Financial Data and Key Metrics Changes - The company is pleased with its performance, reporting a 30% increase in oil production and a 20% increase in total production for 2025 [5] - The first quarter oil cut was 53%, with expectations for a modest increase in the second quarter, but no changes to the full-year guidance [7][10] Business Line Data and Key Metrics Changes - The company is focusing 90% of its program on the lower cube in the Uinta Basin, with strong confidence in the forecast from this zone [18][19] - The remaining 10% is focused on the upper cube, with positive results expected from the Douglas Creek area [19] Market Data and Key Metrics Changes - The company typically sells about 15% to 20% of its crude oil to Salt Lake City refineries, which has lower transportation costs [42] - The balance of oil is transported by rail, with efforts to maximize sales to local refineries [42] Company Strategy and Development Direction - The company aims to maintain a disciplined approach to capital allocation, prioritizing debt reduction until leverage returns to a one-time area [12][13] - There are no specific plans for 2026 yet, but multiple scenarios are being modeled based on commodity prices [50][51] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the Uinta Basin assets, noting that they have exceeded original expectations [36] - The company is comfortable with its current plans at a price of $55 per barrel, generating significant free cash flow [52] Other Important Information - The company has filed its first quarter 10-Q and is committed to transparency regarding forward-looking statements and non-GAAP measures [3] - The company is not providing specific guidance on rig plans at this time, focusing instead on production timelines [27] Q&A Session Summary Question: Clarification on oil production shape for 2025 - Management indicated no material changes to the full-year plan, with a modest increase in oil cut expected from Q1 to Q2 [8][10] Question: Cash returns and share repurchases - Management confirmed prioritization of debt reduction over share repurchases until leverage metrics improve [12][13] Question: Uinta Basin productivity expectations - Management stated that 90% of the program is focused on the lower cube, with confidence in achieving underwritten assumptions [18] Question: LOE impacts and cost expectations - Management noted that some cost increases may be one-time in nature, while others could persist [21] Question: Rig count and operational plans - Management is not providing specific timelines for rig drops but will adjust based on program needs [27] Question: Capital allocation between regions - Management indicated that returns between regions have not changed significantly, and no immediate changes to capital allocation are expected [32] Question: Oil sales to local refineries - Management confirmed that 15% to 20% of crude is sold to local refineries, optimizing transportation costs [42] Question: CapEx plans for the year - Management expects a similar run rate in the second half of the year as in the first half, with no material changes to the CapEx guidance [44] Question: Operational plans for 2026 - Management stated that no specific plans for 2026 are in place, but multiple scenarios are being considered based on market conditions [50][51]

Financial Data and Key Metrics Changes - The company is pleased with its performance, particularly in the integration of Uinta Basin assets, projecting a 30% increase in oil production and a 20% increase in total production for 2025 [6]. Business Line Data and Key Metrics Changes - The company anticipates a modest increase in production rates from Q1 to Q2, with a significant increase expected in Q3, driven by more Uinta wells coming online [10][11]. Market Data and Key Metrics Changes - The company is focused on maximizing sales to local Salt Lake City refineries, which typically account for 15% to 20% of crude sales, due to lower transportation costs [42]. Company Strategy and Development Direction - The company is prioritizing debt reduction to achieve a leverage ratio of one times, with a disciplined approach to allocating free cash flow [12][13]. - The company is not providing specific guidance on rig plans but will drop rigs based on program needs, emphasizing production timelines over rig counts [28]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the Uinta Basin assets, noting that they have exceeded expectations and that the company is focused on optimizing drilling and completion designs for future operations [36][37]. - The company is modeling various scenarios for 2026 based on commodity prices and cost environments, indicating flexibility in operational plans [51][52]. Other Important Information - The company has filed its first quarter 10-Q and is committed to transparency regarding forward-looking statements and non-GAAP measures [4]. Q&A Session Summary Question: Clarification on oil production and guidance for 2025 - Management confirmed no material changes to the full year plan, with an expected increase in oil cut from Q1 to Q2 and a major increase in Q3 [9][10]. Question: Cash returns and share repurchases - Management indicated a focus on debt reduction over share repurchases, although they remain open to supporting the stock if necessary [12][13]. Question: Uinta Basin productivity and co-development expectations - Management stated that 90% of their program focuses on the lower cube, with confidence in achieving forecasted results [19]. Question: LOE impacts and cost expectations - Management noted that some cost increases are expected to be one-time, while others may persist, but all have been included in the adjusted full year guidance [22]. Question: Rig count and capital allocation - Management clarified that while they are reducing rig counts, they do not foresee immediate changes in capital allocation based on current commodity prices [32][34]. Question: Oil sales to local refineries - Management confirmed that they aim to maximize sales to local refineries due to lower transportation costs, with no specific contracts governing the split [42][43]. Question: Production sales and revenue recognition - Management explained that there will always be slight lags between production and sales due to transportation timing, but this is expected to be a consistent discrepancy [65].