Diamondback Energy, Inc.FANG
Diamondback Energy, Inc. Debt Disclosure
DEBT
The Company’s debt consisted of the following as of the dates indicated:
| December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| (In millions) | |||||||||||
3.250% Senior Notes due 2026 | $ | 749 | $ | 750 | |||||||
5.625% Senior Notes due 2026(1) | 14 | 14 | |||||||||
5.200% Senior Notes due 2027 | 850 | 850 | |||||||||
7.125% Medium-term Notes, Series B, due 2028 | 73 | 73 | |||||||||
3.500% Senior Notes due 2029 | 915 | 915 | |||||||||
5.150% Senior Notes due 2030 | 850 | 850 | |||||||||
3.125% Senior Notes due 2031 | 740 | 767 | |||||||||
6.250% Senior Notes due 2033 | 1,100 | 1,100 | |||||||||
5.400% Senior Notes due 2034 | 1,300 | 1,300 | |||||||||
5.550% Senior Notes due 2035 | 1,200 | — | |||||||||
4.400% Senior Notes due 2051 | 386 | 650 | |||||||||
4.250% Senior Notes due 2052 | 605 | 750 | |||||||||
6.250% Senior Notes due 2053 | 650 | 650 | |||||||||
5.750% Senior Notes due 2054 | 1,480 | 1,500 | |||||||||
5.900% Senior Notes due 2064 | 1,000 | 1,000 | |||||||||
| Tranche A Loans | — | 900 | |||||||||
| 2025 Term Loan | 550 | — | |||||||||
| Unamortized debt issuance costs | (99) | (91) | |||||||||
| Unamortized discount costs | (22) | (25) | |||||||||
| Unamortized premium costs | 2 | 3 | |||||||||
Unamortized basis adjustment of dedesignated interest rate swap agreements(2) | (59) | (72) | |||||||||
| Viper revolving credit facility | 105 | 261 | |||||||||
Viper 5.375% Senior Notes due 2027 (discharged) | — | 430 | |||||||||
Viper 4.900% Senior Notes due 2030 | 500 | — | |||||||||
Viper 7.375% Senior Notes due 2031 | — | 400 | |||||||||
Viper 5.700% Senior Notes due 2035 | 1,100 | — | |||||||||
| Viper 2025 Term Loan | 500 | — | |||||||||
| Total debt, net | 14,489 | 12,975 | |||||||||
| Less: current maturities of debt | 763 | 900 | |||||||||
| Total long-term debt | $ | 13,726 | $ | 12,075 | |||||||
(1)QEP remained the issuer of these senior notes subsequent to becoming a wholly owned subsidiary of the Company.
(2)Represents the unamortized basis adjustment related to two receive-fixed, pay variable interest rate swap agreements which were previously designated as fair value hedges of the Company’s 3.500% fixed rate senior notes due 2029 (the “2029 Notes”). This basis adjustment is being amortized to interest expense over the remaining term of the 2029 Notes utilizing the effective interest method. See Note 12—Derivatives for further discussion on the interest rate swaps.
Debt maturities as of December 31, 2025, excluding debt issuance costs, premiums and discounts and the unamortized basis adjustment of dedesignated interest rate swap agreements are as follows:
| Year Ending December 31, | |||||
| (In millions) | |||||
| 2026 | $ | 763 | |||
| 2027 | 1,900 | ||||
| 2028 | 73 | ||||
| 2029 | 915 | ||||
| 2030 | 1,455 | ||||
| Thereafter | 9,561 | ||||
| Total | $ | 14,667 | |||
References in this section to the Company shall mean Diamondback Energy, Inc. and Diamondback E&P, collectively, unless otherwise specified.
