Diamondback Energy, Inc. is an independent oil and natural gas company that focuses on the acquisition, development, exploration, and exploitation of unconventional, onshore oil and natural gas reserves, primarily in the Permian Basin in West Texas . The company's main business activities revolve around the horizontal development of the Spraberry and Wolfcamp formations of the Midland Basin and the Wolfcamp and Bone Spring formations of the Delaware Basin . Diamondback Energy operates through its upstream segment, which is engaged in oil and natural gas production, and also has midstream operations that include gathering, compression, water handling, disposal, and treatment services .
- Oil Sales - Engages in the production and sale of oil, with significant contributions from both the Midland and Delaware Basins.
- Natural Gas Sales - Involves the production and sale of natural gas, contributing to the company's overall revenue.
- Natural Gas Liquids (NGL) Sales - Produces and sells natural gas liquids, adding to the company's diverse energy product offerings.
- Midstream Operations - Provides services such as gathering, compression, water handling, disposal, and treatment, supporting the company's upstream activities.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Travis D. Stice ExecutiveBoard | CEO, Chairman of the Board | CEO and Director of Viper Energy Partners LP; Board Member of American Petroleum Institute, American Exploration and Production Council, Domestic Energy Producers Alliance, Permian Strategic Partnership, and others. | CEO since 2012, Chairman since 2022. Over 38 years of industry experience, led key mergers, and holds extensive expertise in M&A, sustainability, and risk management. | View Report → |
Daniel N. Wesson Executive | EVP, Chief Operating Officer | None. | Joined in 2012, progressed through operational leadership roles. Holds a degree in Mechanical Engineering and is a member of the Permian Basin Society of Petroleum Engineers. | |
M. Kaes Van’t Hof Executive | President and CFO | President and Director of Viper Energy Partners LP. | Joined in 2016, became President and CFO in 2022. Extensive background in strategy, corporate development, and finance, with prior roles in investment banking and private equity. | |
P. Matt Zmigrosky Executive | EVP, Chief Legal and Administrative Officer, Secretary | None. | Joined in 2019, became EVP in 2023. Former partner at Akin Gump Strauss Hauer & Feld LLP, with extensive legal and administrative expertise. | |
Teresa L. Dick Executive | EVP, Chief Accounting Officer, Assistant Secretary | Director at Bank7 Corp. | Joined in 2007, held various financial leadership roles. CPA with over 25 years of accounting experience, including public company expertise. | |
Charles Meloy Board | Director | None. | Director since 2024. Former EVP of U.S. Onshore Exploration and Production at Anadarko Petroleum. Extensive experience in exploration and production. | |
Darin G. Holderness Board | Director | Board Member at JMR Services LLC. | Director since 2025. Former CFO of Concho Resources and ProPetro Holding Corp. Extensive financial expertise in the energy sector. | |
David L. Houston Board | Director | Chairman of the Oklahoma State University Foundation. | Director since 2012. Extensive experience in wealth management and energy sector investments. Former director at Gulfport Energy and Bronco Drilling. | |
Frank D. Tsuru Board | Director | CEO of Momentum Midstream, Board Member of KU Endowment, Boy Scouts of America, and Yellowstone Academy. | Director since 2022. Extensive experience in midstream and upstream energy sectors, with leadership roles in multiple organizations. | |
