SandRidge Energy Inc (SD) 2026 Q2 法說會逐字稿

Ladies and gentlemen, thank you for joining us and welcome to SandRidge Energy's second quarter 2026 conference call. (Operator Instructions)

各位女士、先生，感謝各位加入我們，歡迎參加 SandRidge Energy 2026 年第二季電話法說會。(接線員指示)

I will now hand the conference over to Scott Prestridge, Senior Vice President of Finance and Strategy. Scott, please go ahead.

現在我將把會議交給財務與策略資深副總裁 Scott Prestridge。Scott，請開始。

Thank you and welcome everyone. With me today are Grayson Prather, our CEO; Jonathan Frates, our Chairman; Brandon Brown, our CAO; and Dean Parrish, our COO.

謝謝，並歡迎各位。今天與我一同出席的有：我們的執行長 Grayson Prather；董事長 Jonathan Frates；首席會計官（CAO）Brandon Brown；以及營運長（COO）Dean Parrish。

We'd like to remind you that today's call contains forward-looking statements and assumptions that are subject to risk and uncertainty, and actual results may differ materially from those projected in these forward-looking statements. These statements are not guarantees of future performance, and our actual results may differ materially due to known and unknown risks and uncertainties as discussed in greater detail in our earnings release and our SEC filings. We may also refer to adjusted EBITDA and adjusted G&A and other non-GAAP financial measures. Reconciliations of these measures can be found on our website.

我們提醒各位，今天的電話會議包含前瞻性陳述與假設，可能受到風險與不確定性影響，實際結果可能與這些前瞻性陳述所預期者有重大差異。這些陳述並非對未來績效的保證；由於已知與未知的風險與不確定性（我們在新聞稿與向 SEC 提交的文件中有更詳細的討論），實際結果可能出現重大差異。我們也可能提及調整後 EBITDA、調整後 G&A 以及其他非 GAAP 財務衡量指標。上述指標的調節表可於我們的網站查閱。

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

接下來，我把電話交給 Grayson。

Thank you, and good afternoon. I'm pleased to report on a strong quarter and first half for the company. We continue to grow year-over-year production and revenue, driven primarily by our operating development program and higher commodity prices. We also announced a bolt-on acquisition that expands our footprint in the Cherokee play.

謝謝，各位下午好。我很高興向各位報告，公司本季及上半年表現強勁。在我們營運開發計畫與較高商品價格的帶動下，我們持續實現產量與營收的年增成長。我們也宣布了一項補強型（bolt-on）收購案，擴大我們在 Cherokee 區塊的布局。

Before getting into this and other highlights, I will turn things over to Jonathan for details on financial results.

在進一步說明上述與其他重點之前，我先把時間交給 Jonathan，請他說明財務結果的細節。

Thanks, Grayson. During the quarter, the price of oil averaged roughly $95 per barrel, while the price of natural gas fell to just above $3. The company grew production to 19.7 Mboe per day, representing an increase of 11% year over year on a BOE basis. Oil increased 22% over the same period. We generated revenues of just over $51 million, a 48% increase year over year, and adjusted EBITDA of $34 million, a 49% increase over the same period.

謝謝，Grayson。本季油價平均約每桶 95 美元，而天然氣價格下滑至略高於 3 美元。公司產量提升至每日 19.7 Mboe，以 BOE 計算年增 11%。同期原油產量增加 22%。我們創造營收略高於 5,100 萬美元，年增 48%；調整後 EBITDA 為 3,400 萬美元，較去年同期增加 49%。

As always, we continue to manage the business with the goal of maximizing long-term cash flow while growing production and utilizing our NOLs to shield us from income taxes. At the end of the quarter, cash, including restricted cash, was approximately $115 million, which represents roughly $3.09 per common share outstanding.