Credit Agreement
On June 12, 2025, Diamondback E&P, as borrower, and Diamondback Energy, Inc., as parent guarantor, entered into a sixteenth amendment to the existing credit agreement (the “Credit Agreement”), which among other things (i) extended the maturity date to June 12, 2030, and (ii) decreased the interest rate as discussed below. The Credit Agreement provides for a maximum credit amount of $2.5 billion, which may be further increased to a total maximum commitment of $2.6 billion. As of December 31, 2025, the Company had no outstanding borrowings and approximately $2.5 billion available for future borrowings under the Credit Agreement. During the years ended December 31, 2025, 2024 and 2023, the weighted average interest rate on borrowings under the Credit Agreement was 5.60%, 6.33% and 6.31%, respectively.
After giving effect to the amendment, outstanding borrowings under the Credit Agreement bear interest at a per annum rate elected by Diamondback E&P that is equal to (i) term SOFR or (ii) an alternate base rate (which is equal to the greatest of the prime rate, the Federal Funds effective rate plus 0.50%, and 1-month term SOFR plus 1.0%, subject to a 1.0% floor), in each case plus the applicable margin. The applicable margin ranges from 0.000% to 0.750% per annum in the case of the alternate base rate and from 1.000% to 1.750% per annum in the case of term SOFR, in each case based on the pricing level, and the commitment fee ranges from 0.100% to 0.250% per annum on the average daily unused portion of the commitments, based on the pricing level. The pricing level depends on the Company’s long-term senior unsecured debt ratings.
The Credit Agreement contains a financial covenant that requires the Company to maintain a Total Net Debt to Capitalization Ratio (as defined in the Credit Agreement) of no more than 65%. As of December 31, 2025, the Company was in compliance with all financial maintenance covenants under the revolving credit facility, as then in effect.
Viper’s Revolving Credit Facility
On June 12, 2025, Former Viper, as guarantor, entered into a credit agreement with Viper LLC, as borrower, and Wells Fargo, as the administrative agent (the “Viper Revolving Credit Facility”), which among other things, provides the borrower with a senior unsecured revolving credit facility with a commitment of $1.5 billion. The Viper Revolving Credit Facility has a maturity date of June 12, 2030, with the ability to request three extensions of the maturity date by one year. The Viper Revolving Credit Facility was previously guaranteed by certain subsidiaries of the borrower, and upon completion of the Sitio Acquisition, those subsidiary guarantees were released and New Viper and Former Viper became co-guarantors. The Viper Revolving Credit Facility replaced the borrower’s previous revolving credit facility, dated July 20, 2018, among Viper, the borrower and Wells Fargo as amended, restated, amended and restated, supplemented or otherwise modified prior to June 12, 2025. As of December 31, 2025, there were $105 million in outstanding borrowings and $1.4 billion available for future borrowings under the Viper Revolving Credit Facility. During the years ended December 31, 2025, 2024 and 2023, respectively, the weighted average interest rates on borrowings under Viper’s respective revolving credit facilities were 6.02%, 7.34% and 7.41%.
Borrowings under the Viper Revolving Credit Facility bear interest at a per annum rate elected by the borrower that is equal to term SOFR or an alternate base rate (which is equal to the greatest of the prime rate, the federal funds effective rate plus 0.50% and 1-month term SOFR plus 1.0%, subject to a 1.0% floor), in each case plus the applicable margin. The applicable margin ranges from 0.125% to 1.000% per annum in the case of the alternative base rate loans and from 1.125% to 2.000% per annum in the case of term SOFR loans, in each case based on the pricing level. Further, the commitment fee ranges from 0.125% to 0.325% per annum on the average daily unused portion of the commitment, again based on the pricing level. The pricing level depends on the rating of Viper’s long-term senior unsecured debt by certain ratings agencies.
The Viper Revolving Credit Facility contains a financial covenant that requires Viper to maintain a Total Net Debt to Capitalization Ratio (as defined in the Viper Revolving Credit Facility) of no more than 65%. As of December 31, 2025, the borrower was in compliance with all financial maintenance covenants under the Viper Revolving Credit Facility.
