HighPeak Energy, Inc. Announces Second Quarter 2026 Financial and Operating Results

FORT WORTH, Texas, Aug. 10, 2026 (GLOBE NEWSWIRE) -- HighPeak Energy, Inc. (“HighPeak” or the “Company”) (NASDAQ: HPK) today announced financial and operating results for the quarter ended June 30, 2026.

A statement from our President and CEO, Michael Hollis:

Our first-half 2026 results demonstrate the strength of our asset base and the disciplined execution of our strategy. We have delivered production 7% above the midpoint of our guidance while keeping our development program on budget. Meanwhile, our continued focus on operational efficiency, cost control and base production optimization drove first-half operating expenses 13% below the midpoint of our guidance. Together with favorable commodity prices, higher production and lower costs are driving stronger free cash flow and further improving our balance sheet. As we execute our plan through the remainder of the year, we remain committed to disciplined capital allocation and creating durable long-term value for our shareholders.

Second Quarter 2026 Operational Update

HighPeak’s sales volumes averaged 45.3 MBoe/d during the second quarter of 2026 consisting of approximately 64% crude oil and 83% liquids.

The Company averaged one (1) drilling rig and (1) one frac crew throughout the second quarter, drilled 8 gross (7.7 net) horizontal wells, completed 16 gross (16.0 net) horizontal wells and turned-in-line 8 gross (8.0 net) producing wells. On June 30, 2026, the Company had 21 gross (20.4 net) horizontal wells in progress, including 16 gross (15.6 net) horizontal wells in various stages of completion.

Second Quarter 2026 Financial Results

HighPeak reported net income of $82.3 million for the second quarter 2026, or $0.59 per diluted share, and EBITDAX (a non-GAAP financial measure defined and reconciled below) of $147.6 million, or $1.06 per diluted share. 

Second quarter 2026 average realized prices were $98.82 per Bbl of crude oil, $24.14 per Bbl of NGL and negative $1.50 per Mcf of natural gas, resulting in an overall realized price of $66.11 per Boe, or 71% of the weighted average of NYMEX crude oil prices, excluding the effects of derivatives. Including the effects of derivatives, second quarter 2026 average realized prices were $76.59 per Bbl of crude oil, $24.14 per Bbl of NGL and negative $0.61 per Mcf of natural gas, resulting in an overall realized price of $52.82 per Boe. HighPeak’s cash costs for the second quarter 2026 were $17.02 per Boe, including lease operating costs of $6.43 per Boe, expense workovers of $1.49 per Boe, gathering, processing and transportation expenses of $4.18 per Boe, production and ad valorem taxes of $3.22 per Boe and G&A expenses of $1.70 per Boe. As a result, the Company’s unhedged EBITDAX per Boe was $49.09 per Boe.

HighPeak’s total capital expenditures, excluding acquisitions, for the second quarter were $107.5 million. 

Hedging

Crude oil.  As of June 30, 2026 and factoring in derivative instruments entered into subsequent to quarter end, HighPeak had the following outstanding crude oil derivative instruments and the weighted average crude oil prices per barrel (“Bbl”):