一如既往，我們持續以最大化長期現金流為目標來管理業務，同時成長產量並運用我們的 NOL（可扣抵虧損）以降低所得稅負擔。截至季末，現金（含受限制現金）約為 1.15 億美元，約相當於每股流通普通股 3.09 美元。

The company paid $10.6 million in dividends during the quarter, which included our regular way dividend of 13 cents per share and the previously announced one-time special dividend of 20 cents per share. Including special dividends, SandRidge has now paid $5.05 per share in dividends since the beginning of 2023. On August 4, 2026, the Board of Directors declared a 13 cents per share dividend payable on August 31 to shareholders of record on August 19, 2026.

公司本季支付股利 1,060 萬美元，其中包含每股 13 美分的例行股利，以及先前宣布的一次性特別股利每股 20 美分。包含特別股利在內，自 2023 年初以來，SandRidge 累計已支付每股 5.05 美元的股利。2026 年 8 月 4 日，董事會宣告每股 13 美分股利，將於 8 月 31 日支付給 2026 年 8 月 19 日登記在冊的股東。

Shareholders may receive cash or additional shares of common stock through the company's dividend reinvestment plan. The unhedged price realization for the quarter, before considering the impact of hedges, was $95.35 per barrel of oil, $1.36 per Mcf of gas, and $21.68 per barrel of NGL. This compares to first quarter realizations of $71.11 per barrel of oil, $3.13 per Mcf of gas, and $18.64 per barrel of NGL.

股東可透過公司的股利再投資計畫選擇領取現金或額外普通股股份。本季未避險的實現價格（在考量避險影響之前）為：原油每桶 95.35 美元、天然氣每 Mcf 1.36 美元、NGL 每桶 21.68 美元。相較之下，2026 年第一季的實現價格為：原油每桶 71.11 美元、天然氣每 Mcf 3.13 美元、NGL 每桶 18.64 美元。

While oil prices rose during the quarter, the realized price of natural gas fell meaningfully, primarily due to widening regional price differentials. Our commitment to cost discipline continues to yield results with adjusted G&A for the quarter of approximately $2.7 million or $1.52 per BOE , compared to $2.4 million or $1.48 per BOE in the second quarter of 2025.

雖然本季油價上升，但天然氣的實現價格明顯下滑，主要原因是區域價差擴大。我們對成本紀律的承諾持續帶來成果：本季調整後 G&A 約為 270 萬美元，或每 BOE 1.52 美元；相較之下，2025 年第二季為 240 萬美元，或每 BOE 1.48 美元。

Net income was approximately $27 million for the quarter, or $0.72 per common share, and adjusted net income was approximately $21 million, or $0.57 per share. This compares to $19.6 million or 53 cents per common share and $12.2 million or 33 cents per share respectively during the same period last year.

本季淨利約為 2,700 萬美元，或每股普通股 0.72 美元；調整後淨利約為 2,100 萬美元，或每股 0.57 美元。相較去年同期，分別為 1,960 萬美元（每股普通股 0.53 美元）以及 1,220 萬美元（每股 0.33 美元）。

The company generated cash flow from operations of $42.4 million during the quarter, compared to $22.9 million during the same period last year. With adjusted operating cash flow of $34.6 million during the quarter compared to $25.6 million in the same period of 2025. The company continues to have no debt and expects to fund all 2026 capital expenditures and capital returns with cash flows from operations during the year.

公司本季營運活動產生的現金流為 4,240 萬美元，去年同期為 2,290 萬美元。本季調整後營運現金流為 3,460 萬美元，2025 年同期為 2,560 萬美元。公司仍維持零負債，並預期 2026 年度所有資本支出與資本回饋將由當年度營運現金流支應。

Lastly, our production is hedged with a combination of swaps and collars representing just under 30% of the midpoint of our 2026 guidance. This includes 37% of natural gas production and 43% of oil. These hedges will help secure a portion of our cash flows and support our drilling program through the year. We continue to monitor prices to take advantage of favorable opportunities, but plan to maintain meaningful upside throughout the remainder of the year. Before shifting to our outlook, we should note that our earnings release and 10-Q will provide further details on our financial and operational performance during the year.