On December 23, 2025, Viper Energy Partners LLC converted its legal form (the “Viper LLC Conversion”), in accordance with the applicable laws of the State of Delaware, to a Delaware limited partnership named Viper Energy Partners LP (“Viper LP”), which is now the borrower under the Viper Revolving Credit Facility.
Term Loan Agreements
Diamondback Term Loan Agreements
2025 Term Loan
In connection with the Double Eagle Acquisition, Diamondback Energy, Inc., as guarantor, entered into a term loan credit agreement with Diamondback E&P, as borrower, and Bank of America, N.A., as administrative agent (the “2025 Term Loan”) on March 21, 2025.
The 2025 Term Loan provided the Company with the ability to borrow up to $1.5 billion on an unsecured basis to fund a portion of the cash consideration and expenses for the Double Eagle Acquisition. On April 1, 2025, the date of closing of the Double Eagle Acquisition, the 2025 Term Loan was fully drawn in a single borrowing. Any then-outstanding amounts will mature and be payable in full on the second anniversary of the initial funding date.
During the year ended December 31, 2025, the weighted average interest rate on borrowings under the 2025 Term Loan was 5.64%.
Outstanding borrowings under the 2025 Term Loan bear interest at a per annum rate elected by the Company that is equal to (i) term SOFR plus 0.10% (“Adjusted Term SOFR”) or (ii) an alternate base rate (which is equal to the greatest of (a) the Federal Funds effective rate plus 0.50%, (b) the prime rate, (c) Adjusted Term SOFR plus 1.0%, and (d) 1.0%), in each case plus the applicable margin. The applicable margin ranges from 0.125% to 1.000% per annum in the case of the alternate base rate and from 1.125% to 2.000% per annum in the case of Adjusted Term SOFR, in each case based on the pricing level, and the commitment fee is equal to 0.125% per annum on the aggregate principal amount of the commitments. The pricing level depends on the Company’s long-term senior unsecured debt ratings.
Tranche A Loans
On February 29, 2024, Diamondback Energy, Inc., as guarantor, entered into a term loan credit agreement with Diamondback E&P, as borrower, and Citibank, N.A., as administrative agent, which at the time of borrowing was comprised of $1.0 billion of Tranche A Loans. The Tranche A Loans were fully drawn to fund a portion of the cash consideration for the Endeavor Acquisition.
On May 5, 2025, the Company used the cash proceeds received from the 2025 Drop Down to repay in full and terminate the $900 million remaining outstanding Tranche A Loans. During the years ended December 31, 2025 and 2024, the weighted average interest rate on borrowings under the Tranche A Loans was 5.87% and 6.13%, respectively.
Viper Term Loan Agreement
Viper 2025 Term Loan
On July 23, 2025, in connection with the Sitio Acquisition, Former Viper, as guarantor, entered into a term loan credit agreement with Viper LLC, as borrower, and Goldman Sachs Bank USA, as administrative agent, (the “Viper 2025 Term Loan”).
The Viper 2025 Term Loan provided Viper with the ability to borrow up to $500 million on a senior unsecured basis to fund a portion of the retirement of Sitio’s net debt, in connection with the Sitio Acquisition. On August 19, 2025, the date of closing of the Sitio Acquisition, the Viper 2025 Term Loan was fully drawn in a single borrowing. Any then-outstanding amounts will mature and be payable in full on the second anniversary of the initial funding date. In connection with the closing of the Sitio Acquisition, New Viper became a co-guarantor of the Viper 2025 Term Loan. During the year ended December 31, 2025, the weighted average interest rate on borrowings under the Viper 2025 Term Loan was 5.72%.
Borrowings under the Viper 2025 Term Loan bear interest at a per annum rate elected by the borrower that is equal to SOFR or an alternate base rate (which is equal to the greatest of the prime rate, the federal funds effective rate plus 0.50% and 1-month term SOFR plus 1.0%, subject to a 1.0% floor), in each case plus the applicable margin. The applicable margin ranges from 0.250% to 1.125% per annum in the case of the alternate base rate loans and from 1.250% to 2.125% per annum in the case of term SOFR loans, in each case based on the pricing level. The pricing level depends on the rating of Viper’s long-term senior unsecured debt by certain ratings agencies. In addition, the fee on undrawn commitments is equal to 0.20% per annum on the aggregate principal amount of such commitments.
