Evolution Petroleum Uncovers $1.8 Million in Overcharges From Diversified Energy

MT Newswires Live

2025/07/01

Evolution Petroleum (EPM) said Tuesday that initial results of its joint interest audit of its Barnett Shale properties in Texas showed several areas where it appeared Evolution had been overcharged.

Evolution said it and Diversified have discovered about $1.8 million owed to Evolution relating to the period between September 2021 and December 2023.

The amount will be recognized as a reduction to lease operating expenses and accounts payable in the company's fiscal Q4 and full-year 2025 results, the company said. Evolution Petroleum Chief Executive Kelly Loyd said the reduced expenses will boost the company's 2025 adjusted EBITDA and "positively impact" earnings.

Evolution Petroleum Chief Operating Officer Mark Bunch said the latest drilling results from four new wells at Chaveroo showed that the wells "continue to significantly outperform our type curves."

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