Prairie Operating Co (PROP) 2026 Q1 法說會逐字稿

Good morning, and welcome to the Prairie Operating Company first-quarter 2026 earnings conference call. Today's call is being recorded.

各位早安，歡迎參加 Prairie Operating Company 2026 年第一季財報電話會議。今天的電話會議將進行錄音。

At this time, I'd like to turn the call over to Wobbe Ploegsma, Vice President of Investor Relations and Capital Markets. Please go ahead.

此刻，我想將電話交給投資人關係與資本市場副總裁 Wobbe Ploegsma。請開始。

Thank you, operator, and good morning, everyone. Thank you for joining Prairie Operating Company's first quarter 2026 earnings call.

謝謝主持人，各位早安。感謝各位參加 Prairie Operating Company 2026 年第一季財報電話會議。

Before we provide our prepared remarks, I would like to remind all participants that our comments today will include forward-looking statements, which are subject to certain risks, uncertainties and assumptions. Actual results could differ materially from those in any forward-looking statements. Additionally, we may refer to non-GAAP measures.

在我們開始預先準備的發言之前，我想提醒各位，今天的評論將包含前瞻性陳述，這些陳述受某些風險、不確定性與假設影響。實際結果可能與任何前瞻性陳述所述內容有重大差異。此外，我們也可能提及非 GAAP 指標。

For a more detailed discussion of the risks and uncertainties that could cause actual results to differ materially from any forward-looking statements as well as the reconciliations of any non-GAAP financial measures, please see the company's public filings, including the Form 10-K filed Thursday, May 14, 2026. We have also posted an updated investor presentation on our website.

如需更詳細了解可能導致實際結果與任何前瞻性陳述出現重大差異的風險與不確定性，以及任何非 GAAP 財務衡量指標的調節表，請參閱公司公開申報文件，包括於 2026 年 5 月 14 日（週四）提交的 Form 10-K。我們也已在網站上發布更新後的投資人簡報。

Joining me today are Rich Frommer, Interim CEO and President; and Greg Patton, Executive Vice President and Chief Financial Officer.

今天與我一同出席的有：臨時執行長兼總裁 Rich Frommer，以及執行副總裁兼財務長 Greg Patton。

With that, I'll turn the call over to our Interim CEO and President, Rich Frommer.

接下來，我將把電話交給我們的臨時執行長兼總裁 Rich Frommer。

Thanks, Wobbe, and good morning, everyone. The first quarter of 2026 represents a strong start to the year for Prairie, highlighted by continued operational execution, significant production growth and meaningful progress on strengthening our capital structure. During the quarter, we generated total production of approximately 2.1 million BOE or approximately 23,200 BOE per day, with Liquids representing approximately 72% of the production, including 48% Oil. These results reflect continued development activity across our DJ Basin position as well as ongoing optimization of our existing asset base.

謝謝你，Wobbe，各位早安。2026 年第一季對 Prairie 而言是強勁的年度開局，亮點包括持續的營運執行、顯著的產量成長，以及在強化資本結構方面取得實質進展。本季我們的總產量約為 210 萬 BOE，或約每日 23,200 BOE；其中液體約占產量的 72%，包含 48% 的原油。這些成果反映了我們在 DJ Basin 佈局上的持續開發活動，以及對既有資產基礎的持續最佳化。

Operationally, we continued to execute efficiently, bringing new wells online and advancing development across our core acreage. Early well performance has met or exceeded expectations and reinforces the quality and depth of our inventory. Importantly, during the quarter, we made significant progress in addressing our capital structure, which effectuate the partial refinancing of the Series F Preferred immediately following the end of the quarter.

在營運方面，我們持續高效率執行，使新井投產並推進核心區塊的開發。早期井況表現符合或優於預期，進一步印證我們庫存的品質與深度。更重要的是，本季我們在處理資本結構方面取得重大進展，並在季後立即完成 Series F 優先股的部分再融資。

This transaction reduced the outstanding balance, lowered the associated warrant coverage and meaningfully decreased potential dilution to our common shareholders. We believe this represents an important step forward. Our focus remains on continuing to execute on a path to further refinancing of the remaining Series F Preferred and simplifying our capital structure.

此交易降低了未償餘額、減少了相關認股權證覆蓋比例，並大幅降低對普通股股東的潛在稀釋。我們認為這是向前邁出的重要一步。我們仍將專注於持續推進剩餘 Series F 優先股的進一步再融資，並簡化我們的資本結構。

From a strategic standpoint, our priorities remain consistent: disciplined capital allocation, operational execution and strengthening the balance sheet while positioning the company for long-term value creation.

從策略面來看，我們的優先事項維持一致：嚴謹的資本配置、營運執行，以及強化資產負債表，同時讓公司具備創造長期價值的定位。

With that, I'll turn the call over to Greg.

接下來，我把電話交給 Greg。

Thanks, Rich, and good morning, everyone. I'll walk through Prairie's first-quarter 2026 financial results, along with key updates on liquidity, hedging and our balance sheet.

