XML 58 R35.htm IDEA: XBRL DOCUMENT

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2025

Summary of Significant Accounting Policies [Abstract]

The following table presents the property balances excluded from the Company’s UOP depletion calculation for the years indicated:

	December 31, 2025		December 31, 2024
	(In thousands)
Acquisition costs	$	32,796	$	29,335
Development costs ⁽¹⁾		25,101		41,127
Total excluded from depletable base	$	57,897	$	70,462

⁽¹⁾

As of December 31, 2025, the majority of the development costs relate to wells which were in the process of being completed. These wells are scheduled to come online throughout the first and second quarters of 2026 and will be reflected in proved properties and the Company’s UOP depletion calculation at that time.

Disaggregated by Revenue Stream

The following table presents the Company’s oil, natural gas, and NGL revenues disaggregated by revenue stream:

	Year Ended December 31,
	2025 ⁽¹⁾		2024
	(In thousands)
Crude oil sales	$	204,040	$	6,595
Natural gas sales		9,472		551
NGL sales		28,136		793
Total revenues	$	241,648	$	7,939

⁽¹⁾	Total revenues for the year ended December 31, 2025, include revenue from the assets acquired from Bayswater beginning on March 26, 2025, the closing date of the acquisition, through December 31, 2025.

Non-cash Investing And Financing Activities And Supplemental Cash Flow Disclosures

The following table presents non–cash investing and financing activities and supplemental cash flow disclosures relating to the cash paid for interest for the years indicated:

	Year Ended December 31,
	2025		2024
	(In thousands)
Non–cash investing activities:
Increase in capital expenditure accruals and accounts payable	$	5,652	$	14,136
Equipment purchased in exchange for note payable	$	560	$	—

Non–cash financing activities:
Common Stock issued to Bayswater as part of Bayswater Acquisition purchase price ⁽¹⁾	$	16,000	$	—
Common Stock issued for SEPA commitment fee ⁽²⁾	$	—	$	600
Common Stock issued upon conversion of Senior Convertible Note ⁽³⁾	$	18,164	$	—
Common Stock issued upon conversion of Series D Preferred Stock	$	8,475	$	6,170
Common Stock issued upon conversion of Series E Preferred Stock	$	—	$	20,000
Common Stock issued upon conversion of Series F Preferred Stock	$	38,490	$	—
Common Stock issued for Series F Preferred Stock dividends ⁽⁴⁾	$	11,269	$	—
Credit facility issuance costs included in accrued liabilities	$	—	$	331
Credit facility issuance costs paid by the issuance of Common Stock ⁽⁵⁾	$	—	$	1,000

Supplemental disclosure:
Cash paid for interest	$	25,259	$	715

⁽¹⁾

The Company issued approximately 3.7 million shares of the Company’s common stock, par value $0.01 per share (“Common Stock”) to Bayswater (as defined herein) as part of the Bayswater Purchase Price (as defined herein). Refer to Note 2 – Acquisitions for a discussion of the Bayswater Acquisition (as defined herein).

⁽²⁾	Pursuant to the SEPA, the Company issued 100,000 shares to YA II PN, LTD., a Cayman Islands exempt limited company (“Yorkville”) as a commitment fee. Refer to Note 14 – Stockholders’ Equity for a discussion of the SEPA.

⁽³⁾	During the year ended December 31, 2025, Yorkville, converted the remaining $11.3 million of the initial $15.0 million Senior Convertible Note in exchange for 2.1 million shares of Common Stock. Refer to Note 10 – Debt for a discussion of the Senior Convertible Note.

⁽⁴⁾	The Company elected to issue shares of Common Stock for the Series F Preferred Stock dividends payable on June 1, September 1, and December 1, 2025. Refer to Note 13 – Mezzanine Equity for a discussion of the Series F Preferred Stock.

⁽⁵⁾	Prior to entering into the reserve–based credit agreement with Citibank N.A. (“Citi”) in December 2024, the Company issued 120,048 shares to Yorkville as a consent fee. Refer to Note 10 – Debt for a discussion of the credit facility.