Following the Viper LLC Conversion, Viper LP, as successor to Viper Energy Partners LLC, became the borrower under the Viper 2025 Term Loan.
Issuance of Notes
2025 Issuance of Notes
Diamondback Senior Notes
On March 20, 2025, the Company issued $1.2 billion aggregate principal amount of 5.550% Senior Notes due April 1, 2035 (the “2035 Notes”), which are included in the Company’s Guaranteed Senior Notes. The Company received net proceeds of $1.19 billion, after underwriters’ discounts and transaction costs. Interest on the 2035 Notes is payable semi-annually on April 1 and October 1 of each year, which commenced on October 1, 2025. The Company used the net proceeds to fund a portion of the cash consideration for the Double Eagle Acquisition.
Viper Senior Notes
On July 23, 2025, Viper LLC, as issuer, and Former Viper, as guarantor, issued $1.6 billion in aggregate principal amount of senior notes consisting of (i) $500 million aggregate principal amount of 4.900% Senior Notes due August 1, 2030 (the “Viper 2030 Notes”), and (ii) $1.1 billion aggregate principal amount of 5.700% Senior Notes due August 1, 2035 (the “Viper 2035 Notes” and together with the Viper 2030 Notes, the “Viper 2025 Notes”). Viper received net proceeds of approximately $1.58 billion, after underwriters’ discounts and transaction costs. Interest on the Viper 2025 Notes is payable semi-annually in February and August of each year, beginning on February 1, 2026. Concurrently, Viper used approximately $824 million of the proceeds to redeem approximately $780 million in aggregate principal amounts of the Viper Notes, including accrued interest due and applicable redemption premiums. Following the closing of the Sitio Acquisition, Viper used the remaining proceeds from the issuance of the Viper 2025 Notes to (i) retire Sitio’s 7.875% senior notes due 2028, (ii) partially repay borrowings under Sitio’s revolving credit facility, (iii) pay fees, costs and expenses related to the redemption or repayment of such debt, and (iv) for general corporate purposes. The Viper 2025 Notes have been registered under the Securities Act. Following the Viper LLC Conversion, Viper LP, as successor to Viper Energy Partners LLC, became the issuer with respect to the Viper 2025 Notes.
2024 Issuance of Notes
On April 18, 2024, Diamondback Energy, Inc., as borrower, and Diamondback E&P, as guarantor, issued an aggregate of $5.5 billion in senior notes, consisting of (i) $850 million aggregate principal amount of 5.200% Senior Notes due April 18, 2027 (the “2027 Notes”), (ii) $850 million aggregate principal amount of 5.150% Senior Notes due January 30, 2030 (the “2030 Notes”), (iii) $1.3 billion aggregate principal amount of 5.400% Senior Notes due April 18, 2034 (the “2034 Notes”), (iv) $1.5 billion aggregate principal amount of 5.750% Senior Notes due April 18, 2054 (the “2054 Notes”), and (v) $1.0 billion aggregate principal amount of 5.900% Senior Notes due April 18, 2064 (the “2064 Notes” and together with the 2027 Notes, the 2030 Notes, the 2034 Notes and the 2054 Notes, the “April 2024 Notes”). The April 2024 Notes are included in the Company’s Guaranteed Senior Notes. The Company received net proceeds of $5.5 billion, after underwriters’ discounts and transaction costs. Interest on the 2030 Notes is payable semi-annually on January 30 and July 30 of each year, beginning on July 30, 2024. Interest on each other series of notes will be payable semi-annually on April 18 and October 18 of each year. The Company used the net proceeds from the April 2024 Notes to fund a portion of the cash consideration for the Endeavor Acquisition.