Lance Robertson Board | Director | Board Member of Permian Basin Petroleum Association and Permian Strategic Partnership. | Director since 2024. Former CEO of Endeavor Energy Resources, with extensive operational expertise in the Permian Basin. | |
Mark L. Plaumann Board | Director | Managing Member of Greyhawke Capital Advisors LLC; serves on the University of Central Florida Foundation Board. | Director since 2012. Extensive experience in finance, accounting, and private equity energy investments. | |
Melanie M. Trent Board | Lead Independent Director | Director at Arcosa, Inc. and Hyliion Holdings Corp. | Director since 2018. Former EVP and General Counsel at Rowan Companies. Expertise in legal, administrative, and compliance functions. | |
Rebecca A. Klein Board | Director | Director at Avista Corporation, SJW Group, and other organizations; Principal of Klein Energy, LLC. | Joined in 2022. Brings expertise in government, legal, and regulatory matters, as well as sustainability and corporate governance. | |
Robert K. Reeves Board | Director | Member of LSU Foundation Board and MD Anderson Cancer Center Board of Visitors. | Director since 2024. Former EVP and Chief Administrative Officer at Anadarko Petroleum. Expertise in legal, HR, and administrative functions. | |
Stephanie K. Mains Board | Director | CEO of LSC Communications-MCL; Director at Gates Industrial Corporation and LCI Industries. | Director since 2020. Over 30 years of experience in energy, aviation, and transportation industries, with expertise in corporate governance and financial management. | |
Steven E. West Board | Director | Chairman of the Board of Viper Energy Partners LP. | Director since 2011. Former CEO of Diamondback Energy and partner at Wexford Capital. Extensive experience in finance and energy investments. | |
Vincent K. Brooks Board | Director | Director at Jacobs Engineering Group Inc. and Verisk Analytics, Vice Chair of Gary Sinise Foundation, and other roles. | Retired four-star general with over 42 years of military service. Brings expertise in leadership, crisis management, and strategic planning. |
- Given the accelerated synergy realization and cost savings achieved ahead of schedule, will you revise your 2025 CapEx guidance downward from the original $4.1 to $4.4 billion range, and how sustainable are these cost reductions?
- With the plan to reduce operational rigs from 22-24 to 18 while maintaining the same lateral footage, do you foresee any risks to production levels or well performance due to the significant decrease in operational capacity?
- Can you elaborate on the strategic rationale behind your investments in the EPIC pipeline, Deep Blue, and data center projects, and how these non-core investments align with your main business and contribute to shareholder value?
- Regarding the integration of the Endeavor assets, are there any one-time or ongoing costs required to bring these assets up to your operational standards, and how might these impact your CapEx and efficiency targets in 2025 and beyond?
- As the family shareholders reduce their ownership from 35% to 25% to align voting rights with their stake, what implications does this have for corporate governance, and how might it affect your strategic decision-making and relationship with public shareholders?
Research analysts who have asked questions during Diamondback Energy earnings calls.
Arun Jayaram
JPMorgan Chase & Co.
4 questions for FANG
David Deckelbaum
TD Cowen
4 questions for FANG
John Freeman
Raymond James Financial
4 questions for FANG
Kalei Akamine
Bank of America
4 questions for FANG
Kevin MacCurdy
Pickering Energy Partners
4 questions for FANG
Leo Mariani
ROTH MKM
4 questions for FANG
Neil Mehta
Goldman Sachs
4 questions for FANG
Paul Cheng
Scotiabank
4 questions for FANG
Charles Meade
Johnson Rice & Company L.L.C.
