Income Taxes (Tables)

12 Months Ended

Dec. 31, 2025

Income Tax Disclosure [Abstract]

Summary of Income Tax (Expense) Benefit

. The Company’s income tax expense (benefit) consisted of the following:

Tax Expense (Benefit)

	Year Ended December 31,
(in thousands)	2025		2024		2023
Current tax expense (benefit)
United States federal income tax	$	(474)	$	567	$	—
Various state income taxes		(529)		639		(4,169)
Total current income tax expense (benefit)		(1,003)		1,206		(4,169)
Deferred tax expense (benefit)
United States federal income tax		38,126		(43,445)		31,338
Various state taxes		(270)		(194)		2,954
Total deferred income tax expense (benefit)		37,856		(43,639)		34,292
Income tax expense (benefit)	$	36,853	$	(42,433)	$	30,123

Reconciliation of the Effective Tax Rate

The following table reconciles the provision for income taxes using the federal statutory rate to the Company’s effective tax rate pursuant to the disclosure requirements of ASU 2023-09 for the years ended December 31, 2025, 2024, and 2023. Income tax expense (benefit) attributable to pre-tax income differed from the amounts computed by applying the U.S. federal statutory income tax rate of 21% to pre-tax income by the following:

	Year Ended December 31,
	2025				2024				2023
($ in thousands)	Amount		Percent		Amount		Percent		Amount		Percent
Income (loss) before income taxes	$	225,169			$	(175,813)			$	162,146
U.S. federal tax at statutory tax rate	$	47,285	21.0	%	$	(36,921)	21.0	%	$	34,051	21.0	%
State and local income taxes, net of federal income tax effect		(805)	(0.4)	%		100	(0.1)	%		(1,237)	(0.8)	%
Tax credits
Investment tax credit		—	—	%		(1,010)	0.6	%		—	—	%
Marginal well credit		(10,226)	(4.5)	%		(7,644)	4.3	%		(94)	(0.1)	%
Nontaxable or nondeductible items
Section 162(m) limitation		1,756	0.8	%		8,881	(5.1)	%		—	—	%
Excess tax benefits from vesting of restricted shares		(167)	(0.1)	%		(3,829)	2.2	%		(373)	(0.2)	%
Section 45Q tax credits		(855)	(0.4)	%		(2,944)	1.7	%		(147)	(0.1)	%
Other, net		(201)	(0.1)	%		(967)	0.6	%		89	0.1	%
Other adjustments		66	—	%		1,901	(1.1)	%		(2,166)	(1.3)	%
Income tax expense (benefit)	$	36,853	16.4	%	$	(42,433)	24.1	%	$	30,123	18.6	%

Schedule of Cash Flow, Supplemental Disclosures

Income taxes paid (net of refunds) consisted of the following for the years ended December 31, 2025, 2024 and 2023:

	Year Ended December 31,
(in thousands)	2025		2024		2023
Federal	$	—	$	—	$	—
State		232		6		1,545
Total taxes paid (net of refunds)	$	232	$	6	$	1,545

Schedule of Deferred Income Tax Assets and Liabilities

The tax effect of the temporary differences giving rise to net deferred tax assets and liabilities is as follows:

Recognized Deferred Income Tax Assets and Liabilities

	December 31,
(in thousands)	2025		2024
Deferred tax assets
Fair value of derivative financial instruments	$	—	$	9,018
Asset retirement obligations		51,528		46,240
Equity-based compensation		1,649		494
Contingent consideration		353		4,597
Interest expense carryforward		34,836		33,029
Net operating loss carryforward		67,693		35,826
Accrued bonuses		5,226		4,218
Marginal well credit		23,669		13,180
Other		4,441		7,373
Total deferred tax asset		189,395		153,975
Deferred tax liabilities
Property and equipment		(243,261)		(193,978)
Investment in joint venture		(56,344)		(50,287)
Fair value of derivative financial instruments		(15,240)		—
Other		(3,389)		(2,460)
Total deferred tax liability		(318,234)		(246,725)
Deferred tax liability, net	$	(128,839)	$	(92,750)