MorningStar Partners (TXO) 10-Q 8 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Aug. 08, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2023
Document Transition Report	false
Entity File Number	001-04321
Entity Registrant Name	TXO Partners, L.P.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	32-0368858
Entity Address, Address Line One	400 West 7th Street
Entity Address, City or Town	Fort Worth
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	76102
City Area Code	817
Local Phone Number	334-7800
Title of 12(b) Security	Common Units
Trading Symbol	TXO
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		30,750,000
Entity Central Index Key	0001559432
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Current Assets:
Cash and cash equivalents	$ 4,440	$ 9,204
Accounts receivable, net	30,419	52,304
Derivative fair value	4,800	1,242
Other	10,374	11,277
Total Current Assets	50,033	74,027
Property and Equipment, at cost – successful efforts method:
Proved properties	1,507,319	1,481,233
Unproved properties	18,466	18,406
Other	83,432	82,210
Total Property and Equipment	1,609,217	1,581,849
Accumulated depreciation, depletion and amortization	(767,924)	(745,444)
Net Property and Equipment	841,293	836,405
Other Assets:
Note receivable from related party	7,131	7,131
Derivative fair value	0	290
Other	2,434	6,779
Total Other Assets	9,565	14,200
TOTAL ASSETS	900,891	924,632
Current Liabilities:
Accounts payable	9,793	14,686
Accrued liabilities	26,546	34,128
Derivative fair value	13,412	95,371
Asset retirement obligation, current portion	2,500	2,500
Other current liabilities	779	779
Total Current Liabilities	53,030	147,464
Long-term Debt	21,100	120,100
Other Liabilities:
Asset retirement obligation	129,070	123,958
Derivative fair value	9,199	10,401
Other liabilities	462	1,172
Total Other Liabilities	138,731	135,531
Commitments and Contingencies
Partners’ Capital:
Partners’ capital	688,030	521,537
TOTAL LIABILITIES AND PARTNERS’ CAPITAL	$ 900,891	$ 924,632

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Total Revenues	$ 60,472	$ 92,877	$ 218,871	$ 83,339
EXPENSES
Production	39,357	36,155	74,681	61,181
Exploration	16	113	83	200
Taxes, transportation and other	15,088	24,532	43,991	48,019
Depreciation, depletion and amortization	11,543	9,937	22,481	19,717
Accretion of discount in asset retirement obligation	2,159	1,493	4,277	2,970
General and administrative	1,084	92	3,306	488
Total Expenses	69,247	72,322	148,819	132,575
OPERATING INCOME (LOSS)	(8,775)	20,555	70,052	(49,236)
OTHER INCOME (EXPENSE)
Other income	6,720	5,556	13,034	11,428
Interest income	127	17	234	23
Interest expense	(618)	(1,650)	(2,057)	(3,320)
Total Other Income	6,229	3,923	11,211	8,131
NET INCOME (LOSS)	$ (2,546)	$ 24,478	$ 81,263	$ (41,105)
NET INCOME (LOSS) PER COMMON UNIT
Basic (in dollars per share)	$ (0.08)	$ 0.98	$ 2.73	$ (1.64)
Diluted (in dollars per share)	$ (0.08)	$ 0.98	$ 2.68	$ (1.64)
WEIGHTED AVERAGE COMMON UNITS OUTSTANDING
Basic (in shares)	30,750	25,000	29,772	25,000
Diluted (in shares)	30,750	25,000	30,313	25,000
Oil and condensate
Total Revenues	$ 47,691	$ 44,138	$ 97,312	$ 41,608
Natural gas liquids
Total Revenues	7,033	12,852	16,156	15,973
Gas
Total Revenues	$ 5,748	$ 35,887	$ 105,403	$ 25,758

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
OPERATING ACTIVITIES
Net income (loss)		$ (2,546)	$ 24,478	$ 81,263	$ (41,105)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation, depletion and amortization		11,543	9,937	22,481	19,717
Accretion of discount in asset retirement obligation		2,159	1,493	4,277	2,970
Derivative fair value (gain) loss		6,821	27,811	(8,235)	134,328
Net cash paid to counterparties		2,244	(27,003)	(78,194)	(42,167)
Non-cash incentive compensation				1,591	0
Other non-cash items				360	340
Changes in operating assets and liabilities	[1]			12,010	(5,595)
Cash Provided by Operating Activities				35,553	68,488
INVESTING ACTIVITIES
Proved property acquisitions				(6,105)	(3,754)
Development costs				(21,196)	(2,201)
Unproved property acquisitions				(60)	(49)
Other property and asset additions				(1,222)	(1,895)
Cash Used by Investing Activities				(28,583)	(7,899)
FINANCING ACTIVITIES
Proceeds from long-term debt				48,000	751,000
Payments on long-term debt				(147,000)	(804,000)
Net proceeds from initial public offering				106,277	0
Capitalized offering costs				0	(544)
Debt issuance costs				(110)	(91)
Distributions				(18,901)	(6,480)
Cash Used by Financing Activities				(11,734)	(60,115)
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS				(4,764)	474
Cash and Cash Equivalents, beginning of period				9,204	7,547
Cash and Cash Equivalents, end of period		$ 4,440	$ 8,021	$ 4,440	$ 8,021
[1] (a) Changes in Operating Assets and Liabilities Accounts receivable $ 21,834 $ (24,461) Other current assets 903 (2,081) Aid-in-construction — 238 Current liabilities (10,059) 20,879 Other operating liabilities (668) (170) $ 12,010 $ (5,595)

Consolidated Statements of Ca_2

Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022
Changes in Operating Assets and Liabilities
Accounts receivable		$ 21,834	$ (24,461)
Other current assets		903	(2,081)
Aid-in-construction		0	238
Current liabilities		(10,059)	20,879
Other operating liabilities		(668)	(170)
Changes in operating assets and liabilities	[1]	$ 12,010	$ (5,595)
[1] (a) Changes in Operating Assets and Liabilities Accounts receivable $ 21,834 $ (24,461) Other current assets 903 (2,081) Aid-in-construction — 238 Current liabilities (10,059) 20,879 Other operating liabilities (668) (170) $ 12,010 $ (5,595)

Consolidated Statements of Memb

Consolidated Statements of Members’ Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Series 3 Preferred Preferred Stock	Series 5 Preferred Preferred Stock
Balance at beginning of period at Dec. 31, 2021	$ 541,359	$ 300,990	$ 34,295	$ 206,074
Increase (Decrease) in Partners' Capital [Roll Forward]
Net income (loss)	(41,105)	(41,105)
Increase in partners’ equity from in-kind distributions	857	857
In-kind distributions	(857)	(857)
Distributions to unitholders	(6,480)	(6,480)
Balance at end of period at Jun. 30, 2022	493,774	253,405	34,295	206,074
Balance at beginning of period at Mar. 31, 2022	475,776	235,407	34,295	206,074
Increase (Decrease) in Partners' Capital [Roll Forward]
Net income (loss)	24,478	24,478
Increase in partners’ equity from in-kind distributions	857	857
In-kind distributions	(857)	(857)
Distributions to unitholders	(6,480)	(6,480)
Balance at end of period at Jun. 30, 2022	493,774	253,405	34,295	206,074
Balance at beginning of period at Dec. 31, 2022	521,537	315,463	0	206,074
Increase (Decrease) in Partners' Capital [Roll Forward]
Net income (loss)	81,263	81,263
Net proceeds from initial public offering	102,540	102,540
Expensing of unit awards	1,591	1,591
Distributions to unitholders	(18,901)	(18,901)
Conversion of Series 5 preferred to Common equity	0	206,074		(206,074)
Balance at end of period at Jun. 30, 2023	688,030	688,030	0	0
Balance at beginning of period at Mar. 31, 2023	708,525	708,525	0	0
Increase (Decrease) in Partners' Capital [Roll Forward]
Net income (loss)	(2,546)	(2,546)
Expensing of unit awards	952	952
Distributions to unitholders	(18,901)	(18,901)
Balance at end of period at Jun. 30, 2023	$ 688,030	$ 688,030	$ 0	$ 0