3 questions for FANG
Scott Gruber
Citigroup
3 questions for FANG
Bob Brackett
Bernstein Research
2 questions for FANG
Derrick Whitfield
Texas Capital
2 questions for FANG
Neal Dingmann
Truist Securities
2 questions for FANG
Phillip Jungwirth
BMO Capital Markets
2 questions for FANG
Scott Hanold
RBC Capital Markets
2 questions for FANG
Betty Jiang
Barclays
1 question for FANG
Carlos de Alba
Morgan Stanley
1 question for FANG
Derek Whitfield
Texas Capital
1 question for FANG
Douglas Leggate
Wolfe Research
1 question for FANG
Doug Leggate
Wolfe Research
1 question for FANG
Geoff Jay
Daniel Energy Partners
1 question for FANG
Roger Read
Wells Fargo & Company
1 question for FANG
Wei Jiang
Barclays
1 question for FANG
| Customer | Relationship | Segment | Details |
|---|---|---|---|
Vitol Inc. | Purchaser of crude oil & natural gas | All | 2024: 17% of revenue 2023: 22% of revenue 2022: 23% of revenue |
Enterprise Crude Oil LLC | Purchaser of crude oil & natural gas | All | 2024: 15% of revenue 2023: 13% of revenue |
Shell Trading (USA) Company | Purchaser of crude oil & natural gas | All | 2024: 13% of revenue 2023: 14% of revenue 2022: 20% of revenue |
DK Trading & Supply LLC | Purchaser of crude oil & natural gas | All | 2024: 11% of revenue 2023: 18% of revenue |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Double Eagle IV Midco, LLC | 2025 | Planned acquisition involving approximately 6.9 million shares of Diamondback common stock and $3 billion in cash for about 40,000 net acres in the Midland Basin, expected to boost 2026 pro forma free cash flow per share by 5% and support debt reduction plans including a target net debt of $10 billion; scheduled to close on April 1, 2025. |
Endeavor Parent, LLC | 2024 | Completed acquisition where Diamondback acquired 100% of Endeavor Parent, LLC for a total consideration of $27.42 billion (including $7.1 billion in cash, $238 million for debt repayment, and approximately 117.27 million shares), adding about 500,849 gross acres in the Permian Basin to its portfolio and providing industry-leading asset depth with associated governance rights. |
Lario Permian, LLC | 2023 | Completed acquisition valued at approximately $1.447 billion, using $814 million in cash and 4.33 million shares of Diamondback common stock, to acquire approximately 25,000 gross acres (16,000 net acres) in the Midland Basin, enhancing the company’s operational footprint and funded through cash on hand, credit facility borrowings, and proceeds from a senior notes offering. |
Rattler Midstream LP | 2022 | Completed all-stock transaction in which each public unitholder received 0.113 shares of Diamondback common stock per Rattler unit, representing a premium (17.3% on closing prices) that simplified the corporate structure and enhanced the scale of the combined entity; the deal closed on August 24, 2022 and led to the delisting of Rattler’s public units. |
Recent press releases and 8-K filings for FANG.
- Diamondback Energy agreed to sell its EDS water infrastructure business to Deep Blue Midland Basin LLC for $750 million, nearly doubling Deep Blue’s scale.
- Diamondback will receive $675 million in upfront cash, retain a 30 % equity stake in Deep Blue, and may earn up to $200 million in performance-based earnouts through 2028, while renewing a 15-year produced water dedication within the Midland Basin.
- The transaction expands Deep Blue’s platform to 1.2 million bbl/d treatment capacity, 1.6 million bbl/d gathering, 3.4 million bbl/d disposal, 1,871 miles of pipeline, and 783,000 dedicated acres.
- Average production in Q2 2025 was 41,615 bo/d (79,286 boe/d).
- Consolidated net income of $84 million, with $37 million attributable to Viper (EPS $0.28), and $97 million cash available for distribution (CAD $0.74 per share).
- Declared dividends of $0.33 (base) and $0.20 (variable) per Class A share, $0.53 total (5.8% annualized yield).
- Signed agreement to acquire Sitio Royalties Corp for $4.1 billion (all-equity), and completed a $1.6 billion senior notes offering ($500 M 2030 at 4.900%, $1.1 B 2035 at 5.700%).
- Guidance for Q3 2025 production of 46,000–49,000 bo/d (86,000–92,000 boe/d).
- Generated 495.7 MBO/d of oil (919.9 MBOE/d) and $1.7 billion of net operating cash flow (OCF before working capital: $2.1 billion) in Q2 2025.
- Invested $864 million in cash capital expenditures, delivering $1.2 billion of Free Cash Flow and $1.3 billion of Adjusted Free Cash Flow.
- Returned capital via a $1.00 per-share quarterly dividend and repurchased 2.99 million shares for $398 million; board raised buyback authorization by $2.0 billion to $8.0 billion.
