Financial Data and Key Metrics Changes - The core earnings for Q1 2025 were consistent with expectations, showing a stable trend from previous quarters [5] - EBITDA forecast for the year is now estimated to be between $1.25 billion and $1.5 billion, which is an increase from previous estimates [5][6] - The company reported a net loss of $200 million for GAAP, translating to a loss of $0.73 per share, with no material one-time items affecting adjusted EPS [53] Business Line Data and Key Metrics Changes - The Jamaica sale generated net proceeds of approximately $778 million, with a gain of $430 million, contributing positively to the financial outlook [7][50] - The company has taken back surplus FSRUs and relet them at higher rates, resulting in an estimated profit of $143 million [9][10] - Total segment operating margin for Q1 was $106 million, down from $240 million in Q4 2024 [52] Market Data and Key Metrics Changes - Brazil is expected to contract 10 to 15 gigawatts of capacity, with upcoming capacity auctions anticipated to take place in early 2025 [36][38] - The energy system in Puerto Rico is described as underinvested and in need of new generation, with significant opportunities for the company to provide temporary power and convert existing diesel plants to natural gas [40][42] Company Strategy and Development Direction - The company aims to simplify its balance sheet and lower debt costs by moving towards asset-level financing [16][17] - Focus on generating repeatable, long-duration cash flows from core assets, particularly in Brazil and Puerto Rico [23][24] - The strategy includes leveraging existing infrastructure and securing long-term contracts to enhance financial stability and growth prospects [22][39] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding the resolution of the FEMA claim, which amounts to $659 million, and expects a positive outcome in the near term [8] - The company is well-positioned to capitalize on growth opportunities in Brazil and Puerto Rico, with strong regulatory support and rising demand for integrated LNG to power models [38][40] - Management emphasized the importance of controlling logistics and supply chains to maximize efficiency and profitability [22][23] Other Important Information - The company has a strong liquidity position, ending Q1 with $448 million in cash and $275 million available under its revolving credit facility [55] - The company is in advanced discussions for additional FSRU contracts, which could contribute significantly to future earnings [51] Q&A Session Summary Question: Can you elaborate on the restricted cash on the balance sheet? - The restricted cash is primarily related to capital expenditures in Brazil, specifically for the Selva and Porto Sim power plants [59] Question: Is the company considering open market repurchases of debt? - The company is evaluating opportunities to refinance its capital structure and may consider repurchasing debt at a discount if advantageous [60][64] Question: What is the strategy for bidding in the Puerto Rico power opportunity? - The bidding process requires a unitary cost of power, and the company is leveraging its existing infrastructure to provide competitive bids [69] Question: What is the status of the Nicaragua project? - The company is finalizing the restructuring of its PPA with the government and is close to completing the power plant and terminal [80][82]