Settlement Month		Settlement Year		Type of Contract		Bbls Per Day				Index		Swap Price per Bbl				Costless Collar Floor Price per Bbl				Costless Collar Ceiling Price per Bbl
Crude Oil:
Jul – Sep		2026		Costless Collar			13,000			WTI Cushing		$	—			$	61.38			$	69.39
Jul – Sep		2026		Swap			5,000			WTI Cushing		$	63.45			$	—			$	—
Jul – Sep		2026		Roll Swap			26,011			NYMEX WTI Roll		$	4.30							$	—
Jul – Sep		2026		Basis Swap			23,000			Argus WTI Midland		$	1.37			$	—			$	—
Oct – Dec		2026		Costless Collar			10,800			WTI Cushing		$	—			$	61.67			$	68.52
Oct – Dec		2026		Swap			5,000			WTI Cushing		$	63.45			$	—			$	—
Oct – Dec		2026		Roll Swap			25,000			NYMEX WTI Roll		$	4.23			$	—			$	—
Oct – Dec		2026		Basis Swap			23,000			Argus WTI Midland		$	1.37			$	—			$	—
Jan – Mar		2027		Costless Collar			8,900			WTI Cushing		$	—			$	59.78			$	65.24
Jan – Mar		2027		Swap			4,400			WTI Cushing		$	62.14			$	—			$	—
Jan – Mar		2027		Basis Swap			10,000			Argus WTI Midland		$	1.00			$	—			$	—
Apr – Jun		2027		Costless Collar			4,000			WTI Cushing		$	—			$	52.00			$	62.85
Apr – Jun		2027		Swap			6,470			WTI Cushing		$	59.61			$	—			$	—
Apr – Jun		2027		Basis Swap			10,000			Argus WTI Midland		$	1.00			$	—			$	—
Jul – Sep		2027		Swap			8,950			WTI Cushing		$	61.46			$	—			$	—
Jul – Sep		2027		Basis Swap			10,000			Argus WTI Midland		$	1.00			$	—			$	—
Oct – Dec		2027		Swap			7,500			WTI Cushing		$	70.42			$	—			$	—
Oct – Dec		2027		Basis Swap			10,000			Argus WTI Midland		$	1.00			$	—			$	—

The Company’s crude oil derivative contracts detailed above are based on reported settlement prices on the New York Mercantile Exchange for West Texas Intermediate (“WTI Cushing”) pricing, the NYMEX WTI Roll or the basis differential between WTI Cushing and Argus WTI Midland pricing which represents the premium to WTI Cushing.

Natural gas. As of June 30, 2026 and factoring in derivative instruments entered into subsequent to quarter end, the Company had the following outstanding natural gas derivative instruments and the weighted average natural gas prices payable per MMBtu.

Settlement Month		Settlement Year		Type of Contract		MMBtu Per Day				Index		Price per MMBtu
Natural Gas:
Jul – Sep		2026		Swap			30,000			HH		$	4.300
Oct – Dec		2026		Swap			30,000			HH		$	4.300
Oct – Dec		2026		Basis Swap			25,000			WAHA		$	(1.455	)
Jan – Mar		2027		Swap			19,667			HH		$	4.300
Jan – Mar		2027		Basis Swap			25,000			WAHA		$	(1.487	)
Apr – Jun		2027		Basis Swap			25,000			WAHA		$	(1.487	)
Jul – Sep		2027		Basis Swap			25,000			WAHA		$	(1.487	)
Oct – Dec		2027		Basis Swap			25,000			WAHA		$	(1.487	)

The Company’s natural gas derivative contracts detailed above are based on reported settlement prices on the New York Mercantile Exchange for Henry Hub (“HH”) pricing and the basis differential between Henry Hub and the West Texas WAHA Hub pricing.

Conference Call

HighPeak will host a conference call and webcast on Tuesday, August 11, 2026, at 10:00 a.m. Central Time for investors and analysts to discuss its results for the second quarter of 2026. Conference call participants may register for the call here. Access to the live audio-only webcast and replay of the earnings release conference call may be found here. A live broadcast of the earnings conference call will also be available on the HighPeak Energy website at www.highpeakenergy.com under the “Investors” section of the website. A replay will also be available on the website following the call.

When available, a copy of the Company’s earnings release, investor presentation and Quarterly Report on Form 10-Q may be found on its website at www.highpeakenergy.com.

About HighPeak Energy, Inc.

HighPeak Energy, Inc. is a publicly traded independent crude oil and natural gas company, headquartered in Fort Worth, Texas, focused on the acquisition, development, exploration and exploitation of unconventional crude oil and natural gas reserves in the Midland Basin in West Texas. For more information, please visit our website at www.highpeakenergy.com.

