Evolution Petroleum (EPM) investor relations material

Business model and strategy

• Focuses on maximizing total shareholder returns through a dividend-centric model supported by long-life, low-decline oil and gas assets.

• Operates as a non-operator, leveraging partnerships to scale efficiently with a lean team across eight fields.

• Diversifies geographically and by commodity, with no single asset comprising more than 25% of reserves.

• Maintains a portfolio weighted 52% toward natural gas, positioning for future demand growth.

• Prioritizes minimal debt and financial flexibility to sustain dividends through commodity cycles.

Asset acquisitions and portfolio development

• Expanded from a single Louisiana oil asset to holdings in Wyoming, Texas, New Mexico, Oklahoma, and the Williston Basin.

• Acquisitions target low-decline, cash-flowing wells and include both producing and undeveloped potential.

• Recent deals include Chevreux Field (NM), SCOOP/STACK (OK), and Tex-Mex, with creative structuring and favorable purchase terms.

• Minerals and royalty interests in Oklahoma provide exposure to new drilling without additional capital outlay.

• Portfolio is designed to be cycle-proof, with assets selected for stability and resilience.

Financial performance and dividend policy

• Achieved $30 million EBITDA at last fiscal year end, with a yield over 10%.

• Cumulative cash flow from acquisitions now exceeds invested capital, with a 100%+ rate of return and a projected 3x multiple.

• Daily production has tripled over five years, while share count remains flat and leverage low.

• Dividend was maintained through recent low natural gas prices and has surpassed pre-COVID levels.

• Acquisition strategy is disciplined, reviewing 70-80 opportunities annually and selecting only the most accretive.