J. Mark Bunch
About J. Mark Bunch
J. Mark Bunch, age 66, has served as Chief Operating Officer of Evolution Petroleum since February 21, 2023. He is a registered professional engineer in Texas and holds a B.S. in Petroleum Engineering from Texas A&M University . Company pay-versus-performance data show cumulative TSR of $184.95 in FY2023, $130.66 in FY2024, and $109.35 in FY2025, with net income of $35.2 million, $4.1 million, and $1.5 million, respectively . Compensation programs emphasize TSR and operational metrics; fiscal 2025 STIP was assessed at 95% of target .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Evolution Petroleum | Chief Operating Officer | 2023–present | Senior operating leadership; oversees assets and operations |
| Alamo Resources III, LLC | Senior Vice President, founding partner | 2020–2023 | Founding partner and SVP in upstream ventures |
| Dantoria Energy, LLC | Principal (consulting) | 2016–present | Provided consulting services to upstream companies |
| Camber Energy, Inc. | SVP, Engineering & Operations | 2017 | Engineering and operations leadership |
| Davis Petroleum Corp. | Asset Manager | 2012–2016 | Asset management for upstream portfolio |
| Mecom Oil, LLC | COO, founding partner | 2007–2012 | Operational leadership and company building |
| Huddleston & Co., Inc. | Vice President | 1999–2007 | Reservoir engineering and advisory |
| Petrocorp Inc. | Engineering Manager | 1993–1999 | Engineering management |
| ARCO Oil and Gas Company | Engineer | Pre-1992 | Early technical roles in upstream |
External Roles
| Organization/Affiliation | Role | Years | Notes |
|---|---|---|---|
| Texas Board of Professional Engineers | Registered Professional Engineer (Texas) | Current | PE credential supports technical oversight |
| Dantoria Energy, LLC | Consulting principal | 2016–present | Independent consulting to upstream energy |
Fixed Compensation
| Metric | FY 2024 | FY 2025 |
|---|---|---|
| Base Salary ($) | 305,000 | 305,000 |
| Benefits and Other ($) | 45,631 | 48,156 |
Notes: Benefits include 401(k) match (up to 6%), insurance premiums; no defined benefit pension, no non-qualified deferred comp, no social club perqs; company prohibits loans to NEOs .
Performance Compensation
Annual STIP (Cash)
| Item | FY 2025 |
|---|---|
| Target Bonus (% of base) | 75% |
| Corporate Metric Categories & Weights | Asset Mgmt 30%; Reserve Replacement 20%; TSR 15%; Dividend Level 15%; Capital Mgmt 5%; ESG 5%; Discretionary 10% |
| Company Performance Outcome | 95% of target |
| Actual STIP Paid ($) | 217,313 |
Long-Term Incentives (Equity)
| Component | FY 2025 LTIP Target | Instrument | Vesting / Measurement |
|---|---|---|---|
| LTIP Target (% of base) | 100% | Mix | 66.7% performance-based; 33.3% time-based |
| Time-Vested Restricted Shares (target #) | 18,862 | Restricted stock | Equal annual installments on Sep 1, 2025/2026/2027, service-based |
| Performance-Based Restricted Shares (max #) | 37,725 | Restricted stock | 3-year Relative TSR vs peer group; vest if top half over period ending Jun 30, 2027 |
| Performance-Based Contingent Share Units (max #) | 28,294 | Contingent units | Vest only if top quartile Relative TSR (outperform) by Jun 30, 2027 |
Peer group (12 companies): Amplify Energy, Berry, Epsilon Energy, Granite Ridge, Northern Oil & Gas, PEDEVCO, PHX Minerals, Riley Exploration Permian, Ring Energy, SandRidge, TXO Partners, Vitesse Energy .