Organization and Summary of Sig

Organization and Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Summary of Significant Accounting Policies	Organization and Summary of Significant Accounting Policies TXO Partners, L.P. (TXO Partners or the Partnership) is an independent oil and gas company that was formed as a Delaware limited partnership in January 2012 (with an effective inception of operations at January 18, 2012). The operations of TXO Partners are governed by the provisions of the partnership agreement, as amended, executed by the general partner, TXO Partners GP, LLC (the General Partner) and the limited partners. The General Partner is the manager and operator of TXO Partners. The General Partner is managed by the board of directors and executive officers of our General Partner. The members of the board of directors of our General Partner are appointed by MorningStar Oil & Gas, LLC (“MSOG”), as the sole member of our General Partner. TXO Partners will remain in existence unless and until dissolved in accordance with the terms of the partnership agreement. TXO Partners’ assets include its investment in an unincorporated joint venture, Cross Timbers Energy, LLC (“Cross Timbers Energy”). TXO Partners owns 50% of Cross Timbers Energy, and TXO Partners is the manager of Cross Timbers Energy. Cross Timbers Energy is governed by a Member Management Committee (MMC) and is comprised of six representatives, three from each group, with each group having one voting member. All matters that come before the MMC require the unanimous consent of the voting members. On the last day of each calendar quarter, Cross Timbers Energy distributes all excess cash to the members based on their ownership percentage of 50% each, except for earnings from the note receivable which is owned 5% by TXO Partners. Cross Timbers Energy’s properties are located primarily in the San Juan Basin of New Mexico and Colorado and the Permian Basin of West Texas and New Mexico. TXO Partners also has a wholly-owned subsidiary, MorningStar Operating LLC which owns oil and gas assets primarily in the San Juan Basin of New Mexico and Colorado and the Permian Basin of West Texas and New Mexico. Reorganization and Public Listing of Common Units In January, 2023, we completed a series of reorganization transactions in conjunction with publicly listing our common units on the New York Stock Exchange. These included the following transactions (the ‘Reorganization Transactions’): • We effectuated a one-for-25.33 reverse unit split; • We caused the exchange of all outstanding Series 5 preferred units for 10,644,484 common units, resulting in our capital structure to consist of a single class of common units; • All limited partner holders party to our amended and restated agreement of limited partnership contributed all of the outstanding equity interests in us to a new parent company, MorningStar Partners II, L.P., a Delaware limited partnership (“MSP II”) in exchange for equity interests in MSP II; and • We amended our governing documents to, among other things, (i) change our name from “MorningStar Partners, L.P.” to “TXO Energy Partners, L.P.” and (ii) reflect the General Partner as our new non-economic general partner. As a result of these transactions, the capital structure has been reflected as if the new number of units had been in place for all periods presented. In May 2023, we amended our Certificate of Formation to change our name to “TXO Partners, L.P.” and the General Partner amended its Certificate of Formation to change its name to “TXO Partners GP, LLC.”

Basis of Presentation and Signi

Basis of Presentation and Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Significant Accounting Policies	Basis of Presentation and Significant Accounting PoliciesThe consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and on the same basis as our audited financial statements as of December 31, 2022 included in our Annual Report on Form 10-K for the year ended December 31, 2022. The consolidated balance sheet as of June 30, 2023 and the consolidated statements of operations, members’ equity and cash flows for the periods presented herein are not audited but reflect all adjustments that are of a normal recurring nature and are necessary for a fair statement of results for the periods shown. Certain information and note disclosures normally included in annual financial statements have been omitted pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Because the consolidated interim financial statements do not include all of the information and notes required by US GAAP for a complete set of financial statements, they should be read in conjunction with the audited consolidated financial statements referred to above. The results and trends in these interim financial statements may not be indicative of results for the full year. Significant Accounting Policies For a complete description of TXO Partners’ significant accounting policies, see our annual audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2022.
Revenue from Contracts with Customers	Natural Gas and NGL Sales Under our natural gas processing contracts, we deliver natural gas to a midstream processing entity at the wellhead or at the inlet of a facility. The midstream provider gathers and processes the product and both the residue gas and the resulting natural gas liquids are sold at the tailgate of the plant. The Partnership’s natural gas production is primarily sold under market-sensitive contracts that are typically priced at a differential to the published natural gas index price for the producing area due to the natural gas quality and the proximity to the market. We evaluated these arrangements and determined that control of the products transfers at the tailgate of the plant, meaning that the Partnership is the principal and the third-party purchaser is its customer. As such, we present the gas and NGL sales on a gross basis and the related gathering and processing costs as a component of taxes, transportation, and other on the statement of operations. Oil and Condensate Sales Oil production is sold at the wellhead under market-sensitive contracts at an index price, net of pricing differentials. The Partnership recognizes revenue when control transfers to the purchaser at the wellhead at the net price received from the customer. This treatment after the adoption of ASC 606 is consistent with the treatment under ASC 605 and has no impact on revenues or expenses on the statement of operations. Production imbalances The Partnership uses the sales method to account for production imbalances. If the Partnership’s sales volumes for a well exceed the Partnership’s proportionate share of production from the well, a liability is recognized to the extent that the Partnership’s share of estimated remaining recoverable reserves from the well is insufficient to satisfy the imbalance. No receivables are recorded for those wells on which the Partnership has taken less than its proportionate share of production. Contract Balances Under the Partnership’s product sales contracts, its customers are invoiced once the Partnership’s performance obligations have been satisfied, at which point payment is unconditional. Accordingly, the Partnership’s product sales contracts do not give rise to contract assets or contract liabilities. Performance Obligations The majority of the Partnership’s sales are short-term in nature with a contract term of one year or less. For those contracts, the Partnership has utilized the practical expedient in ASC 606-10-50-14 exempting the Partnership from disclosures of the transaction price allocated to remaining performance obligations if the performance obligation is part of a contract that has an original duration of one year or less. For the Partnership’s product sales that have a contract term greater than one year, the Partnership has utilized the practical expedient in ASC 606-10-50-14(a), which states the Partnership is not required to disclose the transaction price allocated to remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. Under these contracts, each unit of product generally represents a separate performance obligation; therefore, future volumes are wholly unsatisfied and disclosure of the transaction price allocated to remaining performance obligation is not required.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2023
Related Party Transactions [Abstract]
Related Party Transactions	Related Party TransactionsWe earned management fees from Cross Timbers Energy of $1.4 million for the three months ended June 30, 2023 and $1.5 million for the three months ended June 30, 2022 We earned management fees from Cross Timbers Energy of $2.8 million for the six months ended June 30, 2023 and $3.0 million for the six months ended June 30, 2022.