- Updated 2025 guidance: narrowed oil output to 485–492 MBO/d, raised BOE guidance to 890–910 MBOE/d, and cut capex to $3.4–$3.6 billion.
- On June 12, 2025, Diamondback Energy entered into the sixteenth amendment to its Second Amended and Restated Credit Agreement, extending the maturity date from June 2, 2028 to June 12, 2030.
- The amendment reduces borrowing costs, setting margins of 0.000–0.750% for alternate base rate loans and 1.000–1.750% for Term SOFR loans, and lowers the commitment fee to 0.100–0.250% on unused commitments.
- Diamondback Energy, Inc. reported that its subsidiary, Viper Energy, Inc., entered into a merger agreement for acquiring Sitio Royalties Corp. in an all-equity transaction.
- The deal is valued at approximately $4.1 billion, which includes Sitio’s net debt of about $1.1 billion as of March 31, 2025.
- The Diamondback stockholders executed a support agreement that restricts the transfer of Viper common stock for 90 days following the transaction’s closing.
- Viper Energy, a Diamondback Energy subsidiary, will acquire Sitio Royalties in an all-stock transaction valued at $4.1 billion (including $1.1 billion debt) at 0.4855 share/unit exchange ratios.
- The deal adds ~34,300 net royalty acres (25,300 in the Permian Basin; ~9,000 across DJ, Eagle Ford, and Williston) to Viper’s portfolio.
- The acquisition is expected to be 8–10% accretive to cash available for distribution per share, enabling a 10% base dividend increase and reducing the breakeven to below $20 WTI.
- Closing is anticipated in Q3 2025, after which Diamondback Energy will hold about 41% of Viper Energy, creating a leading public mineral and royalty company.
- Travis D. Stice stepped down as CEO and was elevated to Executive Chairman, with Kaes Van’t Hof succeeding him as CEO, effective May 21, 2025.
- At the 2025 Annual Meeting, the board re-elected multiple directors and approved advisory executive compensation, while proposals regarding auditor ratification and executive severance were also voted on.
- Additionally, long-time director David L. Houston retired and did not stand for re-election, reflecting a broader leadership transition.
- Robust Free Cash Flow: Generated $1,545 million of FCF and $1,583 million of Adjusted FCF, underlining strong operational performance.
- Capital Return Focus: Declared a base dividend of $1.00 per share and executed a total return of capital of $864 million (≈55% of Adjusted FCF).
- Solid Production & Cost Efficiency: Achieved oil production of 475.9 Mbo/d with operating cash flow before working capital changes of $2.5 billion and best-in-class cost metrics.
- Capital Plan Adjustments: Reduced CapEx by $400 million, cutting 3 drilling rigs and 1 frac spread to better align with the challenging oil macro environment.
- Production Guidance: Expected near-term net production to remain flat around 475,000 to 500,000 barrels per day, with a short-term dip in Q2 (down approximately 20,000 net barrels per day) supported by a strong DUC backlog.
- Shareholder Returns Focus: Targeting roughly 70-75% of free cash flow for share buybacks and dividends, alongside efforts to reduce debt.
- Challenging market conditions: The letter highlights global economic uncertainty and increased OPEC+ production, resulting in lower oil prices and rising volatility that are impacting the U.S. oil and gas industry.
- Capital efficiency focus: The company is prioritizing free cash flow generation by reducing capital expenditures and activity levels, favoring share repurchases and debt reduction over volume growth.
- Industry trends: It notes a decline in frac crew and rig counts, suggesting that U.S. onshore oil production may have peaked and could decline further if oil prices continue to remain weak.
- Operational update: Diamondback Energy reported Q1 2025 production of 475.9 MBO/d with detailed pricing metrics including unhedged oil at $70.95 per barrel and hedged oil at $70.06 per barrel, reflecting their comprehensive performance update.
- Capital and derivative activities: The company achieved a total derivative gain of $226 million and repurchased 3,656,044 shares for $575 million in Q1 2025, demonstrating proactive capital management amid market volatility.