Loading...
•
Jun 30
Riley Exploration Q2 2025 Earnings Report
Riley Exploration Permian reported its financial and operating results for the second quarter ended June 30, 2025.
Key Takeaways
Riley Permian demonstrated solid overall performance in Q2 2025 despite a challenging oil market and regional operating environment, generating significant free cash flow for the first half of the year. The company adjusted its development activity and capital budget in response to lower oil prices and closed the Silverback acquisition in July, significantly increasing its regional footprint.
Total equivalent production averaged 24.4 MBoe/d, with oil production at 15.2 MBbls/d.
Generated $34 million in operating cash flow and $18 million in Total Free Cash Flow.
Incurred total accrual capital expenditures of $28 million and cash capital expenditures of $29 million.
Closed the acquisition of Silverback Exploration II, LLC for $142 million in cash on July 1, 2025, expanding regional footprint and future growth potential.
Riley Exploration
Riley Exploration
Forward Guidance
Riley Permian is providing third and fourth quarter detailed guidance and modifying previously disclosed full-year 2025 activity guidance based on currently scheduled development activity and current market conditions. The guidance incorporates the Silverback acquisition for Q3 and Q4, and for six months in the full-year.
Positive Outlook
- Expected increase in total equivalent production to 29.8 - 30.6 MBoe/d in Q3 2025 and 30.3 - 31.6 MBoe/d in Q4 2025.
- Anticipated increase in oil production to 17.3 - 17.8 MBbls/d in Q3 2025 and 18.0 - 18.8 MBbls/d in Q4 2025.
- Full-year 2025 total equivalent production guidance of 27.0 - 28.0 MBoe/d.
- Full-year 2025 oil production guidance of 16.5 - 17.0 MBbls/d.
- Continued advancement of midstream infrastructure build-out in New Mexico, with initial phases commissioned and high-pressure pipe purchase agreement.
Challenges Ahead
- Total capital expenditures are projected to increase significantly, ranging from $113 million to $146 million for the full year 2025.
- Midstream capital expenditures are expected to be between $29 million and $46 million for the full year 2025.
- Power JV investment is projected to be $15 million to $18 million for the full year 2025.
- Operating and corporate costs, including LOE and Cash G&A, are expected to remain elevated.
- Total equivalent production estimates may be subject to variability based on third-party midstream service provider conditions, and midstream project delays could impact net production volumes and investing expenditures.