Debt

Debt	6 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
Debt	Debt (in thousands) June 30, December 31, Credit Facility, 8.7% at June 30, 2023 and 7.8% at December 31, 2022 $ 14,000 $ 113,000 September 2016 Loan, 8.4% at June 30, 2023 and 7.4% at December 31, 2022 $ 7,100 $ 7,100 Total Long-term Debt $ 21,100 $ 120,100 November 2021 Credit Facility On November 1, 2021, we entered into a four-year, $165 million senior secured credit facility (the “Credit Facility”) with certain commercial banks, as the lenders, and JPMorgan Chase Bank, N.A., as the administrative agent. The Credit Facility has a maturity date of November 1, 2025. On June 28, 2023, we entered into an amendment to the Credit Facility (the “Second Amendment”) to make certain changes as described below. We use the Credit Facility for general corporate purposes. In connection with entering into the Credit Facility, we incurred financing fees and expenses of approximately $3.0 million as of June 30, 2023 and $2.8 million as of December 31, 2022 before accumulated amortization of $1.2 million as of June 30, 2023 and $0.8 million as of December 31, 2022. These costs are being amortized over the life of the credit facility. Such amortized expenses are recorded as interest expense on the statements of operations. Redetermination of the borrowing base under the Credit Facility , is based primarily on reserve reports that reflect commodity prices at such time, and scheduled borrowing base redeterminations occur semi-annually, in March and September. Interim redeterminations, may occur between scheduled redeterminations at the lenders sole discretion or upon our request. Significant declines in commodity prices may result in a decrease in the borrowing base. These borrowing base declines can be offset by any commodity price hedges we enter. Our obligations under the credit facility are secured by substantially all assets of the Partnership, including, without limitation, (i) our interest in Cross Timbers Energy, (ii) all our deposit accounts, securities accounts, and commodities accounts, (iii) any receivables owed to us by Cross Timbers Energy and (iv) any oil and gas properties owned directly by TXO Partners or its wholly-owned subsidiaries. We are required to maintain (i) a current ratio greater than 1.0 to 1.0 and current assets shall include availability under the Credit Facility but current assets and liabilities shall exclude the fair value of derivative instruments and any advances under the Credit Facility and (ii) a ratio of total indebtedness to EBITDAX of not greater than 3.0 to 1.0 each calculated quarterly. For purposes of the total net debt-to-EBITDAX ratio (“Leverage Ratio”), total net debt includes total debt for borrowed money (including capital leases and purchase money debt), minus unrestricted cash and cash equivalents on hand at such time (not exceeding $15.0 million in the aggregate), minus the unpaid balance of the FAM Loan. EBITDAX means sum of (i) net income plus interest expense; income taxes paid; depreciation, depletion and amortization; exploration expenses, including workover expenses; non-cash charges including unrealized losses on derivative instruments; and, any extraordinary or non-recurring charges, minus (ii) any extraordinary or non-recurring income and any non-cash income including unrealized gains on derivative instruments. Effective with the Second Amendment, our hedge requirements are based on availability under the Credit Facility and the Leverage Ratio. If the Leverage Ratio is greater than 0.75 to 1.00, we are required to hedge at least 50% of reasonably anticipated projected production of proved developed producing reserves for the 24 months following the end of the most recent quarter. If the Leverage ratio is less than 0.75 to 1.00 and availability under the Credit Facility is greater than 20% of the then current borrowing base, the minimum required hedge volume would be 35% for the 12 months following the end of the most recent quarter. If the Leverage ratio is less than 0.5 to 1.0 and availability under the Credit Facility is greater than 66.7% of the then current borrowing base, there would be no minimum required hedge volume. Our Credit Facility prohibits us from hedging more than 90% of our reasonably projected production for any fiscal year. Under the terms of the Credit Facility as amended by the Second Amendment, we were in compliance with all of our debt covenants as of June 30, 2023. From September 30, 2022 through the spring redetermination, we received waivers to reduce the hedging requirement from 30 months to 15 months and from 50% to 45% of the reasonably anticipated projected production. As a result, w e were in compliance with all of our debt covenants as of December 31, 2022 . Additionally, we believe we have adequate liquidity to continue as a going concern for at least the next twelve months from the date of this report. At our election, interest on borrowings under the credit facility is determined by reference to either the secured overnight financing rate (“SOFR”) plus an applicable margin between 3.00% and 4.00% per annum (depending on the then-current level of borrowings under the Credit Facility) or the alternate base rate (“ABR”) plus an applicable margin between 2.00% and 3.00% per annum (depending on the then-current level of borrowings under the Credit Facility). Interest is generally payable quarterly for loans bearing interest based on the ABR and at the end of the applicable interest period (either one, three or six months) for loans bearing interest at SOFR. We are required to pay a commitment fee to the lenders under the Credit Facility, which accrues at a rate per annum of 0.50% on the average daily unused amount of the lesser of: (i) the maximum commitment amount of the lenders and (ii) the then-effective borrowing base. We utilized the proceeds from our initial public offering and cash on hand to pay down our credit facility. September 2016 Loan On September 30, 2016, TXO Partners entered into an unsecured loan agreement with Cross Timbers Energy (the “FAM Loan”). The proceeds for the loan were taken from the cash held by the offshore subsidiary of Exxon Mobil Corporation and the loan was assigned to the offshore subsidiary (Note 5). The loan matures on January 31, 2026, but is automatically extended should the maturity date of the Credit Facility be extended. In all instances, this loan will mature ninety-one days after the maturity of the Credit Facility. Interest on the loan is the lesser of (a) London Interbank Offered Rate (“LIBOR”) plus three and one-quarter of one percent (3.25%) per annum, adjusted monthly or (b) the highest rate permitted by applicable law. Though the note is unsecured, we are required to stay in compliance with terms of the Credit Facility.

Note Receivable from Related Pa

Note Receivable from Related Party	6 Months Ended
	Jun. 30, 2023
Receivables [Abstract]
Note Receivable from Related Party	Note Receivable from Related Party As of June 30, 2023 and December 31, 2022, we, through our 5% ownership interest in investment assets at Cross Timbers Energy, had a note receivable totaling $7.1 million outstanding with a highly-rated, offshore subsidiary of Exxon Mobil Corporation. Under the terms of the agreement, there is no stated maturity date and Cross Timbers Energy may demand repayment of all or any portion of the outstanding balance on two business days’ notice. Interest is earned based on the one-month SOFR rate and is paid monthly. Interest income totaled $0.2 million in the first six months of 2023 and less than $0.1 million in the first six months of 2022. The note receivable is treated as a non-current asset, since Cross Timbers Energy does not have any intention of demanding repayment of all or any portion of the outstanding balance at this time. Repayment would require the approval of the Cross Timbers Energy MMC.

Asset Retirement Obligation

Asset Retirement Obligation	6 Months Ended
	Jun. 30, 2023
Asset Retirement Obligation Disclosure [Abstract]
Asset Retirement Obligation	Asset Retirement ObligationOur asset retirement obligation primarily represents the estimated present value of the amount we will incur to plug, abandon and remediate our proved producing properties at the end of their productive lives, in accordance with applicable state and federal laws. We determine our asset retirement obligation by calculating the present value of estimated cash flows related to the liability. The following is a summary of changes in TXO Partners’ asset retirement obligation activity for the six months ended June 30, 2023: (in thousands) Asset retirement obligation, January 1 $ 126,458 Liability incurred upon acquiring and drilling wells 1,151 Liability settled upon plugging and abandoning wells (316) Accretion of discount expense 4,277 Asset retirement obligation, June 30 131,570 Less current portion (2,500) Asset retirement obligation, long term $ 129,070

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies From time to time, the Partnership is subject to various claims and legal actions arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Partnership. To date, our expenditures to comply with environmental and occupational health and safety laws and regulations have not been significant and are not expected to be significant in the future. However, new regulations, enforcement policies, claims for damages or other events could result in significant future costs.

