A debt-free balance sheet, elevated oil prices, and a pause in new drilling activity gave the Bakken partnership room to return extra cash to investors.

May 22, 2026

Energy 11, L.P., the Fort Worth-based Delaware limited partnership with non-operated working interests in North Dakota’s Sanish field, announced that it will pay a special distribution to common unit holders in July 2026, signaling improved financial flexibility following a challenging 2025.

The general partner approved a special distribution of $0.12 per common unit that will be paid alongside the regularly scheduled June 2026 distribution of $0.12 per unit. Combined, common unit holders on record as of June 30, 2026 will receive $0.24 per unit — approximately $4.6 million in aggregate — on July 6, 2026. The special distribution is designed to reduce the Partnership’s accumulated unpaid distribution balance.

The move marks a notable shift in the Partnership’s cash management approach following a year in which Energy 11 reported a 23% revenue decline and saw distributions trimmed to $1.40 per unit from $1.45 per unit in 2024. Through April 2026, the Partnership had already distributed $0.46 per common unit for the year, totaling roughly $8.7 million. The May 2026 distribution of $0.12 per unit is scheduled for payment on June 3, 2026.

Three Drivers Behind the Special Payout

Several factors drove the decision to issue the special distribution, according to the Partnership:

• Debt-free balance sheet: Energy 11 currently carries no outstanding debt, having paid down its BancFirst credit facility balance during 2025.
• No new drilling planned: The Partnership’s primary operator, Chord Energy Corporation, has no immediate plans to drill new wells on Partnership acreage during the remainder of 2026, reducing near-term capital expenditure requirements.
• Elevated commodity prices: Higher oil prices have boosted cash flow from operations.

Favorable Price Environment

The price environment has indeed shifted favorably for oil producers in early 2026. Following escalation of conflict involving the United States, Israel, and Iran in late February and early March, oil prices surged above $100 per barrel briefly in March before settling at elevated levels. This rally provided a significant boost to producers like Energy 11 after a difficult 2025 in which oil prices declined to multi-year lows.

Accumulated Unpaid Distributions

Even after the special distribution, the Partnership continues to carry a substantial backlog of accumulated unpaid distributions. The Partnership accrues unpaid distributions at a 7% annualized rate, and all such accumulated amounts must be paid before final Payout occurs under the Partnership Agreement. Following the special distribution, the accumulated unpaid distribution balance will total $2.083789 per common unit, or approximately $39.5 million in aggregate — down from the roughly $42 million reported at the end of 2025.

The general partner indicated it will continue to monitor monthly distributions in light of the Partnership’s projected cash needs for operations, capital expenditures for any future wells, and debt service requirements.