Quarterly report [Sections 13 or 15(d)]

CONDENSED STATEMENTS OF CASH FLOWS

v3.25.2
CONDENSED STATEMENTS OF CASH FLOWS - USD ($)
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Cash Flows From Operating Activities    
Net income $ 29,745,625 $ 27,934,371
Adjustments to reconcile net income to net cash provided by operating activities    
Depreciation, depletion and amortization 48,185,897 48,491,871
Asset retirement obligation accretion 708,800 703,018
Amortization of deferred financing costs 3,074,667 2,443,215
Share-based compensation 3,042,797 3,801,610
Credit loss expense 18,122 178,777
(Gain) loss on disposal of assets (279,903) (89,693)
Deferred income tax expense (benefit) 8,755,985 8,206,573
Excess tax expense (benefit) related to share-based compensation 108,763 87,780
(Gain) loss on derivative contracts (13,719,264) 20,843,094
Cash received (paid) for derivative settlements, net 124,249 (4,056,012)
Changes in operating assets and liabilities:    
Accounts receivable (2,373,460) (2,284,512)
Inventory (1,336,734) 360,537
Prepaid expenses and other assets (935,483) (747,575)
Accounts payable (12,880,531) (9,313,631)
Settlement of asset retirement obligation (571,271) (752,324)
Net Cash Provided by Operating Activities 61,668,259 95,807,099
Cash Flows From Investing Activities    
Payments to purchase oil and natural gas properties (797,289) (622,862)
Payments to develop oil and natural gas properties (49,256,881) (75,459,527)
Payments to acquire or improve fixed assets subject to depreciation (169,661) (151,586)
Proceeds from sale of fixed assets subject to depreciation 17,360 10,605
Insurance proceeds received for damage to oil and natural gas properties 99,913 0
Net Cash Used in Investing Activities (120,966,327) (76,367,768)
Cash Flows From Financing Activities    
Proceeds from revolving line of credit 170,322,997 81,000,000
Payments on revolving line of credit (107,322,997) (99,000,000)
Payments for taxes withheld on vested restricted shares, net (953,446) (901,976)
Proceeds from notes payable 1,648,539 1,501,507
Payments on notes payable (656,517) (679,446)
Payment of deferred financing costs (5,381,602) (45,704)
Reduction of financing lease liabilities (225,301) (431,284)
Net Cash Provided by (Used in) Financing Activities 57,431,673 (18,556,903)
Net Increase (Decrease) in Cash (1,866,395) 882,428
Cash at Beginning of Period 1,866,395 296,384
Cash at End of Period 0 1,178,812
Supplemental Cash Flow Information    
Cash paid for interest 20,958,502 20,229,215
Cash paid (refunded) for income taxes (62,513) 72,213
Noncash Investing and Financing Activities    
Asset retirement obligation incurred during development 23,158 323,673
Asset retirement obligation acquired 2,587,179 0
Asset retirement obligation sold 0 (256,740)
Financing lease assets obtained in exchange for new financing lease liability, net [1] 264,114 341,218
Change in capitalized expenditures attributable to drilling projects financed through current liabilities (781,392) (4,461,783)
New Mexico Divestiture    
Cash Flows From Investing Activities    
Proceeds from sale of New Mexico properties 0 (144,398)
Lime Rock Acquisition    
Cash Flows From Investing Activities    
Payments for the Lime Rock Acquisition (70,859,769) 0
Investing Activities - Cash Paid    
Cash paid to Lime Rock on closing 63,599,939 0
Escrow deposit released at closing 5,000,000 0
Direct transaction costs 2,294,105 0
Cash paid for fixed assets acquired (34,275) 0
Payments for the Lime Rock Acquisition 70,859,769 0
Investing Activities - Noncash    
Assumption of suspense liability 561,977 0
Assumption of asset retirement obligation 2,587,179 0
Deferred cash payment at fair value 9,415,066 0
Financing Activities - Noncash    
Common stock issued for acquisition $ 7,420,811 $ 0
[1] Included within the financing lease assets obtained in exchange for new financing lease liability, net is $95,845 of finance lease asset terminations for the six months ended June 30, 2025. For the six months ended June 30, 2024, the Company had $45,436 in finance lease asset terminations.