謝謝你，Rich，各位早安。我將說明 Prairie 2026 年第一季的財務結果，以及流動性、避險與資產負債表的重點更新。

For the first quarter, Prairie generated total revenue of approximately $83.4 million, driven by realized prices, excluding hedges, of $67.91 per barrel of oil, $13.33 per barrel of NGLs and $2.53 per Mcf of natural gas. Net loss attributable to common stockholders was approximately $174.4 million or $2.16 per share, primarily reflecting noncash impacts related to derivative mark-to-market adjustments and fair value adjustments of the Series F Preferred stock warrants.

第一季 Prairie 的總營收約為 8,340 萬美元，主要受已實現價格所帶動（不含避險）：原油每桶 67.91 美元、NGL 每桶 13.33 美元、天然氣每 Mcf 2.53 美元。歸屬於普通股股東的淨損約為 1.744 億美元，或每股 2.16 美元，主要反映與衍生性商品按市價評價調整，以及 Series F 優先股認股權證公允價值調整相關的非現金影響。

Adjusted EBITDA for the quarter totaled $37.2 million, demonstrating the continued earnings power of our asset base and the benefits of increased scale. From a capital standpoint, we invested approximately $34.1 million during the quarter, with an additional $47.3 million of capital expenditures included in accounts payable and accrued expenses as of March 31, 2026, focused on high-return development activity across our operated acreage.

本季調整後 EBITDA 合計為 3,720 萬美元，展現我們資產基礎持續的獲利能力以及規模擴大帶來的效益。在資本支出方面，本季我們投資約 3,410 萬美元；截至 2026 年 3 月 31 日，另有 4,730 萬美元的資本支出列入應付帳款與應計費用，主要用於我們自營區塊的高報酬開發活動。

Net cash provided by operating activities totaled approximately $42.3 million, reflecting strong underlying cash flow generation. On a per BOE basis, lease operating expense was $7.11, Transportation and processing was $1.20. Production and Ad valorem taxes were $3.26 and G&A was $8.09, including cash G&A of approximately $5.31, reflecting continued cost discipline and operational efficiency.

營運活動提供的淨現金約為 4,230 萬美元，反映強勁的基礎現金流創造能力。以每 BOE 計，租賃營運費用為 7.11 美元，運輸與處理費用為 1.20 美元；生產稅與從價稅（ad valorem taxes）為 3.26 美元；G&A 為 8.09 美元，其中現金 G&A 約為 5.31 美元，反映我們持續的成本紀律與營運效率。

As of March 31, 2026, Prairie had approximately $113.5 million of total liquidity supported by our credit facility with a borrowing base of $475 million.

截至 2026 年 3 月 31 日，Prairie 的總流動性約為 1.135 億美元，並由我們的信貸融資額度支持，其借款基礎（borrowing base）為 4.75 億美元。

Turning to the balance sheet. The partial refinancing of the Series F Preferred in April represents a key milestone. We reduced the outstanding balance and significantly lowered the associated warrant exposure, improving our overall capital structure.

接著談資產負債表。4 月對 Series F 優先股的部分再融資是一個關鍵里程碑。我們降低了未償餘額並大幅降低相關認股權證曝險，改善了整體資本結構。

We remain actively engaged in additional initiatives to address the remaining balance with the objective of further refinancing the Series F Preferred. This remains a top priority for management and the Board. Our hedging program continues to provide strong downside protection and cash flow visibility with a substantial portion of expected production hedged at attractive prices through the second quarter of 2029.

我們仍積極推動其他措施以處理剩餘餘額，目標是進一步為 Series F 優先股進行再融資。這仍是管理團隊與董事會的首要任務。我們的避險計畫持續提供強勁的下行保護與現金流可視性，預期產量中有相當比例已在具吸引力的價格水準下完成避險，涵蓋至 2029 年第二季。

I'll now turn to an operational update. Operationally, the first quarter reflected continued strong execution across our DJ Basin position with a clear focus on efficiency, cost control and consistent well performance. During the quarter, we completed and brought online wells across multiple pads with early results meeting or exceeding expectations and reinforcing the quality of our inventory. Since January 1, we have drilled a total of 17 wells across 2 of our key development pads. At the Elder pad, we drilled 9 wells with an average spud-to-rig release time of 6.2 days and an average measured depth of approximately 18,435 feet.

接下來我將提供營運更新。在營運面，第一季反映我們在 DJ Basin 佈局上持續強勁的執行力，並明確聚焦於效率、成本控管與穩定的井況表現。本季我們在多個井場（pads）完成並投產多口井，早期成果符合或優於預期，進一步印證我們庫存的品質。自 1 月 1 日以來，我們在兩個關鍵開發井場共鑽了 17 口井。在 Elder 井場，我們鑽了 9 口井，平均從開鑽（spud）到鑽機撤場（rig release）的時間為 6.2 天，平均測量井深約 18,435 英尺。

At the Opal Coalbank pad, we drilled 8 wells with an average spud-to-rig release time of 5.5 days and an average measured depth of approximately 18,373 feet. Importantly, 13 of the 17 wells were drilled in a single run, and all wells were delivered below AFE with average cost savings exceeding $100,000 per well. These results highlight the strength of our drilling execution, operational consistency and continued focus on capital efficiency.