最後，我們以換約（swaps）與領口（collars）的組合進行產量避險，涵蓋 2026 年財測中值的略低於 30%。其中包含天然氣產量的 37% 與原油的 43%。這些避險將有助於鎖定部分現金流，並在全年支持我們的鑽井計畫。我們持續監控價格以把握有利機會，但計畫在今年剩餘期間仍保留具意義的上行空間。在轉向展望之前，我們也要說明，我們的財報新聞稿與 10-Q 將提供本年度財務與營運表現的更多細節。

I will turn it over to Dean for an update on operations.

接下來我把時間交給 Dean，請他更新營運狀況。

Thank you, Jonathan. Let's start with a review of the second quarter, then discuss recent drilling and completion results. Total capital spend for the quarter excluding A&D was $16.3 million, which is better than expected for the quarter, mostly due to activity timing. The rigorous bidding process focused on driving drilling and completion costs down in the Cherokee play, and longer artificial lift run times from previous years of improvements also contributed. Additionally, we have been securing critical well components needed for the remainder of the year to minimize any supply or inflationary pressures that may affect our capital program.

謝謝你，Jonathan。我們先回顧第二季表現，接著討論近期鑽井與完井成果。本季資本支出（不含 A&D）為 1,630 萬美元，優於本季原先預期，主要是因為作業時點安排。嚴謹的招標流程聚焦於降低 Cherokee 區塊的鑽井與完井成本；此外，過去幾年改善所帶來的較長人工舉升（artificial lift）運轉時間也有所貢獻。另外，我們也已為今年剩餘期間所需的關鍵井用零組件進行採購，以將可能影響資本計畫的供應或通膨壓力降至最低。

Lease operating expenses for the quarter were $10.3 million, or $5.73 per BOE , which falls right in line with expectations. We are also securing the equipment and services that will be critical for production operations in 2026, similar to the capital program. We expect to continue to see pressure on diesel through fuel surcharges passed on through service providers that have strict internal protocol to reduce surcharges when diesel prices begin to decrease.

本季租賃營運費用為1,030萬美元，或每BOE 5.73美元，與預期完全一致。我們也正如同資本計畫一樣，提前確保對2026年生產營運至關重要的設備與服務。我們預期柴油成本仍將承受壓力，因為服務供應商會透過燃油附加費轉嫁成本；而這些供應商內部有嚴格規範，當柴油價格開始下跌時才會降低附加費。

During the quarter, the company successfully brought two wells online from our operated 1-rig Cherokee drilling program. We recently brought online two additional wells in July and are drilling the sixth out of 10 wells for the year.

本季期間，公司成功將我們自營的Cherokee單鑽機（1-rig）鑽井計畫中的兩口井投產上線。我們在7月又新增兩口井投產，目前正鑽進本年度10口井中的第6口。

Our operations team continues to execute, with the fourth well that was drilled being the fastest, lowest well cost to date. In addition to Cherokee development, the operations team successfully recompleted a shut-in legacy well to an up-hole zone with initial production rates of 1,400 Mcf per day and 4 barrels of oil per day, exceeding expectations. We will continue to focus on lower drilling and completion costs while looking for opportunities to extract additional value from legacy assets.

我們的營運團隊持續有效執行，其中第4口鑽成的井創下迄今最快、單井成本最低的紀錄。除Cherokee開發外，營運團隊也成功將一口停產的既有老井重新完井至較淺層（up-hole）層位，初期產量達每日1,400 Mcf天然氣與每日4桶原油，優於預期。我們將持續聚焦降低鑽井與完井成本，同時尋找機會自既有資產中提取更多價值。

Moving to our 2026 capital program, we plan to drill 10 operated Cherokee wells with 1 rig this year and complete nine wells. The remaining completion is anticipated to carry over to next year. A majority of the remaining wells in our development program this year directly offset producing or in-progress wells in the area, and we continue to monitor offsetting results.