Financial Data and Key Metrics Changes - The core earnings for Q1 2025 were consistent with expectations, with historical core earnings showing stability [4][3] - Adjusted EBITDA for Q1 was reported at $82 million, with a forecast for EBITDA plus gains for the year between $1.25 billion and $1.5 billion, higher than previous estimates [4][51] - The company reported a net loss of $200 million for GAAP, translating to a loss of $0.73 per share, with no material one-time items affecting adjusted EPS [52] Business Line Data and Key Metrics Changes - The Jamaica sale generated $1.055 billion in gross proceeds, resulting in net proceeds of approximately $778 million after debt repayment and fees, contributing to a gain of $430 million [6][49] - The company has focused on asset sales, debt reduction, and deleveraging, with the Jamaica sale being a significant step in this direction [11][12] - The FSRU contracts signed recently are expected to contribute approximately $200 million in future earnings, with potential for additional cash flow from ongoing discussions with counterparties [50] Market Data and Key Metrics Changes - The company is positioned to register over 2 gigawatts of projects in the upcoming Brazil capacity auction, with strong market confidence reflected in third-party project requests [36] - In Puerto Rico, the energy system is described as underinvested and in need of new generation, with opportunities for temporary power and gas supply contracts [38][40] Company Strategy and Development Direction - The company aims to simplify its balance sheet by transitioning from a corporate debt structure to asset-level financing, focusing on long-duration cash flows [15][16] - Growth opportunities are identified in Brazil and Puerto Rico, with significant investments made in Brazil to establish a resilient business [23][24] - The company is committed to addressing liquidity issues and refinancing its debt structure to lower costs and extend terms [64][65] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the resolution of the FEMA claim, with a high degree of reengagement with the Army Corps [7] - The company remains confident in the structural needs for power in Brazil, despite delays in the capacity auction [35][91] - In Puerto Rico, management highlighted the urgent need for new power generation and the potential for significant cost savings through conversion to natural gas [40][42] Other Important Information - The company ended Q1 with $448 million in cash and $275 million available under its revolving credit facility, totaling over $1.1 billion in pro forma liquidity [53] - The construction progress of key power plants in Brazil is reported at 95% for the Selva plant and over 54% for the Porto San plant, despite challenges from weather conditions [27][30] Q&A Session Summary Question: Can you elaborate on the restricted cash on the balance sheet? - The majority of restricted cash is related to CapEx in Brazil, specifically for the Selva and Porto San power plants, with some cash expected to be freed up post-Jamaica transaction [58] Question: Is the company considering open market repurchases of debt? - The company is evaluating opportunities to refinance its capital structure and may consider retiring debt at a discount if available [60][63] Question: What is the strategy for bidding in Puerto Rico's power opportunity? - The bidding process requires a unitary cost of power, and the company is leveraging its existing infrastructure to participate effectively [68][69] Question: What is the status of the Nicaragua project? - The company is in the final stages of restructuring the PPA with the government, aiming for a structure similar to long-term gas contracts in Brazil and Puerto Rico [78][80]

Financial Performance & Projections - Q1 2025 Adjusted EBITDA was $82 million[8], with zero net deferred earnings from contracted sales and $10 million of depreciation in cost of sales from Fast LNG 1[64] - The company expects 2025 AEBITDA to be between $1.25 billion and $1.5 billion, higher than previous estimates, including ~$500 million in core earnings and $750 million to $1 billion in one-off gains[9] - Net loss attributable to stockholders in Q1 2025 was $200 million, a $42 million decrease QoQ[67] - Total liquidity after the Jamaica sale is $1.116 billion, including $393 million from the sale[67] Jamaica Sale & Debt Reduction - The sale of the Jamaica business for $1.055 billion is expected to yield net proceeds of $778 million[16] and a book gain of ~$430 million[11] - Proceeds from the Jamaica sale will be used to pay down $270 million of revolver debt and $55 million of Term Loan A[56] FSRU Sub-charters - Sub-chartering four FSRUs is expected to generate $312 million nominally over the lives of the contracts[11, 61], with a PV10 of ~$236 million[11] Brazil Operations - Construction of CELBA 2 is ~95% complete, with cash flows expected to commence in the second half of 2025[42] - PortoCem is ~54% complete, with capacity revenues expected to commence in the second half of 2026[42] - The company has registered for 2 GW+ of its own projects in the upcoming Brazil energy auctions and has been requested by 3rd parties to supply gas to 3 GW+ of projects[46, 47]