在 Opal Coalbank 井場，我們鑽了 8 口井，平均從開鑽到鑽機撤場的時間為 5.5 天，平均測量井深約 18,373 英尺。重要的是，17 口井中有 13 口是在單次連續作業（single run）中完成鑽井，且所有井的交付成本均低於 AFE，平均每口井節省成本超過 10 萬美元。這些成果凸顯我們鑽井執行的優勢、營運一致性，以及對資本效率的持續專注。

From a geological standpoint, the program included 13 Niobrara wells and 4 Codell wells, further enhancing the depth and diversity of our development inventory. In addition to new development, we remain focused on optimization initiatives, including workovers and artificial lift enhancements, which contributed to improved base production performance and overall asset efficiency. We also maintained a strong emphasis on safety and operational discipline, achieving a 0.0 safety record, reflecting the continued commitment and professionalism of our field teams.

從地質角度來看，本計畫包含 13 口 Niobrara 井與 4 口 Codell 井，進一步提升我們開發庫存的深度與多元性。除新開發外，我們仍專注於最佳化措施，包括修井（workovers）與人工舉升（artificial lift）強化，這些措施有助於改善基礎產量表現與整體資產效率。我們也持續高度重視安全與營運紀律，達成 0.0 的安全紀錄，反映現場團隊持續的投入與專業。

Overall, the team continues to execute at a high level, delivering strong operational results while maintaining discipline on costs, capital allocation and long-term value creation. Management and the Board remain closely aligned in prioritizing operational excellence, balance sheet strength and sustainable shareholder returns.

整體而言，團隊持續以高水準執行，在維持成本、資本配置與長期價值創造紀律的同時，交出強勁的營運成果。管理團隊與董事會在優先推動營運卓越、資產負債表強度與可持續的股東報酬方面，仍保持高度一致。

With that, I'll turn it back to Rich for closing remarks.

接下來，我把電話交回 Rich 進行結語。

Thanks, Greg. As we look ahead, we remain focused on building on our strong start for 2026. Our priorities are clear: continue delivering consistent operational performance, maintain capital discipline and execute on our plan to address the remaining Series F Preferred. Successfully completing this process will further strengthen our balance sheet and positioning Prairie for the next phase of growth.

謝謝你，Greg。展望未來，我們仍專注於在 2026 年強勁開局的基礎上持續推進。我們的優先事項很明確：持續交付穩健一致的營運表現、維持資本紀律，並執行我們處理剩餘 F 系列優先股的計畫。成功完成此流程將進一步強化我們的資產負債表，並使 Prairie 為下一階段成長做好更佳定位。

We believe the combination of our high-quality asset base, improving financial profile and clear strategic direction positions us to deliver sustainable value for our shareholders.

我們相信，憑藉我們高品質的資產基礎、持續改善的財務狀況以及清晰的策略方向，我們具備為股東創造可持續價值的有利條件。

With that in mind, we're also reaffirming our full year guidance for 2026 with average daily production of 25,500 to 27,500 BoE per day, capital expenditures of $200 million to $220 million and adjusted EBITDA of $240 million to $260 million. On behalf of the Board, I want to thank our employees for their continued dedication and execution and our shareholders for their ongoing support.

基於此，我們也重申 2026 全年指引：平均日產量為每日 25,500 至 27,500 桶油當量（BoE），資本支出為 2.0 億至 2.2 億美元，調整後 EBITDA 為 2.4 億至 2.6 億美元。我謹代表董事會，感謝員工持續的投入與執行力，也感謝股東一如既往的支持。

And with that, I'll turn the call back over to the operator for Q&A.

接下來，我把電話交回給接線員，進入問答環節。

Thank you. We'll now be conducting a question-and-answer session. (Operator Instructions)

謝謝。我們現在將進行問答環節。(接線員指示)

Leo Mariani, Roth Capital Partners.

Leo Mariani，Roth Capital Partners。

Hi, good morning. I know you guys had considerable production shut-in during the first quarter. I was hoping that you guys could talk a little bit about sort of where current production is here today? I think a lot of those shut-ins might behind you guys at this point in time. And then additionally, your oil cut came down a bit in 1Q, and I suspect a lot of that was due to shut-ins. Just trying to get a sense of where we should expect oil cut kind of for the rest of the year?

嗨，早安。我知道你們在第一季有相當多的產量停產（shut-in）。我想請你們談談目前今天的即時產量大概在哪個水準？我想那些停產在此時點可能多數已經過去了。另外，你們第一季的含油率（oil cut）有下降一些，我猜很大一部分是因為停產所致。我想了解一下，對於今年剩餘期間的含油率，你們預期大概會落在什麼水準？

Good morning, Leo, and thanks for joining us this morning. So as we look at the guidance that we put out and as we look at our current position, the 23,200 barrels per day approximately, as of today, we're right around that same number as we're turning those wells back online and as we're flowing back the significant amount of our own production that was shut-in.