Cautionary Note Regarding Forward-Looking Statements

The information in this press release contains forward-looking statements that involve risks and uncertainties. When used in this document, the words “believes,” “plans,” “expects,” “anticipates,” “forecasts,” “intends,” “continue,” “may,” “will,” “could,” “should,” “future,” “potential,” “estimate” or the negative of such terms and similar expressions as they relate to HighPeak Energy, Inc. (“HighPeak Energy” or the “Company”) are intended to identify forward-looking statements, which are generally not historical in nature. The forward-looking statements are based on the Company's current expectations, assumptions, estimates and projections about the Company and the industry in which the Company operates. Although the Company believes that the expectations and assumptions reflected in the forward-looking statements are reasonable as and when made, they involve risks and uncertainties that are difficult to predict and, in many cases, beyond the Company's control. For example, the Company’s review of strategic alternatives may not result in a sale of the Company, a recommendation that a transaction occur or result in a completed transaction, and any transaction that occurs may not increase shareholder value, in each case as a result of such risks and uncertainties.

These risks and uncertainties include, among other things, the results of the strategic review being undertaken by the Company’s Board and the interest of prospective counterparties, the Company’s ability to realize the results contemplated by its 2026 guidance, volatility of commodity prices, political instability or armed conflicts in crude or natural gas producing regions such as the ongoing war between Russia and Ukraine and conflicts in the Middle East, product supply and demand, the impact of a widespread outbreak of an illness, such as the coronavirus disease pandemic, on global and U.S. economic activity, competition, OPEC+ policy decisions, potential new trade policies, such as tariffs, could adversely affect the Company’s operations, business and profitability, inflationary pressures on costs of oilfield goods, services and personnel, the ability to obtain environmental and other permits and the timing thereof, other government regulation or action, the ability to obtain approvals from third parties and negotiate agreements with third parties on mutually acceptable terms, litigation, the costs and results of drilling and operations, availability of equipment, services, resources and personnel required to perform the Company's drilling and operating activities, access to and availability of transportation, processing, fractionation, refining and storage facilities, HighPeak Energy's ability to replace reserves, implement its business plans or complete its development activities as scheduled, access to and cost of capital, the financial strength of counterparties to any credit facility and derivative contracts entered into by HighPeak Energy, if any, and purchasers of HighPeak Energy's oil, natural gas liquids and natural gas production, uncertainties about estimates of reserves, identification of drilling locations and the ability to add proved reserves in the future, the assumptions underlying forecasts, including forecasts of production, expenses, cash flow from sales of oil and gas and tax rates, quality of technical data, environmental and weather risks, including the possible impacts of climate change, cybersecurity risks and acts of war or terrorism. These and other risks are described in the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K and other filings with the SEC. The Company undertakes no duty to publicly update these statements except as required by law.

Reserve engineering is a process of estimating underground accumulations of hydrocarbons that cannot be measured in an exact way. The accuracy of any reserve estimate depends on the quality of available data, the interpretation of such data and price and cost assumptions made by reserve engineers. Reserves estimates included herein may not be indicative of the level of reserves or PV-10 value of oil and natural gas production in the future. In addition, the results of drilling, testing and production activities may justify revisions of estimates that were made previously. If significant, such revisions could impact HighPeak’s strategy and change the schedule of any further production and development drilling. Accordingly, reserve estimates may differ significantly from the quantities of oil and natural gas that are ultimately recovered.

