Hi, thank you, and thank you everyone for joining us today. With me on today's call is Gary Johnson, our Chief Financial Officer.

As I'm sure you're all aware, we released our fourth quarter 2025 results this morning and had released our reserve report two days ago, and we're very pleased with what we achieved this last year, which continues to build on our last few years and results in multiple ways. Production from the field has been going well, with our production over 4,000 BOE a day, which is up 15% over 2024.

This production rate calculates us to having a 35% compound annual production growth rate over the last three years, which is great. Operating expenses remain low with just over $7.33 a BOE, which is even lower than last year's $7.44 per BOE.

Our drilling program last year resulted in our proved developed producing reserves increasing by 30%. Even though the oil price used by our reserve evaluators, Netherland, Sewell, is down substantially this year, our net present value is up 10%.

An example of how significant the drop is: the first year's price used in the evaluation is down 18% to $58 a barrel. This is obviously way out of line with current oil prices that's been averaging in the $90s right now.

Things are going well for us, and with that, I will turn the call over to Gary to discuss our financial results.

Thanks, Wolf, and thanks everyone for joining the call. I'm just going to go over a few highlights of our annual results for 2025, and then we can take questions at the end of the call.

All amounts are in U.S. dollars unless otherwise stated.

As we mentioned in our earnings release this morning, we reported a 15% increase in our production to 4,013 BOE per day in 2025. The increase was due to the new wells we drilled and completed during 2025, including four at the end of the year, which increased our December production to over 5,600 BOE per day.

The production and cash flow impact of the last four wells will primarily be reflected in our 2026 results. Our net revenue for 2025 was $56.9 million, which was a decrease of 3% compared to the prior year, as prices declined by 16% in 2025, which more than offset the increase in production.

Adjusted EBITDA decreased 4% to $42.1 million compared to $44 million last year due to the decrease in revenue. Net income was $15.5 million and basic EPS was 44 cents per share in 2025, compared to $18.1 million with basic EPS of 51 cents per share in 2024.

The decrease was due to the lower revenue and higher operating expenses due to the production increase. Our operating expense per BOE was four-- $7.33 for 2025, compared to $7.44 per BOE in 2024, a decrease of 1%.

Our netback from operations decreased to $31.49 per BOE, compared to $38.54 per BOE in the prior year, a decrease of 18% due to the lower prices. Net debt at the end of 2025 was $46 million.

We plan to pay down on this debt level in the first half of the year as we achieve higher production from the wells drilled at the end of the year, and we'll also benefit from the recently elevated oil prices. Then the last item I wanted to mention was our share buyback program.

We have purchased almost 650,000 shares since we started buying back shares, for a total of $3.2 million. We will continue to repurchase additional shares to enhance shareholder value as our working capital and credit facility allows.

With that, I'll hand it back to Wolf.

Thanks, Gary. As Gary laid out, we had a good year.

While oil prices were obviously challenging and were lower this last year than previous years, but we've still performed well. Company is in solid financial shape, and we announced our intention to start drilling additional wells in the coming months.

We're looking to continue the success we've had over the last years. That 35% compound annual growth rate for our production over the last three years has been great.

The wells we brought on production late in the fourth quarter, as Gary indicated, are really having the biggest impact in 2026. The timing of the oil price increase right now is really benefiting our cash flow.

Overall, our plan is to continue to execute and build and grow company value for all shareholders. As Gary said, continue to buy back shares, and we'll drill more wells.

We'll continue to get the word out about the company to shareholders and potential shareholders, including we'll be attending the Roth Conference next week and we're doing a fireside chat at the [Lytham?] Summit on April 1st as well, and we'll continue to do other things throughout the year.

This concludes the formal part of our presentation. We'll be pleased to answer any questions you now may have.

Afternoon, Wolf. Afternoon, Gary.

Appreciate the color on the call this afternoon.

Hi, Steve.

Wolf, obviously, a lot has changed in terms of the price environment over the last three weeks or so. How are you now thinking about the drilling program for this year as opposed to maybe how you were thinking about it pre-conflict or even what you were talking about late last year?

I'm assuming the thought is maybe to drill more wells this year than maybe previously thought.

Cautiously optimistic is what I'll say.

[laughter] I'm

not convinced these prices are staying up. We'll see how this all unfolds.

As for most people, this was quite unexpected. We did take advantage of that a bit, we did a bit more hedging at the higher prices, so that helps too.

As we are going forward right now, we're just planning on, seeing how everything unfolds, mentioned that we'll start drilling some wells here over the next coming months, and once we have firm dates on that, we'll announce that as well. We're building multiple locations out here, so that's always a longer lead time.

This way, we can quickly move if we decide to extend the drilling program, drill more wells. Like I said, we're cautious in everything we do in general, and so it's no different this year.

I do think prices are going to stay higher than they were before no matter what happens, even if this ended tomorrow.

We know what the strip is through the end of the year. Right.

We know what the strip is to the end of the year. It'd be very easy for you to and your balance sheet enables you to pivot pretty quickly if you did want to ramp up a little bit, right?

Right, exactly. That's why we're doing the long lead items, making sure we have everything in place so we could quickly do things.

That's the big advantage we have being the size we have, right? We can start and stop much faster than some of the bigger guys that are more rigid in their financial structure, where we have a small board where we can quickly make changes to what we have proposed for the year.

Right.

Got it. I know it changes with availability of crews, but it sounded like you indicated in the release June would be when you might start this year's drilling program.

Is that fair right now, and would mean production probably early to mid-third quarter? Is that sort of the target?