早安，Leo，謝謝你今天早上加入我們。就我們發布的指引以及目前的狀況來看，截至今天我們大約在每日 23,200 桶左右；隨著我們把這些井重新上線、並讓先前停產的自有產量大量回流（flow back），目前數字大致就在同一水準附近。

And again, that was 10 blend wells and 10 Elder wells that were shut-in of our own production as we went back and developed 10 additional blend wells from the same pad. And again, those are not infills. Those are additional DSUs we utilize the same surface for, thus requiring us for safety purposes to shut them in and the same to do with the Elder location as well.

再說一次，當時停產的是我們自有產量中的 10 口 Blend 井與 10 口 Elder 井，因為我們回到同一井場（pad）再開發另外 10 口 Blend 井。而且這些不是加密井（infill）。這些是額外的 DSU，我們使用相同的地面設施，因此出於安全考量需要將其停產；Elder 井位也是同樣的情況。

So as of today's actual, it's very close to the average we prescribed for the first quarter, and that will continue to increase here as those wells come online and as we get back ramp to full production strength. And that will couple with additional pads here in the second quarter coming online as well.

因此以今天的實際數據來看，與我們為第一季所設定的平均值非常接近；隨著這些井陸續上線、以及我們回升至滿載產能，產量還會持續增加。此外，第二季也會有其他井場陸續投產，進一步帶動產量。

Okay. Maybe you could provide a little bit more just operational color. You talked about a lot of the wells that you guys drilled in the first quarter. Maybe just starting with the Elder wells, which I think you guys have drilled and completed. Has that last batch of 9 wells come online at this point?

好的。也許你可以再提供一些營運面的細節。你提到第一季你們鑽了很多井。先從 Elder 井開始，我想你們已經鑽完並完井。那最後那一批 9 口井目前已經上線了嗎？

Is it still coming online here in the second quarter? And the Opal Coalbank wells, have those been fracked? When are those expected to come online? And then presumably, you guys are drilling some other wells here in the second quarter. So if you could just let us know what second quarter drilling is looking like in terms of activity?

還是會在第二季才陸續上線？另外，Opal Coalbank 的井已經壓裂（frack）了嗎？預計何時上線？然後推測你們第二季也在鑽其他井。所以如果可以的話，請說明一下第二季鑽井活動大概會是什麼樣的節奏？

Yeah, absolutely. So publicly available data on that. We're currently drilling the Burnett pad. We've been to TD on our first well bore there in our normal kind of accordance under time limit. And so beating AFE currently on the drill rig on the Burnett. We did just switch to a new precision rig, very happy with that rig. It's an advanced rig with additional mud motor, some additional top drive power for us as we look at some longer reach laterals in our drill program for the year.

好的，當然可以。這些在公開資料中也查得到。我們目前正在鑽 Burnett 井場（pad）。我們第一口井已經鑽到 TD（總深度），而且在我們一般的時程範圍內完成。因此目前在 Burnett 的鑽井平台上，我們的成本表現優於 AFE。我們剛換成一套新的精密鑽機，對這套鑽機非常滿意。這是一套先進鑽機，配有額外的泥漿馬達，以及更高的頂驅動力，讓我們在今年鑽井計畫中面對更長延伸水平段（laterals）時更有利。

Stepping backwards into your questions, the blend pad is all back online. The new production is all online at this point in time. The Elder pad, we are just flowing back and have tubed up the new wells that were completed on the Elder pad. We have not started flowback on those. That's expected to start here over the weekend.

回到你前面的問題，Blend 井場已全部恢復上線。新增產量目前也都已上線。Elder 井場方面，我們剛開始讓已在 Elder 井場完井的新井進行回流（flow back）前的作業並已下管（tubed up）。我們尚未開始對那些井進行回流。預計會在這個週末開始。

And then lastly, the Opal Coalbank, to answer the question on the Opal Coalbank is we are in the middle of frac on those. We're roughly 8 days in on the frac process on the Opal Coalbank pad. And so that has a significant amount of time yet to get through that production that is shut in currently and move towards the new completions on that pad, which will be completed towards the end of the second quarter.

最後，關於 Opal Coalbank：我們正在進行壓裂作業。Opal Coalbank 井場的壓裂流程目前大約進行到第 8 天。因此還需要相當多時間，才能完成目前停產的產量處理並推進到該井場的新完井作業；這些預計會在第二季末完成。

Great. I appreciate that. And then just on well costs, you guys talked about coming in below AFE in a bunch of these wells. Could you provide the actual numbers? Like where are you actually coming in on the well costs for these kind of two-mile laterals?

很好。謝謝說明。另外關於單井成本，你們提到很多井的實際成本低於 AFE。可以提供實際數字嗎？例如這類兩英里水平段（two-mile laterals）的單井成本，你們實際大概落在哪裡？

So these two-mile laterals have an average AFE ranging from $5.2 million to $5.6 million. That has to do with the amount of step-out required from the pad we're drilling from. Ultimately, as we look at the majority of these blend wells here, coupled with the Elders, they did have some larger step-outs on them. So they were more in the range of $5.4 million to $5.5 million of actual cost incurred, and they were targeting $5.6 million AFEs.