Use of Projections

The financial, operational, industry and market projections, estimates and targets in this press release and in the Company’s guidance (including production, operating expenses and capital expenditures in future periods) are based on assumptions that are inherently subject to significant uncertainties and contingencies, many of which are beyond the Company’s control. The assumptions and estimates underlying the projected, expected or target results are inherently uncertain and are subject to a wide variety of significant business, economic, regulatory and competitive risks and uncertainties that could cause actual results to differ materially from those contained in the financial, operational, industry and market projections, estimates and targets, including assumptions, risks and uncertainties described in “Cautionary Note Regarding Forward-Looking Statements” above. These projections are speculative by their nature and, accordingly, are subject to significant risk of not being actually realized by the Company. Projected results of the Company for 2026 are particularly speculative and subject to change. Actual results may vary materially from the current projections, including for reasons beyond the Company’s control. The projections are based on current expectations and available information as of the date of this release. The Company undertakes no duty to publicly update these projections except as required by law.

Drilling Locations

The Company has estimated its drilling locations based on well spacing assumptions and upon the evaluation of its drilling results and those of other operators in its area, combined with its interpretation of available geologic and engineering data. The drilling locations actually drilled on the Company’s properties will depend on the availability of capital, regulatory approvals, commodity prices, costs, actual drilling results and other factors. Any drilling activities conducted on these identified locations may not be successful and may not result in additional proved reserves. Further, to the extent the drilling locations are associated with acreage that expires, the Company would lose its right to develop the related locations.

HighPeak Energy, Inc. Unaudited Condensed Consolidated Balance Sheet Data (In thousands)

	June 30, 2026				December 31, 2025
Current assets:
Cash and cash equivalents	$	146,346			$	162,075
Accounts receivable		83,064				55,546
Derivative instruments		27,815				29,574
Prepaid expenses		3,817				7,648
Inventory		3,217				5,054
Total current assets		264,259				259,897
Crude oil and natural gas properties, using the successful efforts method of accounting:
Proved properties		4,663,607				4,477,368
Unproved properties		57,439				59,285
Accumulated depletion, depreciation and amortization		(1,832,511	)			(1,606,217	)
Total crude oil and natural gas properties, net		2,888,535				2,930,436
Other property and equipment, net		3,259				3,012
Derivative instruments		3,349				4,197
Other noncurrent assets		15,182				16,172
Total assets	$	3,174,584			$	3,213,714
Current liabilities:
Current portion of long-term debt	$	120,000			$	60,000
Accounts payable – trade		52,609				84,313
Accrued capital expenditures		45,471				30,921
Revenues and royalties payable		32,610				30,665
Derivative instruments		25,652				380
Other accrued liabilities		13,877				20,927
Derivative settlements payable		11,960				—
Advances from joint interest owners		2,867				2,205
Operating leases		448				845
Total current liabilities		305,494				230,256
Noncurrent liabilities:
Long-term debt, net		1,068,913				1,132,807
Deferred income taxes		228,433				239,636
Asset retirement obligations		16,659				15,944
Derivative instruments		3,881				360
Operating leases		75				142
Stockholders’ equity
Common stock		13				13
Additional paid-in capital		1,163,740				1,162,007
Retained earnings		387,376				432,549
Total stockholders’ equity		1,551,129				1,594,569
Total liabilities and stockholders’ equity	$	3,174,584			$	3,213,714

HighPeak Energy, Inc. Unaudited Condensed Consolidated Statements of Operations (in thousands, except per share data)