Fair Value

Fair Value	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value	Fair Value We use commodity-based and financial derivative contracts to manage exposures to commodity price. We do not hold or issue derivative financial instruments for speculative or trading purposes. We periodically enter into futures contracts, costless collars, energy swaps, swaptions and basis swaps to hedge our exposure to price fluctuations on crude oil, natural gas liquids and natural gas sales (Note 9). Fair Value of Financial Instruments Because of their short-term maturity, the fair value of cash and cash equivalents, accounts receivable and accounts payable approximates their carrying values at June 30, 2023 and December 31, 2022. The following are estimated fair values and carrying values of our other financial instruments at each of these dates: Asset (Liability) June 30, 2023 December 31, 2022 (in thousands) Carrying Fair Carrying Fair Note receivable from related party $ 7,131 $ 7,131 $ 7,131 $ 7,131 Long-term debt $ (21,100) $ (21,100) $ (120,100) $ (120,100) Derivative asset $ 4,800 $ 4,800 $ 1,532 $ 1,532 Derivative liability $ (22,611) $ (22,611) $ (105,772) $ (105,772) The fair value of our note receivable from related party approximates the carrying amount because the interest rate is based on current market interest rates and can be called upon two business days’ notice (Note 5). The fair value of our long-term debt approximates the carrying amount because the interest rate is reset periodically at then current market rates (Note 4). The fair value of our note receivable from related party (Note 5), derivative asset/(liability) (Note 9) and our long-term debt (Note 4) is measured using Level 2 inputs, and are determined by either market prices on an active market for similar assets or other market-corroborated prices. Counterparty credit risk is considered when determining the fair value of our note receivable and net derivative asset (liability). Since our counterparty is highly rated, the fair value of our note receivable from related party does not require an adjustment to account for the risk of nonperformance by the counterparty, however, an adjustment for counterparty credit risk has been applied to the net derivative asset (liability). The following table summarizes our fair value measurements and the level within the fair value hierarchy in which the fair value measurements fall. Fair Value Measurements June 30, 2023 December 31, 2022 (in thousands) Significant Significant Significant Significant Note receivable from related party $ 7,131 $ — $ 7,131 $ — Long-term debt $ (21,100) $ — $ (120,100) $ — Derivative asset $ 4,800 $ — $ 1,532 $ — Derivative liability $ (22,611) $ — $ (105,772) $ — Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities are measured at fair value on a nonrecurring basis. These assets and liabilities are not measured at fair value on an ongoing basis, but are subject to fair value adjustments whenever events or circumstances indicate that the carrying value of those assets may not be recoverable and are based upon Level 3 inputs. These assets and liabilities can include assets and liabilities acquired in a business combination, proved and unproved natural gas properties, asset retirement obligations and other long-lived assets that are written down to fair value when they are impaired. Such fair value estimates require assumptions and judgments regarding the existence of liabilities, the amount and timing of cash outflows required to settle the liability, what constitutes adequate restoration, inflation factors, credit adjusted discount rates, and consideration of changes in legal, regulatory, environmental and political environments. We periodically review our long-lived assets to be held and used, including proved oil and natural gas properties, whenever events or circumstances indicate that the carrying value of those assets may not be recoverable. We review our oil and natural gas properties by asset group. The estimated future net cash flows are based upon the underlying reserves and anticipated future pricing. An impairment loss is recognized if the sum of the expected undiscounted future net cash flows is less than the carrying amount of the assets. If the estimated undiscounted future net cash flows are less than the carrying amount of a particular asset, the Partnership recognizes an impairment loss for the amount by which the carrying amount of the asset exceeds the estimated fair value of such assets. The fair value of the proved properties is measured based on the income approach, which incorporates a number of assumptions involving expectations of future product prices, which the Partnership bases on the forward-price curves, estimates of oil and gas reserves, estimates of future expected operating and capital costs and a risk adjusted discount rate of 10%. These inputs are categorized as Level 3 in the fair value hierarchy. Commodity Price Hedging Instruments We periodically enter into futures contracts, energy swaps, swaptions, collars and basis swaps to hedge our exposure to price fluctuations on crude oil, natural gas and natural gas liquids sales. When actual commodity prices exceed the fixed price provided by these contracts we pay this excess to the counterparty, and when the commodity prices are below the contractually provided fixed price, we receive this difference from the counterparty. See Note 9. The fair value of our derivatives contracts consists of the following: Asset Derivatives Liability Derivatives (in thousands) June 30, December 31, June 30, December 31, Derivatives not designated as hedging instruments: Crude oil futures and differential swaps $ 442 $ 968 $ (3,173) $ (13,594) Natural gas liquids futures $ 282 $ — $ (183) $ (524) Natural gas futures, collars and basis swaps $ 4,076 $ 564 $ (19,255) $ (91,654) Total $ 4,800 $ 1,532 $ (22,611) $ (105,772) Derivative fair value (gain) loss, included as part of the related revenue line on the consolidated income statements, comprises the following realized and unrealized components: Three Months Ended June 30, Six Months Ended (in thousands) 2023 2022 2023 2022 Net cash (received from) paid to counterparties $ (2,244) $ 27,003 $ 78,194 $ 42,167 Non-cash change in derivative fair value $ 9,065 $ 808 $ (86,429) $ 92,161 Derivative fair value (gain) loss $ 6,821 $ 27,811 $ (8,235) $ 134,328 Concentrations of Credit Risk Our receivables are from a diverse group of companies including major energy companies, pipeline companies, local distribution companies, marketing companies and end-users in various industries. Letters of credit or other appropriate security are obtained as considered necessary to limit risk of loss from the other companies. Including the bank that issued the letter of credit, we currently have greater concentrations of credit with several investment-grade (BBB- or better) rated companies.

Commodity Sales Commitments

Commodity Sales Commitments	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Commodity Sales Commitments	Commodity Sales Commitments Our policy is to consider hedging a portion of our production at commodity prices the general partner deems attractive. While there is a risk we may not be able to realize the benefit of rising prices, the general partner may enter into hedging agreements because of the benefits of predictable, stable cash flows. We enter futures contracts, energy swaps, swaptions and basis swaps to hedge our exposure to price fluctuations on crude oil, natural gas liquids and natural gas sales. When actual commodity prices exceed the fixed price provided by these contracts we pay this excess to the counterparty, and when the commodity prices are below the contractually provided fixed price, we receive this difference from the counterparty. We also enter costless price collars, which set a ceiling and floor price to hedge our exposure to price fluctuations on natural gas sales. When actual commodity prices exceed the ceiling price provided by these contracts we pay this excess to the counterparty, and when the commodity prices are below the floor price, we receive this difference from the counterparty. If the actual commodity price falls in between the ceiling and floor price, there is no cash settlement. Crude Oil We have entered into crude oil futures contracts and swap agreements that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period Bbls per Day Weighted Average July 2023—December 2023 2,500 $ 68.87 January 2024—June 2024 2,000 $ 63.27 The price we receive for our oil production is generally different than the NYMEX price because of adjustments for delivery location (“basis”), relative quality and other factors. We have entered sell basis swap agreements that effectively fix the basis adjustment for the West Texas Midland delivery location for the production and periods shown below. Production Period Bbls per Day Weighted Average July 2023—December 2023 5,000 $ 1.21 _________________________________ (a) Increases to NYMEX oil price for delivery location The price we receive for our oil production is generally different than the NYMEX price because of changes in the roll component of the NYMEX price due to the timing of when the monthly NYMEX price is set. We have entered sell basis swap agreements that effectively fix the roll component of the NYMEX price for the production and periods shown below. Production Period Bbls per Day Weighted Average July 2023—December 2023 3,000 $ 0.89 _________________________________ (a) Increases to NYMEX oil price for roll component Net settlements on oil futures and sell basis swap contracts decreased oil revenues by $0.7 million in the three months ended June 30, 2023 and $12.9 million in the three months ended June 30, 2022. Net settlements on oil futures and sell basis swap contracts decreased oil revenues by $2.1 million in the six months ended June 30, 2023 and $20.7 million in the six months ended June 30, 2022. An unrealized gain increased oil revenues by $3.7 million in the three months ended June 30, 2023 and $0.1 million in three months ended June 30, 2022. An unrealized gain increased oil revenues by $9.9 million in the six months ended June 30, 2023 and an unrealized loss decreased oil revenues by $43.1 million in six months ended June 30, 2022. Natural Gas Liquids We have entered into natural gas liquids futures contracts and swap agreements for ethane that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period Gallons per Day Weighted Average Ethane July 2023—December 2023 63,000 $ 0.27 January 2024—June 2024 63,000 $ 0.23 Net settlements on NGL futures contracts increased NGL revenues by $0.3 million in the three months ended June 30, 2023 and decreased NGL revenues by $2.2 million in the three months ended June 30, 2022. Net settlements on NGL futures contracts increased NGL revenues by $0.4 million in the six months ended June 30, 2023 and decreased NGL revenues by $3.4 million in the six months ended June 30, 2022. An unrealized loss decreased NGL revenues by $0.6 million in the three months ended June 30, 2023 and an unrealized gain increased NGL revenues by $1.1 million in the three months ended June 30, 2022. An unrealized gain increased NGL revenues by $0.6 million in the six months ended June 30, 2023 and an unrealized loss decreased NGL revenues by $6.1 million in the six months ended June 30, 2022. Natural Gas We have entered into natural gas futures contracts and swap agreements that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period MMBtu per Day Weighted Average July 2023—December 2023 35,000 $ 3.51 January 2024—June 2024 30,000 $ 3.26 We have also entered into gas collars that set a ceiling and floor price for the production and periods shown below. Weighted Average Production Period MMBtu per Day Floor Ceiling January 2024—June 2024 5,000 $ 3.75 $ 7.25 The price we receive for our gas production is generally less than the NYMEX price because of adjustments for delivery location (“basis”), relative quality and other factors. We have entered sell basis swap agreements that effectively fix the basis adjustment for the San Juan Basin delivery location for the production and periods shown below. Production Period MMBtu per Day Weighted Average July 2023—December 2023 50,000 $ 0.18 January 2024—December 2024 20,000 $ 0.25 _________________________________ (a) Reductions to NYMEX gas price for delivery location Net settlements on gas futures and sell basis swap contracts increased gas revenues by $2.7 million in the three months ended June 30, 2023 and decreased gas revenues by $11.9 million in the three months ended June 30, 2022. Net settlements on gas futures and sell basis swap contracts decreased gas revenues by $76.5 million in the six months ended June 30, 2023 and $18.1 million in the six months ended June 30, 2022. An unrealized loss to record the fair value of derivative contracts decreased gas revenues by $12.1 million in the three months ended June 30, 2023 and $1.9 million in the three months ended June 30, 2022. An unrealized gain to record the fair value of derivative contracts increased gas revenues by $75.9 million in the six months ended June 30, 2023 and an unrealized loss decreased gas revenues by $42.9 million in the six months ended June 30, 2022.

