FANG - Rattler Midstream: Buy Good Management

• The current price factors in the distribution safety.
• Diamondback will likely return to historically fast growth.
• Rattler is not present on all Diamondback acreage and can therefore grow at a different rate from the parent company.
• Water volumes from producing wells tend to increase over time. This provides a partial countercyclical offset to less drilling and completions.
• Rattler is likely to continue to diversify away from Diamondback over time.

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