Shares declined 4.7% as investors reacted negatively to an implied cautious pricing environment and volatile commodity realizations that pressured margins despite steady production growth and maintained guidance.

• Production increased 16% quarter-over-quarter to 35.9 MBoe per day on higher natural gas activity in the Louisiana Haynesville and Shelby Trough and strong Permian oil output.
• Natural gas pricing suffered from extreme weather and regional dislocations, notably Winter Storm Fern, which lowered realizations relative to Henry Hub pricing in February before partial recovery.
• Net income totaled $13.3 million with adjusted EBITDA of $87 million; distributable cash flow was $76.5 million, providing 1.2x distribution coverage with a declared quarterly distribution of $0.30 per unit.
• Commercial activity advanced with $12 million mineral acreage acquisition and multiple development agreements progressing in key gas plays, including new well spuds and production in Shelby Trough expansion areas.
• Despite stable production guidance, the volatile commodity price backdrop and operational challenges—such as a well control incident delaying development plans—underscore ongoing execution and margin risks.