v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting
Note 11 - Segment Reporting
We have one reportable segment: the oil, gas, and NGL exploration and production segment (“E&P Segment”), which operates exclusively in the United States. Following the Merger, management determined that we continue to operate as a single reportable segment. The E&P Segment constitutes all of the consolidated entity and the accompanying unaudited condensed consolidated financial statements and the notes to the accompanying unaudited condensed consolidated financial statements are representative of such amounts for the E&P Segment. Midstream operations acquired in the Merger are considered ancillary to, and are managed as part of, the E&P Segment.
Our Chief Operating Decision Maker (“CODM”) is the President and Chief Executive Officer. The CODM uses net income (loss) as presented in the accompanying statements of operations to measure E&P Segment profit or loss, and to evaluate income generated from E&P Segment assets in deciding whether to reinvest profits into operational activities or to use profits for other purposes, such as debt reduction, acquisitions, or our Stock Repurchase Program. Additionally, net income (loss) is used in assessing budget versus actual results and in benchmarking to our competitors. The measure of segment assets is reported on the accompanying balance sheets as total assets, and capital expenditures are reported in the accompanying statements of cash flows.
The following table summarizes the results of our segment revenue, significant expenses, and net income during the periods presented:
For the Three Months Ended
June 30,
For the Six Months Ended
June 30,
2026202520262025
(in millions)
Total operating revenues and other income$2,500 $793 $3,979 $1,637 
Less:
Lease operating expense268 105 477 214 
Transportation costs143 79 265 148 
Production taxes131 30 212 67 
Ad valorem tax expense14 10 30 20 
Depletion, depreciation, and amortization
592 293 1,024 563 
Exploration21 15 47 27 
General and administrative79 42 253 81 
Net derivative (gain) loss(272)(78)425 (61)
Other operating expense28 2 48 7 
Interest expense111 43 224 87 
Interest income (1)
(4)— (8)— 
Other non-operating expense— — 3 — 
Income tax expense318 51 243 101 
E&P Segment net income (2)
$1,071 $202 $736 $384 
___________________________________________
Note: Amounts may not calculate due to rounding.
(1)    Interest income is included in the Other non-operating income, net line item on the accompanying statements of operations.