SandRidge Energy, Inc. (NYSE:SD) Q1 2022 Earnings Conference Call May 5, 2022 11:00 AM ET

Company Participants

Scott Prestridge – Director of Finance and Investor Relations

Grayson Pranin – Chief Executive Officer and Chief Operating Officer

Salah Gamoudi – Executive Vice President and Chief Financial Officer

Conference Call Participants

Joshua Young – Bison Interests

Operator

Good morning. My name is Julian, and I'll be your conference operator today. At this time, I'd like to welcome everyone to the SandRidge Energy's First Quarter 2022 Earnings Conference Call. All lines have been placed on muted to prevent any background noise. After the speakers' remarks there will be a question-and-answer session. [Operator Instructions] Thank you.

Scott Prestridge, Director of Finance and Investor Relations, you may begin your conference.

Scott Prestridge

Thank you and welcome everyone. With me today are Grayson Pranin, our CEO and COO; Salah Gamoudi, our CFO and CAO; as well as Dean Parrish, our SVP of Operations. We would like to remind you that today's call contains forward-looking statements and assumptions, which are subject to risk and uncertainty, and actual results may differ materially from those projected in these forward-looking statements. 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.

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

Grayson Pranin

Thank you. Good morning. I'm proud to report on another strong quarter result for the company and that the company remains well positioned to capitalize on recent commodity price tailwinds to include focused high-graded drilling in the core of the Northwest Stack and a continuation of our well reactivation, which will add incremental production this year.

Before expanding on this, Salah will touch on a few highlights from the first quarter.

Salah Gamoudi

Thank you, Grayson. Despite us having no drilling or completion activity during the past year, we were able widely increased 1Q 2021 to 1Q 2022 production averaging 17.5 MBoe per day and 17.8 MBoe per day in the Mid-Con over their respective periods. The production for the quarter as well as the last year benefited from the reactivation of over 139 wells that were previously curtailed during commodity price downdrafts in 2020. Net cash, including restricted cash, increased to approximately $166 million, which represents $4.51 per share of our common stock issued and outstanding as of March 31, 2022. That approximate $26 million increase over the quarter was supported by production from our Well Reactivation program, as well as higher commodity prices and realization and net of approximately $5 million in pre-purchases of materials related to our 2022 capital program.