Company Performance & Strategy - Granite Ridge aims to be the leading public investment platform for energy development in the United States, targeting 25% full-cycle returns and mid-teens annual growth[7] - The company's Q3 2025 production reached 31,925 Boe/d, with 51% oil and 49% gas[3] - Granite Ridge has achieved a 47% CAGR growth since 2017 while maintaining leverage below 10x Net Debt/Adjusted EBITDAX[31] - The company declared a quarterly dividend of $011 per share[89] Market Trends & Opportunities - The U S rig count is down approximately 30% since its peak, indicating industry under-investment in new supply[8, 9] - US Frac Spread Count is down approximately 45% compared to pre-COVID levels, potentially impairing future production growth[10, 11] - US shale productivity has peaked, requiring more capital for less output due to depleted Tier 1 inventory[17] - Private equity fundraising in US natural resources has declined by approximately 70%, creating an opportunity for Granite Ridge[40, 41] Capital Allocation & Investment - Granite Ridge has invested over $18 billion in the past 10 years, navigating multiple downturns[35] - The company expects to close over 50 deals in 2025, expanding inventory by over 74 net locations[73] - Non-Op investments account for 35% of the company's 2025 estimated capital allocation, while Operated Partnerships represent 65%[81]

Financial Data and Key Metrics Changes - The company reported income from continuing operations of $18.4 million, or $0.09 per share, for Q3 2025, an increase of $2.8 million, or $0.01 per share, compared to Q3 2024 [3][12] - Third quarter earnings decreased from $64.6 million, or $0.32 per share in Q3 2024 to $18.4 million, or $0.09 per share in Q3 2025 [13] - The company raised the bottom end of its earnings per share guidance to a new range of $0.90-$0.95 per share from the previous range of $0.88-$0.95 per share [12] Business Line Data and Key Metrics Changes - The electric utility segment reported earnings of $21.5 million in Q3 2025, down from $24.3 million in Q3 2024, impacted by higher operation and maintenance expenses [14] - The natural gas utility reported a seasonal loss of $18.2 million in Q3 2025, compared to a loss of $17.5 million in Q3 2024, driven by increased operation and maintenance expenses [15] - The pipeline segment posted record earnings of $16.8 million in Q3 2025, up from $15.1 million in Q3 2024, due to higher transportation revenue from growth projects [16] Market Data and Key Metrics Changes - The utility experienced combined retail customer growth of 1.5% compared to the same time last year, aligning with the targeted annual growth rate of 1%-2% [4] - The company has 580 megawatts of data center load under signed electric service agreements, with 180 megawatts currently online [6] Company Strategy and Development Direction - The company is focused on delivering exceptional performance while positioning itself for long-term growth, with a targeted long-term EPS growth rate of 6%-8% and a 60%-70% annual dividend payout ratio [12] - The company plans to pursue additional capital projects to meet existing customer demand and enhance grid resiliency [8] Management's Comments on Operating Environment and Future Outlook - Management noted that strong customer demand at the pipeline segment and progress in utility regulatory schedules should provide opportunities moving forward [3] - The company remains confident in its ability to execute its long-term growth strategy and deliver strong stockholder returns [12] Other Important Information - The North Dakota Public Service Commission approved the acquisition of a 49% ownership interest in the Badger Wind Farm, expected to be completed upon commercial operation around year-end [4][5] - The company has reestablished an ATM program to meet future equity capital needs [16] Q&A Session Summary - There were no questions during the Q&A session [17]

Core Insights - The National Energy Administration reported a significant increase in energy investment in China, with key projects completing investments of 1.97 trillion yuan in the first eight months of the year, representing an 18.2% year-on-year growth [1] Group 1: Investment Growth Characteristics - Nuclear power, power grids, new energy storage, and coal power are major contributors to the growth in energy project investments [1] - New energy storage projects in Xinjiang, Guangdong, Yunnan, Shandong, and Inner Mongolia saw investment growth rates exceeding 100% year-on-year [1] Group 2: Rapid Growth in Specific Sectors - Wind power, modern coal chemical industry, oil and gas reserve facilities, charging and swapping infrastructure, and hydrogen energy investments are experiencing rapid growth [1] - Ongoing projects in Xinjiang and Inner Mongolia for coal-to-oil and coal-to-olefins are progressing steadily, while the Daan green hydrogen ammonia integration demonstration project in Jilin has been completed [1] Group 3: Steady Growth in Other Energy Investments - Solar power generation, integrated source-grid-load-storage projects, oil and gas exploration and development, and pumped storage investments are also growing steadily [1] - Several integrated source-grid-load-storage projects are advancing in Shandong, Shanxi, Gansu, and Guangxi, while major oil fields are steadily increasing reserves and production [1]

