# Pedevco Corp

> Clarifo company profile — qualitative business description generated from
> the company's filings. Financial statements, charts and ratios are
> available on Clarifo (https://www.clarifo.com/fi/companies/Pedevco Corp).

## Overview

PEDEVCO CORP is a U.S.-based oil and gas exploration and production company focused on crude oil, natural gas, and natural gas liquids. Its operations are centered on producing and developing acreage in the DJ Basin, Powder River Basin, and Permian Basin through wholly and majority-owned subsidiaries, joint ventures, and working-interest positions.

## Products & services

• Crude oil production and sales
• Natural gas production and sales
• Natural gas liquids (NGLs) production and sales
• Oil and gas lease development and well operations
• Working-interest participation in operated and non-operated projects

- **Crude oil** (65%) — Production and sale of crude oil from operated and non-operated wells.
- **Natural gas** (20%) — Production and sale of natural gas to pipelines, end-users, and marketers.
- **Natural gas liquids** (10%) — Production and sale of NGLs recovered from oil and gas processing streams.
- **Lease and acreage development** (5%) — Development of oil and gas leases, drilling inventory, and well completions.

- Crude oil production and sales
- Natural gas production and sales
- Natural gas liquids (NGLs) production and sales
- Oil and gas lease development and well operations
- Working-interest participation in operated and non-operated projects

## Customers

PEDEVCO sells hydrocarbons to marketers, gatherers, refiners, pipelines, direct end-users, industrial users, local distribution companies, and natural-gas marketers. Revenue is generated from the company’s net share of production, so customers are the downstream purchasers of produced volumes rather than end consumers of a branded product.

- **Crude oil purchasers** (primary) — Marketers, gatherers, and refiners buy crude oil volumes at delivery points for resale or refining.
- **Natural gas pipelines and marketers** (primary) — Interstate and intrastate pipelines and gas marketers buy gas volumes for transport, aggregation, and resale.
- **Industrial and utility gas users** (secondary) — Industrial users and local distribution companies buy natural gas for direct consumption and utility supply.
- **NGL buyers** (secondary) — Refiners, marketers, and direct end-users buy NGLs recovered from production and processing.

- Oil marketers, gatherers, and refiners buy crude production
- Gas pipelines purchase gas volumes under delivery contracts
- Industrial users and direct end-users buy natural gas
- Local distribution companies buy gas for utility supply
- NGL marketers and refiners buy liquids from processing streams

## Geography

PEDEVCO’s business is concentrated in U.S. onshore basins, especially the DJ Basin, Powder River Basin, and Permian Basin. The company’s acreage and well operations are tied to regional infrastructure, takeaway capacity, and basin-specific geology, which shape development pace and realized pricing.

- Operations are concentrated in U.S. onshore oil and gas basins
- DJ Basin and Powder River Basin are core development areas
- Permian Basin assets add another major U.S. operating footprint
- Regional pipelines and processing facilities affect realized pricing
- Acreage position determines where the company can control development

## Strategy

PEDEVCO’s strategy is to hold operator or significant working-interest positions so it can control development timing and capital allocation across its acreage. It also seeks to expand through joint development, consolidation, and selective acquisitions in its core basins to build drilling inventory and operating scale.

- **Control development through operator or major working-interest positions** (medium-term) — Operator control helps the company pace drilling, manage capital, and capture basin economics.
- **Expand drilling inventory in the DJ Basin and Powder River Basin** (long-term) — A larger inventory supports longer-term production visibility and capital deployment options.
- **Use joint development and consolidation to add scale** (medium-term) — Partnerships and acquisitions can improve operating efficiency and create synergies.

- Maintain operator control where possible to direct development timing
- Use working-interest positions where returns justify participation
- Develop large basin acreage inventory across multiple formations
- Pursue joint development and consolidation in core operating areas
- Add wells and completions to convert inventory into production

## Risks

PEDEVCO’s results depend on commodity prices, well performance, and the ability to convert acreage into economic production. The company also faces integration and execution risk from mergers and joint development activities, plus typical upstream risks such as reserve estimation, drilling success, regulatory compliance, and infrastructure constraints.

- **Commodity price volatility** [high] — Revenue is tied to market prices for crude oil, natural gas, and NGLs.
- **Merger and integration execution** [high] — The company must combine operations, personnel, controls, and reserves to realize expected benefits.
- **Reserve and drilling uncertainty** [high] — Upstream value depends on successful well performance and reserve conversion.
- **Infrastructure and basis differentials** [medium] — Realized prices are affected by gathering, transportation, and downstream costs.

- Oil, gas, and NGL prices drive revenue and cash generation
- Drilling and completion outcomes can vary by well and basin
- Integration of acquired assets can delay expected synergies
- Reserve estimates and PUD development require judgment
- Pipeline, processing, and takeaway constraints affect realizations

## Accounting

Revenue is recognized when control of oil, gas, or NGLs transfers at delivery points such as pipeline interconnects, processing facility tailgates, or tanker liftings. The company also relies on field-by-field depletion accounting, reserve-based amortization, and impairment testing, all of which can materially change reported earnings when reserve estimates or asset values move.

- **Revenue recognition timing** — Monthly revenue and receivables
- **Reserve-based depletion and amortization** — Operating income and asset carrying values
- **Oil and gas property impairment** — Earnings volatility and balance sheet carrying values
- **Capitalized development costs** — Balance sheet assets and future DD&A

- Point-in-time revenue recognition at delivery affects monthly timing
- Net-share production accounting excludes volumes sold for others
- Unit-of-production depletion depends on reserve estimates
- Capitalized wells in progress are not amortized until completion
- Oil and gas property impairments can create period volatility

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*Last updated: 2026-04-29T04:45:37.633230+00:00*