Retirement of Notes
Diamondback Retirement of Notes
During the year ended December 31, 2025, the Company opportunistically repurchased an aggregate principal amount of approximately $455 million of its senior notes, which consisted of $27 million of the 3.125% Senior Notes due 2031, $263 million of the 4.400% Senior Notes due 2051, $145 million of the 4.250% Senior Notes due 2052 and $20 million of the 5.750% Senior Notes due 2054, in open market transactions for total cash consideration, including accrued interest paid, of approximately $363 million, at an average of 79.3% of par value. These repurchases resulted in a gain on extinguishment of debt of approximately $88 million during the year ended December 31, 2025.
During the year ended December 31, 2024, the Company opportunistically repurchased an aggregate principal amount of approximately $28 million of its senior notes, which consisted of $22 million of its 3.125% Senior Notes due 2031 and $6 million of its 3.500% Senior Notes due 2029 for total cash consideration, including accrued interest paid of $25 million. These repurchases resulted in an immaterial gain on extinguishment of debt during the year ended December 31, 2024.
Viper Retirement of Notes
During the second quarter of 2025, Viper opportunistically repurchased principal amounts of $50 million of its 5.375% Senior Notes due 2027 (the “Viper 2027 Notes”) in open market transactions for total cash consideration of $50 million, at an average of 99.7% of par value, resulting in an immaterial gain on extinguishment of debt for the year ended December 31, 2025.
On July 23, 2025, using proceeds from the issuance of the Viper 2025 Notes, Viper (i) redeemed all of its outstanding 7.375% Senior Notes maturing on November 1, 2031, (the “Viper 2031 Notes”), which were issued in October 2023 to partially fund the cash portion of the GRP Acquisition, for total cash consideration of approximately $434 million including the applicable redemption premium of 106.8% of par and accrued and unpaid interest up to, but not including, the redemption date, and (ii) deposited approximately $390 million to redeem all of its outstanding Viper 2027 Notes on November 1, 2025, for total cash consideration, including payment of interest due to, but not including, the redemption date at a redemption price equal to 100% of the principal amount of the Viper 2027 Notes. The redemption of the Viper 2031 Notes resulted in a loss on extinguishment of debt of $32 million.
Guaranteed Senior Notes
The Guaranteed Senior Notes are the Company’s senior unsecured obligations and are fully and unconditionally guaranteed by Diamondback E&P, are senior in right of payment to any of the Company’s future subordinated indebtedness and rank equal in right of payment with all of the Company’s existing and future senior indebtedness.
The Viper 2025 Notes (i) are senior unsecured obligations and are fully and unconditionally guaranteed by Former Viper, and, following the closing of the Sitio Acquisition, also by New Viper, (ii) are senior in right of payment to any of Viper’s future subordinated indebtedness, and (iii) rank equal in right of payment with all of Viper’s existing and future
senior indebtedness. The Company does not guarantee the Viper 2025 Notes. In the future, each of Viper’s restricted subsidiaries that either (i) guarantees any of its or a guarantor’s indebtedness, or (ii) is a domestic restricted subsidiary and is an obligor with respect to any indebtedness under any credit facility will be required to guarantee the Viper 2025 Notes.
Interest Expense
The following amounts have been incurred and charged to interest expense for the years ended December 31, 2025, 2024 and 2023:
| Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (In millions) | |||||||||||||||||
| Interest expense | $ | 837 | $ | 624 | $ | 346 | |||||||||||
| Other fees and expenses | 4 | 3 | 2 | ||||||||||||||
| Less: interest income | 25 | 156 | 18 | ||||||||||||||
| Less: capitalized interest | 572 | 336 | 171 | ||||||||||||||
| Interest expense, net | $ | 244 | $ | 135 | $ | 159 | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 25, 2026 | Showing above |
| 2023 | Feb 22, 2024 | |
| 2022 | Feb 23, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 25, 2021 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.