	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
Operating revenues:
Crude oil sales	$	260,361			$	196,723			$	459,516			$	443,147
NGL and natural gas sales		12,058				19,749				28,788				45,636
Total operating revenues		272,419				216,472				488,304				488,783
Operating costs and expenses:
Crude oil and natural gas production		32,641				33,726				62,165				69,288
Gathering, processing and transportation		17,234				16,072				34,967				30,935
Production and ad valorem taxes		13,254				12,391				25,154				27,543
Exploration and abandonments		4,444				1,109				5,186				1,373
Depletion, depreciation and amortization		113,429				101,226				226,443				210,551
Accretion of discount		302				256				597				500
General and administrative		7,004				5,671				12,749				12,016
Stock-based compensation		868				88				1,733				265
Total operating costs and expenses		189,176				170,539				368,994				352,471
Other expense		3,000				2,489				3,050				2,489
Income from operations		80,243				43,444				116,260				133,823
Interest and other income		1,032				361				1,981				1,171
Interest expense		(35,978	)			(36,412	)			(71,016	)			(73,400	)
Gain (loss) on derivative instruments, net		53,426				26,446				(103,601	)			18,519
Income (loss) before income taxes		98,723				33,839				(56,376	)			80,113
Provision for income taxes		16,448				7,663				(11,203	)			17,602
Net income (loss)	$	82,275			$	26,176			$	(45,173	)		$	62,511
Earnings per share:
Basic net income (loss)	$	0.60			$	0.19			$	(0.36	)		$	0.46
Diluted net income (loss)	$	0.59			$	0.19			$	(0.36	)		$	0.45
Weighted average shares outstanding:
Basic		125,286				123,930				125,276				123,922
Diluted		126,409				126,095				125,276				126,169
Dividends declared per share	$	—			$	0.04			$	—			$	0.08

HighPeak Energy, Inc.
Unaudited Condensed Consolidated Statements of Cash Flows
(in thousands)
	Six Months Ended June 30,
	2026				2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$	(45,173	)		$	62,511
Adjustments to reconcile net (loss) income to net cash provided by operations:
Provision for deferred income taxes		(11,203	)			17,602
Loss (gains) on derivative instruments		103,601				(18,519	)
Cash (paid) received on settlement of derivative instruments		(72,201	)			4,341
Amortization of debt issuance costs		2,238				4,091
Amortization of discounts on long-term debt		—				4,879
Stock-based compensation expense		1,733				265
Accretion expense		597				500
Depletion, depreciation and amortization		226,443				210,551
Exploration and abandonment expense		4,656				859
Changes in operating assets and liabilities:
Accounts receivable		(27,519	)			13,817
Prepaid expenses, inventory and other assets		5,401				4,977
Accounts payable, accrued liabilities and other current liabilities		(8,027	)			(7,609	)
Net cash provided by operating activities		180,546				298,265
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to crude oil and natural gas properties		(186,372	)			(306,157	)
Changes in working capital associated with crude oil and natural gas property additions		(818	)			(12,907	)
Acquisitions of crude oil and natural gas properties		(2,558	)			(3,584	)
Proceeds from sales of properties		18				570
Other property additions		(413	)			—
Net cash used in investing activities		(190,143	)			(322,078	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Debt issuance costs		(6,132	)			—
Borrowings under Senior Credit Facility Agreement		—				30,000
Repayments under Term Loan Credit Agreement		—				(60,000	)
Dividends paid		—				(9,922	)
Dividend equivalents paid		—				(1,062	)
Proceeds received from exercise of warrants		—				1
Net cash used in financing activities		(6,132	)			(40,983	)
Net decrease in cash and cash equivalents		(15,729	)			(64,796	)
Cash and cash equivalents, beginning of period		162,075				86,649
Cash and cash equivalents, end of period	$	146,346			$	21,853

HighPeak Energy, Inc.
Unaudited Summary Operating Highlights
	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
Average Daily Sales Volumes:
Crude oil (Bbls)		28,952				33,913				29,884				36,056
NGLs (Bbls)		8,429				7,462				7,919				7,592
Natural gas (Mcf)		47,423				43,642				45,921				43,371
Total (Boe)		45,285				48,649				45,456				50,876
Average Realized Prices (excluding effects of derivatives):
Crude oil per Bbl	$	98.82			$	63.74			$	84.95			$	67.90
NGL per Bbl	$	24.14			$	20.34			$	20.92			$	22.30
Natural gas per Mcf	$	(1.50	)		$	1.50			$	(0.14	)		$	1.91
Total per Boe	$	66.11			$	48.90			$	59.35			$	53.08
Margin Data ($ per Boe):
Average price	$	66.11			$	48.90			$	59.35			$	53.08
Lease operating expenses		(6.43	)			(6.55	)			(6.48	)			(6.58	)
Expense workovers		(1.49	)			(1.06	)			(1.08	)			(0.94	)
Gathering, processing and transportation expenses		(4.18	)			(3.63	)			(4.25	)			(3.36	)
Production and ad valorem taxes		(3.22	)			(2.80	)			(3.06	)			(2.99	)
General & administrative expenses		(1.70	)			(1.28	)			(1.55	)			(1.30	)
	$	49.09			$	33.58			$	42.93			$	37.91

