What dominates the section
- Oil and gas royalty revenue is exposed to commodity prices, production decisions, reserve estimates, and decarbonization trends.
- TPWR’s newer water business faces customer spending, competition, regulation, operating costs, and supply-chain pressures.
- Land-sale revenue fluctuates substantially, while weather and other disruptions can affect royalties and water services.
The risks most specific to Texas Pacific Land
- Risks Related to Our Business
Our oil and gas royalties are dependent upon the market prices of oil and gas which fluctuate
Lower oil and gas prices directly reduce revenue from TPL’s oil and gas royalty interests.
- Risks Related to Our Business
We are not an oil and gas producer. Our revenues from oil and gas royalties are subject to the actions of others
TPL does not operate the wells; declining production or insufficient investment by operators could reduce royalty revenue.
- Risks Related to Our Business
Our revenues from the sale of land are subject to substantial fluctuation. Land sales are subject to many factors that are beyond our control
Land-sale prices, acreage sold, and transaction volume can vary substantially between periods and may not predict future sales.
- Risks Related to Our Business
Demand for TPWR’s products and services is substantially dependent on the levels of expenditures by our customers
TPWR depends on oil and gas customers’ exploration and production spending, which reflects their finances, capital priorities, and price expectations.
- Risks Related to Our Business
We face the risks of doing business in a new and rapidly evolving market for TPWR and may not be able to successfully address such risks and achieve acceptable levels of success or profits
TPWR may struggle in its new, rapidly evolving market because of competition, operating-cost volatility, or insufficient or lost customers.
- Risks Related to Our Business
The impact of government regulation on TPWR could adversely affect our business
Water-use, environmental, and safety regulation could increase TPWR’s costs and delay wells, water facilities, and related operations.
- Risks Related to Our Business
Our estimated proved developed producing reserves are based on many assumptions that may prove to be inaccurate. Any inaccuracies in these estimates or underlying assumptions may materially affect the quantities and present value of our reserves
TPL’s proved producing reserve estimates depend on uncertain underground measurements, commodity prices, production, recovery, and cost assumptions.
- Risks Related to Our Business
A third party has refused to continue to fulfill its obligations under existing arrangements to which the Trust was a party in connection with the completion of our Corporate Reorganization, and thereby may cause us to lose certain benefits that the Trust historically received
A third party’s refusal to honor post-reorganization arrangements could cause TPL to lose benefits historically received by the Trust.
- Risks Related to Our Industry
Our business and financial results could be disrupted by natural or human causes beyond our control
Severe weather, drought-related aquifer declines, floods, and other natural or human events could disrupt royalty and water-service operations.
- Risks Related to Our Industry
Our business and financial results are subject to major trends in our industry, such as decarbonization, and may be adversely affected by future developments that are out of our control
Decarbonization and other industry changes could reduce the value of TPL’s oil- and gas-linked land and royalty interests.
All 19 risk factors
Headings as the filing states them, in filing order.
Risks Related to Our Business
- 01Our oil and gas royalties are dependent upon the market prices of oil and gas which fluctuate
- 02We are not an oil and gas producer. Our revenues from oil and gas royalties are subject to the actions of others
- 03Our revenues from the sale of land are subject to substantial fluctuation. Land sales are subject to many factors that are beyond our control
- 04Demand for TPWR’s products and services is substantially dependent on the levels of expenditures by our customers
- 05We face the risks of doing business in a new and rapidly evolving market for TPWR and may not be able to successfully address such risks and achieve acceptable levels of success or profits
- 06The impact of government regulation on TPWR could adversely affect our business
- 07Our estimated proved developed producing reserves are based on many assumptions that may prove to be inaccurate. Any inaccuracies in these estimates or underlying assumptions may materially affect the quantities and present value of our reserves
- 08If any of these assumptions prove to be incorrect, our estimates of PDP reserves, the classifications of reserves based on risk of recovery and our estimates of the future net cash flows from our reserves could change significantly
- 09The loss of key members of our management team or difficulty attracting and retaining experienced technical personnel could reduce our competitiveness and prospects for future success
- 10We face direct and indirect supply chain risks that may adversely affect our business
- 11A third party has refused to continue to fulfill its obligations under existing arrangements to which the Trust was a party in connection with the completion of our Corporate Reorganization, and thereby may cause us to lose certain benefits that the Trust historically received
Risks Related to Our Common Stock
- 12The market price of our Common Stock may fluctuate significantly
- 13The issuance of additional Common Stock in the future would dilute other stockholders
- 14We may not continue to pay dividends or to pay dividends at the same rate as previously paid
- 15We will evaluate whether to repurchase our outstanding Common Stock in the future and we cannot guarantee the timing or amount of share repurchases, if any
- 16State law and anti-takeover provisions could enable our Board to resist a takeover attempt by a third party and limit the power of our stockholders
Risks Related to Our Industry
- 17Our business and financial results could be disrupted by natural or human causes beyond our control
- 18Our business and financial results are subject to major trends in our industry, such as decarbonization, and may be adversely affected by future developments that are out of our control
- 19Our business could be negatively affected as a result of the actions of activists
Other Texas Pacific Land 10-Ks
- 2026 10-K risk factors
21 risks. Oil and gas royalties dominate, exposed to commodity prices, third-party production decisions and uncertain reserve estimates.
Filed Feb 18, 2026
About this page
Item 1A of the 10-K on EDGAR was split into its risk factors and, where the company's previous 10-K is on file, each heading was matched to last year's and the text compared word for word. The headings are the filing's own. The one-line readings and the overview were written by a language model from the text of the new, dropped, and rewritten risks; they refer to risks by position and cannot misquote a heading.