這些兩英里水平段的平均 AFE 約在 520 萬至 560 萬美元之間。這取決於從我們鑽井井場需要做多少步出（step-out）。整體來看，這批 Blend 井加上 Elder 井，多數需要較大的步出距離。因此實際發生成本大約在 540 萬至 550 萬美元之間，而原先的目標 AFE 是 560 萬美元。

Okay. Appreciate that. And then just in terms of your capital, the number looked a little bit kind of low on the first quarter in terms of run rate. You talked about some accrued capital as of March 31. So is it safe to assume that maybe 1Q is kind of your lower CapEx quarter and it ticks up here in the next couple of quarters? And I think maybe you guys have some holidays as we get later in the year.

好的。謝謝。再來就資本支出而言，第一季的數字看起來以執行率（run rate）來說有點偏低。你們提到截至 3 月 31 日有一些應計資本（accrued capital）。所以是否可以理解為第一季可能是你們 CapEx 較低的一季，接下來幾季會上升？而且我想你們在年末可能也會有一些假期因素。

Yeah. It's incremental. It's more like a roller coaster ride in terms of how you think about the bell curve. It's almost like a triple bell curve throughout the year, starting a little lower at the beginning of January, peaking out in March, staying high through June, then dipping down again, dipping back up throughout August, September, October, then dipping down again a little bit in November.

是的。它是逐步變動的。就你如何看待那條鐘形曲線而言，更像是坐雲霄飛車。幾乎像是一年中有三個鐘形曲線：1 月初稍低、3 月達到高峰、一路維持高檔到 6 月，之後再下滑，接著在 8、9、10 月再回升，然後 11 月再稍微下滑。

So as you kind of think about the cap curve, you're going to see some of that accrued aspects carry over because, obviously, those periods I just mentioned, and so yes, slightly lower than a straight-line CapEx in the first quarter. But ultimately, that $200 million to $220 million range is still spot on and on track for the year because obviously, that's not going to move too much when you're talking about 20 wellbores and beating by approximately $100,000 a wellbore. We all know that only moves the needle $1 million or $2.

因此當你思考資本支出曲線時，會看到部分應計項目結轉，因為顯然會受到我剛提到那些期間的影響；所以是的，第一季會比直線式（平均分攤）的 CapEx 略低一些。但最終 2.0 億至 2.2 億美元的區間仍然非常準確，且全年進度仍在軌道上，因為顯然當你談的是 20 口井、每口井大約節省 10 萬美元時，總體不會有太大變動。我們都知道那只會讓總額變動 100 萬或 200 萬美元。

Charles Meade, Johnson Rice.

查爾斯・米德（Charles Meade），強生萊斯（Johnson Rice）。

Good morning, Rich and Greg, and to the rest of your team there. You guys had some -- you guys mentioned the Series F Preferred in both of your prepared comments. And I recognize, Greg, I think your words were you're actively engaged in discussions. And so you -- I'm just wondering if you could add a little bit more detail on it. Looks like you've got through, I think, is it the end of June to strike a deal kind of what it looks like the time line is. And can you just talk about how hopeful you are, how optimistic you are about getting that deal done? Or alternatively, if you feel like it's just going to be tough sledding from here?

早安，Rich 和 Greg，以及你們那邊團隊的各位。你們在兩位的事先準備發言中都提到了 F 系列優先股。而且我記得，Greg，我想你的原話是你們正積極參與相關討論。所以我想請問你是否能再補充一些細節。看起來你們大概到 6 月底（我想是到 6 月底？）需要敲定一個協議，時間表似乎是這樣。你能談談你對於完成這筆交易有多大希望、多少信心、多少樂觀嗎？或者相反地，你是否覺得從現在開始會很難推進？

Charles, good morning. We did have snow here back in May. So there was still a little bit of flooding. Preferred instruments provide their own challenges, and we've made progress to date. I think the oil markets have been helpful in continued discussions and avenues of approach. Those avenues, there's multiples.

查爾斯，早安。我們這裡在 5 月還下過雪。所以仍然有一些淹水情況。優先股工具本身就有其挑戰，而我們迄今已取得進展。我認為油市對於持續的討論與推進途徑有所幫助。而這些途徑不只一種。

And ultimately, we're evaluating what those options look like with the Board. There's opportunities in all realms in terms of the equity, the structured finance equity as well as the debt avenues. And so as we continue to come to conclusions or solutions in and amongst those, it could be singular or it could be a mixture of them.

最終，我們正與董事會一起評估這些選項的樣貌。在各個面向都有機會，包括股權、結構性融資的股權，以及債務途徑。因此，當我們在這些選項之間持續形成結論或解決方案時，可能是單一方案，也可能是多種方案的組合。

And so as we continue to evaluate what is best for our stockholders and our shareholders, we've been doing that very closely on almost a recurring daily basis with our Board as we evaluate what's ahead of us. And I think we'll be able to talk more about that as we get through a little bit further in the second quarter.

