0001001614FALSE00010016142023-08-072023-08-07

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 7, 2023
Riley Exploration Permian, Inc.
(Exact name of registrant as specified in its charter)
Delaware1-1555587-0267438
(State or other jurisdiction of incorporation)(Commission File Number)(IRS Employer Identification No.)
29 E. Reno Avenue, Suite 500
Oklahoma City, Oklahoma 73104
Address of Principal Executive Offices, Including Zip Code)
405-415-8699
(Registrant’s Telephone Number, Including Area Code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of Each ClassTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.001 per shareREPXNYSE American
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o





Item 2.02 Results of Operations and Financial Condition.
On August 7, 2023, Riley Exploration Permian, Inc. (the “Company”) announced its financial condition and results of operations for the second quarter ended June 30, 2023. In connection with this announcement, the Company issued an earnings press release. A copy of this document is furnished as Exhibit 99.1 to this Form 8-K and is available on the Company’s website at www.rileypermian.com.

In accordance with General Instructions B.2. of Form 8-K, the information described in this Item 2.02, including the matters discussed on the Company’s earnings conference call, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.




Item 9.01 Financial Statements and Exhibits
(d)    Exhibits
Exhibit No.Description
Press Release dated August 7, 2023.
104Cover Page Interactive Data File (embedded within the Inline XBRL document).


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
RILEY EXPLORATION PERMIAN, INC.
Date: August 7, 2023By:/s/ Philip Riley
Philip Riley
Chief Financial Officer

Exhibit 99.1
Riley Permian Reports Second Quarter 2023 Results

OKLAHOMA CITY, August 7, 2023 -- Riley Exploration Permian, Inc. (NYSE American: REPX) (“Riley Permian” or the “Company”), today reported financial and operating results for the second quarter ended June 30, 2023.

SECOND QUARTER 2023 HIGHLIGHTS
•Closed on the acquisition of oil and natural gas assets in New Mexico and successfully transitioned operations to the Company
•Averaged oil production of 15.1 MBbls/d (21.2 MBoe/d total equivalent production), representing an increase of 80% as compared year-over-year to the second quarter 2022 and an increase of 52% as compared quarter-over-quarter to the first quarter of 2023
•Reported net income of $33 million, or $1.65 per diluted share, which includes $11 million of non-cash gain on derivative contracts and income from operations of $45 million
•Generated $66 million of Adjusted EBITDAX(1) and $56 million of operating cash flow
•Incurred total accrual (activity-based) capital expenditures before acquisitions of $39 million and total cash capital expenditures before acquisitions of $48 million
•Paid dividends of $0.34 per share in the second quarter for a total of $7 million

Bobby Riley, Chairman and CEO of Riley Permian, stated, “We’re pleased to report another successful quarter with record-high metrics across production and cash flow from operations. Production results exceeded the high-end of guidance while capital expenditures were materially below guidance. Results were driven by a combination of the closing of the New Mexico acquisition early in the quarter as well as continued execution with our legacy assets. Transition and integration efforts for the new assets have proceeded as planned, including initial drilling activity beginning in April.”

Mr. Riley continued, “Looking ahead to the second half of 2023, and based on the strength of production in the first half of 2023, we see the opportunity to reduce activity and capital expenditures from our previously released guidance levels, while maintaining full-year average production levels per previous guidance. We’re optimistic that this combination of factors may lead to materially increased Free Cash Flow(1) for the year, as compared to what we forecasted following the first quarter of 2023”.

















