Infinity Natural Resources (INR) Registration Filing summary

Company overview and business model

• Growth-oriented, independent energy company focused on acquiring, developing, and producing hydrocarbons in the Appalachian Basin, with a balanced portfolio of oil and natural gas assets across Ohio and Pennsylvania.

• Operates 129 horizontal wells as of November 2024, with 91,000 net surface acres and 335 gross horizontal drilling locations, providing 19 years of inventory at current drilling pace.

• Early mover in the Utica Shale's volatile oil window in Ohio and emerging dry gas Utica Shale in Pennsylvania, leveraging company-owned midstream infrastructure for operational flexibility.

• Business strategy emphasizes disciplined growth, capital efficiency, and opportunistic acquisitions, with a focus on maintaining a strong balance sheet and financial flexibility.

Financial performance and metrics

• For the nine months ended September 30, 2024, total revenues were $189.9 million, with net income of $54.8 million and Adjusted EBITDAX of $136.3 million.

• For the year ended December 31, 2023, total revenues were $161.7 million, net income was $86.7 million, and Adjusted EBITDAX was $126.5 million.

• Average daily production increased from 8.8 MBoe/d in 2022 to 18.9 MBoe/d in 2023, reaching 25 MBoe/d by Q3 2024.

• As of December 31, 2023, proved reserves were 141,587 MBoe (48% developed), with a PV-10 value of $938.4 million.

• Operating expenses per Boe for 2023 were $15.80, with gathering, processing, and transportation at $4.51/Boe and lease operating expenses at $2.66/Boe.

Use of proceeds and capital allocation

• Net proceeds from the IPO will be contributed to INR Holdings to repay borrowings under the Credit Facility and for general corporate purposes.

• As of September 30, 2024, $224.7 million was outstanding under the Credit Facility, which matures in September 2028.

• 2024 capital development budget is expected to be funded from operating cash flow, with $108.9 million incurred as of September 30, 2024.