Battalion Oil Corporation Announces Second Quarter 2025 Financial and Operating Results

Core Insights - Battalion Oil Corporation reported its financial and operational results for Q2 2025, highlighting a net loss of $3.5 million and an adjusted diluted net loss of $10.6 million [6][9][12]. Operational Highlights - The company completed its 2025 six-well drilling plan ahead of schedule and under budget, with initial production rates from the new wells outperforming legacy wells [2][4]. - The acid gas injection facility treated approximately 2.2 Bcf of gas, but ceased operations on August 11, 2025, leading to a temporary shutdown of part of the Monument Draw field [3][8]. Financial Performance - Average daily net production was 12,989 Boe/d (49% oil), with total operating revenue of $42.8 million, a decrease from $49.1 million in Q2 2024 [4][6]. - The decline in revenue was primarily due to a $5.93 decrease per Boe in average realized prices, partially offset by a 132 Boe/d increase in production [4][6]. - Lease operating and workover expenses increased to $10.98 per Boe, while general and administrative expenses decreased to $2.17 per Boe [5][6]. Liquidity and Balance Sheet - As of June 30, 2025, the company had $219.4 million in term loan indebtedness and total liquidity of $44.6 million [9][15]. - Current assets increased to $83.5 million, with cash and cash equivalents at $44.6 million, up from $19.7 million a year earlier [15][9]. Production and Pricing Data - Crude oil production for Q2 2025 was 584 MBbls, with an average price of $62.14 per Bbl, down from $79.20 in Q2 2024 [20][21]. - Total production volumes for the quarter were 1,182 MBoe, with an average daily production of 12,989 Boe/d [20][21].