reuse, and
disposing back into the ground)
LAND CORP
■ Royalty interest on the oil & gas produced
■Royalty per barrel (injection fee) for
allowing saltwater disposal (SWD) on TPL
lands
Majority of Stable Revenue Streams are Royalty, or Fixed-Fee Payments, with Limited-to-No Capital Expenditure Burden
ROW &
Surface Procurement
Electrical Infrastructure
Oil & Gas Facility
TPL Gravel Pit
TPL Water Storage
B
TPL Water Supply Wells
Midstream Pipeline Easement
E&P Operator Lease Road
Producing
O&G Wells
t
Operator Completions (Fracking)
SWD
O&G Sales Line
Produced Water Gathering Line
E&P Operator Well Pad & Drilling Pit
E&P Operator Drilling
Non-TPL Surface Acreage TPL Surface
TPL Produced Water Treatment Facility
Surface and Royalty Ownership Allow Steady Revenue Generation Through the Entire Life Cycle of Oil & Gas Development
Sourced and Treated water is water used for oil and gas development (i.e. drilling and completions).
O
= Land and Resource
Management
= Water Services and Operations
NYSE: TPL
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