Evolution Petroleum (EPM) Small-Cap Virtual Conference summary

Strategic focus and business model

• Operates as a non-operated working interest and mineral/royalty interest company, prioritizing consistent dividend payments and asset-backed returns.

• Employs both organic and inorganic growth strategies, leveraging highly accretive acquisitions and low-risk development drilling.

• Maintains a lean, professional team, enabling scalable and capital-efficient expansion across multiple basins.

• Diversified asset base now spans 10 areas, achieved through nine acquisitions, enhancing risk management and cash flow stability.

Recent acquisitions and portfolio diversification

• Since August 2025, actively expanded mineral and royalty interests, notably in the SCOOP/STACK, Haynesville, and most recently, the Permian Basin.

• Net royalty acres increased by at least 150% over two years, with minerals and royalties now contributing about 20% of cash flow post-Permian deal.

• Recent $16 million Midland Basin acquisition added 3,400 net royalty acres and 832 producing wells, with over 1,200 undeveloped locations for future growth.

• Acquisition price per royalty acre was significantly below market comparables, achieved through direct negotiation and extensive groundwork.

Operational performance and financial outcomes

• Dividend payments have totaled nearly $152 million over 10+ years, with a current yield of about 13%.

• Consistent dividend history since 2013, with adjustments during oil price shocks and COVID-19, but now supported by a diversified asset base.

• Acquisitions have delivered a 90% rate of return and a 1.3x multiple on invested cash flow, exceeding cost of capital.

• EBITDA more than doubled in the latest quarter, with operational issues resolved and further growth anticipated.