HOUSTON, Feb. 27, 2026 (GLOBE NEWSWIRE) -- PrimeEnergy Resources Corporation (NASDAQ: PNRG) today announced that it has entered into a Fifth Amendment to its Fourth Amended and Restated Credit Agreement with its bank group, led by Citibank, N.A., as administrative agent. In connection with the scheduled semi-annual redetermination, the Company’s borrowing base was reaffirmed at $115.0 million. As of December 31, 2025 and February 27, 2026, the Company had no borrowings outstanding under the facility, leavin ...

Company Overview - PrimeEnergy Resources Corporation (NASDAQ:PNRG) is involved in the acquisition, development, and production of oil and natural gas properties in the United States [2]. Recent Performance - The share price of PrimeEnergy Resources Corporation fell by 11.92% between February 11 and February 18, 2026, making it one of the energy stocks that lost the most during that week [1][7]. Insider Transactions - Since the beginning of February, there have been several insider sales at PrimeEnergy Resources. On February 9, director Clint Hurt sold 1,976 shares for a total of $396,634, following the sale of 10,000 shares in three separate transactions earlier in the month, valued at just over $1.91 million [3]. - Additionally, Robert de Rothschild, a significant stakeholder, divested 1,149 shares on February 5, with a transaction value of $214,575 [4].

Core Viewpoint - PrimeEnergy Resources Corporation (PNRG) has significantly outperformed its industry peers, with a 35% increase in stock price over the past three months compared to the industry composite's 8.4% return [1] Operational Strategy & Asset Diversification - PrimeEnergy focuses on the acquisition, development, and production of oil and natural gas properties primarily in Texas and Oklahoma, emphasizing horizontal drilling in the Midland Basin [3] - The company operates 508 wells and has a disciplined capital allocation strategy, with the potential for 100 additional horizontal drilling locations in West Texas [4] - PrimeEnergy also benefits from asset diversification, holding a 12.5% overriding royalty interest in approximately 30,000 acres in West Virginia, an idle offshore pipeline in Texas, and a 33.3% stake in a retail shopping center in Alabama [5] Financial Performance - In 2023, PrimeEnergy invested $96 million in drilling 35 horizontal wells, followed by $113 million for 48 horizontal wells in 2024, with further investments planned for 2025 [6] - In Q3 2025, production reached 505 MBbl of oil, 2.3 Bcf of natural gas, and 362 MBbl of natural gas liquids (NGLs), with higher natural gas volumes and improved pricing contributing to revenue growth despite declines in mature oil assets [8] Energy Outlook & Implications - Brent crude oil prices are projected to decline to $56 per barrel in 2026 and $54 in 2027, while Henry Hub natural gas prices are expected to average between $4.30 and $4.40 per MMBtu during the same period [9][10] - A softer oil price environment may impact oil revenues, but stronger natural gas fundamentals and rising LNG demand could support gas and NGL production, stabilizing cash flows [11] Balance Sheet Strength - As of September 30, 2025, PrimeEnergy had no outstanding debt and full availability under its $115 million revolving credit facility, providing flexibility for acquisitions and investments [12] - The company's debt-to-capitalization ratio stands at 0.59%, significantly lower than the industry average of 49.9% [13] Valuation Perspective - PrimeEnergy trades at a trailing 12-month EV/EBITDA multiple of 2.57X, well below the industry average of 10.89X, indicating potential upside if operational momentum continues [14]

Core Viewpoint - Kaskela Law LLC is investigating PrimeEnergy Resources Corporation for potential violations of securities laws and breaches of fiduciary duties by the company's officers and directors in relation to recent corporate actions [1]. Shareholder Impact - Since March 2025, PrimeEnergy's stock price has decreased from over $228.00 per share to less than $175.00 per share, representing a cumulative decline of over $50.00 per share, or over 23% in value [2]. Legal Representation - Current shareholders of PrimeEnergy are encouraged to contact Kaskela Law LLC for information regarding the investigation and their legal rights [3].

Core Viewpoint - The article emphasizes the analysis of oil and gas companies, particularly focusing on identifying undervalued firms in the sector, with a specific mention of PrimeEnergy Resources Corporation as a notable example [1]. Group 1: Company Overview - PrimeEnergy Resources Corporation (PNRG) is highlighted as a company with no long-term debt, which positions it favorably in the volatile oil and gas industry [2]. - The company operates in the upstream sector, which is characterized by its cyclical nature, requiring patience and experience for successful investment [2]. Group 2: Investment Strategy - The investment group, Oil & Gas Value Research, seeks out under-followed oil companies and midstream firms that present compelling investment opportunities [2]. - The group facilitates discussions among investors through an active chat room, allowing for the exchange of recent information and investment ideas [2].