HighPeak Energy, Inc.
Unaudited Earnings Per Share Details
	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
Net income (loss) as reported	$	82,275			$	26,176			$	(45,173	)		$	62,511
Participating basic earnings		(7,575	)			(2,546	)			—				(6,086	)
Basic earnings (loss) attributable to common shareholders		74,700				23,630				(45,173	)			56,425
Reallocation of participating earnings		61				32				—				78
Diluted net income (loss) attributable to common shareholders	$	74,761			$	23,662			$	(45,173	)		$	56,503
Basic weighted average shares outstanding		125,286				123,930				125,276				123,922
Dilutive warrants and unvested stock options		—				—				—				82
Dilutive unvested restricted stock		1,123				2,165				—				2,165
Diluted weighted average shares outstanding		126,409				126,095				125,276				126,169
Net income (loss) per share attributable to common shareholders:
Basic	$	0.60			$	0.19			$	(0.36	)		$	0.46
Diluted	$	0.59			$	0.19			$	(0.36	)		$	0.45

HighPeak Energy, Inc.
Unaudited Reconciliation of Net Income to EBITDAX, Discretionary Cash Flow and Net Cash Provided by Operations
(in thousands)
	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
Net income (loss)	$	82,275			$	26,176			$	(45,173	)		$	62,511
Interest expense		35,978				36,412				71,016				73,400
Interest and other income		(1,032	)			(361	)			(1,981	)			(1,171	)
Provision for income taxes		16,448				7,663				(11,203	)			17,602
Depletion, depreciation and amortization		113,429				101,226				226,443				210,551
Accretion of discount		302				256				597				500
Exploration and abandonment expense		4,444				1,109				5,186				1,373
Stock based compensation		868				88				1,733				265
Derivative related noncash activity		(108,154	)			(19,034	)			31,400				(14,178	)
Other expense		3,000				2,489				3,050				2,489
EBITDAX		147,558				156,024				281,068				353,342
Cash interest expense		(34,624	)			(31,902	)			(68,778	)			(64,430	)
Other (a)		(2,213	)			(2,382	)			(1,599	)			(1,832	)
Discretionary cash flow		110,721				121,740				210,691				287,080
Changes in operating assets and liabilities		15,624				19,473				(30,145	)			11,185
Net cash provided by operating activities	$	126,345			$	141,213			$	180,546			$	298,265
(a) includes interest and other income net of current tax expense, other expense and operating portion of exploration and abandonment expenses.

HighPeak Energy, Inc.
Unaudited Reconciliation of Net Cash Provided by Operations and Free Cash Flow (in thousands)
	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026							2025
Net cash provided by operating activities	$	126,345			$	141,213			$	180,546						$	298,265
Add back net change in operating assets and liabilities		(15,624	)			(19,473	)			30,145							(11,185				)
Operating cash flow before working capital changes		110,721				121,740				210,691							287,080
Additions to crude oil and natural gas properties		(107,593	)			(126,338	)			(186,372				)			(306,157				)
Changes in working capital associated with crude oil and natural gas property additions		34,508				(38,079	)			(818				)			(12,907				)
Free cash flow	$	37,636			$	(42,677	)		$	23,501						$	(31,984				)

Investor Contact:
Ryan Hightower
Executive Vice President
817.850.9204
rhightower@highpeakenergy.com

Source: HighPeak Energy, Inc.