因此，在我們持續評估什麼對我們的普通股股東與股東整體最有利時，我們一直與董事會非常密切地、幾乎以每日例行的頻率在討論，並評估接下來的方向。我想等我們在第二季再往前推進一些後，就能就此多談一些。

Okay. thank you for that and adding color. And obviously, we'll stay tuned on that. I'm curious, and this is maybe going ahead to the back half of the year, if you do get a -- little simplify your capital structure, I imagine that, that will make you a better player on the acquisition market. And so I wonder if you could talk about how -- what you're seeing. I you guys might not really be on the field right now, but I'm sure you're watching it. Can you tell us what the acquisition opportunity set looks like for you guys?

好的。謝謝你補充說明並提供更多背景。顯然，我們會持續關注後續進展。我好奇的是（這可能是展望下半年），如果你們確實能稍微簡化資本結構，我想那會讓你們在併購市場上成為更有競爭力的參與者。所以我想請你談談你們看到的情況如何——你們現在可能不一定真的在場上出手，但我相信你們一定在觀察。你能告訴我們，對你們而言併購機會的範圍看起來如何嗎？

Charles, this is Richard. I'll kind of address it. There are -- there's really a focus here of just really primarily building on our organic growth right now. We've got over 63,000 net acres in the basin. And so the way it is, it's sort of a chess game of putting together drilling and spacing units and actively and successfully adding to that footprint daily. We watch whatever is going down in the M&A market.

查爾斯，我是 Richard。我來回應一下。目前的重點其實是主要持續強化我們的內生成長。我們在該盆地擁有超過 63,000 英畝的淨礦權。因此，現況有點像下棋，要把鑽井與井距單元拼在一起，並且每天積極且成功地擴大這個版圖。我們也會關注併購市場上正在發生的事情。

Clearly, there's a number of operators who would like to take advantage of this current commodity price. But at this point in time, I'll say that until we find a wholesome solution for the Pref F, we're more on the sidelines.

很明顯地，有不少營運商希望利用目前的商品價格環境。但就目前而言，在我們為 F 系列優先股找到一個完善的解決方案之前，我們會比較偏向在場邊觀望。

Got it. Thank you, Rich.

了解。謝謝你，Rich。

Chris Degner, Water Tower Research.

Chris Degner，Water Tower Research。

Good morning, everyone. Just wanted to check with you guys and your thoughts on how the capital markets are looking now that we are in what looks like an extended higher price environment. I believe you went through your borrowing base redetermination back in January. Is that correct?

各位早安。我想請教你們，現在看起來我們處於一個較長時間的高價環境下，你們對資本市場現況的看法如何。我記得你們在 1 月完成了借款基礎（borrowing base）的重新認定。是這樣嗎？

That's correct, and we'll be entering into another one here very shortly for the RBL documentation.

沒錯，而且我們很快也將進行下一次，主要是針對 RBL 文件作業。

Okay. So the prior one you went through like kind of like the pre Iran war pre-price spike environment. Is that fair to say?

好的。所以你們上一次的重新認定，算是在伊朗戰爭之前、價格飆升之前的環境下進行的。這樣說合理嗎？

Yes.

是的。

Okay. Have you seen any outlooks on like a rough price deck that you could share with them? Or if not, I understand --

好的。你們是否看到任何大致的價格假設（price deck）展望，可以分享一下？如果沒有，我也理解--

Ultimately, the bank's price decks have not moved too much at this point in time. And so ultimately, we hope to see some of that movement really occur most likely in the fall redetermination.

最終，銀行的價格假設目前並沒有太大的變動。因此，我們希望看到一些調整，最有可能會在秋季的重新認定時發生。

Okay. And then on just the pace of capital spending, I think it looks like you're guiding towards most of it being in the second half of the year. Is that fair with well completions?

好的。另外就資本支出節奏而言，我想看起來你們指引顯示大部分會落在下半年。若以完井（well completions）來看，這樣理解合理嗎？

Really straddled, Chris, between the second quarter, the third quarter and then stretching into the first couple of months of the -- or the first month of the fourth quarter. That's kind of where our capital allocation is centralized.

Chris，其實是跨在第二季、第三季，並延伸到第四季的前一兩個月——或第四季的第一個月。我們的資本配置大致集中在那個區間。

Okay. That sounds good. And in terms of a hedging philosophy going forward, is there a percentage of production that you're aiming for or required to do?

好的。聽起來不錯。那就未來的避險理念而言，你們是否有一個目標比例，或是有被要求必須做到的比例？

Hedging, we have done incrementally as the markets have moved. We've been opportunistic as we kind of have rolled quarter-to-quarter and benefited from the uplift in obviously, some of the effects of the Iran war. As we look at the PDP, there's obviously a component that's required under the credit agreement to be hedged. And as we think about that requirement, roughly 85% over the next 24 months, ability to hedge into the 36-month period. We are able to hedge into the development wedge slightly. So as we think about the end of the year rolling into the first quarter, we were hedged into the development wedge of roughly 25%.