Group 1 - PrimeEnergy Resources (PNRG) has significantly underperformed compared to the broader market and its sector over the past 12 months, with a stock decline of 11% while the S&P 500 has increased by 12% [1] - The Energy Select Sector SPDR Fund ETF has also shown positive performance, contrasting with PNRG's decline [1] Group 2 - The article does not provide any additional relevant information regarding the company or industry [2][3]

Core Viewpoint - PrimeEnergy Resources Corporation (PNRG) reported a decline in revenues and net income for the third quarter of 2025, primarily due to weaker oil and natural gas liquids (NGL) realizations, although natural gas performance showed improvement [2][7]. Earnings & Revenue Performance - Third-quarter 2025 revenues were $46 million, down from $69.5 million a year earlier - Net income for the quarter was $10.6 million compared to $22.1 million in the same period last year - Basic earnings per share were $6.41, down from $12.63, while diluted EPS fell to $4.38 from $8.80 [2]. Key Business Metrics - Oil revenues decreased by 38.1% to $34.8 million, driven by a 33.3% drop in barrels sold and a 7.2% decline in average realized oil price - NGL revenues fell 21.7% to $5.6 million due to lower realized prices, despite stable volumes - Natural gas revenues more than tripled to $2 million, with gas sold increasing by 6.6% and average realized gas price rising from $0.30 per Mcf to $0.86 per Mcf - Total oil-and-gas revenues declined 33.8% to $42.4 million for the quarter [3]. Cost Performance - Lease operating expenses decreased by 18.9% to $10.4 million, and production and ad valorem taxes fell by 9.1% to $2.4 million - Depreciation, depletion, and amortization (DD&A) dropped 22.7% year over year to $14.1 million - General and administrative expenses improved by 22.9% to $3 million, while interest expense increased slightly to $0.48 million [4]. Balance Sheet Overview - As of September 30, 2025, the company had $3.7 million in cash and no outstanding bank debt, with a $115 million borrowing base undrawn - The company repurchased 13,000 shares in the third quarter and 73,470 shares year to date under its buyback program [5]. Management Commentary - Management emphasized capital discipline and shareholder returns, highlighting a strong balance sheet and high insider ownership - Chairman and CEO Charles E. Drimal, Jr. noted the balance between disciplined investment and capital returns to shareholders, with insiders controlling a significant stake [6]. Operational Developments - The company continued its horizontal development program, participating in 15 Double Eagle-operated wells and investing about $30.1 million, along with $5.4 million in eight "Horseshoe" wells - These wells were brought online by quarter-end or shortly thereafter, supporting longer-term production [8]. Future Outlook - Management expects to invest about $98 million in 44 horizontal wells during 2025, following previous investments of $96 million in 2023 and $113 million in 2024 - The company sees a multi-year Permian drilling opportunity with over 100 potential horizontal locations and projects roughly $224 million of investment over the next several years [10]. Other Developments - The only noted disposition in 2025 was a $0.6 million gain from the sale of a fully depreciated workover rig in the first quarter - Comparability of field-service income and expense continues to be affected by the sale of a South Texas service company in the third quarter of 2024 [11].

Core Viewpoint - PrimeEnergy Resources Corporation reported its financial and operational results for Q3 2025, highlighting a strong balance sheet and disciplined capital allocation strategies [1]. Financial Results - Net income for the quarter was $10.6 million, with a year-to-date total of $22.9 million [7]. - Operating cash flow for the first nine months of 2025 reached $84.5 million [7]. - Total revenue from oil, gas, and NGLs for the quarter was $45.97 million [7]. Production & Sales Data - Q3 production included 505 MBbl of oil, 2.3 Bcf of natural gas, and 362 MBbl of NGLs [7]. - Year-to-date production totaled 1.56 MMbbl of oil, 7.1 Bcf of gas, and 1.20 MMbbl of NGLs [7]. Balance Sheet and Liquidity - As of September 30, 2025, the Company reported zero outstanding bank debt and full availability under its $115 million revolving credit facility [2]. - The Company is focused on evaluating opportunities for disciplined development and acquisitions while maintaining liquidity [2]. Capital Allocation & Shareholder Alignment - The Company retired 73,470 shares year-to-date, reducing outstanding shares by over 4% [3]. - Chairman and CEO Charles E. Drimal, Jr. holds approximately 56.5% of fully diluted shares, with directors and a major shareholder holding an additional 20% [3]. Operational Update - Development continued across core acreage in Texas and Oklahoma, focusing on long-lived production and capital discipline [4]. - Gas revenue saw a significant increase due to higher pricing and increased volumes, while oil volumes declined due to natural decline in mature assets [4]. Management Commentary - The Chairman and CEO emphasized the balance between disciplined investment and returning capital to shareholders, highlighting the strong balance sheet and high insider ownership as indicators of long-term strategic alignment [5].

