
Black Stone Minerals LP is eyeing opportunities to develop large-scale solar projects on its upstream acreage. (Source: Shutterstock.com)
Black Stone Minerals LP is eyeing opportunities to develop large-scale solar projects on its upstream acreage.
Black Stone and Boston-based renewable energy developer Longroad Energy inked a multi-year transaction that provides Longroad with exclusive access to several thousand Black Stone acres across 12 states.
The framework would enable Longroad to potentially develop utility-scale solar energy projects while preserving Black Stone’s ability to co-develop its mineral and subsurface rights.
Fowler Carter, director of new ventures for Black Stone, said Black Stone’s relationship with Longroad first began with a mineral transaction as part of developing Longroad’s Umbriel Solar project in Polk County, Texas.
“The Longroad team has ambitious goals focused on developing renewable energy projects on surface rights, a strategy that is complementary to our holdings,” Carter said in a July 18 news release. “This unique transaction allows Black Stone to optimize our assets, giving us exposure to the attractive utility-scale solar market, while at the same time preserving our underlying mineral rights.”
Financial terms of the transaction were not disclosed.
As of the end of 2022, Black Stone Minerals owned interests in about 16.8 million gross acres, with an average 43.5% ownership interest in that acreage, according to the company’s latest annual report.
The company owns interests in active plays including the Permian Basin, the Williston Basin, the Eagle Ford Shale and the Haynesville/Bossier plays.
“The certainty and structure afforded by this agreement will allow Longroad and Black Stone to transact efficiently and repeatedly,” Adam Horwitz said, vice president of origination and development at Longroad. “We look forward to working closely with the Black Stone team to deliver a new renewable energy value stream to their existing portfolio.”
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