Prairie Operating - PROP STOCK NEWS

Prairie Operating Co. (PROP) has successfully implemented a strategic hedging program covering 85% of its current daily production in the Denver-Julesburg Basin. The program, executed after acquiring DJ Basin assets from Bayswater Exploration and Production, secures pricing at $68.27/bbl WTI and $4.28/MMBtu Henry Hub for remaining 2025 production, and $64.29/bbl WTI and $4.09/MMBtu Henry Hub for 2026-1Q 2028 production.

The company is advancing development with an 11-well Rusch Pad project targeting the Niobrara and Codell formations. This hedging initiative aims to protect cash flows, reduce risk, and support the company's growth strategy while maintaining capital discipline.

Prairie Operating Co. (PROP) has launched an 11-well development program at the Rusch Pad in Weld County, Colorado. The first well spud began on April 1, 2025, using Precision E-Drilling Rig 461. The development consists of eleven two-mile lateral wells alternating between the Niobrara A, B, and C Chalks and the Codell Sandstone.

The drilling phase is expected to complete by early June, followed by hydraulic fracturing, with initial production anticipated in early August. The company is utilizing an environmentally conscious approach with Precision's E-rig 461, powered by natural gas generators with battery backup to enhance efficiency and reduce emissions.

This development follows Prairie's recent Bayswater acquisition, which expanded their position in the Denver-Julesburg Basin. The company aims to focus on integrating these assets, capturing operational efficiencies, and executing its development program to drive production growth and cash flow generation.

Bayswater Exploration and Production has completed the sale of its Denver Julesburg (DJ) Basin assets to Prairie Operating Co. (PROP) in a transaction valued at approximately $603 million, combining cash and stock. The deal includes approximately 24,000 leased acres, 300 horizontal wells producing 27,500 barrels of oil equivalent per day (BOED), nine newly drilled but uncompleted horizontal wells, and a saltwater disposal system.

Following the transaction, Bayswater will retain and operate 70 horizontal wells producing approximately 18,000 BOED and a nine-well pad currently under completion by Halliburton. The company remains committed to operating in the DJ Basin and plans to rebuild its Colorado footprint in the coming years.

Prairie Operating Co. (PROP) has successfully completed its previously announced $602.75 million acquisition of DJ Basin assets from Bayswater Exploration and Production. The transaction significantly expands Prairie's operational footprint, adding approximately 24,000 net acres and increasing average daily production by 25,700 net BOEPD (69% liquids).

The acquisition adds approximately 600 highly economic drilling locations, extending inventory life to roughly 10 years. The assets contribute 77.9 million barrels of oil equivalent in proved reserves with an estimated PV-10 value of $1.1 billion. The transaction was funded through a combination of Series F convertible preferred stock issuance, common stock public offering, credit facility draw, and direct issuance of common stock to Bayswater.

Post-closing, Prairie maintains a strong balance sheet with an expected leverage ratio of ~1.0x and has approximately 35.4 million shares of common stock outstanding. The acquisition is expected to be immediately accretive to per-share cash flow metrics.

Prairie Operating Co. (NASDAQ: PROP) has announced the pricing of an underwritten public offering of $38.5 million of common stock at $4.50 per share. The underwriters have a 30-day option to purchase up to an additional $5.8 million of shares.

The net proceeds, estimated at $35.4 million (or $40.8 million if underwriters exercise their full option), will primarily fund the Bayswater Acquisition of oil and gas assets. Additional proceeds will support general corporate purposes, including development and drilling programs, debt repayment, and potential acquisitions.

The offering, expected to close on March 26, 2025, is concurrent with a previously announced offering of 150,000 shares of Series F Convertible Preferred Stock. Citigroup leads the offering as book-running manager, alongside KeyBanc Capital Markets, Truist Securities, MUFG Securities Americas, and Piper Sandler & Co. as joint book-running managers.

Prairie Operating Co. (PROP) has announced a registered direct offering of 150,000 shares of new Series F Convertible Preferred Stock. The preferred stock will carry a 12% annual dividend rate on the stated value plus accumulated unpaid dividends.

The company is concurrently conducting a common stock offering, with proceeds from both offerings intended to fund the acquisition of oil and gas assets from Bayswater Exploration and Production. Remaining proceeds will support corporate initiatives, including development and drilling programs, debt repayment, and potential acquisitions.

The offering includes warrants for additional common stock, exercisable if certain conditions are met on the first anniversary of closing, including if the stock trades below 115% of the conversion price. The offering is being conducted under an effective S-3 shelf registration statement filed with the SEC.

Prairie Operating Co. (NASDAQ: PROP) has announced an underwritten public offering of $35.00 million in common stock, with underwriters having a 30-day option to purchase up to an additional $5.25 million in shares.

Concurrent with this offering, the company is launching a registered offering of 150,000 shares of new Series F Convertible Preferred Stock, which includes warrants for additional common stock shares under specific conditions.

The proceeds will primarily fund the company's proposed Bayswater Acquisition of oil and gas assets. Any remaining funds will support general corporate purposes, including development and drilling programs, debt repayment, or other acquisition opportunities.

The offering is led by Citigroup as the lead book-running manager, with KeyBanc Capital Markets, Truist Securities, MUFG Securities Americas, and Piper Sandler & Co. serving as joint book-running managers.

Prairie Operating Co. (NASDAQ: PROP) has announced the promotion of Gregory S. Patton to Chief Financial Officer, effective April 1st, 2025. Patton, who joined Prairie last year as Executive Vice President of Commercial Development, brings over 15 years of industry experience in corporate finance, accounting, and capital markets.

Patton succeeds Craig Owen, who is retiring after more than 30 years in the energy industry. Prior to Prairie, Patton served as Senior Vice President of Corporate Development and Finance at Great Western Petroleum and as CFO at Trigger Energy. He holds accounting degrees from the University of Denver.

Ed Kovalik, Chairman and CEO, praised Owen's contributions in strengthening the company's financial foundation and highlighted Patton's critical role in aligning Prairie's capital strategy with long-term growth objectives over the past year.

Bayswater Exploration and Production has agreed to sell its DJ Basin assets to Prairie Operating Company (PROP) in a cash and stock transaction valued at $603 million. The sale package includes approximately 24,000 leased acres, 300 producing horizontal wells on 30 pads, and 25,000 BOED production capacity, along with nine newly drilled uncompleted wells and a saltwater disposal system.

Post-transaction, Bayswater will maintain operations in the DJ Basin with 70 horizontal wells producing about 18,000 BOED. The company also retains its Texas assets, including 50,000 acres in the Northern Midland Basin with 140 horizontal wells producing 20,000 BOED, a saltwater disposal system, and the Tejon Treating and Carbon Solutions business.