___________________
(1)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.
1
Exhibit 99.1

Selected Operating and Financial Data
(Unaudited)
Three Months EndedSix Months Ended
June 30, 2023March 31, 2023June 30, 2022June 30, 2023June 30, 2022
Select Financial Data (in thousands):
Oil and natural gas sales, net$99,312 $66,412 $87,781 $165,724 $154,426 
Net income$33,068 $31,851 $38,555 $64,919 $31,387 
Adjusted EBITDAX(1)
$66,265 $43,508 $44,797 $109,773 $79,280 
Production Data, net:
Oil (MBbls)1,3708937612,2631,435
Natural gas (MMcf)1,6779495722,6261,254
Natural gas liquids (MBbls)283 134 70 417 163 
Total (MBoe)1,933 1,185 926 3,118 1,807 
Daily combined volumes (Boe/d)21,23613,16910,17617,2259,983
Daily oil volumes (Bbls/d)15,0559,9228,36312,5037,926
Average Realized Prices:
Oil ($ per Bbl)$71.41 $72.76 $108.41 $71.94 $100.96 
Natural gas ($ per Mcf)0.02 0.55 4.98 0.21 3.70 
Natural gas liquids ($ per Bbl)5.10 6.83 34.71 5.65 30.12 
Total average price ($ per Boe)$51.38 $56.04 $94.80 $53.15 $85.46 
Average Realized Prices, including the effects of derivative settlements(2):
Oil ($ per Bbl)$69.46 $67.06 $77.31 $68.51 $72.31 
Natural gas ($ per Mcf)0.240.551.290.351.27
Natural gas liquids ($ per Bbl)(3)
5.106.8334.715.6530.12
Total average price ($ per Boe)$50.19 $51.74 $66.97 $50.78 $61.02 
Cash Costs ($ per Boe)(1)
$21.17 $16.02 $19.63 $19.20 $18.09 
Cash Margin ($ per Boe)(1)
$30.21 $40.02 $75.17 $33.95 $67.37 
Cash Margin, including derivative settlements
($ per Boe)(1)
$29.02 $35.72 $47.34 $31.59 $42.93 








_____________________
(1)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.
(2)The Company's calculation of the effects of derivative settlements includes losses on the settlement of its commodity derivative contracts. These losses are included under other income (expense) on the Company’s condensed consolidated statements of operations.
(3)During the periods presented, the Company did not have any NGL derivative contracts in place.
2
Exhibit 99.1
OPERATIONS AND DEVELOPMENT ACTIVITY UPDATE
Riley Permian averaged oil production of 15.1 MBbls per day for the three months ended June 30, 2023, representing an increase of 80% as compared year-over-year to the second quarter 2022 and 52% increase compared to the first quarter of 2023. The Company averaged total equivalent production of 21.2 MBoe per day for the second quarter, an increase of 109% as compared to the same period in 2022 and 61% increase compared to the first quarter of 2023. The increase in production is attributable to the impact of the acquired assets as well as organic growth. The Company experienced some disruptions on gas processing which led to modestly lower gas sales and equivalent Boe production figures.

Consistent with prior guidance, the Company drilled 8 gross (6.9 net) horizontal wells during the second quarter, including 4 gross (3.6 net) wells in Texas and 4 gross (3.3 net) in New Mexico. The Company completed 5 gross (4.2 net) horizontal wells during the quarter, including 4 gross (3.2 net) wells in Texas and 1 gross (1 net) well in New Mexico. The Company turned to sales 6 gross (5.2 net) horizontal wells during the second quarter 2023. The Company incurred $39 million in total accrued capital expenditures before acquisitions for the second quarter, lower than the Company’s previously released guidance due primarily to deferred completion activity. On a cash basis, the Company had total capital expenditures before acquisitions of $48 million for the quarter.

The Company progressed with construction of its onsite power generation joint venture during the second quarter of 2023. The Company contributed its share of capital which corresponds to approximately $2 million during the second quarter of 2023. The onsite power generation facility is expected to be placed in service late in the third quarter or during the fourth quarter of 2023.

FINANCIAL RESULTS
For the three months ended June 30, 2023, the Company reported net income of $33 million, or $1.65 per diluted share, and Adjusted Net Income(1) of $27 million, or $1.37 per diluted share. The Company generated Adjusted EBITDAX(1) of $66 million, operating cash flow of $56 million and Free Cash Flow(1) of $3 million.

Second quarter 2023 average realized prices, before derivative settlements, were $71.41 per barrel of oil, $0.02 per Mcf of natural gas and $5.10 per barrel of natural gas liquids. Quarter-over-quarter, realized prices declined by 2% for oil, 96% for natural gas, and 25% for natural gas liquids. Oil represented 99% of second quarter revenue. Total oil and natural gas sales revenue, net of derivative settlements, was $97 million, an increase of $36 million or 58% over the first quarter of 2023. The Company reported a $9 million gain on derivatives, which includes a $2 million loss on settlements and a $11 million non-cash gain due to changes in the fair value of derivatives.