Earnings per Unit

Earnings per Unit	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Earnings per Unit	Earnings per Unit The following represents basic and diluted earnings (loss) per Common Unit upon the Reorganization (See Note 1) and corresponding issuance of 5.8 million Common Units for the three and six months ended June 30, 2023 and 2022 : (in thousands, except per unit data) Net income (loss) Units Income (loss) per Unit Three Months Ended June 30, 2023 Basic $ (2,546) 30,750 $(0.08) Effect of dilutive securities — — Diluted $ (2,546) 30,750 $(0.08) Three Months Ended June 30, 2022 Basic $ 24,478 25,000 $0.98 Effect of dilutive securities — — Diluted $ 24,478 25,000 $0.98 Six Months Ended June 30, 2023 Basic $ 81,263 29,772 $2.73 Effect of dilutive securities — 541 Diluted $ 81,263 30,313 $2.68 Six Months Ended June 30, 2022 Basic $ (41,105) 25,000 $(1.64) Effect of dilutive securities — — Diluted $ (41,105) 25,000 $(1.64)

Partners_ Capital

Partners’ Capital	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
Partners’ Capital	Partners’ Capital On August 8, 2023, the board of directors of our general partner declared a cash distribution of $0.48 per common unit for the quarter ended June 30, 2023. The distribution will be paid on August 25, 2023, to unitholders of record on August 18, 2023 . On May 9, 2023, the board of directors of our general partner declared a cash distribution of $0.50 per common unit for the quarter ended March 31, 2023. The distribution was paid on May 30, 2023, to unitholders of record on May 22, 2023 .

Revenue from Contracts with Cus

Revenue from Contracts with Customers	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	Revenue from Contracts with CustomersThe Partnership recognizes sales of oil, natural gas, and NGLs when it satisfies a performance obligation by transferring control of the product to a customer, in an amount that reflects the consideration to which the Partnership expects to be entitled in exchange for the product. As discussed in Note 9, the Partnership recognizes the impact of derivative gains and losses as a component of revenue. See table below for the reconciliation of revenue from contracts with customers and derivative gains and losses. Three Months Ended June 30, 2023 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 44,783 $ 7,322 $ 15,188 $ 67,293 Unrealized gain (loss) on derivatives 3,658 (600) (12,123) (9,065) Realized gain (loss) on derivatives (750) 311 2,683 2,244 Total revenues $ 47,691 $ 7,033 $ 5,748 $ 60,472 Three Months Ended June 30, 2022 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 57,003 $ 13,936 $ 49,749 $ 120,688 Unrealized gain (loss) on derivatives 68 1,068 (1,944) (808) Realized gain (loss) on derivatives (12,933) (2,152) (11,918) (27,003) Total Revenues $ 44,138 $ 12,852 $ 35,887 $ 92,877 Six Months Ended June 30, 2023 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 89,482 $ 15,137 $ 106,017 $ 210,636 Unrealized gain (loss) on derivatives 9,896 622 75,911 86,429 Realized gain (loss) on derivatives $ (2,066) $ 397 $ (76,525) $ (78,194) Total revenues $ 97,312 $ 16,156 $ 105,403 $ 218,871 Six Months Ended June 30, 2022 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 105,410 $ 25,484 $ 86,773 $ 217,667 Unrealized gain (loss) on derivatives (43,132) (6,127) (42,902) (92,161) Realized gain (loss) on derivatives (20,670) (3,384) (18,113) (42,167) Total revenues $ 41,608 $ 15,973 $ 25,758 $ 83,339 Natural Gas and NGL Sales Under our natural gas processing contracts, we deliver natural gas to a midstream processing entity at the wellhead or at the inlet of a facility. The midstream provider gathers and processes the product and both the residue gas and the resulting natural gas liquids are sold at the tailgate of the plant. The Partnership’s natural gas production is primarily sold under market-sensitive contracts that are typically priced at a differential to the published natural gas index price for the producing area due to the natural gas quality and the proximity to the market. We evaluated these arrangements and determined that control of the products transfers at the tailgate of the plant, meaning that the Partnership is the principal and the third-party purchaser is its customer. As such, we present the gas and NGL sales on a gross basis and the related gathering and processing costs as a component of taxes, transportation, and other on the statement of operations. Oil and Condensate Sales Oil production is sold at the wellhead under market-sensitive contracts at an index price, net of pricing differentials. The Partnership recognizes revenue when control transfers to the purchaser at the wellhead at the net price received from the customer. This treatment after the adoption of ASC 606 is consistent with the treatment under ASC 605 and has no impact on revenues or expenses on the statement of operations. Production imbalances The Partnership uses the sales method to account for production imbalances. If the Partnership’s sales volumes for a well exceed the Partnership’s proportionate share of production from the well, a liability is recognized to the extent that the Partnership’s share of estimated remaining recoverable reserves from the well is insufficient to satisfy the imbalance. No receivables are recorded for those wells on which the Partnership has taken less than its proportionate share of production. Contract Balances Under the Partnership’s product sales contracts, its customers are invoiced once the Partnership’s performance obligations have been satisfied, at which point payment is unconditional. Accordingly, the Partnership’s product sales contracts do not give rise to contract assets or contract liabilities. Performance Obligations The majority of the Partnership’s sales are short-term in nature with a contract term of one year or less. For those contracts, the Partnership has utilized the practical expedient in ASC 606-10-50-14 exempting the Partnership from disclosures of the transaction price allocated to remaining performance obligations if the performance obligation is part of a contract that has an original duration of one year or less. For the Partnership’s product sales that have a contract term greater than one year, the Partnership has utilized the practical expedient in ASC 606-10-50-14(a), which states the Partnership is not required to disclose the transaction price allocated to remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. Under these contracts, each unit of product generally represents a separate performance obligation; therefore, future volumes are wholly unsatisfied and disclosure of the transaction price allocated to remaining performance obligation is not required.

Employee Benefit Plans

Employee Benefit Plans	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Employee Benefit Plans	Employee Benefit Plans In connection with the initial public offering, the board approved grants of 545,000 phantom units with distribution equivalent rights to the non-employee directors, officers and certain key employees. These phantom units will vest ratably over a three year period for the officers and key employees and will fully vest on the one-year anniversary of the grant for the non-employee directors. The phantom units will be settled in common units and distribution equivalents will be paid to holders of outstanding phantom units, including unvested phantom units. The following summarizes the status of nonvested phantom units as of June 30, 2023: (in thousands, except per unit amounts) Weighted Average Grant Date Fair Value Number of Units Nonvested at January 1, 2023 $ — — Grants $ 20.00 545,000 Forfeitures $ 20.00 (10,000) Nonvested at June 30, 2023 $ 20.00 535,000 We recognized compensation expense related to these grants of $1.6 million for the six months ended June 30, 2023 and none for the six months ended June 30, 2022. As of June 30, 2023, we had total deferred compensation expense of $9.1 million. For these non-vested unit awards, we estimate that compensation expense for service periods after June 30, 2023 will be $1.9 million in 2023, $3.5 million in 2024, $3.5 million in 2025 and $0.3 million in 2026. The weighted average remaining vesting period is 2.5 years.