避險方面，我們是隨著市場變動逐步增加。我們在每季滾動的過程中採取機會主義策略，也受益於價格上行，當然其中也包含伊朗戰爭帶來的一些影響。就已探明已開發產量（PDP）來看，依照信貸協議，確實有一部分是必須避險的。就該要求而言，未來 24 個月大約是 85%，並且可以把避險延伸到 36 個月期間。我們也能在一定程度上對開發楔形區（development wedge）進行避險。因此，當我們思考年底延伸到第一季時，我們在開發楔形區的避險比例約為 25%。

So as you think about the forward look, we're just over 100% on a PDP basis hedged into the development wedge. It equates at the end of the first quarter to roughly 80% of our development hedged on average in 2026. And then obviously, as the rig continues, that number will decrease, and we'll take the opportunistic view of continued escalation in the, we'll say, the curve as we think it will continue to come up. And so at this moment, we are staying within the guidelines required by the credit agreement, but taking advantage of the market.

所以從前瞻角度來看，我們在 PDP 基礎上避險比例略高於 100%，並延伸到開發楔形區。換算到第一季末，等同於我們在 2026 年平均約有 80% 的開發量已避險。然後很明顯地，隨著鑽機作業持續推進，這個比例會下降；而我們會以機會主義的角度，利用我們認為將持續上升的（我們姑且稱之為）期貨曲線的進一步上移。因此，目前我們一方面維持在信貸協議要求的指引範圍內，同時也把握市場機會。

Okay. That makes a lot of sense. I think that's all I have for now. Actually, one more question as I think of it. As you look out at your development wedge, is there any incremental capital that you'll need for gathering and takeaway and other short-term midstream needs?

好的。這非常合理。我目前就這些問題。其實我再想到一個問題。當你們看你們的開發楔形區時，是否需要任何額外資本用於集輸（gathering）與外運（takeaway），以及其他短期的中游需求？

Great question. So Rich hinted on the organic growth and expanding into new arenas and continuing to build our DSUs. As we do that, obviously, each DSU is generally 1 mile by 2 miles long. And as we continue to expand or build those tetris blocks, we will need to put additional capital into the development plan. That's a more of a '27 and '28 activity in terms of outside of the normal scope of facility design and interconnects, et cetera, and so forth that are factored in for 2026.

好問題。所以 Rich 提到了內生成長、擴展到新的區域，以及持續建立我們的 DSU。在我們這麼做的同時，很明顯地，每個 DSU 通常是 1 英里乘以 2 英里。而當我們持續擴張或堆疊這些像俄羅斯方塊一樣的區塊時，我們將需要在開發計畫中投入額外資本。就 2026 年已納入的正常設施設計與連接（interconnects）等範疇之外，那會比較偏向 2027 與 2028 年的活動。

Excellent. And then one last one. I said that I was going through the 2025 permit data in Colorado. And I was kind of surprised to see that there's a continued uptick in permits granted by the government. Is that something you guys have seen? And if so, what do you think is causing it?

很好。然後最後一個問題。我說我在查看科羅拉多州 2025 年的許可證資料。我有點驚訝地看到政府核發的許可證持續增加。這是你們也觀察到的情況嗎？如果是的話，你們認為是什麼原因造成的？

You say stranded?

你是說擱置（stranded）嗎？

There's been an impact in -- there's been an increase in Form 2 permits by the state. I was curious if you see that.

州政府的 Form 2 許可證數量有所影響——也就是增加了。我想知道你們是否也看到這點。

Yes, yes. Sorry, I misheard your question, Chris. Ultimately, the state has -- with the guidelines put in place, the operators have had a more systematic approach to getting permits through the system. And the state has been working through those in, I'll say, (inaudible). And so we've seen a lot more interaction and ability in partnership to get those permits pushed through, albeit there's a lot of requirements to it. And it really holds us to creating that cleanest molecule and best-in-class operations throughout the continental United States.

是的，是的。抱歉，Chris，我剛剛聽錯你的問題了。總體而言，州政府在既定指引下——營運商在讓許可證通過系統方面採取了更有系統的方法。而州政府也一直在處理這些，我會說，(聽不清)。因此我們看到更多互動，也更能以合作夥伴關係把這些許可證推進流程，儘管其中有很多要求。而這也確實要求我們在美國本土全境打造最潔淨的分子（產品）與同級最佳的營運。

I might add, though, there's a budget shortfall projected for the state of Colorado. And I think the regulators are realizing one way to increase revenue for the state is to increase drilling permits and increase oil production. I think they're coming to that realization.

我補充一下，科羅拉多州預計會有預算缺口。我認為監管單位正在意識到，提高州政府收入的一種方式就是增加鑽井許可並提高石油產量。我想他們正在得出這個結論。

It only took them a decade. But thanks, guys.

他們花了十年才明白。不過謝謝各位。

Thanks, Chris.

謝謝你，Chris。

Tim Moore, ClearStreet.

Tim Moore，ClearStreet。

Thanks. Just kind of curious, I mean, what do you believe might be the overall lease operating expense per BOE this year? I know it was a bit high in the March quarter, you had shut-ins. You had weather, September was a bit high. Do you think it could be closer to $6, $6.25 per BOE maybe for the rest of the year?