Riley Permian's total Cash Costs(1) for the second quarter of 2023 were $41 million, or $21.17 per Boe. Lease operating expense (“LOE”) was $18 million, or $9.06 per Boe, which is at the upper end of our guidance range and 21% above the first quarter 2023. On a per unit basis, certain increases in LOE costs were expected and were reflected in higher guidance ranges as compared to past results, while additional costs were incurred related to higher than anticipated workover activity on the newly acquired assets. Cash G&A expense(1) was $6 million, or $3.11 per Boe, near the low end of our guidance range and 26% below the first quarter 2023. Interest expense was $10 million or $5.26 per Boe, which reflects increased debt related to the financing for the New Mexico Acquisition.

During the second quarter 2023, the Company paid a cash dividend of $0.34 per share, or $7 million in total. Subsequent to the quarter end, the Company declared a cash dividend of $0.34 per share, payable in August 2023.

In April 2023 and in conjunction with the closing of the New Mexico Acquisition, the Company amended its credit facility to, among other things, increase the borrowing base to $325 million. The Company also issued $200 million of senior unsecured notes upon closing, whose net proceeds along with borrowings under the credit facility, were used to fund the closing of the New Mexico Acquisition and related expenses.

As of June 30, 2023, the Company had $394 million of total debt, including $215 million drawn on its credit facility and $179 million of senior unsecured notes; on a principal basis, the Company had $410 million of total debt, including $195 million principal value of senior unsecured notes.





________________
(1)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.
3
Exhibit 99.1

OUTLOOK AND GUIDANCE
Riley Permian is providing third quarter 2023 and updated full-year 2023 guidance based on currently scheduled development activity and current market conditions. The average working interest on gross operated wells drilled is subject to change and may have corresponding impacts on investing expenditures.

Activity and Investing GuidanceQ3 2023Updated
Full-Year 2023
Texas Activity
Gross operated wells drilled413
Average working interest on gross operated wells drilled98% - 100%98% - 100%
New Mexico Activity
Gross operated wells drilled04
Average working interest on gross operated wells drilledNM91% - 98%
Investing Expenditures by Category (Accrual, in millions)
E&P(1)
$35 - 45$130 - 140
Joint Venture investment$1 - 3$10 - 12
Total$36 -48$140 - 152
E&P Capital Expenditures by Region (Accrual)
Texas63% - 73%74% - 84%
New Mexico37% - 27%26% - 16%




























__________________
(1)Expenditures are before acquisitions.
4
Exhibit 99.1
OUTLOOK AND GUIDANCE, Continued
Production, Realizations and Cost GuidanceQ3 2023Updated
Full-Year 2023
Net Production
Total (MBoe/d)18.6 - 19.818.4 - 19.2
Oil (MBbl/d)13.0 - 14.012.8 - 13.4
Oil (%)70% - 71%70% - 71%
Natural gas (%)16% - 14%16% - 15%
NGL (%)14% - 15%14%
Basis Differentials and Fees
Oil ($ per Bbl)($3.25) - (2.25)($3.00) - (2.00)
Natural gas ($ per Mcf)($2.70) - (2.10)($2.70) - (2.10)
NGL (% of WTI)5% - 9%8% - 14%
Operating and Corporate Costs
Lease operating expense, including workover expense ($ per Boe)$8.50 - 9.50$8.00 - 9.00
Production tax (% of revenue)6.0% - 8.0%6.0% - 8.0%
Cash G&A(1) ($ per Boe)
$3.00 - 3.50$3.00 - 3.50
Cash payments for income taxes ($ in millions)$3.0 - 4.0$8.0 - 10.0




























_______________
(1)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.
5
Exhibit 99.1
CONFERENCE CALL
Riley Permian management will host a conference call for investors and analysts on August 8, 2023 at 10:00 a.m. CT to discuss the Company's results. Interested parties are invited to participate by calling:
•U.S./Canada Toll Free, (888) 330-2214
•International, +1 (646) 960-0161
•Conference ID number 5405646

An updated company presentation, which will include certain items to be discussed on the call, will be posted prior to the call on the Company's website (www.rileypermian.com). A replay of the call will be available until August 22, 2023 by calling:
•(800) 770-2030 or (647) 362-9199
•Conference ID number 5405646

About Riley Exploration Permian, Inc.
Riley Permian is a growth-oriented, independent oil and natural gas company focused on the acquisition, exploration, development and production of oil, natural gas and natural gas liquids. For more information, please visit www.rileypermian.com.

