Chord Energy Corp

Results of Operations

Comparability of Financial Statements

On May 31, 2024, we acquired Enerplus Corporation (“Enerplus”) in a stock-and-cash transaction (“the “Arrangement”). Enerplus was an independent North American oil and gas E&P company domiciled in Canada with substantially all of its producing assets in the Williston Basin of North Dakota, with limited non-operated interests in the Marcellus Shale. The results of operations presented below relate to the periods ended September 30, 2025, June 30, 2025 and September 30, 2024. The results reported for the three and nine months ended September 30, 2025 and the three months ended June 30, 2025 reflect the consolidated results of Chord, including combined operations with Enerplus, while the results reported for the nine months ended September 30, 2024 reflect the consolidated results of Chord, including the impact from the business combination with Enerplus beginning on May 31, 2024, unless otherwise noted.

Operational and Financial Highlights

•Production volumes averaged 280,857 Boepd (55% oil), including crude oil volumes of 155,698 Bopd in the third quarter of 2025.

•E&P and other capital expenditures (excluding capitalized interest) were $333.7 million in the third quarter of 2025.

•Lease operating expenses (“LOE”) were $9.62 per Boe in the third quarter of 2025.

•Net cash provided by operating activities was $559.0 million and net income was $130.1 million in the third quarter of 2025.

•Issued $750.0 million 6.000% senior unsecured notes due October 1, 2030 (the “2030 Senior Notes”) in September 2025.

Shareholder Return Highlights

•Paid $1.30 per share base cash dividend on September 8, 2025.

•Repurchased $83.0 million of common stock in the third quarter of 2025.

•Declared a base cash dividend of $1.30 per share of common stock. The dividend will be payable on December 5, 2025 to shareholders of record as of November 19, 2025.

Revenues

Our crude oil, NGL and natural gas revenues are derived from the sale of crude oil, NGL and natural gas production. These revenues do not include the effects of derivative instruments and may vary significantly from period to period as a result of changes in volumes of production sold and/or changes in commodity prices. Our crude oil, NGL and natural gas revenues for the nine months ended September 30, 2025 increased compared to the nine months ended September 30, 2024 due to the Arrangement, which closed on May 31, 2024 and expanded our operations primarily in the Williston Basin. Our purchased oil and gas sales are derived from the sale of crude oil, NGLs and natural gas purchased through our marketing activities primarily to optimize transportation costs, for blending to meet pipeline specifications or to cover production shortfalls. Revenues and expenses from crude oil, NGL and natural gas sales and purchases are generally recorded on a gross basis, as we act as a principal in these transactions by assuming control of the purchased crude oil or natural gas before it is transferred to the counterparty. In certain cases, we enter into sales and purchases with the same counterparty in contemplation of one another, and these transactions are recorded on a net basis.

The following table summarizes our revenues, production and average realized prices for the periods presented:

(1)For the three months ended September 30, 2025 and June 30, 2025, natural gas production volume from the Marcellus Shale was 10,813 MMcf and 11,821 MMcf, respectively. The realized natural gas price related to this production, prior to the effect of derivative settlements, was $2.16 per Mcf and $2.49 per Mcf for the three months ended September 30, 2025 and June 30, 2025, respectively. For the nine months ended September 30, 2025 and 2024, natural gas production volume from the Marcellus Shale was 34,197 MMcf and 14,272 MMcf, respectively. The realized natural gas price related to this production, prior to the effect of derivative settlements, was $3.14 per Mcf and $1.41 per Mcf for the nine months ended September 30, 2025 and 2024, respectively.

(2)The effect of derivative settlements includes the gains or losses on commodity derivatives for contracts ending in the periods presented. Our commodity derivatives do not qualify for or were not designated as hedging instruments for accounting purposes.

Three months ended September 30, 2025 as compared to three months ended June 30, 2025

Crude oil revenues. Our crude oil revenues increased $31.9 million to $910.8 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The increase was primarily due to an increase of $28.0 million due to higher crude oil realized prices quarter over quarter, coupled with an increase of $3.9 million due to higher crude oil production volumes sold quarter over quarter. Average crude oil sales prices, without derivative settlements, increased by $1.96 per barrel quarter over quarter to an average of $63.59 per barrel for the three months ended September 30, 2025 primarily due to an increase in NYMEX WTI.

