U.S. Energy Corp. (NASDAQ:USEG) Q3 2022 Earnings Conference Call November 11, 2022 8:30 AM ET
Company Participants
Ryan Smith - Chief Executive Officer
Conference Call Participants
Charles Meade - Johnson Rice
Ignacio Bernaldez - EF Hutton
Operator
Ladies and gentlemen, greetings and welcome to the U.S. Energy Corporation Third Quarter 2022 Results Conference Call. [Operator Instructions] As a reminder, this conference is being recorded.
It is now my pleasure to introduce your host, James Master [ph]. Please go ahead.
Unidentified Company Representative
Thank you, operator, and welcome to U.S. Energy Corp.'s third quarter 2022 results conference call. After the market closed yesterday, U.S. Energy issued a press release summarizing operating and financial results for the 3 and 9 months ended September 30, 2022. This press release, together with accompanying presentation materials, are available in the Investor Relations section of our website at www.usnrg.com.
Today's discussion may contain forward-looking statements about future business and financial expectations. Actual results may differ significantly from those projected in today's forward-looking statements due to various risks and uncertainties, including the risks described in our periodic reports filed with the Securities and Exchange Commission. Except as required by law, we undertake no obligation to update our forward-looking statements. Further, please note that non-GAAP financial measures may be disclosed during this call. A full reconciliation of GAAP to non-GAAP measurements are available in our latest quarterly earnings release and conference call presentation.
With that, I would now like to turn the conference call over to Ryan Smith, CEO of U.S. Energy, for his prepared remarks.
Ryan Smith
Thank you, James. Good morning and thank you for joining U.S. Energy's first quarterly results conference call. With this being our first call together, I wanted to spend a few minutes providing an overview of our business, along with our strategy for profitable growth going forward.
U.S. Energy is one of the fastest-growing independent oil and gas producers in the United States having completed 8 highly accretive acquisitions of increasing size in the last 24 months. Since late 2019, we've increased our proof producing PV-10 by more than 14 times, with current PDP reserves well in excess of our current enterprise value.
Today, we operate in 4 prolific U.S. onshore oil regions: The Rockies in North Dakota; the Mid-Continent; the South Texas Gulf Coast; and West Texas. These assets representing a diversified portfolio that protects the company from being tied to regional pricing or operational disruptions. Our assets contain 8 million barrels of oil equivalent of long-life, oil-weighted, proof-producing reserves that have a low decline profile. Our current annual PDP decline is just around 11%, which affords us the flexibility of investing minimal incremental capital into the existing business to maintain healthy cash flows.