Investor Contact:
Rick D'Angelo
405-438-0126
IR@rileypermian.com
6
Exhibit 99.1

Cautionary Statement Regarding Forward Looking Information
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The statements contained in this release that are not historical facts are forward-looking statements that represent management’s beliefs and assumptions based on currently available information. Forward-looking statements include information concerning our possible or assumed future results of operations, business strategies, need for financing, competitive position and potential growth opportunities. Our forward-looking statements do not consider the effects of future legislation or regulations. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words “believes,” “intends,” “may,” “should,” “anticipates,” “expects,” “could,” “plans,” “estimates,” “projects,” “targets,” “forecasts” or comparable terminology or by discussions of strategy or trends. You should not place undue reliance on these forward-looking statements. These forward-looking statements are subject to a number of risks, uncertainties and assumptions. Moreover, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements we make in this release are reasonable, we can give no assurance that these plans, intentions or expectations will be achieved or occur, and actual results could differ materially and adversely from those anticipated or implied by the forward-looking statements.
Among the factors that could cause actual future results to differ materially are the risks and uncertainties the Company is exposed to. While it is not possible to identify all factors, we continue to face many risks and uncertainties including, but not limited to: the volatility of oil, natural gas and NGL prices; regional supply and demand factors, any delays, curtailment delays or interruptions of production, and any governmental order, rule or regulation that may impose production limits; cost and availability of gathering, pipeline, refining, transportation and other midstream and downstream activities; severe weather and other risks that lead to a lack of any available markets; our ability to successfully complete mergers, acquisitions and divestitures; the inability or failure of the Company to successfully integrate the acquired assets into its operations and development activities; the potential delays in the development, construction or start-up of planned projects; the risk that the Company's EOR project may not perform as expected or produce the anticipated benefits; risks relating to our operations, including development drilling and testing results and performance of acquired properties and newly drilled wells; any reduction in our borrowing base on our revolving credit facility from time to time and our ability to repay any excess borrowings as a result of such reduction; the impact of our derivative strategy and the results of future settlement; our ability to comply with the financial covenants contained in our credit agreement; conditions in the capital, financial and credit markets and our ability to obtain capital needed for development and exploration operations on favorable terms or at all; the loss of certain tax deductions; risks associated with executing our business strategy, including any changes in our strategy; inability to prove up undeveloped acreage and maintain production on leases; risks associated with concentration of operations in one major geographic area; legislative or regulatory changes, including initiatives related to hydraulic fracturing, emissions, and disposal of produced water, which may be negatively impacted by regulation or legislation; the ability to receive drilling and other permits or approvals and rights-of-way in a timely manner (or at all), which may be restricted by governmental regulation and legislation; restrictions on the use of water, including limits on the use of produced water and a moratorium on new produced water well permits recently imposed by the RRC in an effort to control induced seismicity in the Permian Basin; changes in government environmental policies and other environmental risks; the availability of drilling equipment and the timing of production; tax consequences of business transactions; public health crisis, such as pandemics and epidemics, and any related government policies and actions and the effects of such public health crises on the oil and natural gas industry, pricing and demand for oil and natural gas and supply chain logistics; general domestic and international economic, market and political conditions, including the military conflict between Russia and Ukraine and the global response to such conflict; risks related to litigation; and cybersecurity threats, technology system failures and data security issues. Additional factors that could cause results to differ materially from those described above can be found in Riley Permian’s Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC and available from the Company’s website at www.rileypermian.com under the “Investor” tab, and in other documents the Company files with the SEC.
 
The forward-looking statements in this press release are made as of the date hereof and are based on information available at that time. The Company does not undertake, and expressly disclaims, any duty to update or revise our forward-looking statements based on new information, future events or otherwise.


