Riley Permian Reports Second Quarter 2025 Results

Core Insights - Riley Exploration Permian, Inc. reported solid performance in Q2 2025 despite a challenging oil market, adjusting development activity and capital budget in response to lower oil prices, resulting in significant free cash flow [3][7] - The company closed the acquisition of Silverback, enhancing its regional footprint and growth potential [3][11] Operations and Development Activity Update - In Q2 2025, the company drilled 10 gross wells, completed 2 gross wells, and turned to sales 7 gross wells, with average oil production at 15.2 MBbls/d and total equivalent production at 24.4 MBoe/d [4][5] - Daily oil volumes decreased by 3% compared to the previous quarter, while total equivalent volumes remained constant [4] - The company is advancing midstream infrastructure in New Mexico, commissioning initial phases of facilities to deliver up to 15 MMcf/d of natural gas [5][6] Financial Results - Revenues for Q2 2025 totaled $85 million, with net income of $30 million or $1.44 per diluted share [7][8] - Adjusted EBITDAX was $59 million, and total free cash flow was $18 million [7][8] - Average realized prices were $62.17 per barrel of oil, $(0.39) per Mcf of natural gas, and $0.75 per barrel of natural gas liquids [8] Debt and Capital Expenditures - As of June 30, 2025, the company had $284 million in total debt, with a $25 million increase attributed to the Silverback acquisition [10][12] - Total accrued capital expenditures were $28 million, with cash capital expenditures of $29 million [9][10] Power Activity Update - RPC Power LLC provided approximately 65% of the company's electric power needs for its Champions field in Texas during Q2 2025 [13] - The company is progressing on the construction of thermal generation facilities, with planned in-service dates throughout 2026 [14] Guidance - The company updated its guidance for Q3 and Q4 2025, incorporating the addition of Silverback and reflecting current market conditions [16][18]