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U.S. Energy Corp. (USEG-1.50%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing reports a net loss of $25.8 million for the year, primarily due to a reduction in revenue, ceiling test write-downs, and a loss on the sale of East Texas properties.
Oil and gas revenue decreased by $11.7 million, attributed to both lower production quantities and commodity prices. The company produced 415,887 BOE during the year, a decrease from the prior year's 624,420 BOE.
Lease operating expenses were reduced to $11.2 million from $15.3 million in the previous year, due to property sales and lower workover activity.
General and administrative expenses decreased by $3.3 million, primarily due to reduced headcount and lower stock-based compensation.
The company reported a $5.0 million loss on the sale of its East Texas properties, which represented a significant divestment of 36% of reserve volumes.
Non-operating income included a $0.5 million gain from the settlement of commodity derivative contracts.
The company completed several divestitures totaling $14.0 million in net proceeds, which were used to repay its credit facility, bringing the balance to $0.0 million as of December 31, 2024.
U.S. Energy Corp. acquired 144,000 acres of industrial gas properties in Montana, with plans to drill and complete wells in 2025.
The company raised $12.1 million in an underwritten offering in January 2025, intended for the development of its Montana acquisition and other corporate purposes.
The filing notes a material weakness in internal controls over financial reporting related to the design of the company's accounting system, which management aims to remediate in 2025.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the U.S. Energy Corp. annual 10-K report dated March 13, 2025. To report an error, please email earnings@qz.com.