7
Exhibit 99.1
Cautionary Statement Regarding Guidance
The estimates and guidance presented in this release are based on assumptions of current and future capital expenditure levels, prices for oil, natural gas and NGLs, available liquidity, indications of supply and demand for oil, well results, and operating costs. The guidance provided in this release does not constitute any form of guarantee or assurance that the matters indicated will be achieved. While we believe these estimates and the assumptions on which they are based are reasonable as of the date on which they are made, they are inherently uncertain and are subject to, among other things, significant business, economic, operational, and regulatory risks, and uncertainties, some of which are not known as of the date of the statement. Guidance and estimates, and the assumptions on which they are based, are subject to material revision. Actual results may differ materially from estimates and guidance. Please read the "Cautionary Statement Regarding Forward Looking Information" section above, as well as "Risk Factors" in our annual report on Form 10-K and our quarterly reports on Form 10-Q, which are incorporated herein.



Source: Riley Exploration Permian, Inc.


































8
Exhibit 99.1
RILEY EXPLORATION PERMIAN, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
June 30, 2023December 31, 2022
(In thousands, except share amounts)
Assets
Current Assets:
Cash and cash equivalents$6,741 $13,301 
Accounts receivable32,584 25,551 
Prepaid expenses and other current assets2,254 3,236 
Inventory9,630 8,886 
Current derivative assets3,924 20 
Total current assets55,133 50,994 
Oil and natural gas properties, net (successful efforts)841,891 440,102 
Other property and equipment, net20,058 20,023 
Non-current derivative assets3,799 — 
Other non-current assets, net11,042 4,175 
Total Assets$931,923 $515,294 
Liabilities and Shareholders' Equity
Current Liabilities:
Accounts payable$5,404 $3,939 
Accrued liabilities28,880 35,582 
Revenue payable25,234 17,750 
Current derivative liabilities2,117 16,472 
Current portion of long-term debt20,000 — 
Other current liabilities7,216 2,562 
Total Current Liabilities88,851 76,305 
Non-current derivative liabilities260 12 
Asset retirement obligations21,005 2,724 
Long-term debt374,256 56,000 
Deferred tax liabilities59,493 45,756 
Other non-current liabilities1,205 1,051 
Total Liabilities545,070 181,848 
Commitments and Contingencies
Shareholders' Equity:
Preferred stock, $0.0001 par value, 25,000,000 shares authorized; 0 shares issued and outstanding— — 
Common stock, $0.001 par value, 240,000,000 shares authorized; 20,181,704 and 20,160,980 shares issued and outstanding at June 30, 2023 and December 31, 2022, respectively20 20 
Additional paid-in capital276,828 274,643 
Retained earnings110,005 58,783 
Total Shareholders' Equity386,853 333,446 
Total Liabilities and Shareholders' Equity$931,923 $515,294 
9
Exhibit 99.1
RILEY EXPLORATION PERMIAN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
(In thousands)
Revenues:
Oil and natural gas sales, net$99,312 $87,781 $165,724 $154,426 
Contract services - related parties600 600 1,200 1,200 
Total Revenues99,912 88,381 166,924 155,626 
Costs and Expenses:
Lease operating expenses17,514 8,062 26,389 14,892 
Production and ad valorem taxes7,221 5,526 11,331 9,028 
Exploration costs80 22 412 1,520 
Depletion, depreciation, amortization and accretion18,601 7,188 27,684 13,821 
General and administrative:
Administrative costs6,500 4,399 11,967 8,413 
Share-based compensation expense1,225 553 2,339 1,570 
Cost of contract services - related parties109 89 219 174 
Transaction costs3,652 — 5,539 2,638 
Total Costs and Expenses54,902 25,839 85,880 52,056 
Income From Operations45,010 62,542 81,044 103,570 
Other Income (Expense):
Interest expense, net(10,161)(697)(11,177)(1,375)
Gain (loss) on derivatives8,665 (12,363)14,420 (61,995)
Loss from equity method investment(4)— (236)— 
Total Other Income (Expense)(1,500)(13,060)3,007 (63,370)
Net Income From Operations Before Income Taxes43,510 49,482 84,051 40,200 
Income tax expense(10,442)(10,927)(19,132)(8,813)
Net Income$33,068 $38,555 $64,919 $31,387 
Net Income per Share:
Basic$1.68 $1.97 $3.30 $1.61 
Diluted$1.65 $1.96 $3.25 $1.60 
Weighted Average Common Shares Outstanding:
Basic19,671 19,542 19,660 19,521 
Diluted19,985 19,660 19,951 19,646 

