Commodities Derivatives (Tables)
|
6 Months Ended |
12 Months Ended |
Jun. 30, 2026 |
Dec. 31, 2025 |
| Commodities Derivatives [Abstract] |
|
|
| Schedule of Weighted-Average Price of Open Commodity Swap Contracts |
The following table reflects the weighted-average
price of open commodity swap contracts as of June 30, 2026:
| Commodity Swaps |
| | |
| | |
Weighted |
| | |
Volume | | |
Average |
| Period | |
(Bbls/month) | | |
price ($/Bbl) |
| Q3 2026 | |
| 15,000 | | |
$ | 61.90 |
| Q4 2026 | |
| 15,000 | | |
$ | 61.53 |
| Q1-Q4 2027 | |
| 15,000 | | |
$ | 63.87 |
The following table reflects the weighted-average
price of open commodity swap contracts as of December 31, 2025:
| Commodity Swaps |
| | |
| | |
Weighted |
| | |
Volume | | |
Average |
| Period | |
(Bbls/month) | | |
price ($/Bbl) |
| Q1 2026 | |
| 2,000 | | |
$ | 62.50 |
|
The following table
reflects the weighted-average price of open commodity swap contracts as of December 31, 2025:
| Commodity Swaps |
| | |
| | |
Weighted | |
| | |
| | |
average | |
| Period | |
Volume
(Bbls/month) | | |
price
($/Bbl) | |
| Q1 2026 | |
| 2,000 | | |
$ | 62.50 | |
The following table
reflects the weighted-average price of open commodity swap contracts as of December 31, 2024:
| Commodity Swaps |
| | |
| | |
Weighted | |
| | |
| | |
average | |
| Period | |
Volume
(Bbls/month) | | |
price
($/Bbl) | |
| Q1-Q2 2025 | |
| 5,000 | | |
$ | 70.21 | |
| Q3-Q4 2025 | |
| 5,000 | | |
$ | 70.21 | |
|
| Schedule of Derivatives Included in the Accompanying Consolidated Balance Sheets |
The combined fair value of derivatives included in the accompanying consolidated balance sheets as of June 30, 2026
and December 31, 2025 is summarized below.
| | |
As of June 30, 2026 | |
| | |
Gross fair
value | | |
Amounts
netted | | |
Net fair
value | |
| Commodity derivatives: | |
| | |
| | |
| |
| Short-term derivative asset | |
$ | 154,654 | | |
$ | (154,654 | ) | |
$ | - | |
| Long-term derivative asset | |
| 194,775 | | |
| (194,775 | ) | |
| - | |
| Short-term derivative liability | |
| (1,127,659 | ) | |
| 189,374 | | |
| (938,285 | ) |
| Long-term derivative liability | |
| (272,960 | ) | |
| 160,055 | | |
| (112,905 | ) |
| Total derivative liability | |
| (1,051,190 | ) | |
| - | | |
$ | (1,051,190 | ) |
| | |
As of December 31, 2025 | |
| | |
Gross
fair value | | |
Amounts netted | | |
Net
fair value | |
| Commodity derivatives: | |
| | |
| | |
| |
| Short-term derivative asset | |
$ | 63,334 | | |
$ | - | | |
$ | 63,334 | |
| Total derivative asset | |
| | | |
| | | |
$ | 63,334 | |
|
The combined fair value of derivatives included in the accompanying consolidated balance sheets as of
December 31, 2025 and 2024 is summarized below.
| | |
As of December 31, 2025 | |
| | |
Gross fair
value | | |
Amounts
netted | | |
Net fair
value | |
| Commodity derivatives: | |
| | |
| | |
| |
| Short-term derivative asset | |
$ | 63,334 | | |
$ | - | | |
$ | 63,334 | |
| Long-term derivative asset | |
| - | | |
| - | | |
| - | |
| Short-term derivative liability | |
| - | | |
| - | | |
| - | |
| Long-term derivative liability | |
| - | | |
| - | | |
| - | |
| Total derivative asset | |
| | | |
| | | |
$ | 63,334 | |
| | |
As of December 31, 2024 | |
| | |
Gross fair value | | |
Amounts netted | | |
Net fair
value | |
| Commodity derivatives: | |
| | |
| | |
| |
| Short-term derivative asset | |
$ | 151,303 | | |
$ | (44,906 | ) | |
$ | 106,397 | |
| Long-term derivative asset | |
| — | | |
| — | | |
| — | |
| Short-term derivative liability | |
| (44,906 | ) | |
| 44,906 | | |
| — | |
| Long-term derivative liability | |
| — | | |
| — | | |
| — | |
| Total derivative asset | |
| | | |
| | | |
$ | 106,397 | |
|
| Schedule of Derivatives on the Consolidated Statements of Operations |
The effects of the Company’s derivatives
on the consolidated statements of operations are summarized below:
| | |
3 Months Ended June 30 | | |
6 Months Ended June 30 | |
| | |
2026 | | |
2025 | | |
2026 | | |
2025 | |
| Total gain (loss) on unsettled derivatives | |
$ | 2,158,927 | | |
$ | 510,129 | | |
$ | (1,114,524 | ) | |
$ | 567,917 | |
| Total gain (loss) on settled derivatives | |
| (1,210,926 | ) | |
| 379,350 | | |
| (1,516,950 | ) | |
| 236,491 | |
| Net gain (loss) on derivatives | |
$ | 948,001 | | |
$ | 889,479 | | |
$ | (2,631,474 | ) | |
$ | 804,408 | |
|
The effects of the Company’s derivatives
on the consolidated statements of operations are summarized below:
| | |
For the
Year ended
December 31,
2025 | | |
For the
Year ended
December 31,
2024 | |
| | |
| |
| Total gain (loss) on unsettled derivatives | |
$ | (43,063 | ) | |
$ | (361,290 | ) |
| Total gain (loss) on settled derivatives | |
| 706,073 | | |
| (489,084 | ) |
| Net gain (loss) on derivatives | |
$ | 663,010 | | |
$ | (850,374 | ) |
|