Financial Data and Key Metrics Changes - In Q1 2025, the company generated an adjusted profit of $0.87 per diluted share and a reported profit of $0.77 per diluted share, with a significant difference attributed to the mark-to-market impact of derivatives [20] - The company generated approximately $1,200,000,000 of free cash flow before working capital and exited the quarter with $2,600,000,000 of unrestricted cash [20] - Year-to-date, the company has retired $2,300,000,000 in debt, contributing to a reduction in annual interest expense by $370,000,000 [14][25] Business Line Data and Key Metrics Changes - The oil and gas business produced just over 1,390,000 BOE per day, meeting production guidance [4] - OxyChem delivered $215,000,000 on an adjusted basis, overcoming operational challenges related to winter weather [10] - The midstream and marketing business significantly outperformed expectations, driven by strong gas marketing optimization [11] Market Data and Key Metrics Changes - The company expects total company production to modestly increase in Q2 2025, driven by various activities including Permian activity levels and the return of Gulf of America production [21] - The company revised its full-year operating cost guidance from $9 to $8.65 per BOE, reflecting a commitment to operational efficiency [23] Company Strategy and Development Direction - The company is focused on strengthening its balance sheet, increasing returns to shareholders, and contributing to U.S. energy leadership through disciplined capital allocation and operational excellence [29] - The company is in advanced negotiations to extend the Block 53 contract in Oman by fifteen years, which is expected to unlock significant additional resources [7][9] - The company is committed to debt reduction and has made significant progress, with all 2025 maturities retired [14][26] Management's Comments on Operating Environment and Future Outlook - Management highlighted uncertainty around demand, policy, and supply as headwinds for the sector, leading to increased commodity price volatility [14] - The company is prepared to scale back activity and manage costs prudently if commodity prices weaken significantly [16] - Management expressed confidence in the operational momentum and financial position, expecting to deliver consistent results and preserve value through commodity cycles [28] Other Important Information - The company signed a landmark 25-year carbon offtake agreement for a low carbon ammonia facility, supporting the transportation and geologic storage of approximately 2,300,000 metric tons of CO2 annually [12] - The company anticipates approximately $1,000,000,000 in incremental pretax free cash flow from non-oil and gas sources in 2026, with further expansion in 2027 [28] Q&A Session Summary Question: Can you elaborate on CapEx and OpEx reductions for this year? - Management indicated that the reductions are a mix of efficiency gains and timeline adjustments, with no immediate impact on production expected [32][34] Question: How much of the free cash flow inflection is from operating cash flow versus capital spending reductions? - Management provided a breakdown of expected cash flow improvements from various segments, including chemicals and midstream [39][45] Question: What are the thoughts on divestitures at this point in the cycle? - Management stated that divestiture decisions are value-based, with options available for both short and long cycle assets [58] Question: Can you unpack the opportunities in Oman? - Management expressed excitement about the Block 53 extension and recent discoveries, indicating potential cash flow improvements [60][63] Question: What are the thoughts on the Low Carbon Ventures business? - Management highlighted the strong voluntary compliance market for carbon reduction credits and the potential for enhanced oil recovery using CO2 [70][72] Question: What are the expectations for U.S. oil supply in the near and long term? - Management noted that U.S. shale basins are plateauing or declining, with the Permian potentially plateauing sooner than expected due to reduced activity levels [77][78]

Financial Data and Key Metrics Changes - The company reported a net income of $9.1 million or $0.05 per diluted share for Q1 2025, compared to $5.7 million or $0.03 per diluted share in Q4 2024 [18] - Adjusted EBITDA for Q1 2025 was $46.4 million, down from $50.9 million in Q4 2024, primarily due to lower oil revenue [19] - Revenue for Q1 2025 was $79.1 million, reflecting a 5% decrease from Q4 2024, driven by a negative volume variance of $7.3 million, offset by a positive price variance of $3 million [16] Business Line Data and Key Metrics Changes - The company sold 12,074 barrels of oil per day and 18,392 barrels of oil equivalent (BOE) per day, both exceeding guidance [13][7] - The average well cost was approximately 7% less than budget, indicating improved capital efficiency [8] - Production from newly acquired LimeRock assets averaged over 2,500 BOE per day in April, representing a 9% increase over initial estimates [10] Market Data and Key Metrics Changes - The overall realized price increased by 4% to $47.78 per BOE in Q1 2025 from $46.14 per BOE in Q4 2024 [13] - The average crude oil differential from NYMEX WTI futures pricing improved to negative $0.89 per barrel from negative $1.42 per barrel in the previous quarter [14] - The company continues to target a higher oil mix, with oil accounting for 97% of total revenue while only 66% of total production [16] Company Strategy and Development Direction - The company emphasizes a value-focused strategy aimed at maximizing cash flow generation and maintaining a healthy financial position [24][26] - The strategy includes extreme capital discipline, focusing on high-return opportunities and reducing debt [26] - The company plans to reduce total capital spending by more than 47% for the final three quarters of 2025, while still guiding for approximately 2% annual production growth over 2024 [11] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the high level of oil price volatility and emphasized the importance of a strategy that can thrive in both low and high price environments [24] - The company is focused on debt reduction and maintaining a leverage ratio comfortably below one [30] - Management expressed confidence in the potential for increased interest in the Central Basin Platform as entry costs are lower compared to other basins [56] Other Important Information - The company has hedged approximately 1.7 million barrels of oil with an average downside protection price of $64.44, covering about 47% of oil sales guidance [20] - The company ended the period with $460 million drawn on its credit facility, with a leverage ratio of 1.9 times [19] Q&A Session Summary Question: Does the company have a leverage target in mind for debt reduction? - Management stated that the long-term goal for the leverage ratio is to be comfortably below one, emphasizing the importance of reducing debt in a low price environment [30] Question: Will cost improvements affect the capital spending guidance? - Management indicated that current capital spending forecasts include current prices, and any cost reductions would be directed towards debt repayment rather than increasing project numbers [34][37] Question: What is the state of activity on the Central Basin Platform? - Management noted a mix of interest in the Central Basin Platform, with some larger operators entering the market, while also emphasizing the company's focus on acquiring overlooked conventional assets [56][60]

