Core Viewpoint - EON Resources Inc. has appointed Kyle Bulpitt as an independent director to replace Byron Blount, who retired at the end of 2025, bringing significant experience in oil and gas, mergers and acquisitions, and innovative financing to the board [1][2]. Company Overview - EON Resources Inc. is an independent upstream energy company with 20,000 leasehold acres in the Permian Basin, producing over 1,000 barrels of oil per day from 750 wells [1]. - The company focuses on maximizing shareholder returns through the development of onshore oil and natural gas properties and aims to build its portfolio through acquisitions and selective development [6]. New Director's Background - Kyle Bulpitt, age 33, is a petroleum engineer with extensive experience in financial analysis, acquisitions, and divestitures, as well as financial modeling and petroleum reserves analysis [2][4]. - He is currently the Executive Vice President for Corporate Development at Aethel Energy, overseeing acquisition and divestiture activities [3]. - Prior to Aethel, Bulpitt worked with various investment firms and served as a reservoir engineer at ConocoPhillips, where he conducted resource assessments and long-range planning [4]. Board Comments - The company's leadership expressed confidence in Bulpitt's ability to contribute to the next stage of financing and acquisitions, highlighting his strong background and experience [2]. - Byron Blount was acknowledged for his invaluable contributions to the board since the company's inception and will remain an investor and owner of EON stock [2].

Core Viewpoint - EON Resources Inc. provides a recap of significant events in 2025, highlighting its operations and developments in the Permian Basin [1] Company Overview - EON Resources Inc. is identified as an independent upstream energy company focused on oil and gas properties located in the Permian Basin [1] Shareholder Communication - The Chairman and CEO of EON issued a letter to shareholders summarizing the company's activities and performance throughout the calendar year 2025 [1]

Company Overview - EON Resources Inc. is an independent upstream energy company with 20,000 leasehold acres in the Permian Basin, producing over 1,000 barrels of oil per day from 750 producing and injection wells [1] - The company focuses on maximizing total returns to shareholders through the development of onshore oil and natural gas properties, utilizing a strategy of acquisition and selective development [4] Stock Purchase Activity - A management team and several independent directors purchased a combined 282,000 shares of the Company's Class A Common Stock in the past three weeks, lifting the total shares bought by the team to 1,561,000 in 2025 [1][3] - The total shares owned by the team now exceed 5 million [3] Grayburg-Jackson Field Property - The Grayburg-Jackson Field comprises 13,700 contiguous leasehold acres with proven reserves estimated at approximately 14.0 million barrels of oil and 2.8 billion cubic feet of natural gas [5] - The company has two production programs: existing waterflood recovery in the Seven Rivers formation and a Farmout agreement in the San Andres formation, with plans to drill up to 90 new wells [5] South Justis Field Property - The South Justis Field consists of 5,360 contiguous acres with 208 total producing and injection wells, featuring formations that range from 5,000 feet to 7,000 feet in depth [6] - The original-oil-in-place (OOIP) for the South Justis Field is approximately 207 million barrels of oil [6]