Core Insights - The National Energy Administration reported a significant increase in energy investment in China, with a total investment of 1.97 trillion yuan in key energy projects in the first eight months of the year, representing an 18.2% year-on-year growth [1] Group 1: Investment Growth Characteristics - Nuclear power, power grids, new energy storage, and coal power are key drivers of investment growth in energy projects [1] - In the first eight months, key energy storage projects in Xinjiang, Guangdong, Yunnan, Shandong, and Inner Mongolia saw investment growth rates exceeding 100% [1] Group 2: Rapid Growth in Specific Sectors - Wind power, modern coal chemical industry, oil and gas reserve facilities, charging and swapping infrastructure, and hydrogen energy investments are experiencing rapid growth [1] - Ongoing projects in Xinjiang and Inner Mongolia for coal-to-oil and coal-to-olefins are progressing steadily, while the Daan green hydrogen ammonia integration demonstration project in Jilin has been completed [1] Group 3: Steady Growth in Other Energy Investments - Investments in solar power generation, integrated source-grid-load-storage systems, oil and gas exploration and development, and pumped storage are steadily increasing [1] - Several integrated source-grid-load-storage projects are being advanced in Shandong, Shanxi, Gansu, and Guangxi, while major oil fields are steadily increasing reserves and production [1]

Group 1 - The CEO of Adnoc, Sultan Al Jaber, stated that the global energy sector requires up to $4 trillion in annual investments due to the rising demand driven by data centers and artificial intelligence [1][5] - Al Jaber emphasized that long-term demand growth will surpass short-term concerns about oil supply surplus, indicating a need for resource development to support upcoming data-driven growth [1][4] - Despite warnings from analysts about a potential oversupply of crude oil next year, major oil-producing countries, including the UAE, are still increasing production capacity [5] Group 2 - Al Jaber predicts that global oil demand will remain above 100 million barrels per day beyond 2040, necessitating additional investments in the industry [5] - The rise of AI and data centers is identified as a new growth engine for global energy demand, challenging traditional supply-demand models [5] - To meet the increasing energy needs, upgrades to power infrastructure, such as the electrical grid, are essential, indicating that the $4 trillion investment call encompasses a comprehensive systemic project across energy production, transportation, and distribution [5]

Core Insights - National energy investment in China has shown rapid growth, with key projects completing investments of 1.97 trillion yuan in the first eight months of the year, representing an 18.2% year-on-year increase [1] Group 1: Investment Growth Characteristics - Nuclear power, power grids, new energy storage, and coal power have been significant drivers of investment growth in energy projects [1] - Wind power, modern coal chemical industry, oil and gas storage facilities, charging infrastructure, and hydrogen energy investments have seen rapid increases, with wind power investment growing over 40% year-on-year [2] - Solar power generation, integrated energy systems, oil and gas exploration, and pumped storage investments have steadily increased, with solar power project investments rising by 17.5% year-on-year [3] Group 2: Regional Investment Highlights - Six provinces (Shandong, Jiangsu, Guangdong, Xinjiang, Yunnan, Inner Mongolia) each completed investments exceeding 100 billion yuan in the first eight months [1] - Significant investment in wind power projects has been noted in regions such as Xinjiang, Hebei, Guangxi, Shandong, and Hunan [2] - Major oil and gas projects are progressing in the Bohai Sea and Jianghan shale gas fields, with proven reserves of 165 billion cubic meters [3]

Core Insights - National Energy Administration reports significant growth in energy investment, with a total investment of 1.97 trillion yuan in key energy projects in the first eight months of the year, representing an 18.2% year-on-year increase [1] Investment Growth - Energy investment has maintained rapid growth throughout the year, with key projects completing investments totaling 1.97 trillion yuan [1] - The year-on-year growth rate of 18.2% indicates a strong upward trend in energy sector investments [1] Key Drivers - Nuclear power, power grids, and new energy storage have emerged as significant contributors to the growth in energy project investments [1]

Group 1 - China's largest state banks are providing significant financial support to Aramco's Jafurah gas project, indicating strong institutional backing for the venture [1] - Despite the substantial lending from state banks, Aramco's funds have opted not to invest in the Jafurah project, highlighting a potential divergence in investment strategy [1] - The involvement of state banks in the Jafurah project reflects the importance of gas development in China's energy strategy and its implications for future energy security [1]

Core Insights - The U.S. Department of Energy will acquire a 5% stake in Lithium Americas and an additional 5% stake in the Thacker Pass lithium mine joint venture with General Motors [1] Group 1 - The investment by the U.S. Department of Energy signifies a strategic move to bolster domestic lithium production [1] - The Thacker Pass lithium mine is a key project for both Lithium Americas and General Motors, aimed at supporting the electric vehicle supply chain [1]

Core Viewpoint - The company has signed a "Deepening Cooperation Agreement" with the Xiangyang Municipal Government, planning to invest 26.7 billion yuan during the 14th Five-Year Plan period to enhance energy infrastructure and support high-quality development in the Xiangyang metropolitan area [1] Investment Plans - The investment will focus on several key projects, including the Nanzhang Zhangjiaping Pumped Storage Power Station, the second phase of the Yicheng Power Plant, and a new energy base with a capacity of one million kilowatts [1] - The total planned investment is 26.7 billion yuan, which is aimed at optimizing the power structure in Xiangyang and improving energy security [1] Impact on Financials - The agreement is a framework document and is not expected to have a significant impact on the company's financial status and operating results for the year 2025 [1]