01:04 PM EST, 12/13/2024 (MT Newswires) -- Freehold Royalties ( FRHLF ) said Friday it closed its $259-million acquisition of mineral titles and royalty interests from oil and gas production on some properties in the Midland Basin in Texas.

The acquisition brings 1,500 to 1,600 barrels of oil equivalent per day of premium priced, light oil weighted production and will produce an estimated $37 million in 2025 royalty revenue.

In connection with the acquisition, Freehold increased its credit facilities by $50 million to $450 million. The committed revolving credit facility increased from $380 million to $430 million while the operating facility remained unchanged at $20 million.

The agreement also carries an option to increase the revolving facility by an additional $50 million, subject to the consent of the lenders.

Freehold also declared a monthly dividend of $0.09 per share to be paid on Jan. 15 to shareholders of record on Dec. 31.

The company's shares were last seen down $0.03 to $13.01 on the Toronto Stock Exchange.

Price: 13.00, Change: -0.04, Percent Change: -0.31