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    What LandBridge (LB)'s First Texas Battery Storage Leases Mean For Shareholders

    Simply Wall St·12/25/2025 13:29:09
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    • LandBridge Company LLC previously announced development agreements with Samsung C&T Renewables subsidiaries to lease acreage for two Battery Energy Storage System projects in Pecos and Loving counties, Texas, totaling 350 MW and targeting commercial operation as early as year-end 2028.
    • These first battery storage projects on LandBridge’s acreage highlight how the company is using its land footprint to expand into grid-supportive renewable infrastructure alongside its conventional energy activities.
    • Next, we’ll examine how this move into battery storage could reshape LandBridge’s investment narrative around recurring, energy-linked land revenues.

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    LandBridge Investment Narrative Recap

    To own LandBridge, you need to believe in its ability to turn a concentrated Permian land position into long term, mostly fee-based income from both conventional and renewable energy uses. The Samsung C&T battery storage agreements support that thesis but do not materially change the key near term swing factor, which is the timing and ramp up of new energy and infrastructure leases, nor the main risk around project delays and long lead times.

    Among recent announcements, the $500 million 6.250% Senior Notes due 2030 and new $275 million revolving credit facility stand out, because they shape LandBridge’s capacity to support long dated projects like battery storage while managing a high debt load. How effectively the company balances this new financing with its pipeline of long lead Permian projects will be central to how those catalysts ultimately flow through to earnings.

    Yet behind the appeal of recurring, energy linked land revenues, investors should be aware that timing risks on long lead projects, combined with a highly concentrated Permian footprint, could...

    Read the full narrative on LandBridge (it's free!)

    LandBridge’s narrative projects $321.7 million revenue and $184.1 million earnings by 2028. This requires 27.2% yearly revenue growth and a $118.8 million earnings increase from $65.3 million today.

    Uncover how LandBridge's forecasts yield a $74.50 fair value, a 40% upside to its current price.

    Exploring Other Perspectives

    LB 1-Year Stock Price Chart
    LB 1-Year Stock Price Chart

    Six fair value estimates from the Simply Wall St Community span roughly US$50 to US$98.31, underlining how far apart views on LandBridge can be. Against that backdrop of wide opinion, the long lead times before major projects like battery storage and power agreements contribute to EBITDA may be a key factor shaping how you interpret the company’s recent performance and future resilience.

    Explore 6 other fair value estimates on LandBridge - why the stock might be worth 6% less than the current price!

    Build Your Own LandBridge Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

    No Opportunity In LandBridge?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.