接著談我們的2026年資本計畫，我們今年計畫以1部鑽機鑽10口自營Cherokee井，並完井9口。其餘完井作業預計將延續至明年。今年開發計畫中多數剩餘井位，將直接對應（offset）該區域既有生產井或正在進行中的井，我們也持續監測鄰井（offset）結果。

Gross well costs vary by depth, but are estimated to be between approximately $9 million and $11 million. We intend to spend between $76 million and $97 million in our 2026 capital program, which is made up of $62 million to $80 million in drilling and completions activity, and between $14 million and $17 million in capital workovers, production optimization, and selective leasing in the Cherokee play. Our high-graded leasing is focused on further bolstering our interest, consolidating our position, and extending development into future years.

單井總成本會因井深而異，估計約介於900萬至1,100萬美元之間。我們預計在2026年資本計畫中投入7,600萬至9,700萬美元，其中包含6,200萬至8,000萬美元用於鑽井與完井活動，以及1,400萬至1,700萬美元用於資本修井（capital workovers）、生產最佳化，以及在Cherokee區塊進行選擇性租賃。我們的高品質（high-graded）租賃策略聚焦於進一步強化我們的權益、整合我們的區位，並將開發延伸至未來年度。

With that, I will turn things back over to Grayson.

接下來我把時間交回給Grayson。

Thank you, Dean. Let's begin with the recently announced Cherokee acquisition. On June 29, we signed an agreement to acquire certain producing assets and leasehold interests in the Cherokee play, expanding our efficient operations in the area with the addition of 7,000 net leasehold acres and interest in 21 wells, including interest in four SandRidge operated wells. The proved undeveloped leasehold includes four 2.5-mile wells and four 2-mile wells, which immediately offset our core position in Roger Mills County. The average 30-day IP for the operated producing wells we're acquiring is more than 2,100 BOE per day with 58% oil.

謝謝你，Dean。我們先從近期宣布的Cherokee收購案談起。6月29日，我們簽署協議，收購Cherokee區塊的部分在產資產與租賃權益；透過新增7,000英畝淨租賃面積（net leasehold acres）以及21口井的權益（其中包含4口由SandRidge自營的井之權益），擴大我們在該區域的高效率營運。已證實未開發（proved undeveloped）的租賃權益包含4口2.5英里井與4口2英里井，將立即與我們在Roger Mills郡的核心區位形成鄰接對應（offset）。我們將收購的自營在產井，其平均30日初期產量（IP）超過每日2,100 BOE，且原油占比為58%。

We view this as a very complementary bolt-on that expands our footprint in the Mid-Continent by adding quality oil-weighted production and bolstering our Cherokee inventory with acreage that immediately offsets our current drilling and leasing programs. We anticipate closing this acquisition in the third quarter and will then focus on integrating the new assets, applying our low-cost know-how to operations. We currently do not plan to add people as a result of the acquisition.

我們認為這是一項高度互補的加掛式（bolt-on）收購，透過增加高品質、偏油（oil-weighted）的產量，擴大我們在美國中部（Mid-Continent）的版圖，並以可立即對應我們現行鑽井與租賃計畫的新增面積，強化我們的Cherokee井位庫存。我們預期於第三季完成交割，之後將聚焦整合新資產，並將我們的低成本專業能力應用於營運。目前我們不計畫因本次收購而增聘人員。

Now, let's pivot over to the development program. As Dean discussed, we had first production on two wells this past quarter. One well targeted the Cherokee Shale in our core area, which had a peak 30-day average production rate of approximately 2,000 BOE per day, consistent with the surrounding wells in the area. The other well turned in line this quarter was a step out from our core area and tested a sub-member of the larger Cherokee formation immediately below the Cherokee Shale.