Accrued Liabilities

Accrued Liabilities	6 Months Ended
	Jun. 30, 2023
Payables and Accruals [Abstract]
Accrued Liabilities	Accrued Liabilities Accrued liabilities consist of the following at June 30, 2023 and December 31, 2022: June 30, December 31, Accrued production expenses $ 15,442 $ 19,846 Accrued capital expenditures $ 4,237 $ 6,654 Accrued severance taxes $ 2,676 $ 4,946 Accrued ad valorem taxes $ 2,400 $ 2,420 Other accrued liabilities $ 1,791 $ 262 Total accrued liabilities $ 26,546 $ 34,128

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	6 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplemental Cash Flow Information	Supplemental Cash Flow InformationInterest payments totaled $1.7 million for the six months ended June 30, 2023 and $3.4 million for the six months ended June 30, 2022. Income tax payments were $1.1 million during the six months ended June 30, 2023 and $0.5 million during the six months ended June 30, 2022.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
Subsequent Events	Subsequent EventsWe have evaluated subsequent events through the date the financial statements were available to be issued. See Note 11.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Pay vs Performance Disclosure
Net income (loss)	$ (2,546)	$ 24,478	$ 81,263	$ (41,105)

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Jun. 30, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Basis of Presentation and Sig_2

Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation	The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) and on the same basis as our audited financial statements as of December 31, 2022 included in our Annual Report on Form 10-K for the year ended December 31, 2022. The consolidated balance sheet as of June 30, 2023 and the consolidated statements of operations, members’ equity and cash flows for the periods presented herein are not audited but reflect all adjustments that are of a normal recurring nature and are necessary for a fair statement of results for the periods shown. Certain information and note disclosures normally included in annual financial statements have been omitted pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Because the consolidated interim financial statements do not include all of the information and notes required by US GAAP for a complete set of financial statements, they should be read in conjunction with the audited consolidated financial statements referred to above. The results and trends in these interim financial statements may not be indicative of results for the full year.

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	(in thousands) June 30, December 31, Credit Facility, 8.7% at June 30, 2023 and 7.8% at December 31, 2022 $ 14,000 $ 113,000 September 2016 Loan, 8.4% at June 30, 2023 and 7.4% at December 31, 2022 $ 7,100 $ 7,100 Total Long-term Debt $ 21,100 $ 120,100

Asset Retirement Obligation (Ta

Asset Retirement Obligation (Tables)	6 Months Ended
	Jun. 30, 2023
Asset Retirement Obligation Disclosure [Abstract]
Summary of Changes in Asset Retirement Obligation	The following is a summary of changes in TXO Partners’ asset retirement obligation activity for the six months ended June 30, 2023: (in thousands) Asset retirement obligation, January 1 $ 126,458 Liability incurred upon acquiring and drilling wells 1,151 Liability settled upon plugging and abandoning wells (316) Accretion of discount expense 4,277 Asset retirement obligation, June 30 131,570 Less current portion (2,500) Asset retirement obligation, long term $ 129,070

Fair Value (Tables)

Fair Value (Tables)	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Schedule of Estimated Fair Values and Carrying Values of Other Financial Instruments	The following are estimated fair values and carrying values of our other financial instruments at each of these dates: Asset (Liability) June 30, 2023 December 31, 2022 (in thousands) Carrying Fair Carrying Fair Note receivable from related party $ 7,131 $ 7,131 $ 7,131 $ 7,131 Long-term debt $ (21,100) $ (21,100) $ (120,100) $ (120,100) Derivative asset $ 4,800 $ 4,800 $ 1,532 $ 1,532 Derivative liability $ (22,611) $ (22,611) $ (105,772) $ (105,772)
Summary of Fair Value Measurements and the Level Within the Fair Value Hierarchy	The following table summarizes our fair value measurements and the level within the fair value hierarchy in which the fair value measurements fall. Fair Value Measurements June 30, 2023 December 31, 2022 (in thousands) Significant Significant Significant Significant Note receivable from related party $ 7,131 $ — $ 7,131 $ — Long-term debt $ (21,100) $ — $ (120,100) $ — Derivative asset $ 4,800 $ — $ 1,532 $ — Derivative liability $ (22,611) $ — $ (105,772) $ —
Schedule of Fair Value of Derivative Contracts	The fair value of our derivatives contracts consists of the following: Asset Derivatives Liability Derivatives (in thousands) June 30, December 31, June 30, December 31, Derivatives not designated as hedging instruments: Crude oil futures and differential swaps $ 442 $ 968 $ (3,173) $ (13,594) Natural gas liquids futures $ 282 $ — $ (183) $ (524) Natural gas futures, collars and basis swaps $ 4,076 $ 564 $ (19,255) $ (91,654) Total $ 4,800 $ 1,532 $ (22,611) $ (105,772)
Schedule of Fair Value of Derivative Gain (Loss) Included Earnings	Derivative fair value (gain) loss, included as part of the related revenue line on the consolidated income statements, comprises the following realized and unrealized components: Three Months Ended June 30, Six Months Ended (in thousands) 2023 2022 2023 2022 Net cash (received from) paid to counterparties $ (2,244) $ 27,003 $ 78,194 $ 42,167 Non-cash change in derivative fair value $ 9,065 $ 808 $ (86,429) $ 92,161 Derivative fair value (gain) loss $ 6,821 $ 27,811 $ (8,235) $ 134,328

Commodity Sales Commitments (Ta

Commodity Sales Commitments (Tables)	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments	We have entered into crude oil futures contracts and swap agreements that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period Bbls per Day Weighted Average July 2023—December 2023 2,500 $ 68.87 January 2024—June 2024 2,000 $ 63.27 Production Period Bbls per Day Weighted Average July 2023—December 2023 5,000 $ 1.21 _________________________________ (a) Increases to NYMEX oil price for delivery location Production Period Bbls per Day Weighted Average July 2023—December 2023 3,000 $ 0.89 _________________________________ (a) Increases to NYMEX oil price for roll component We have entered into natural gas liquids futures contracts and swap agreements for ethane that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period Gallons per Day Weighted Average Ethane July 2023—December 2023 63,000 $ 0.27 January 2024—June 2024 63,000 $ 0.23 We have entered into natural gas futures contracts and swap agreements that effectively fix prices for the production and periods shown below. Prices to be realized for hedged production may be less than these fixed prices because of location, quality and other adjustments. See Note 8. Production Period MMBtu per Day Weighted Average July 2023—December 2023 35,000 $ 3.51 January 2024—June 2024 30,000 $ 3.26 We have also entered into gas collars that set a ceiling and floor price for the production and periods shown below. Weighted Average Production Period MMBtu per Day Floor Ceiling January 2024—June 2024 5,000 $ 3.75 $ 7.25 Production Period MMBtu per Day Weighted Average July 2023—December 2023 50,000 $ 0.18 January 2024—December 2024 20,000 $ 0.25 _________________________________ (a) Reductions to NYMEX gas price for delivery location

Earnings per Unit (Tables)

Earnings per Unit (Tables)	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Schedule of Earnings per Unit	The following represents basic and diluted earnings (loss) per Common Unit upon the Reorganization (See Note 1) and corresponding issuance of 5.8 million Common Units for the three and six months ended June 30, 2023 and 2022 : (in thousands, except per unit data) Net income (loss) Units Income (loss) per Unit Three Months Ended June 30, 2023 Basic $ (2,546) 30,750 $(0.08) Effect of dilutive securities — — Diluted $ (2,546) 30,750 $(0.08) Three Months Ended June 30, 2022 Basic $ 24,478 25,000 $0.98 Effect of dilutive securities — — Diluted $ 24,478 25,000 $0.98 Six Months Ended June 30, 2023 Basic $ 81,263 29,772 $2.73 Effect of dilutive securities — 541 Diluted $ 81,263 30,313 $2.68 Six Months Ended June 30, 2022 Basic $ (41,105) 25,000 $(1.64) Effect of dilutive securities — — Diluted $ (41,105) 25,000 $(1.64)

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	See table below for the reconciliation of revenue from contracts with customers and derivative gains and losses. Three Months Ended June 30, 2023 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 44,783 $ 7,322 $ 15,188 $ 67,293 Unrealized gain (loss) on derivatives 3,658 (600) (12,123) (9,065) Realized gain (loss) on derivatives (750) 311 2,683 2,244 Total revenues $ 47,691 $ 7,033 $ 5,748 $ 60,472 Three Months Ended June 30, 2022 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 57,003 $ 13,936 $ 49,749 $ 120,688 Unrealized gain (loss) on derivatives 68 1,068 (1,944) (808) Realized gain (loss) on derivatives (12,933) (2,152) (11,918) (27,003) Total Revenues $ 44,138 $ 12,852 $ 35,887 $ 92,877 Six Months Ended June 30, 2023 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 89,482 $ 15,137 $ 106,017 $ 210,636 Unrealized gain (loss) on derivatives 9,896 622 75,911 86,429 Realized gain (loss) on derivatives $ (2,066) $ 397 $ (76,525) $ (78,194) Total revenues $ 97,312 $ 16,156 $ 105,403 $ 218,871 Six Months Ended June 30, 2022 Oil and Natural gas Natural gas Total (in thousands) Revenue from customers $ 105,410 $ 25,484 $ 86,773 $ 217,667 Unrealized gain (loss) on derivatives (43,132) (6,127) (42,902) (92,161) Realized gain (loss) on derivatives (20,670) (3,384) (18,113) (42,167) Total revenues $ 41,608 $ 15,973 $ 25,758 $ 83,339