謝謝。我有點好奇，你們認為今年整體每 BOE 的租賃營運費用（LOE）大概會是多少？我知道 3 月那一季有點偏高，因為你們有停產（shut-ins）。也有天氣因素，9 月也有點高。你覺得今年剩下的時間，是否可能更接近每 BOE 6 美元、6.25 美元左右？

I think that's a target that's achievable, Tim. Ultimately, our goal is to continue to refine things as we improve the facilities, we consolidate operational expenses with the 500 wellbore locations we're operating today. And our goal is to get it below that $6.25 number. But I think $6.25 would be an achievement that we would be proud of. We think that it is achievable. And so we are heading towards that. And obviously, the BOE metrics help with that as well as the production comes on. So some of those fixed aspects just stay fixed and the variable aspects, ultimately, production helps.

Tim，我認為那是可以達成的目標。總體而言，我們的目標是隨著設施改善持續精進，同時在目前營運的 500 個井筒位置上整併營運費用。我們的目標是把它降到 6.25 美元以下。但我認為 6.25 美元會是一個我們會引以為傲的成果。我們認為這是可達成的。所以我們正朝那個方向前進。而且很明顯，隨著產量上來，BOE 指標也會有所幫助。因此一些固定成本面向會維持固定，而變動面向最終會因產量提升而受益。

Great. Thanks, Greg. And then just a little bit more sense on the production guidance being reiterated for this year. I know you talked a little bit about the shut-ins in the plan. It's gotten better a little bit in the quarter. So would you expect a decent production sequential increase in the second quarter from the March quarter? I mean, just kind of curious, it won't be flat, right?

很好。謝謝，Greg。另外想再多了解一下你們今年重申的產量指引。我知道你談到計畫中的停產。本季情況有稍微好轉。所以你是否預期第二季相較 3 月那一季，產量會有不錯的季增？我的意思是，有點好奇，不會持平，對吧？

No, it won't be flat. There'll be an uptick more so in the more so in the last month of the second quarter, than in the first month. The first month of the quarter was still in the downturn with wells shut-in, albeit April. So we are seeing that uptick as we speak today.

不，不會持平。會有上升，而且第二季最後一個月的增幅會比第一個月更明顯。本季第一個月仍處於停產井的下行狀態，雖然那是 4 月。所以我們今天就正在看到那個回升。

I got it. That's what I thought from the commentary and just the timing of stuff coming back on and reoccupying. Last question is just a follow-up on the hedging question. I get asked this a lot. You went through that. Oil prices are good for you. You just had to hedge a lot before you even started with the banking financing. So what do you kind of think might be the EBITDA total uplift this year from higher oil prices? Is it $8 million, $10 million, something like that?

了解。從你們的評論以及一些產能回復、重新投入的時間點來看，我也是這麼想的。最後一個問題是對避險問題的追問。我常被問到這個。你剛剛也說明了。油價上漲對你們有利。但在你們開始做銀行融資之前，就必須先做很多避險。所以你們認為今年因油價較高帶來的 EBITDA 總體上行幅度大概會是多少？是 800 萬美元、1,000 萬美元之類嗎？

So I mean, ultimately, when you look at total production on the year and we look at, we'll call it, 9 million to 10 million of total BOEs per day, if we see 80% -- so let's say, 20% of that, we just talked about 80% being hedged, 20% of that, call it, 2 million barrels, high-level math, ultimately is kind of unhedged when you look at the price differential on that. I think your $10 million is a conservative number.

所以，總體而言，當你看全年總產量，並且我們看——我們姑且稱之為——每天總計 900 萬到 1,000 萬 BOE，如果我們看到 80%——也就是說，20% 的部分，我們剛剛談到 80% 已經避險，20% 的部分，粗略算一下，大概是 200 萬桶，從那部分的價差來看，基本上就是未避險的。我認為你說的 1,000 萬美元是保守的數字。

But ultimately, we're not re-guiding to anything at this point in time because we don't know the Street could open tomorrow. I think there was an acronym, it was Nacho, not a chance the Strait of Hormuz opens. And so if that happens, I think there is more opportunity to benefit from the price curve. But at this point in time, we're not adjusting anything because we don't know really what's going to happen. We're 5 months into the year. We've seen benefits over a two months period. Ultimately, we'll see what the rest of the year brings.

但總體而言，我們目前不會重新給出任何指引，因為我們不知道海峽明天會不會開放。我記得有個縮寫，叫 Nacho，意思是荷姆茲海峽不可能開放。所以如果真的發生，我認為從價格曲線中受益的機會會更多。但就目前而言，我們不調整任何東西，因為我們真的不知道會發生什麼。今年已經過了 5 個月。我們在兩個月期間看到了好處。最終就看今年剩下的時間會帶來什麼。

Yes, that's what I was kind of getting at. It made sense for you to keep the guidance, especially with some of the first quarter shut-ins and weather.

是的，我大概就是這個意思。你們維持指引是合理的，尤其第一季有一些停產和天氣因素。

Well, thanks a lot. That's it for my questions. Thanks, Greg.

好的，非常感謝。我的問題就到這裡。謝謝，Greg。

Thank you. There are no further questions at this time. This does conclude today's conference. You may disconnect your lines at this time, and we thank you again for your participation.

謝謝。目前沒有其他問題。今天的電話會議到此結束。您現在可以掛斷電話線，並再次感謝您的參與。