接著我們把焦點轉到開發計畫。如Dean所述，我們在上一季有兩口井首次產出。其中一口井鎖定核心區的Cherokee頁岩（Cherokee Shale），其30日峰值平均產量約為每日2,000 BOE，與該區周邊井表現一致。本季投產的另一口井則位於核心區外的延伸步出（step out）位置，測試位於Cherokee頁岩下方、較大Cherokee地層中的一個次層段（sub-member）。

This well had an initial 30-day average rate of more than 10,000 Mcf per day and more than 100 barrels of oil per day on a two-stream basis. The 90-day average rate is approximately 11,000 Mcfe per day and cumulative production after 100 days is over 1 billion cubic feet. We are seeing exceptionally flat production from this well.

該井以雙流（two-stream）口徑計算，初期30日平均產量超過每日10,000 Mcf天然氣，且原油超過每日100桶。90日平均產量約為每日11,000 Mcfe，投產100天後累積產量已超過10億立方英尺。我們觀察到該井的產量曲線異常平穩。

While we are still assessing long-term recoveries, initial estimates are very promising. This well result allows us to better establish performance expectations in a new target and area that will help us evaluate the economics and potential development opportunity in the future. To that end, we are assessing whether this new target and the Cherokee Shale are truly unique reservoirs and the potential for stacked pay, which, if confirmed, could provide further development options for gas.

雖然我們仍在評估長期可採收量，但初步估算相當令人振奮。這口井的結果讓我們能更好地建立在新目標層與新區域的表現預期，並有助於我們未來評估其經濟性與潛在開發機會。為此，我們正在評估此新目標層與Cherokee頁岩是否確為彼此獨立的儲層，以及是否存在疊層含油氣（stacked pay）的潛力；若獲確認，將可為天然氣提供更多開發選項。

However, we plan to be deliberate and patient as we observe more production history and gather more information to aid in analysis and future decision making. Given the tailwind of WTI prices and the enhancement to returns, we plan to continue our Cherokee development with 1 rig and further grow oil production.

不過，我們計畫在觀察更多產量歷史並蒐集更多資訊以支援分析與未來決策的同時，保持審慎與耐心。在WTI油價帶來順風、並提升報酬的背景下，我們計畫以1部鑽機持續推進Cherokee開發，並進一步成長原油產量。

The program is attractive in a range of commodity environments. Our team will continue to be diligent in monitoring results, prioritizing full-cycle returns and reasonable reinvestment rates, and, when needed, exercise drill schedule flexibility to make prudent adjustments to our development plans. I'm very pleased with our team for their continued focus on safety, execution, and cost focus in the development and production optimization program.

在各種商品價格環境下，該計畫都具吸引力。我們的團隊將持續嚴謹監測成果，優先考量全週期報酬（full-cycle returns）與合理的再投資率，並在需要時運用鑽井排程的彈性，對開發計畫做出審慎調整。我對團隊在開發與生產最佳化計畫中，持續聚焦安全、執行力與成本控管感到非常滿意。

They are truly championing safety, resulting in the continuation of our record of more than four and a half years without a recordable safety incident. We continue to operate at a high level with a lean, but very engaged and experienced staff, with peer-leading operating and administrative cost efficiencies.

他們確實在推動安全文化，使我們得以延續超過四年半無可記錄安全事件（recordable safety incident）的紀錄。我們持續以精實但高度投入且經驗豐富的團隊維持高水準營運，並在營運與行政成本效率方面領先同業。

I'd like to pause here to highlight the optionality we have across our asset base, coupled with the strength of our balance sheet that sets us up to leverage commodity price cycles. The combination of our oil-weighted Cherokee and gas-weighted legacy assets, as well as a robust net cash position, give us multi-faceted options to maneuver and take advantage of different commodity cycles.