Reserves and Production - Proved developed oil and gas reserves increased from 10,353 MBoe in 2022 to 13,558 MBoe in 2023, representing a growth of approximately 31.8%[60] - As of December 31, 2024, total proved reserves were 26,512 MBoe, with 20,288 MBoe classified as developed[67] - The company holds approximately 17,138 gross (9,622 net) acres in the Permian Basin, with the potential to support the drilling of up to 100 additional horizontal wells[58] - Average net daily production reached 14,707 Boe per day as of December 31, 2024, with 13,749 Boe per day coming from Texas[67] - The West Texas region had 543 wells as of September 30, 2025, with an average net daily production of 13,749 Boe, representing 88.3% of total proved reserves[73] - As of December 31, 2024, the company had 359 producing wells in the Mid-Continent region, with an average net daily production of 806 Boe[71] Financial Performance - The company reported a net income of $22.93 million, or $13.75 per share, for the nine months ended September 30, 2025, a decrease from $53.13 million, or $29.88 per share, for the same period in 2024[80] - Oil, gas, and NGL sales decreased by $21.61 million, or 33.77%, to $42.39 million for the three months ended September 30, 2025, compared to $64.01 million for the same period in 2024[81] - The average price received for oil decreased by $12.31, or 15.91%, to $65.08 for the nine months ended September 30, 2025, compared to $77.39 for the same period in 2024[83] Investments and Future Plans - The company invested $113 million in 48 horizontal wells in West Texas in 2024, with significant participation in various tracts[75] - Future drilling activity is expected to involve investments exceeding $100 million for 36 to 45 new horizontal wells targeting the Wolfcamp "D" pay zone in Reagan County[79] - The company invested $96 million in 35 horizontal wells in 2023, $113 million in 48 horizontal wells in 2024, and expects to invest $98 million in 44 horizontal wells in 2025, totaling approximately $307 million in horizontal development since January 2023[94] Expenses and Cost Management - Production and ad valorem taxes decreased by $0.2 million, or 9.13%, to $2.4 million for the three months ended September 30, 2025, reflecting lower oil revenues[85] - Field service income decreased by $0.4 million, or 14.57%, to $2.3 million for the third quarter of 2025, attributed to the sale of the South Texas service company[86] - Field service expense decreased by $1.1 million or 34.64% to $2.0 million for Q3 2025 from $3.1 million for Q3 2024, and decreased by $3.3 million or 38.87% to $5.1 million for the nine months ended September 30, 2025 from $8.4 million for the same period in 2024, reflecting the sale of the South Texas service company in Q3 2024[87] - Depreciation, depletion, and amortization expense decreased by $4.1 million or 22.65% to $14.1 million for Q3 2025 from $18.2 million for Q3 2024, while it increased by $9.4 million or 20.50% to $55.2 million for the nine months ended September 30, 2025 from $45.8 million for the same period in 2024[88] - General and administrative expense decreased by $0.9 million or 22.93% to $3.0 million for Q3 2025 from $3.9 million for Q3 2024, and decreased by $1.9 million or 17.95% to $8.9 million for the nine months ended September 30, 2025 from $10.8 million for the same period in 2024[89] Debt and Credit Management - The company maintains a reserves-based line of credit totaling $300 million, with a current borrowing base of $115 million, and had $20 million in outstanding borrowings as of November 12, 2025[98] - The company’s capital budget for 2025 is reflective of commodity prices and is based on expected cash flows, with any deficiencies expected to be funded by borrowings under the revolving credit facility[93] - The company is not required to enter into hedge agreements as of November 12, 2025, due to the borrowing base utilization percentage being less than 25%[97] Strategic Focus - The company is actively pursuing acquisitions of producing properties to diversify its asset base and enhance stockholder value[55] - The company’s strategy includes targeting reservoirs with high initial production rates and cash flow, as well as those with lower initial production rates but higher expected returns on investment[92] - The company’s cash flow from operations fluctuates primarily due to variations in oil and gas production and prices, and it may be curtailed due to factors beyond its control[95]

Core Insights - PrimeEnergy Resources Corporation has been recognized in two significant rankings for corporate performance, highlighting its strong growth and shareholder returns [1][2] - The company ranked **9th overall** in the Houston Chronicle's Chronicle 100 list and **6** in Forbes' Oil & Gas Operations category for America's Most Successful Small-Cap Companies 2025 [1][2] Company Performance - The Houston Chronicle's ranking evaluates revenue growth, earnings per share growth, and total shareholder return, indicating PrimeEnergy's robust financial health [1] - Forbes' recognition focuses on companies under $2 billion in market capitalization that excel in growth, profitability, and return on investment, showcasing PrimeEnergy's competitive position in the industry [2] Leadership and Strategy - Charles E. Drimal, Jr., Chairman and CEO, attributes these recognitions to employee dedication, strong operating strategy, and commitment to long-term shareholder value [3] - The company celebrates the 90th birthday of Director Clint Hurt, who has been pivotal in guiding the company's growth since 1987, with shares increasing from $0.70 to over $150 [3] Operational Focus - PrimeEnergy emphasizes disciplined growth and operational efficiency across its oil and natural gas properties, focusing on prudent capital allocation and technology-driven efficiencies [4] - The company manages a diversified portfolio of producing wells and development opportunities, reinforcing its commitment to shareholder value [5]