LandBridge Co. closed on its acquisitions of East Stateline Ranch, Speed Ranch and Lea County Ranches in the second quarter, LandBridge announced in its first earnings call since IPO’ing in June.

The ranch acquisitions in Lea County, New Mexico, and Loving, Winkler and Andrews counties, Texas, added approximately 148,000 acres to its portfolio, bringing its total surface position to approximately 220,000 acres.

“Our land is strategically located in the heart of the Permian Basin, ideally situated to support energy production, digital infrastructure and broader industrial development,” Jason Long, CEO, said in the company’s second-quarter earnings report.

Before its IPO, LandBridge grew through a series of acquisitions in the Permian. In October 2021, LandBridge acquired the Hanging H Ranch in Loving and Reeves counties, Texas. The acquisition added approximately 72,000 surface acres and about 4,000 gross mineral acres to LandBridge.

And in April 2022, the private company bought the Dagger Draw Ranch’s 740 acres and 8,650 surface acres leased from the Bureau of Land Management in Eddy County, New Mexico.

“Through our active land management strategy, we believe we can grow the long-term value of our more than 220,000 surface acres and its resources, while generating multiple fee- and royalty-based revenue streams."

The company’s free cash flow during the second quarter was $15.7 million.

The company funded the East Stateline Ranch and Speed Ranch acquisitions with $265 million in borrowing under its term loan and a $120 million equity injection.

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