Battalion Oil Corporation Announces First Quarter 2025 Financial and Operating Results

Key Highlights - Battalion Oil Corporation has continued its drilling operations, completing four wells in the Monument Draw area and drilling ahead of schedule on two additional wells in West Quito [2] - The company reported average daily net production of 11,900 Boe/d (53% oil) and total operating revenue of $47.5 million for Q1 2025, compared to 12,989 Boe/d (48$49.9 million in Q1 2024 [4] - The acid gas injection facility treated approximately 18 MMcf/d on average during Q1 2025, with subsequent increases in daily rates to over 30 MMcf/d [3] Management Comments - The company is in the final stages of drilling operations on the last well of its six-well activity plan for 2025, with capital expenditures on the first well in West Quito approximately $1.0 million under AFE [2] - Recently completed wells in the Monument Draw field are expected to deliver over 1,000,000 barrels of oil ultimate recovery each [2] Results of Operations - Battalion reported a net loss available to common stockholders of$5.8 million, or a net loss of $0.35 per share for Q1 2025, compared to a net loss of$36.8 million, or $2.24 per share in Q1 2024 [6][12] - Adjusted EBITDA for Q1 2025 was$15.1 million, an increase from $9.4 million in Q1 2024 [6] Financial Performance - Lease operating and workover expenses increased to$11.01 per Boe in Q1 2025 from $10.55 per Boe in Q1 2024, primarily due to inflationary market increases [5] - General and administrative expenses rose to$4.12 per Boe in Q1 2025 from $3.44 per Boe in Q1 2024, driven by higher payroll and benefits costs [5] Liquidity and Balance Sheet - As of March 31, 2025, the company had$225.0 million in term loan indebtedness and total liquidity of $73.6 million [9] - Current assets increased to$111.4 million as of March 31, 2025, compared to $54.1 million a year earlier [14]