EON Resources Inc.

Good day, everyone, and welcome to the Eon Resources, Inc. Second Quarter 2025 Earnings Call. At this time, all participants are on a listen-only mode. If you have any questions or comments during the presentation, you may press star 1 on your phone to enter the question queue at any time, and we'll open the floor for your questions and comments after the presentation. If you're listening on webcast, you can submit a question by clicking on the Ask Question button on the left of your screen. Type your question into the box and hit send to submit your question. It is now my pleasure to turn the floor over to your host, Michael Porter. Sir, the floor is yours.

Thank you, Matt. Good afternoon, ladies and gentlemen. Before I read the whole harmless and forward-looking statement clause, let me advise you that this morning we put two slide presentations on our website. One is our normal corporate presentation. presentation that we update quarterly, and the second one is the slide presentation for this call. This conference call includes forward-looking statements within the meeting of the Private Securities Litigation Reformed Act of 1995 that involves risks, uncertainty that could cause actual results to differ material from what is expected. Words such as expect, believe, anticipate, estimate, seek, possibly, should, variation, and similar words and expressions are intended to identify such forward-looking statements. But in the absence of these words, it does not mean the statement is not forward-looking. The company also files and expect or disclose, and our company documents file from time to time on EDGAR and under the Securities and Exchange Commission, SEC.gov. Without further ado, I'd like to turn the meeting over to our President and CEO. Dante, you may go ahead.

Thank you, Mike. Thank you, everybody who's dialed in. We really appreciate our shareholders. I want to start with just thanking all of you for buying our stock, and especially for holding our stock. And to that point, I want to highlight that insiders, which is our management team here, own approximately 3 million shares, and we're looking to add to that position. And we're doing so now because Today is one of those days where we're allowed to buy the stock, and that means we have revealed to the shareholding public really everything material. So I'll also say that most of my comments are forward-looking. In the rearview mirror is a struggling oil company that bought smartly. We own a very nice property in the Permian in New Mexico with a billion barrels, and we have studied this thing. and done, you know, just about everything to maintain production, getting ready to spend CapEx to double and triple the existing production from the existing wells. On top of that, we've also worked hard to identify a zone, and we've published a couple press releases on it, the San Andreas, that looks like it could deliver another 40 million barrels and an IP production rate Far in excess of any number any of us have set. The tape will be told once drilling commences, which we're still targeting for late first quarter of 26. So our real story isn't the earnings for the last quarter. You can all see it. It's a little bit better than the previous quarter. The real story with us is what's going to happen in the next 30 days. So we have talked about a funding level of between 40 and 50 million, and I'm happy to report we are on track. So those funding efforts involve first, I'll say, the courtship, then the due diligence, which is a lot of engineering, then the preparation of definitive docs, then the funding. We are currently... in the definitive doc stage. So we have passed the tests of due diligence and engineering, which is where normally these things would fail if they're going to fail. I can't tell you that we're 90%, we're 99%, we're 80%, but I can't tell you we feel good. And almost without exception, the insiders are serving notice, they're going to buy stock. So, of course, we encourage that all the time. So, in addition to the funder, we've got signed LOIs that we're not publishing because we decided the market just doesn't react to LOIs. We'll wait until we have the definitive dock sign, which means this thing is a certainty. But we do have signed LOIs from a driller, from a funder, and we have backups. that are working through the system in case the funder falls through. We're very pleased with both the funder and the driller. So now I'll go through the slide that you have in front of you. The first slide is we have an upward trend in production. Now the upward trend is really an upward trend from a down number. We got as low as 800 barrels a day. We're touching the high 900s, and we're hoping to cross into 1,000 steadily. Now, we're doing that by running rigs. We have three rigs running at our main field, Jackson-Greyberg, and we have one rig running at South Justice. So South Justice is producing what it was when we bought it, and we're trying to increase it from – nominally 120 barrels a day to 350 barrels a day. We're trying to increase now Greybird Jackson from roughly 950 to hopefully 1400, 1500 by the end of the year. We have lower costs and solid income from operations, but the real cash flow is going to come as a result of this funding exercise because it's our intent and hope to retire the senior debt to retire the seller obligations, the seller note, and really take roughly $40 million in debt off our balance sheet. And with that, to take out $700,000 in monthly payments. So with that, you get a sonic boom of cash flow. We anticipate being cash flow positive in Q4, and we anticipate You know, after amortization and all that, accounting rigmarole, it will be a little better than break-even by the end of 2025. I talked about the financing, the horizontal drilling. We're working now with the driller to prioritize leases, well locations, and how we go along with this. I talked about the four wells are running. They're doing well. And I just... Couldn't be happier for how we're positioned right now for the future. So our slide says well positioned for 26, but we are well positioned to really make money in 25 in Q4. So with that, I'm going to turn it over to Mitch.