Equity Ownership & Alignment
| Ownership Detail | Shares/Units | Notes |
|---|---|---|
| Direct common stock | 44,146 | Directly held |
| Time-vested restricted common stock (unvested) | 75,914 | Service-based vesting through Sep 2028 |
| Performance-based restricted common stock (unvested) | 103,416 | Performance-based vesting through Jun 2028 |
| Total beneficial ownership | 223,476 | As of Sep 30, 2025 |
| Ownership % of shares outstanding | 0.65% (223,476 / 34,647,751) | |
| Unvested stock awards (time/performance) | 136,118; $639,755 | Market value at $4.70 as of Jun 30, 2025 |
| Unearned performance units | 49,683; $233,510 | Market/payout value at $4.70 |
| Stock retention policy | Must retain 60% of vested awards over trailing 36 months; all executives in compliance as of Sep 30, 2025 | |
| Hedging/derivatives | Company believes no NEO/director has entered derivative transactions; trades restricted during blackout unless via 10b5-1 | |
| Pledging | Not disclosed |
Employment Terms
| Provision | Terms |
|---|---|
| Change-in-Control (CIC) definition | Asset sale; merger with board majority change; ≥40% stock acquisition |
| CIC equity vesting | Unvested options/warrants/restricted stock fully vest; performance awards vest based on performance achieved as of CIC date |
| CIC cash severance (Bunch) | One year base + target bonus; $533,750 severance; $32,056 benefits continuation; $505,720 accelerated equity; total $1,071,526 (as of Jun 30, 2025) |
| Death/Disability equity | Unvested awards vest per grant terms; estimated $238,017 (as of Jun 30, 2025) |
| Clawback policy | Recoupment for accounting restatements per NYSE American Section 811 and Rule 10D-1 |
| Insider trading policy | Blackout restrictions; 10b5-1 plans permitted; policy filed on 10-K exhibits |
Company Performance Context
| Metric | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|
| Revenues ($) | 128,514,000 | 85,877,000 | 85,840,000 |
| EBITDA ($) | 59,386,000* | 26,676,000* | 26,641,000* |
| Total Shareholder Return (cumulative from $100) | 184.95 | 130.66 | 109.35 |
| Net Income ($000s) | 35,217 | 4,080 | 1,473 |
Values retrieved from S&P Global for EBITDA.*
Compensation Structure Analysis (J. Mark Bunch)
| Component | FY 2024 ($) | FY 2025 ($) | YoY Change |
|---|---|---|---|
| Salary | 305,000 | 305,000 | 0% |
| Non-Equity Incentive (STIP) | 137,250 | 217,313 | +58% |
| Stock Awards (grant-date fair value) | 229,142 | 289,914 | +27% |
| All Other Compensation | 45,631 | 48,156 | +6% |
| SCT Total | 717,023 | 860,382 | +20% |
Observations:
- Higher at-risk pay via equity continues; LTIP tilted to performance (66.7%) with multi-year TSR hurdles .
- STIP payout rose with 95% corporate score and 75% target bonus weighting .
- No perqs or gross-ups; alignment via retention and broad-based equity participation .
Say-on-Pay & Peer Benchmarking
- Say-on-Pay approval at 2024 annual meeting exceeded 94%, supporting current pay design .
- FY2025 peer group comprises 12 E&P peers used for sizing and TSR benchmarking .
- Compensation Committee is independent; uses equity-heavy design linked to TSR and capital returns .
Risk Indicators & Governance
- No material legal proceedings involving executives/directors disclosed .
- Equity grants timing policy designed to avoid MNPI windows; retention policy enforces 60% hold requirements .
- Insider trading policy restricts blackout trades; company believes no derivatives usage by insiders; pledging not disclosed .
Investment Implications
- Alignment: Bunch’s equity is substantial with 136,118 unvested shares and 49,683 unearned performance units; retention and pay realization hinge on TSR vs peers through June 2027, reinforcing shareholder alignment .
- Near-term selling pressure: Annual Sep 1 vesting for time-based awards can create periodic liquidity events; blackout policies and retention rules mitigate immediate sell pressure (must retain 60% of vested shares over 36 months) .
- CIC economics: One-year cash plus accelerated equity (total $1.07 million as of June 30, 2025) sets a balanced severance profile; single-trigger equity acceleration with performance-based vesting outcome at CIC can influence deal timing and insider incentives .
- Performance sensitivity: A TSR-centric LTIP increases payout convexity to share price and dividends; weak TSR trends (FY2023–FY2025 cumulative TSR down) and low net income in FY2025 may compress realizable pay unless operational execution and capital returns improve .
- Governance quality: No perqs, standard benefits, clawback adoption, and strong say-on-pay support suggest low compensation-related governance risk .