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Schedule of Nonvested Phantom Units	The following summarizes the status of nonvested phantom units as of June 30, 2023: (in thousands, except per unit amounts) Weighted Average Grant Date Fair Value Number of Units Nonvested at January 1, 2023 $ — — Grants $ 20.00 545,000 Forfeitures $ 20.00 (10,000) Nonvested at June 30, 2023 $ 20.00 535,000

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	6 Months Ended
	Jun. 30, 2023
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consist of the following at June 30, 2023 and December 31, 2022: June 30, December 31, Accrued production expenses $ 15,442 $ 19,846 Accrued capital expenditures $ 4,237 $ 6,654 Accrued severance taxes $ 2,676 $ 4,946 Accrued ad valorem taxes $ 2,400 $ 2,420 Other accrued liabilities $ 1,791 $ 262 Total accrued liabilities $ 26,546 $ 34,128

Organization and Summary of S_2

Organization and Summary of Significant Accounting Policies (Details)	1 Months Ended
	Jan. 31, 2023 shares	Jun. 30, 2023 representative vote
Related Party Transaction [Line Items]
Representative voting interests, percentage | vote		1
Conversion ratio	0.0394
Conversion of convertible securities (in shares) | shares	10,644,484
Representative
Related Party Transaction [Line Items]
Number of representatives		6
Representative | TXO Energy Partners
Related Party Transaction [Line Items]
Number of representatives		3
Representative | Unincorporated Joint Venture
Related Party Transaction [Line Items]
Number of representatives		3
Unincorporated Joint Venture
Related Party Transaction [Line Items]
Ownership percentage		50%
Cross Timbers Energy
Related Party Transaction [Line Items]
Related party, ownership interest		5%

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Related Party
Related Party Transaction [Line Items]
Management fee revenues	$ 1.4	$ 1.5	$ 2.8	$ 3

Debt - Schedule of Long-Term De

Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Long-term Debt	$ 21,100	$ 120,100
September 2016 Loan | Unsecured Debt
Debt Instrument [Line Items]
Interest rate, stated percentage	8.40%	7.40%
Long-term Debt	$ 7,100	$ 7,100
Secured Debt | November 2021 Credit Facility | Line of Credit
Debt Instrument [Line Items]
Interest rate, stated percentage	8.70%	7.80%
Long-term Debt	$ 14,000	$ 113,000

Debt - Narrative (Details)

Debt - Narrative (Details)	Jun. 28, 2023	Nov. 01, 2021 USD ($)	Sep. 30, 2016	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Sep. 30, 2022
Debt Instrument [Line Items]
Covenant, hedge threshold minimum, period, scenario one	24 months
Covenant, hedge threshold minimum, period, scenario two	12 months
September 2016 Loan | Unsecured Debt | LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate			3.25%
Contingent maturity, term			91 days
Secured Debt | November 2021 Credit Facility | Line of Credit
Debt Instrument [Line Items]
Debt instrument, term		4 years
Maximum borrowing capacity		$ 165,000,000
Debt issuance costs, gross				$ 3,000,000	$ 2,800,000
Accumulated amortization, debt issuance costs				$ 1,200,000	$ 800,000
Covenant, leverage ratio, minimum		1
Covenant, indebtedness to EBITDAX ratio, maximum		3
Unrestricted cash and cash equivalents, maximum		$ 15,000,000
Covenant, leverage ratio threshold, scenario one	0.75
Covenant, hedge threshold minimum, scenario one	0.50	0.50				0.45
Covenant, line of credit threshold	0.20
Covenant, hedge threshold minimum, scenario two	0.35
Covenant, leverage ratio threshold, scenario two	0.5
Covenant, line of credit threshold, scenario two	0.667
Covenant, production hedge, maximum	0.90
Covenant, production hedge, period		30 months				15 months
Unused capacity, commitment fee percentage		0.50%
Secured Debt | November 2021 Credit Facility | Line of Credit | Minimum | SOFR
Debt Instrument [Line Items]
Basis spread on variable rate		3%
Secured Debt | November 2021 Credit Facility | Line of Credit | Minimum | ABR
Debt Instrument [Line Items]
Basis spread on variable rate		2%
Secured Debt | November 2021 Credit Facility | Line of Credit | Maximum | SOFR
Debt Instrument [Line Items]
Basis spread on variable rate		4%
Secured Debt | November 2021 Credit Facility | Line of Credit | Maximum | ABR
Debt Instrument [Line Items]
Basis spread on variable rate		3%

Note Receivable from Related _2

Note Receivable from Related Party (Details) $ in Millions	6 Months Ended
	Jun. 30, 2023 USD ($) d	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Related Party Transaction [Line Items]
Number of business days | d	2
Related Party
Related Party Transaction [Line Items]
Note receivable | $	$ 7.1		$ 7.1
Number of business days | d	2
Interest income | $	$ 0.2	$ 0.1
Cross Timbers Energy
Related Party Transaction [Line Items]
Related party, ownership interest	5%

Asset Retirement Obligation (De

Asset Retirement Obligation (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Balance at beginning of period			$ 126,458
Liability incurred upon acquiring and drilling wells			1,151
Liability settled upon plugging and abandoning wells			(316)
Accretion of discount expense	$ 2,159	$ 1,493	4,277	$ 2,970
Balance at end of period	131,570		131,570
Less current portion	(2,500)		(2,500)		$ (2,500)
Asset retirement obligation, long term	$ 129,070		$ 129,070		$ 123,958

Fair Value - Schedule of Estima

Fair Value - Schedule of Estimated Fair Values and Carrying Values of Other Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Note receivable from related party	$ 7,131	$ 7,131
Long-term debt	(21,100)	(120,100)
Derivative asset	4,800	1,532
Derivative liability	(22,611)	(105,772)
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Note receivable from related party	7,131	7,131
Long-term debt	(21,100)	(120,100)
Derivative asset	4,800	1,532
Derivative liability	$ (22,611)	$ (105,772)

Fair Value - Summary of Fair Va

Fair Value - Summary of Fair Value Measurements and the Level Within the Fair Value Hierarchy (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Significant Other Observable Inputs (Level 2)
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Note receivable from related party	$ 7,131	$ 7,131
Long-term debt	(21,100)	(120,100)
Derivative asset	4,800	1,532
Derivative liability	(22,611)	(105,772)
Significant Unobservable Inputs (Level 3)
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Note receivable from related party	0	0
Long-term debt	0	0
Derivative asset	0	0
Derivative liability	$ 0	$ 0

Fair Value - Narrative (Details

Fair Value - Narrative (Details)	Jun. 30, 2023 d
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Number of business days	2
Discount Rate
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Oil and gas properties, measurement input	0.10

Fair Value - Schedule of Fair V

Fair Value - Schedule of Fair Value of Derivative Contracts (Details) - Not Designated as Hedging Instrument - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Derivative asset	$ 4,800	$ 1,532
Derivative liability	(22,611)	(105,772)
Crude oil futures and differential swaps
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Derivative asset	442	968
Derivative liability	(3,173)	(13,594)
Natural gas liquids futures
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Derivative asset	282	0
Derivative liability	(183)	(524)
Natural gas futures, collars and basis swaps
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Derivative asset	4,076	564
Derivative liability	$ (19,255)	$ (91,654)

Fair Value - Schedule of Fair_2

Fair Value - Schedule of Fair Value of Derivative Gain (Loss) Included Earnings (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Fair Value Disclosures [Abstract]
Net cash (received from) paid to counterparties	$ (2,244)	$ 27,003	$ 78,194	$ 42,167
Non-cash change in derivative fair value	9,065	808	(86,429)	92,161
Derivative fair value (gain) loss	$ 6,821	$ 27,811	$ (8,235)	$ 134,328