我想在此暫停一下，強調我們在資產基礎上的多重選擇性（optionalities），再加上我們資產負債表的強勁實力，使我們能夠把握大宗商品價格循環並加以運用。我們以石油為主的 Cherokee 資產與以天然氣為主的既有資產相結合，再加上穩健的淨現金部位，讓我們具備多面向的操作選項，得以因應並把握不同的大宗商品循環。

Put simply, we have a strong balance sheet and a versatile kit bag, which makes the company more resilient and better poised to maneuver and adjust no matter the commodity cycle. We'll now revisit the company's advantages. Our asset base is focused in the Mid-Continent region with a PDP well set that provides meaningful cash flow, which has a shallowing and diversified production profile, a double-digit reserve life, and does not require any routine flaring of produced gas.

簡而言之，我們擁有強健的資產負債表與多元的工具組合，使公司在任何大宗商品循環下都更具韌性，也更能靈活調整與應對。接下來我們將回顧公司的優勢。我們的資產基礎聚焦於中大陸（Mid-Continent）地區，擁有一組 PDP 井（已探明已開發生產）可提供可觀現金流，且產量曲線趨於平緩並具多元化的產出結構、兩位數的儲量年限，且不需要對產出天然氣進行任何例行性放空燃燒（flaring）。

Our incumbent assets include more than 1,000 miles each of owned and operated SWD and electrical infrastructure over our footprint, which among other factors helps de-risk individual well profitability for a majority of our legacy producing wells down to roughly $40 WTI and $2 Henry Hub. Our assets continue to yield free cash flow.

我們的既有資產包括在營運範圍內自有並自行營運的 SWD（鹽水處置）與電力基礎設施，各自超過 1,000 英里；這些因素等有助於降低單井獲利能力的不確定性，使我們多數既有生產井在約 $40 WTI 與 $2 Henry Hub 的情境下仍具經濟性。我們的資產持續創造自由現金流。

This cash generation potential provides several paths to increase shareholder value realization and is benefited by a low G&A burden. SandRidge's value proposition is materially de-risked from a financial perspective by our strength and balance sheet, including negative net leverage, financial flexibility, and advantaged tax position.

這樣的現金創造潛力提供多條提升股東價值實現的途徑，並受惠於較低的 G&A（一般及行政）負擔。SandRidge 的價值主張在財務面因我們的實力與資產負債表而大幅去風險化，包括淨槓桿為負、財務彈性，以及具優勢的稅務地位。

We have bolstered our inventory to provide further organic growth opportunities and incremental oil diversification with low break-evens in high-graded areas. Finally, it is worth highlighting that we take our ESG commitment seriously and we have implemented disciplined processes around them. Not only do we continue to operate our existing asset base extremely efficiently and execute on our Cherokee development in an effective manner, but we do so safely.

我們已擴充我們的開發庫存，以在高優選區域提供更多內生成長機會，並以低損益兩平點帶來額外的石油多元化。最後值得強調的是，我們嚴肅看待 ESG 承諾，並已就此建立嚴謹的流程。我們不僅持續以極高效率營運既有資產基礎，並有效執行 Cherokee 開發，同時也以安全的方式進行。

Shifting to strategy, we remain committed to growing the value of our business in a safe, responsible, and efficient manner while prudently allocating capital to high-return growth projects. We also evaluate merger and acquisition opportunities while maintaining financial discipline, consideration of our balance sheet, and commitment to our capital return program.

轉向策略面，我們仍致力於以安全、負責且高效率的方式提升業務價值，同時審慎配置資本於高報酬的成長專案。我們也在維持財務紀律、考量資產負債表狀況並堅守資本回饋計畫承諾的前提下，評估併購機會。

This strategy has five points. One, maximize the value of our incumbent Mid-Con PDP assets by extending and flattening our production profile with high-return production optimization projects, as well as continuously pressing on operating and administrative costs. Two, capital stewardship in investment projects and opportunities that have attractive returns and target reasonable reinvestment rates that sustain free cash flow while prioritizing a regular way dividend.