Hopefully we'll see how things go. Hopefully we can get started a little sooner than that, but yeah, I'd like to keep the June out there until we have everything firmed up.

[laughter] So,

I'd rather underpromise. [laughter]

Yeah. Understood, and things change fast, right?

Yeah.

A couple of numbers surprised me in the quarter: the realized natural gas price, I know that moves quarter to quarter, and the differential can move, seemed a little bit lower than I would have expected.

That's really hard for us as well because we sell all of our gas and our wet gas, which is our gas and natural gas liquids, and Exxon handles that. Where that goes and as far as how much gas is pulled out and versus how much NGLs and things like that are all in their hands, and we're always assuming that we get the best price that's available because they're doing the same thing for their own account.

It does fluctuate, and it's hard for us to forecast that, as it is for you, unfortunately.

Understood. That's

not a big part of our stream, thank goodness. [laughter]

Right, absolutely. Then the higher production operating expense, I think you noted the fourth

quarter

the workover, so that should be one-time in nature, right? Okay.

Yes, that

was

workover. Exactly right.

For the year, we were still looking great, and we do have budgeted, reworks throughout the year. It just depends on when they come in, and if it's multiple in a quarter, then Our wells are really low maintenance, we're lucky on that.

They do need maintenance from time to time.

Understood. There were oil-rich wells you brought online mostly in the second half of 2025.

You'd previously noted the much lower decline rates. Is that playing out over the last few months?

Yes, we haven't seen a change. We're happy with how those wells are performing.

I think Netherland, Sewell over the years has been decreasing the decline rates,

[laughter]

over the years. On the newer wells, they usually hit those a little bit harder, and then in the following years they kind of bring it up a little bit because they do perform well.

We expect the same thing out of the wells we drilled last year.

Got it. Last one for me, you may choose not to answer it, but given that it's March 19th, can you give any sense of what 1Q production might look like?

No, we haven't put that out there, I can't really speak to that on this call, unfortunately. Understood.

Thanks so much, Wolf. Thanks, Gary.

Absolutely.

Hi, good morning, Wolf. Can you give me at least a ballpark on your CapEx for 2026?

Hi, Poe. We haven't put anything out there, I have to be careful.

What I've said in the past is kind of my goal, and speaking just for myself, not from our board-approved or anything else, is to keep the production flat to growing a little bit, in general sense, but that shouldn't take more than three wells or so. That's kind of as close as I can get.

From my own opinion, as far as what we should at least do for the year. Now that oil prices are higher, we'll probably be higher than that.

If we add more wells, it adds a lot. Our wells are in the roughly $7 million range each.

It just depends on how many we end up drilling for the year. Once we have that pinned down, we'll put that out precisely.

Our CapEx will be lower this year than it was last year by a long shot unless we really accelerate what we're doing out there.

I guess closer to 2024, the full-year CapEx for 2024, maybe even lower than that?

That's $31 million, so. As we talked about earlier, it's we were going into this kind of talking about what we were doing with oil prices being a lot lower than what they are.

With that lower oil price number in mind, I think from my point of view, I think it'll end up being reasonable to drill three wells or so, at least. That's in the low $20s.

Then if oil prices stay higher, I would anticipate that we would recommend and the board would agree that we should drill some more wells, so that would increase the CapEx quite a bit.

That's helpful. I apologize, I couldn't find any info on your hedging program.

Can you just summarize your hedging program for the first quarter and then the full year?

Gary, you want to take that? You probably have that in front of you.

The first quarter, we didn't really hedge much recently because it was already in March when the prices went up. For the first quarter, we have costless collars in place for about 16,000 barrels of oil per day, and the costless collar range is $58.50 to $77.25.

We have hedged in April. We have a fixed price swap at $94 for 16,000 BOE per day, and then we've also hedged for next May and June as well in the $80s.

We've basically done as much hedging as we're allowed to do under credit facility right now for the second

quarter. Those hedges were about 500 barrels a day, wasn't it, roughly?

Yeah.

Right. That's in rough numbers,

yeah. Rough numbers, yeah.

We have a substantial amount of our production that's not hedged, I'd say over 50% that's free floating still.

Is the second half production pretty much open right now?

No, we still have hedges there. We still have some old hedges from the costless collars, right?

Then we added some other costless collars. Go ahead, Gary.

We've put in some more costless collars for the second half of the year, we have about half, or these were entered into obviously before that price uptick, $50.25 is the low and $66.75 is the high, and then we just did new ones where the low is $61.50 and the high is $91. Those are costless collars, and those take place across the rest of the year.

Right, and that's, again, that's 50% roughly of our current PDP, anything new that we drill is completely unhedged. Yeah.

Correct.

Okay. Great.

Then when you look at your cost structure for 2026, any changes that you could highlight? I'm wondering about the royalty per barrel looked like it was pretty low in the fourth quarter.

Is that sensitive to prices or just can you help me understand how that might move in '26?

The royalty percentage changes a little bit depending on where the majority of our production is coming from because each square mile out here has a different royalty structure. In general, we're averaging 22-ish percent burdens on everything.

Then the dollar amount would float up and down with pricing.

That's all sensitive

to Right. It's a percentage.

Because it is a percentage. Right.

So.

Great. Thank you so much.

Absolutely. Thanks for the questions.

Good talking to you.

I just wanted to say thank you everyone for participating, and those of you that will hope to listen to this later as well. We're looking forward to having a really good 2026 year, and I think we're off to a really good start between our production levels and the pricing, which is helping out.

Thank you everyone very much. Have a great day.