Financial Data and Key Metrics Changes - The company reported record net income of $5.6 billion for Q3 2025, marking the highest level to date [4][18] - Shareholder equity increased by over $22 million from Q2 to Q3, driven by the retirement of debt and preferred shares [5][17] - The company retired $41 million of senior and seller debt and $27 million in preferred shares, enhancing its balance sheet significantly [5][17] Business Line Data and Key Metrics Changes - The company acquired a 10% override with the original seller group related to the Grayburg Jackson field, enhancing its operational capabilities [5] - A horizontal well drilling program is set to commence next year, with plans to drill up to 92 wells over the next five years [6][10] Market Data and Key Metrics Changes - Current production remains consistent above 1,000 gross barrels of oil per day across the Grayburg Jackson and South Justice fields [21] - The company anticipates initial production from new wells in the range of 300-500 barrels of oil per day per well [25] Company Strategy and Development Direction - The company aims to enhance shareholder value by focusing on increasing production and reducing operational costs [27][29] - Plans include a material acquisition in the first half of next year without taking on debt or diluting shares [28] - The company is exploring opportunities in energy supply for data centers and Bitcoin mining, indicating a strategic pivot towards innovative energy solutions [34][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to weather low oil prices due to a debt-free status and cost-saving measures [29] - The company expects to see increased production and improved financials through 2026, with a long-term outlook extending to 2030 [27][28] - Management is optimistic about the potential for future drilling and workover projects, emphasizing a robust inventory of opportunities [10][11] Other Important Information - The company has not had any reportable safety incidents since taking over operations in November 2023, highlighting a strong safety record [21] - The company is currently in the process of installing a two-mile injection pipeline to enhance production capabilities [22] Q&A Session Summary Question: What is the company's strategy regarding energy supply to data centers and AI mining? - Management acknowledged the potential in this area but indicated that they are still exploring proposals and do not have a concrete plan yet [34][35] Question: When is the first horizontal drilling expected to start? - The company anticipates that permitting will be submitted this year, with drilling potentially starting by the end of Q2 2026 [39][40] Question: What is the current status of the EON warrants? - Management clarified that there is only one expiration date for the warrants, which is five years from the public company date in November 2028 [41][49] Question: At what oil price does the company start making money? - The company indicated that it is currently operating at a slight loss but believes it can be profitable at current prices with better cost control [58][59] Question: What issues are being faced in selling gas? - The company is currently facing curtailment issues due to maintenance at the gas plant but expects these to be resolved soon [61][62] Question: Are there any requirements for Vertus to drill the first three wells? - The drilling of the first three wells is at Vertus's discretion, but management is confident they will proceed as long as oil prices remain favorable [63][64] Question: What is the dilution risk from current convertible notes? - Management indicated that the dilution risk is minimal, with only a small number of shares potentially affected by the conversion of notes [70]

Financial Data and Key Metrics Changes - The company reported a record net income of $5.6 billion for Q3 2025, marking the highest level to date [5][18] - Shareholder equity increased by over $22 million from Q2 to Q3 2025, attributed to the retirement of debt and preferred shares [6][17] - The company retired all $41 million of senior and seller debt and preferred shares with a redemption value of $27 million [6][17] Business Line Data and Key Metrics Changes - The company acquired a 10% override with the original seller group related to the Grayburg Jackson field [6] - A horizontal well drilling program is set to commence next year, with plans to drill as many as 92 wells over the next five years [7][10] - Current production is primarily from the Seven Rivers formation, with ongoing development in multiple pay zones [7][11] Market Data and Key Metrics Changes - The company is experiencing consistent production above 1,000 gross barrels of oil per day across its two fields [21] - The San Andreas farm-out to Vertus includes a cash consideration of $5 million and a post-deal working interest of 35% for the company [23] Company Strategy and Development Direction - The company aims to enhance shareholder value by focusing on increasing stock prices and exploring acquisition opportunities [8][10] - Plans include cutting operational costs by $200,000 per month and increasing production through workovers and new drilling [26][29] - The company is looking to make a material acquisition in the first half of next year without taking on debt or diluting shares [28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future, emphasizing a clean balance sheet and the potential for increased production [10][29] - The company is well-positioned to weather low oil prices due to its debt-free status and cost-saving measures [29] - Management anticipates continued production increases and financial improvements through 2026 and beyond [27] Other Important Information - The company has not had any reportable safety incidents since taking over operations in November 2023 [21] - The installation of a two-mile injection pipeline is currently in progress, which is expected to boost production [22] Q&A Session Summary Question: Future energy supply for data centers - Management acknowledged the potential for supplying energy to data centers and is exploring proposals to monetize gas [34][35] Question: Timeline for horizontal drilling - Horizontal drilling is expected to begin in mid-2026, pending federal drilling permit approvals [37][39] Question: Convertible notes and dilution risk - The company has redeemed most non-insider convertible notes and is managing dilution risk carefully [68][71] Question: Crude oil price hedging - The company has hedged a quarter of its production through Q1 2026 at $62.50 and is monitoring market conditions for further hedging [72] Question: Acquisition potential - Management indicated that while the company is not for sale at a bargain price, it is open to strategic acquisitions that align with its growth strategy [74]

