David Round's questions to Diversified Energy Co (DEC) leadership • H1 2025
Question
David Round of Stifel Financial Corp asked for clarification on the $70 million in asset sales, which exceeded the $40 million guidance, and requested an update on the well retirement business, specifically its third-party activities.
Answer
CFO Brad Gray explained that the higher asset sale proceeds resulted from better-than-expected per-acreage prices and opportunistic sales to developers. CEO Rusty Hutson added that while they are evaluating more acreage, they are not providing new guidance yet. On well retirements, Gray noted they are on pace to plug nearly 400 wells this year and that third-party activity, while less robust than in 2023, remains a consistent contributor.