10
Exhibit 99.1
RILEY EXPLORATION PERMIAN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
(In thousands)
Cash Flows from Operating Activities:
Net income$33,068 $38,555 $64,919 $31,387 
Adjustments to reconcile net income to net cash provided by operating activities:
Oil and natural gas lease expirations56 — 388 1,464 
Depletion, depreciation, amortization and accretion18,601 7,188 27,684 13,821 
(Gain) loss on derivatives(8,665)12,363 (14,420)61,995 
Settlements on derivative contracts(2,303)(25,783)(7,391)(44,158)
Amortization of deferred financing costs and discount1,088 182 1,281 373 
Share-based compensation expense1,225 828 2,485 1,889 
Deferred income tax expense8,454 10,212 13,737 7,319 
Other4 — 236 — 
Changes in operating assets and liabilities4,387 614 (199)1,410 
Net Cash Provided by Operating Activities55,915 44,159 88,720 75,500 
Cash Flows from Investing Activities:
Additions to oil and natural gas properties(48,090)(36,876)(83,023)(47,042)
Net assets acquired in business combination(292,094)— (325,094)— 
Acquisitions of oil and natural gas properties(5,443)— (5,443)— 
Contributions to equity method investment(1,726)— (3,566)— 
Additions to other property and equipment(168)(92)(277)(1,470)
Net Cash Used in Investing Activities(347,521)(36,968)(417,403)(48,512)
Cash Flows from Financing Activities:
Deferred financing costs(6,165)(1,690)(6,214)(1,716)
Proceeds from revolving credit facility145,000 1,000 178,000 4,000 
Repayments under revolving credit facility(19,000)(3,000)(19,000)(8,000)
Proceeds from senior notes188,000 — 188,000 — 
Repayments of senior notes(5,000)— (5,000)— 
Payment of common share dividends(6,695)(6,058)(13,363)(12,198)
Common stock repurchased for tax withholding(68)(252)(300)(591)
Net Cash Provided by (Used in) Financing Activities296,072 (10,000)322,123 (18,505)
Net Increase (Decrease) in Cash and Cash Equivalents4,466 (2,809)(6,560)8,483 
Cash and Cash Equivalents Cash, Beginning of Period2,275 19,609 13,301 8,317 
Cash and Cash Equivalents Cash, End of Period$6,741 $16,800 $6,741 $16,800 

11
Exhibit 99.1
OIL, NATURAL GAS AND NGL RESERVES
The Company prepared estimates of reserves using an average price equal to the unweighted arithmetic average of the first day of each month within the 12-month period ended June 30, 2023 of $83.23 per Bbl for oil and $4.76 per Mcf for gas in accordance with SEC guidelines. The Company also prepared estimates of proved reserves as of June 30, 2023 using NYMEX pricing. Netherland, Sewell & Associates, Inc. (“NSAI”) is the Company’s third-party reservoir engineer, which prepares estimates of the Company's proved reserves annually as of its year-end, in accordance with the rules and regulations of the SEC. NSAI has not reviewed our proved reserves at June 30, 2023 using SEC or NYMEX pricing. A summary of these internal estimates as of June 30, 2023 is presented below.

SEC Pricing
NYMEX Pricing(1)
Reserves as of June 30, 2023
Proved Developed ReservesTotal Proved ReservesProved Developed ReservesTotal Proved Reserves
Oil (MBbls)39,040 63,02837,854 61,240
Natural gas (MMcf)72,746 109,10070,466 105,837
Natural gas liquids (MBbls)11,995 18,61311,621 18,066
Total (MBoe)63,159 99,82461,219 96,945
PV-10(2) (in thousands)
$1,184,354 $1,621,310 $806,537 $1,012,955 
___________________
(1)See table below for the NYMEX pricing used to prepare internal reserve estimates.
OilNatural Gas
($ per Bbl)($ per Mcf)
July-December 2023$70.52 $3.01 
Calendar year 2024$68.50 $3.52 
Calendar year 2025$65.54 $3.94 
Calendar year 2026$63.04 $3.91 
Calendar year 2027$60.83 $3.78 
After 2027$59.90 $4.20 
(2)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.

12
Exhibit 99.1
OIL, NATURAL GAS AND NGL RESERVES, Continued
NSAI prepared the estimates of the Company's proved reserves as of December 31, 2022, in accordance with the rules and regulations of the SEC using an average price equal to the unweighted arithmetic average of the first day of each month within the 12-month period ended December 31, 2022 of $94.14 per Bbl for oil and $6.36 per Mcf for natural gas. The Company prepared estimates of proved reserves as of December 31, 2022 using NYMEX pricing, which were not reviewed by NSAI. The table below presents a summary of our proved reserves as of December 31, 2022.