Financial Performance - Record net income of $5.6 million for the third quarter of 2025, a significant turnaround from previous losses[1] - Total revenue for Q3 2025 was $4.36 million, showing consistency with prior quarters despite minor fluctuations[11] - Operations expenses increased to $3.54 million in Q3 2025, up from $2.85 million in Q2 2025[11] - A one-time gain of $13.4 million was recorded from asset sales related to the funding and farmout agreements[16] Balance Sheet Improvement - The company retired all $41 million of senior and seller debt, significantly improving its balance sheet[1][17] - Shareholder equity increased by $22.7 million, driven by the retirement of preferred shares and gains from funding transactions[1][17] Drilling and Production Plans - The company expects to drill up to 90 horizontal wells at a cost of $3.5 million to $4.0 million per well, with initial production rates of 300 to 500 barrels of oil per day[7] - Cumulative capital investment by Virtus and LHO is projected to exceed $300 million over the life of the horizontal drilling project[7] - The company anticipates an annual horizontal drilling program of 10 to 20 new wells per year, with gross oil production expected to exceed 20,000 barrels of oil per day[7] Reserves Information - The Grayburg-Jackson Field is estimated to have proven reserves of approximately 14.0 million barrels of oil and 2.8 billion cubic feet of natural gas[18]

Financial Performance & Funding - EON Resources closed $45.5 million in funding in Q3 2025, including $40.5 million from a private investor and $5 million from Virtus [10] - The funding was used to retire $41 million of senior and seller debt [10] - Shareholder equity increased by $22.7 million, with preferred shares eliminated [14, 19] - A gain of $13.4141 million on asset sales was recorded [22] - A gain of $1.846684 million from debt forgiveness was recorded [22] Operations & Farmout - Current oil production is over 1,000 barrels of oil per day [6] - San Andres Farmout to Virtus involved Virtus purchasing a 65% working interest for $5 million [10] - EON retains a 35% working interest in the first 3 wells drilled by Virtus [10] - Gross oil production is expected to exceed 20,000 BOPD at the peak of the horizontal drilling program [10] - Estimated NPV-10 for EON from the San Andres Farmout is approximately $95 million [10]

Core Insights - EON Resources Inc. is an independent upstream energy company operating in the Permian Basin with a significant land position of 20,000 leasehold acres [1] - The company has a total of 750 producing and injection wells, which collectively produce over 1,000 barrels of oil per day [1]

Core Viewpoint - EON Resources Inc. will discuss its financial results, funding sources, accomplishments, and future plans during an upcoming webcast and teleconference call [1] Company Overview - EON Resources Inc. is an independent upstream energy company operating in the Permian Basin in southeast New Mexico [1] - The company holds 20,000 leasehold acres, which include two fields and a total of 700 producing and injection wells [1] - EON produces approximately 1,000 barrels of oil per day [1] Financial Results Announcement - A webcast and teleconference call is scheduled for November 18, 2025, at 2:30 pm EST to review the financial results for the third quarter and nine months ended September 30, 2025 [1] - The company closed funding of $40.5 million on September 9, 2025, which will be discussed during the call [1]

Core Insights - EON Resources Inc. reported a record net income of $5.6 million for the quarter [1] - The company successfully retired all $41 million of senior and seller debt [1] - EON also retired all preferred shares with a redemption value of $27 million [1] - Shareholder equity increased by $22.7 million [1] Company Overview - EON Resources Inc. is an independent upstream energy company [1] - The company holds 20,000 leasehold acres in the Permian Basin [1] - EON operates a total of 750 producing and injection wells, producing over 1,000 barrels of oil per day [1]