Financial Data and Key Metrics Changes - The company reported a net income of $9.1 million or $0.05 per diluted share for Q1 2025, compared to $5.7 million or $0.03 per diluted share in Q4 2024 [19] - Adjusted EBITDA for Q1 2025 was $46.4 million, down from $50.9 million in Q4 2024, primarily due to lower oil revenue [20] - Revenue for Q1 2025 was $79.1 million, with oil accounting for 97% of total revenue, while total sales volumes were 18,392 BOE per day, exceeding guidance [17][14] Business Line Data and Key Metrics Changes - The company sold 12,074 barrels of oil per day, exceeding the high end of guidance despite weather-related downtime [9] - Seven wells were drilled, completed, and placed on production in Q1 2025, with production from these assets averaging over 2,500 BOE per day in April, representing a 9% increase over initial estimates [10][11] - The acquisition of LimeRock CVP assets added over 40 gross drilling locations to the existing inventory, enhancing production metrics [10] Market Data and Key Metrics Changes - The overall realized price increased by 4% to $47.78 per BOE in Q1 2025 from $46.14 per BOE in Q4 2024 [15] - The average crude oil differential from NYMEX WTI futures pricing improved to negative $0.89 per barrel in Q1 2025 from negative $1.42 per barrel in Q4 2024 [16] - The company anticipates a modest reduction in production during the last half of the year, guiding to approximately 2% annual production growth over 2024 [12] Company Strategy and Development Direction - The company emphasizes a value-focused strategy aimed at maximizing cash flow generation and maintaining production levels in low price environments [25][26] - Capital spending for 2025 is expected to be reduced by more than 47%, with a focus on debt reduction and maintaining financial flexibility [12][23] - The company is actively pursuing organic growth opportunities in the Central Basin Platform while remaining selective in acquisitions [61][62] Management's Comments on Operating Environment and Future Outlook - Management noted the high level of oil price volatility and emphasized the importance of maintaining a strong financial position to navigate these challenges [25][28] - The company plans to allocate more cash flow to debt reduction rather than increasing capital spending, even if oil prices recover [27][28] - Management expressed confidence in the production outperformance from new wells and the benefits of the LimeRock acquisition to support future growth [12][28] Other Important Information - The company ended the period with $460 million drawn on its credit facility, with a leverage ratio of 1.9 times [20] - The company has approximately 1.7 million barrels of oil hedged for the last nine months of 2025, providing downside protection at an average price of $64.44 [21] - The company is focusing on acquiring and leasing opportunities in the Central Basin Platform to expand its inventory life [75] Q&A Session Summary Question: Does the company have a leverage target in mind for debt reduction? - Management stated the long-term goal for the leverage ratio is to be comfortably below one, emphasizing the importance of reducing debt in a low price environment [30][32] Question: Will cost improvements affect the capital spending guidance? - Management confirmed that current capital spending forecasts include current prices, and any cost reductions would be directed towards debt repayment rather than increasing project numbers [34][38] Question: What is the state of activity in the Central Basin Platform? - Management noted a mix of interest in the Central Basin Platform, with some larger operators entering the market, while the company remains focused on acquiring undervalued assets [56][60]

Civitas Resources (CIVI) Q1 2025 Earnings Call May 08, 2025 08:30 AM ET Company Participants Brad Whitmarsh - Vice President, Investor RelationsChris Doyle - CEOGabe Daoud - Managing Director, Energy Equity ResearchZach Parham - Executive DirectorScott Hanold - Managing Director - Energy ResearchOliver Huang - DirectorMarianella Foschi - Chief Financial Officer & TreasurerLeo Mariani - MD & Equity Research Operator Good day, and thank you for standing by. Welcome to the Civitas Resources First Quarter twent ...