此策略包含五點。第一，透過高報酬的產量優化專案延長並平緩產量曲線，同時持續壓低營運與行政成本，以最大化我們既有中大陸地區 PDP 資產的價值。第二，在投資專案與機會上落實資本管理，聚焦具吸引力報酬的項目，並以合理的再投資率為目標，在優先維持常態性股利的同時，確保自由現金流可持續。

Three, maintain optionality to execute on value-accretive merger and acquisition opportunities that could bring synergies, leverage the company's core competencies, complement our portfolio of assets, further utilize approximately $1.5 billion of federal NOLs, or otherwise yield attractive returns.

第三，維持執行具增值性的併購機會之選擇性，這些機會可帶來協同效益、發揮公司核心能力、補強我們的資產組合、進一步運用約 15 億美元的聯邦 NOL（淨營業損失可扣抵額），或以其他方式帶來具吸引力的報酬。

Four, as we generate cash, we will continue to work with our Board to assess paths to maximize shareholder value, including investment in strategic opportunities, advancement of our return of capital program, and other uses. To this end, the Board continues to focus on the company's return of capital to stockholders, and as a result, expanded our ongoing dividend program last quarter by 8%. And the final staple is to uphold our ESG responsibilities.

第四，隨著我們產生現金流，我們將持續與董事會合作，評估最大化股東價值的途徑，包括投資策略性機會、推進資本回饋計畫，以及其他資金用途。為此，董事會持續聚焦於對股東的資本回饋，因此在上季將我們持續性的股利計畫擴大並提高 8%。最後一項核心要點是履行我們的 ESG 責任。

Now, shifting to administrative expenses, I will turn things over to Brandon.

接下來轉到行政費用部分，我把時間交給 Brandon。

Thank you, Grayson. As we wind up our prepared remarks, I will point out our second quarter adjusted G&A of $2.7 million or $1.52 per BOE continues to lead among our peers. The consistent efficiency of our organization reflects our core values to remain cost disciplined and to be fit for purpose. We will maintain our efficient and low-cost operation mindset and continue to focus on the proper weighting of field versus corporate personnel to reflect where we create the most value.

謝謝你，Grayson。在我們結束事先準備的發言之際，我要指出我們第二季調整後 G&A 為 270 萬美元，或每 BOE 1.52 美元，持續在同業中名列前茅。我們組織一貫的高效率反映了我們的核心價值：維持成本紀律並確保組織配置符合目的（fit for purpose）。我們將維持高效率、低成本的營運思維，並持續聚焦於現場與總部人員的適當配置比重，以反映我們在哪裡創造最大價值。

The outsourcing of our more perfunctory activities, such as operations accounting, land administration, IT, tax, and HR, has allowed us to operate with a total personnel of just over 100 people for the past several years, while retaining key technical skill sets that have both experience and institutional knowledge of our business.

將較例行性的工作外包，例如營運會計、土地管理、IT、稅務與人資，使我們在過去數年得以將總人數維持在 100 人出頭，同時保留具備經驗與對本業務有制度性知識（institutional knowledge）的關鍵技術能力。

In summary, at the end of the second quarter, the company had approximately $115 million in cash and cash equivalents, which represents approximately $3.09 per share of our common stock outstanding. We have an inventory of high rate of return, low break-even projects, low overhead, top-tier adjusted G&A, no debt, negative net leverage, a flattening production profile, double-digit reserve life, and approximately $1.5 billion of federal NOLs.

總結而言，截至第二季末，公司約有 1.15 億美元的現金及約當現金，約相當於每股流通普通股 3.09 美元。我們擁有一批高報酬率、低損益兩平的專案庫存、低間接費用、頂尖的調整後 G&A、無負債、淨槓桿為負、趨於平緩的產量曲線、兩位數的儲量年限，以及約 15 億美元的聯邦 NOL。

This concludes our prepared remarks. Thank you for joining us today. We will now open the call to questions.

以上為我們事先準備的發言內容。感謝各位今天與會。現在我們將開放提問。

(Operator Instructions) There are no questions at this time. This concludes today's call. Thank you for attending. You may now disconnect.

（接線員指示）目前沒有提問。今天的電話會議到此結束。感謝各位出席。您現在可以掛線。