Income Plays

[Tar_Heel93]

Two "production and distribution" companies I've started following are MNR & TXO. Both use low decline horizontal wells to maintain production and pay out nice distributions. MNR pays approx. 16 % & TXO pays 11.3% Each should have nice leverage to rising oil & gas prices.

[dan_s]

MNR and TXO are both partnerships that pay variable quarterly cash distributions to unitholders. It is best to hold partnership "units" in taxable accounts to the tax benefits. Cash distributions are not taxable. Unit holders get a K-1 at the end of the year, which shows their share of the partnership's taxable income.

I don't follow either one of these partnerships. Spend some time on their websites to get an idea of their business and track record.

Mach Natural Resources LP (MNR) is an independent upstream oil and gas Company focused on the acquisition, development and production of oil, natural gas and NGL reserves in the Anadarko Basin region of Western Oklahoma, Southern Kansas and the panhandle of Texas. For more information, please visit www.machnr.com.

TXO Partners, L.P. (TXO) is a master limited partnership focused on the acquisition, development, optimization and exploitation of conventional oil, natural gas, and natural gas liquid reserves in North America. TXO’s current acreage positions are concentrated in the Permian Basin of West Texas and New Mexico and the San Juan Basin of New Mexico and Colorado. www.txopartners.com