Financial Data and Key Metrics Changes - The company removed approximately $150 million of capital expenditures (CapEx) compared to 2024, focusing on capital discipline and lower reinvestment rates [7] - The company aims to achieve a year-end 2025 net debt target of $4.5 billion, which remains unchanged [10] - The company has expanded its hedge position and is now nearly 50% hedged on crude oil for the remainder of the year, with hedge positions valued at nearly $200 million [10] Business Line Data and Key Metrics Changes - Production volumes in the first quarter were slightly lower than expectations, primarily due to low activity levels at the end of the previous year and the start of 2025 [13] - The company expects oil production to grow by 5% in the second quarter, led by growth in the Permian Basin [13] - In the Permian, the team is drilling 10% faster than expected, and there was a 5% sequential increase in throughput in the Midland Basin [14] Market Data and Key Metrics Changes - The company is experiencing significant uncertainty in the global economy and the oil price environment, which could impact service costs [7][10] - The company is not planning to be price takers in the divestment process, indicating a focus on maximizing asset value [11] Company Strategy and Development Direction - The company is prioritizing sustainable free cash flow and has announced a comprehensive cost optimization plan to generate an additional $100 million of annual free cash flow [8] - The focus is on protecting and strengthening the balance sheet to sustain shareholder returns over the long term [10] - The company is not planning to make acquisitions in the asset market for the foreseeable future, focusing instead on execution and optimization of existing assets [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the full-year outlook but acknowledged the need to adjust activity levels if market conditions deteriorate further [8][20] - The company is prepared to reduce capital expenditures and activity levels if oil prices remain low [22][46] - Management emphasized the importance of maintaining flexibility to respond to changing market conditions [16] Other Important Information - The company completed its existing 10b5 share repurchase program, buying back nearly 2% of its outstanding shares [12] - Operational challenges in the Permian due to contracted water takeaway elevated first-quarter costs, but the company plans to pursue cost recovery [15] Q&A Session Summary Question: Comfort level executing on production and free cash flow ramp for the rest of 2025 - Management expressed confidence in the production growth plan, with a strong second half expected, despite some first-quarter challenges due to weather [20] Question: Response if oil prices fall below $55 - The first cuts would be completion-related, followed by drilling dollars, while maintaining some productive capacity [24] Question: Trends in operating expenses and LOE expectations - LOE was above expectations due to contractor issues, but management expects costs to decline in the second half of the year as water volumes peak [30][32] Question: Confidence in achieving $300 million asset sale target - Management remains confident in achieving the target through non-producing assets and infrastructure, despite challenging market conditions [33] Question: Priorities in the uncertain macro environment - The top priority is to hit the $4.5 billion debt target, but management will not sacrifice asset value to achieve this [37] Question: Flexibility to alter trajectory to hit debt target if oil prices are low - Management indicated that they have multiple levers to adjust, including cost reductions and potential CapEx adjustments [44][46] Question: Operational focus in the Delaware - The company is enhancing returns by extending laterals and targeting known zones with high returns [48][49] Question: DJ volumes and second-quarter trends - DJ volumes were down due to a lack of TILs and weather impacts, but management expects growth to resume in the third quarter [55][56] Question: Changes in oilfield service costs - Management is seeing opportunities to negotiate lower costs due to reduced activity in the market, which should help manage overall costs [61][62]

05.08.25 First Quarter Earnings Conference Call CAUTIONARY STATEMENTS 2 Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements about Occidental Petroleum Corporation's ("Occidental" or "Oxy") expectations, beliefs, plans or forecasts. Forward-looking statements involve estimates, expectations, projections, goals, forecasts, assumption ...

OKLAHOMA CITY, May 7, 2025 /PRNewswire/ -- Riley Exploration Permian, Inc. (NYSE American: REPX) ("Riley Permian" or the "Company"), today reported financial and operating results for the first quarter ended March 31, 2025.FIRST QUARTER 2025 AND RECENT HIGHLIGHTS Averaged 24.4 MBoe/d of total equivalent production (oil production of 15.6 MBbls/d) Generated $50 million of operating cash flow or $56 million before changes in working capital(1), $36 million of Total Free Cash Flow(1) and $39 million of Upstre ...