Warren mentioned the TPLT as his second stock purchase as a youth.
There’s a link back to OXY - and thus Berkshire - today. It comes about via OXY’s purchase of Anadarko. A good part of Anadarko’s Permian reserves and land had been purchased from the TPLT successor. So they owned not only that land but the mineral rights of that land directly, not through a lease.
That means they don’t have to pay royalties on production from that land. Nor do they have to meet minimum production requirements. That makes that land and O&G reserves more valuable than land leased from another land owner. That increases OXY’s cash flow and flexibility.
Should OXY, for some reason, get into financial trouble down the road, then that land ownership strengthens the assets behind BRK’s preferred stock.
Just a bit of trivia I learned a week ago from a friend - a now retired “land man” who was active in O&G leasing in the past.