Riley Exploration Permian, Inc. (NYSE:REPX) Q2 2024 Earnings Conference Call August 8, 2024 10:00 AM ET

Company Participants

Philip Riley - CFO
Bobby Riley - Chairman and CEO
John Suter - COO

Conference Call Participants

John White - ROTH Capital
Jeff Robertson - Water Tower Research
Noel Parks - Tuohy Brothers

Operator

Hello and thank you for standing by. My name is Virgina and I’ll be your conference operator today. At this time, I’d like to welcome everyone to Riley Exploration Permian, Inc. Second Quarter 2024 Earnings Conference Call. [Operator Instructions] I would now like to turn the conference over to Philip Riley, CFO.

Please go ahead.

Philip Riley

Good morning. Welcome to our conference call covering second quarter 2024 results. I'm Philip Riley, CFO. Joining me today is Bobby Riley, Chairman and CEO; and John Suter, COO. Yesterday we published a variety of materials which can be found on our website under the investors section. These materials in today's conference call contain certain projections and other forward-looking statements within the meaning of the federal security laws.

These statements are subject to risks and uncertainties that may cause actual results to differ materially from those expressed or applied in these statements. We'll also reference certain non-GAAP measures. The reconciliations to the appropriate GAAP measures can be found in our supplemental disclosure on our website.

I'll now turn the call over to Bobby.

Bobby Riley

Thank you, Philip. Good morning and welcome to our Q2 2024 earnings call. Today we will highlight several updates and key changes since Q1 2024, including meeting or exceeding key metrics on planned guidance resulting in improving capital efficiency and significant free cash flow, closing an asset acquisition in Eddy County, New Mexico for $18.1 million, which added producing properties and development locations within our existing operating footprint, expanding the scope of our power joint venture with plans to generate and sell electricity and ancillary services to ERCOT, as well as increasing our ownership in the joint venture to 50%, raising $25 million of net proceeds through the issuance of 1.015 million shares of common stock, which was used to primarily fund the acquisition and the power JV investment.

We continue to execute our annual plan with overall positive results. It's still early in the year to report on medium-term to longer-term results for the 2024 vintage wells, but thus far we are generally seeing outperformance on this year's production results relative to forecast and as compared to prior year results. We continue to experience favorable efficiencies and cost savings on our drilling and completion activity.