Supplemental Oil and Gas Disclosures (Unaudited)

12 Months Ended

Dec. 31, 2025

Supplemental Oil and Gas Disclosures (Unaudited) [Abstract]

Supplemental Oil and Gas Disclosures (Unaudited)

Note 21 – Supplemental Oil and Gas Disclosures (Unaudited)

Costs Incurred in Oil and Natural Gas Property Acquisition, Exploration, and Development Activities

The following table presents the costs incurred in oil and natural gas acquisition, exploration, and development activities for the years indicated:

	Year Ended December 31,
	2025		2024
	(In thousands)
Acquisition costs
Proved properties	$	532,795	$	64,491
Unproved properties		3,461		630
Total acquisition costs		536,256		65,121
Exploration costs (1)		1,332		734
Development costs		181,520		41,127
Total costs incurred	$	719,108	$	106,982

⁽¹⁾ The Company expenses exploration costs such as exploratory geological and geophysical costs, expiration of unproved leasehold, delay rentals, and exploration overhead as they are incurred.

For the year ended December 31, 2025, the Company’s proved property acquisition costs incurred include $515.9 million of proved property acquired in the Bayswater Acquisition, $2.3 million of which relates to the asset retirement obligations costs assumed in the acquisition. Refer to Note 3 – Acquisitions for a further discussion. For the year ended December 31, 2025, the development costs incurred includes $152.9 million of development costs for wells which came online during the year and $23.2 million of development costs for wells which were in the process of being completed and are expected to come online throughout the first quarter of 2026.

Proved Reserves

Proved reserves are those quantities of oil and natural gas, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible, from a given date forward, from known reservoirs, and under existing economic conditions, operating methods, and government regulations, prior to the time at which contracts providing the right to operate expire, unless evidence indicates that renewal is reasonably certain, regardless of whether deterministic or probabilistic methods are used for the estimation. There are numerous uncertainties inherent in estimating the quantities of proved oil and natural gas reserves and periodic revisions to estimated reserves and future cash flows may be necessary as a result of numerous factors, including reservoir performance, new drilling, oil, natural gas, and NGL prices, changes in costs, technological advances, new geological or geophysical data, or other economic factors. Accordingly, reserve estimates may differ significantly from the quantities of oil and natural gas ultimately recovered or reserve quantities reported by other entities.

The Company’s reserve estimates as of December 31, 2025, are based on reserve reports prepared by CG&A in accordance with the rules and regulations of the SEC in Regulation S–X, Rule 4–10. All of the Company’s proved reserves presented below are located in the DJ Basin. The Company’s estimated proved reserves and the related net revenues and Standardized Measure were determined using the 12–month unweighted arithmetic average of the first–day–of–the–month price for each month in the period January through December (“SEC Prices”). The SEC Prices are adjusted for treating costs and/or crude quality and gravity corrections. For the years ended December 31, 2025 and 2024, SEC Prices, inclusive of adjustments, used in the calculations were $65.34 per Bbl and $74.63 per Bbl, respectively, of oil, $3.39 million per MMBtu and $1.60 per MMBtu, respectively, of natural gas, and $19.28 per Bbl and $21.63 per Bbl of NGLs, respectively.

The following table presents the quantities of the Company’s estimated proved, proved developed, and proved undeveloped oil, natural gas, and NGL reserves and the changes in the quantities of estimated proved oil, natural gas, and NGL reserves for the years indicated:

	Oil (MBbl)			Natural Gas (MMcf)			NGLs (MBbl)			Total (MBoe)
Proved reserves as of January 1, 2024		—			—			—			—
Acquisitions of reserves		14,302			40,811			5,007			26,110
Production		(96	)		(245	)		(33	)		(170	)
Revisions to previous estimates		137			672			(71	)		179
Proved reserves as of December 31, 2024		14,343			41,238			4,903			26,119
Acquisitions of reserves		45,020			167,678			22,378			95,344
Production		(3,406	)		(10,753	)		(1,550	)		(6,748	)
Revisions to previous estimates		4,074			(2,889	)		2,811			6,404
Proved reserves as of December 31, 2025		60,031			195,274			28,542			121,119
Year ended December 31, 2024:
Proved developed reserves		3,749			9,306			1,136			6,436
Proved undeveloped reserves		10,594			31,932			3,767			19,683
Year ended December 31, 2025:
Proved developed reserves		29,306			125,233			18,304			68,482
Proved undeveloped reserves		30,725			70,041			10,238			52,637

During the year ended December 31, 2024, the Company’s estimated proved reserves were 26.1 MMBoe, primarily comprised of acquisitions throughout the year. The NRO Acquisition, which closed on October 1, 2024, resulted in 23.3 MMBoe of estimated proved reserves and the acquisition of the Shelduck assets in February 2024 resulted in 2.8 MMBoe of estimated proved reserves. During the year ended December 31, 2025, the Company’s estimated proved reserves were 121.1 MMBoe, primarily comprised of acquisitions resulting in 95.3 MMBoe and revisions resulting in 6.4 MMBoe throughout the year.

Standardized Measure of Discounted Future Net Cash Flows

The Standardized Measure is the present value, discounted at 10%, of future net cash flows from estimated proved reserves calculated using the 12–month unweighted arithmetic average of the first–day–of–the–month price for each month in the period January through December (with consideration of price changes only to the extent provided by contractual arrangements). The estimated future net cash flows are reduced by projected future development, plug and abandonment, and production (excluding DD&A and any impairments of oil and natural gas properties) costs and estimated future income tax expenses.

Although the Company’s estimates of total proved reserves, development costs, and production rates were based on the best available information, the development and production of the oil and natural gas reserves may not occur in the periods assumed. Actual prices realized, costs incurred, and production quantities may vary significantly from those used. Therefore, the Standardized Measure should not be considered to represent the Company’s estimate of the expected revenues or the fair value of its proved oil, natural gas, and NGL reserves.

The following table presents the Standardized Measure relating to the Company’s estimated proved oil and natural gas reserves for the years indicated:

	Year Ended December 31,
	2025			2024
	(In thousands)
Future cash inflows	$	4,466,611		$	1,242,476
Future production costs		(1,310,901	)		(452,805	)
Future development and abandonment costs		(741,436	)		(295,105	)
Future income taxes		(754,755	)		(75,793	)
Future net cash flows		1,659,519			418,773
10% annual discount for estimated timing of cash flows		(807,817	)		(163,631	)
Standardized Measure	$	851,702		$	255,142

The following table presents the changes in the Standardized Measure relating to the Company’s estimated proved oil and natural gas reserves for the years indicated:

	Year Ended December 31,
	2025			2024
	(In thousands)
Standardized Measure at the beginning of the period	$	255,142		$	—
Net change in sales prices and production costs related to future production		(85,869	)		(5,496	)
Net change in future development costs		(5,168	)		–
Sales and transfers of oil and natural gas produced, net of production costs		(170,096	)		(5,220	)
Purchases of reserves		1,051,525			279,255
Revisions of previous quantity estimates		78,245			4,108
Development and abandonment costs incurred during the period		69,625			29,754
Net change in income taxes		(320,094	)		(48,018	)
Accretion of discount		30,316			3,642
Changes in production rates, timing, and other		(51,924	)		(2,883	)
Net increase in Standardized Measure		596,560			255,142
Standardized Measure at the end of the period	$	851,702		$	255,142