Commodity Sales Commitments - S

Commodity Sales Commitments - Schedule of Notional Amounts of Outstanding Derivative Positions (Details) - Designated as Hedging Instrument	Jun. 30, 2023 gal / d MMBTU / d bbl / d $ / MMBTU $ / bbl $ / gal
Futures Contracts And Swaps - Crude Oil 2023
Derivative [Line Items]
Bbls per Day | bbl / d	2,500
Weighted average NYMEX price per unit (in dollars per share) | $ / bbl	68.87
Futures Contracts And Swaps - Crude Oil 2024
Derivative [Line Items]
Bbls per Day | bbl / d	2,000
Weighted average NYMEX price per unit (in dollars per share) | $ / bbl	63.27
Basis Swap - Delivery Location Differential - Crude Oil 2023
Derivative [Line Items]
Bbls per Day | bbl / d	5,000
Weighted average NYMEX price per unit (in dollars per share) | $ / bbl	1.21
Basis Swap - Roll Component Differential - Crude Oil 2023
Derivative [Line Items]
Bbls per Day | bbl / d	3,000
Weighted average NYMEX price per unit (in dollars per share) | $ / bbl	0.89
Futures Contracts And Swaps - Natural Gas Liquids 2023
Derivative [Line Items]
Bbls per Day | gal / d	63,000
Weighted average NYMEX price per unit (in dollars per share) | $ / gal	0.27
Futures Contracts And Swaps - Natural Gas Liquids 2024
Derivative [Line Items]
Bbls per Day | gal / d	63,000
Weighted average NYMEX price per unit (in dollars per share) | $ / gal	0.23
Futures Contracts And Swaps - Natural Gas 2023
Derivative [Line Items]
Bbls per Day | MMBTU / d	35,000
Weighted average NYMEX price per unit (in dollars per share)	3.51
Futures Contracts And Swaps - Natural Gas 2024
Derivative [Line Items]
Bbls per Day | MMBTU / d	30,000
Weighted average NYMEX price per unit (in dollars per share)	3.26
Gas Collars - Natural Gas 2024
Derivative [Line Items]
Bbls per Day | MMBTU / d	5,000
Weighted average NYMEX price per MMBtu, floor (in dollars per share)	3.75
Weighted average NYMEX price per MMBtu, ceiling (in dollars per share)	7.25
Basis Swap - Natural Gas 2023
Derivative [Line Items]
Bbls per Day | MMBTU / d	50,000
Weighted average NYMEX price per unit (in dollars per share)	0.18
Basis Swap - Natural Gas 2024
Derivative [Line Items]
Bbls per Day | MMBTU / d	20,000
Weighted average NYMEX price per unit (in dollars per share)	0.25

Commodity Sales Commitments - N

Commodity Sales Commitments - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Derivative [Line Items]
Realized gain (loss) on derivatives	$ 2,244	$ (27,003)	$ (78,194)	$ (42,167)
Unrealized gain (loss) on derivatives	(9,065)	(808)	86,429	(92,161)
Crude Oil
Derivative [Line Items]
Realized gain (loss) on derivatives	(700)	(12,900)	(2,100)	(20,700)
Unrealized gain (loss) on derivatives	3,700	100	9,900	(43,100)
Natural gas liquids
Derivative [Line Items]
Realized gain (loss) on derivatives	300	(2,200)	400	(3,400)
Unrealized gain (loss) on derivatives	(600)	1,100	600	(6,100)
Gas
Derivative [Line Items]
Realized gain (loss) on derivatives	2,700	(11,900)	(76,500)	(18,100)
Unrealized gain (loss) on derivatives	$ (12,100)	$ (1,900)	$ 75,900	$ (42,900)

Earnings per Unit - Narrative (

Earnings per Unit - Narrative (Details) - shares shares in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023	Jun. 30, 2022
Earnings Per Share [Abstract]
Stock issued during period, new issues (in shares)		5,800	5,800
Restricted units excluded from the calculation of earnings per share (in shares)	538

Earnings per Unit - Schedule of

Earnings per Unit - Schedule of Earnings per Unit (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Net income (loss)
Basic	$ (2,546)	$ 24,478	$ 81,263	$ (41,105)
Effect of dilutive securities	0	0	0	0
Diluted	$ (2,546)	$ 24,478	$ 81,263	$ (41,105)
Units
Basic (in shares)	30,750	25,000	29,772	25,000
Effect of dilutive securities (in shares)	0	0	541	0
Diluted (in shares)	30,750	25,000	30,313	25,000
Income (loss) per Unit
Basic (in dollars per share)	$ (0.08)	$ 0.98	$ 2.73	$ (1.64)
Diluted (in dollars per share)	$ (0.08)	$ 0.98	$ 2.68	$ (1.64)

Partners_ Capital (Details)

Partners’ Capital (Details) - $ / shares	Aug. 08, 2023	May 09, 2023
Subsequent Event [Line Items]
Distribution (in dollars per share)		$ 0.50
Subsequent Event
Subsequent Event [Line Items]
Distribution (in dollars per share)	$ 0.48

Revenue from Contracts with C_3

Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Disaggregation of Revenue [Line Items]
Revenue from customers	$ 67,293	$ 120,688	$ 210,636	$ 217,667
Unrealized gain (loss) on derivatives	(9,065)	(808)	86,429	(92,161)
Realized gain (loss) on derivatives	2,244	(27,003)	(78,194)	(42,167)
Total revenues	60,472	92,877	218,871	83,339
Oil and condensate
Disaggregation of Revenue [Line Items]
Revenue from customers	44,783	57,003	89,482	105,410
Unrealized gain (loss) on derivatives	3,658	68	9,896	(43,132)
Realized gain (loss) on derivatives	(750)	(12,933)	(2,066)	(20,670)
Total revenues	47,691	44,138	97,312	41,608
Natural gas liquids
Disaggregation of Revenue [Line Items]
Revenue from customers	7,322	13,936	15,137	25,484
Unrealized gain (loss) on derivatives	(600)	1,068	622	(6,127)
Realized gain (loss) on derivatives	311	(2,152)	397	(3,384)
Total revenues	7,033	12,852	16,156	15,973
Gas
Disaggregation of Revenue [Line Items]
Revenue from customers	15,188	49,749	106,017	86,773
Unrealized gain (loss) on derivatives	(12,123)	(1,944)	75,911	(42,902)
Realized gain (loss) on derivatives	2,683	(11,918)	(76,525)	(18,113)
Total revenues	$ 5,748	$ 35,887	$ 105,403	$ 25,758

Employee Benefit Plans - Narrat

Employee Benefit Plans - Narrative (Details) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Share-based payment arrangement, expense	$ 1,600,000	$ 0
Deferred compensation expense	9,100,000
2023	1,900,000
2024	3,500,000
2025	3,500,000
2026	$ 300,000
Weighted average remaining contractual term	2 years 6 months
Phantom Share Units (PSUs)
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Number of shares authorized (in shares)	545,000
Phantom Share Units (PSUs) | Employee
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Award vesting period	3 years
Phantom Share Units (PSUs) | Nonemployee
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Award vesting period	1 year

Employee Benefit Plans - Schedu

Employee Benefit Plans - Schedule of Nonvested Phantom Units (Details) - Phantom Share Units (PSUs)	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Weighted Average Grant Date Fair Value
Nonvested at beginning of period (in dollars per share) | $ / shares	$ 0
Grants (in dollars per share) | $ / shares	20
Forfeitures (in dollars per share) | $ / shares	20
Nonvested at end of period (in dollars per share) | $ / shares	$ 20
Number of Units
Nonvested at beginning of period (in shares) | shares	0
Grants (in shares) | shares	545,000
Forfeitures (in shares) | shares	(10,000)
Nonvested at end of period (in shares) | shares	535,000

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Payables and Accruals [Abstract]
Accrued production expenses	$ 15,442	$ 19,846
Accrued capital expenditures	4,237	6,654
Accrued severance taxes	2,676	4,946
Accrued ad valorem taxes	2,400	2,420
Other accrued liabilities	1,791	262
Total accrued liabilities	$ 26,546	$ 34,128

Supplemental Cash Flow Inform_2

Supplemental Cash Flow Information (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Interest payments	$ 1.7	$ 3.4
Income tax payments	$ 1.1	$ 0.5