If nothing else, Diamondback Energy Inc. (NASDAQ: FANG) has a nearly endless list of names for possible subsidiaries.

Named for a rattlesnake, the company’s offshoot Viper Energy Partners LP (VNOM) is proving to be formidable. Viper holds FANG’s mineral interests and could create more than $1 billion in value in an IPO, analysts said.

Viper holds mineral interests underlying about 14,804 gross (12,687 net) acres in Midland County, Texas, which are operated by FANG and RSP Permian Inc. (NYSE: RSPP).

“While shares have outperformed recently ahead of the potential IPO, we believe the IPO creates tremendous shareholder value yet to be fully reflected,” said Gabriele Sorbara, analyst for Topeka Capital Markets, in a June 3 report.

Sorbara said the offering could be worth $1.2 billion.

In March, Gordon Douthat, a senior analyst at Wells Fargo Securities LLC, said Viper’s mineral interests are conservatively worth $1.6 billion undiscounted, and $755 million discounted at 10% or $15 per share.

“Further drilling acceleration could bring additional upside potential,” he said.

The IPO reflects companies’ continuing interest in going to public markets, where they are more greatly valued than private buyers.

Fairmount Minerals Ltd., one of North America's largest providers of industrial sand to the oil and gas industry, is exploring an IPO of about $1 billion that could come later this year, people familiar with the matter told Reuters on June 2. Such a move would make Fairmount the latest sand mining company seeking to capitalize on strong investor demand for shares of service companies benefiting from the shale energy boom.

Viper’s shares have outperformed ahead of its potential IPO.

Diamondback receives an average 20% royalty interest on all production from the 15,000 gross acres it holds in Spanish Trail. Estimated net production of 2,100 barrels of equivalent oil per day was expected during January 2014. Diamondback has said it anticipates its mineral ownership will generate $70 million to $80 million of cash flow in 2014.

“Taking into account the value creation from the IPO of VNOM, we are raising our RNAV [revised net asset value] to $96 from $84,” Sorbara said.