PEDEVCO plans more than 20 gross wells over the next several months as it rebuilds production

PEDEVCO Corp. (NYSE American: PED) said on August 13 that, over the next several months, it plans to drill or participate in more than 20 gross wells across its asset base. The company has not given a start date, a schedule by well, or a budget for the program.

The company expects the wells to "add a material amount of production in late 2026 continuing into 2027." It says the program began with the recent completion of a previously drilled well in the DJ Basin.

Why it matters

PEDEVCO is a Houston-based company focused on oil and gas assets in the Rocky Mountain region. Its latest reported reserves, as of March 31, 2026, were 27.3 million barrels of oil and 28.78 billion cubic feet of gas on a P50 basis, with the company holding a 100% interest.

The drilling would be aimed at turning that inventory into output. Production averaged 6,801 barrels of oil equivalent a day in the second quarter, down 16% from 8,091 in the first. The company said the decline was expected, because the first quarter benefited from DJ Basin wells brought online in late 2025. Second-quarter output was in line with its internal plan.

The second-quarter numbers

• Revenue: $46.1 million, up from $7.0 million a year earlier
• Net income: $17.5 million, or $1.31 per share
• Adjusted EBITDA: $18.7 million
• Average realized oil price: $94.07 a barrel, up 53% from a year earlier

The year-on-year jump reflects the October 2025 merger with portfolio companies controlled by Juniper Capital Advisors, which added most of the current asset base. Net income included $5.0 million of net gains on derivative contracts, mostly a non-cash unrealized gain of $13.1 million, partly offset by $8.1 million in realized settlement losses.

What is uncertain

The company says only "several months" for the program, and "gross wells" includes wells where PEDEVCO participates but may not operate or own all of the interest. The net number of wells, the cost and the expected size of the production gain have not been stated.

Adjusted EBITDA was also redefined. The company now includes realized derivative losses, and recast first-quarter Adjusted EBITDA to $18.1 million from the $21.5 million it first reported. Comparisons with earlier figures should use the recast number.

PEDEVCO has said it will fund the plan from operations while keeping leverage low. Borrowings under its credit facility fell to $85 million at June 30 from $98 million at March 31, and net debt was about $73 million. If drilling proceeds as planned, later quarterly reports would show whether production recovers from the second-quarter level.