SEC Pricing
NYMEX Pricing(1)
Reserves as of December 31, 2022Proved Developed ReservesTotal Proved ReservesProved Developed ReservesTotal Proved Reserves
Oil (MBbls)29,632 48,882 28,270 45,151 
Natural gas (MMcf)59,314 86,018 56,492 79,762 
Natural gas liquids (MBbls)9,604 14,4549,17013,393
Total (MBoe)49,122 77,673 46,855 71,838 
PV-10(2) (in thousands)
$1,010,251 $1,401,148 $652,817 $802,174 
___________________
(1)See table below for the NYMEX pricing used to prepare internal reserve estimates.
OilNatural Gas
($ per Bbl)($ per Mcf)
Calendar year 2023$79.07 $4.24 
Calendar year 2024$73.89 $4.27 
Calendar year 2025$69.77 $4.39 
Calendar year 2026$66.55 $4.46 
Calendar year 2027$63.87 $4.50 
After 2027$63.87 $4.50 
(2)A non-GAAP financial measure as defined and reconciled in the supplemental financial tables available on the Company’s website at www.rileypermian.com.

Reserve estimates above do not include any value for probable or possible reserves that may exist, nor do they include any value for undeveloped acreage. The reserve estimates represent our net revenue interest in our properties, all of which are located within the continental United States. NYMEX pricing does not comport with the reporting requirements of the SEC and should not be used as a substitute for or compared with estimates of proved reserves using SEC pricing.

















13
Exhibit 99.1

DERIVATIVE CONTRACTS
The following table summarizes the open financial derivatives as of August 4, 2023, related to oil and natural gas production.
Weighted Average Price
Period (1)
Notional VolumeFixedPutCall
($ per unit)
Oil Swaps (Bbl)
Q3 2023437,000 $68.18 $— $— 
Q4 2023392,000 $68.06 $— $— 
2024690,000 $70.54 $— $— 
2025135,000 $69.19 $— $— 
Oil Collars (Bbl)
Q3 2023330,000 $— $68.64 $88.85 
Q4 2023330,000 $— $68.64 $88.85 
20241,621,000 $— $61.12 $84.39 
2025423,000 $— $60.00 $77.23 
Natural Gas Swaps (MMBtu)
Q3 2023470,000 $2.61 $— $— 
Q4 2023670,000 $3.26 $— $— 
20242,400,000 $3.38 $— $— 
2025525,000 $3.90 $— $— 
Natural Gas Collars (MMBtu)
Q3 2023300,000 $— $2.55 $3.20 
Q4 2023300,000 $— $3.12 $4.07 
20241,065,000 $— $3.19 $4.14 
2025555,000 $— $3.30 $4.49 
Oil Basis (Bbl)
Q3 2023420,000 $1.28 $— $— 
Q4 2023450,000 $1.28 $— $— 
20241,320,000 $0.97 $— $— 
__________________
(1)Q3 2023 derivative positions shown include July and August 2023 contracts, some of which have settled as of August 4, 2023.

In April 2023, the Company entered into interest rate swaps for $80 million notional at an average fixed rate on the adjusted term secured overnight financing rate of 3.09% for the period April 2024 through April 2026.

14
v3.23.2
Cover
Aug. 07, 2023
Cover [Abstract]  
Document Type 8-K
Document Period End Date Aug. 07, 2023
Entity Registrant Name Riley Exploration Permian, Inc.
Entity Incorporation, Date of Incorporation DE
Entity File Number 1-15555
Entity Tax Identification Number 87-0267438
Entity Address, Address Line One 29 E. Reno Avenue
Entity Address, Address Line Two Suite 500
Entity Address, City or Town Oklahoma City
Entity Address, State or Province OK
Entity Address, Postal Zip Code 73104
City Area Code 405
Local Phone Number 415-8699
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, par value $0.001 per share
Trading Symbol REPX
Security Exchange Name NYSEAMER
Entity Emerging Growth Company false
Entity Central Index Key 0001001614
Amendment Flag false
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