NGL revenues. Our NGL revenues decreased $3.7 million to $24.8 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The decrease was primarily due to lower realized NGL prices quarter over quarter resulting in a $4.4 million decrease, partially offset by an increase of $0.7 million due to higher NGL production volumes sold quarter over quarter. Average NGL sales prices, without derivative settlements, decreased by $0.91 per barrel quarter over quarter to an average of $4.89 per barrel for the three months ended September 30, 2025 primarily due to decreases in the corresponding NGL product index prices.

Natural gas revenues. Our natural gas revenues decreased $11.6 million to $31.2 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The decrease was primarily due to lower natural gas realized prices quarter over quarter resulting in an $11.5 million decrease, coupled with a decrease of $0.1 million due to lower natural gas production volumes sold quarter over quarter. Average natural gas sales prices, without derivative settlements, decreased by $0.30 per Mcf quarter over quarter to $0.81 per Mcf for the three months ended September 30, 2025 primarily due to lower index prices quarter over quarter. Additionally, natural gas production volume from the Marcellus Shale decreased from 11,821 MMcf for the three months ended June 30, 2025 to 10,813 MMcf for the three months ended September 30, 2025 as a result of production curtailment in response to Marcellus Shale gas price declines.

Purchased oil and gas sales. Purchased oil and gas sales increased $114.9 million to $345.2 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. This increase was primarily due to an increase in the volume of crude oil purchased and subsequently sold quarter over quarter, coupled with increased crude oil prices over the same period.

Nine months ended September 30, 2025 as compared to nine months ended September 30, 2024

Crude oil revenues. Our crude oil revenues increased $145.0 million to $2,745.9 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. Our crude oil revenues increased $491.4 million due to our expanded operations as a result of the Arrangement. Excluding the increase from the Arrangement, crude oil revenues decreased $379.1 million due to lower crude oil realized prices, partially offset by an increase of $32.7 million due to higher crude oil production volumes sold. Average crude oil sales prices, without derivative settlements, decreased by $10.94 per barrel period over period to an average of $64.73 per barrel for the nine months ended September 30, 2025 due to decreases in NYMEX WTI and widening in-basin differentials period over period.

NGL revenues. Our NGL revenues increased $0.7 million to $114.7 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. Our NGL revenues increased $3.8 million due to our expanded operations as a result of the Arrangement. Excluding the increase from the Arrangement, NGL revenues decreased $10.6 million due to lower realized NGL prices period over period, partially offset by an increase of $7.5 million due to higher NGL production volumes sold. Average NGL sales prices, without derivative settlements, decreased by $1.85 per barrel period over period to an average of $8.01 per barrel for the nine months ended September 30, 2025 primarily due to decreases in the corresponding NGL product index prices and widening differentials period over period.

Natural gas revenues. Our natural gas revenues increased $103.0 million to $159.9 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. Our natural gas revenues increased $69.0 million due to our expanded operations as a result of the Arrangement. Excluding the increase from the Arrangement, natural gas revenues increased $34.4 million primarily due to higher average natural gas realized prices. Average natural gas sales prices, without derivative settlements, increased by $0.72 per Mcf period over period to $1.39 per Mcf for the nine months ended September 30, 2025 primarily due to increases in index prices period over period.

Purchased oil and gas sales. Purchased oil and gas sales decreased $337.4 million to $687.2 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. This decrease was prim arily due to a decrease in the volume of crude oil purchased and subsequently sold period over period, coupled with decreased crude oil prices over the same period.

Expenses and other income (expense)

Certain operating expenses, including LOE, GPT expenses and DD&A, increased for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 due to the Arrangement, which closed on May 31, 2024 and expanded our operations primarily in the Williston Basin.

The following table summarizes our operating expenses and other income (expense) for the periods presented:

Three months ended September 30, 2025 as compared to three months ended June 30, 2025

Lease operating expenses. LOE decreased $8.4 million to $248.6 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The decrease was primarily due to a reduction in workover activity of $17.2 million, partially offset by higher variable costs of $7.0 million quarter over quarter. The same factors contributed to a decrease in LOE per BOE, which decreased $0.40 per Boe quarter over quarter to $9.62 per Boe for the three months ended September 30, 2025.

Purchased oil and gas expenses. Purchased oil and gas expenses increased $109.2 million to $340.9 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025 primarily due to an increase in the volume of crude oil purchased and subsequently sold quarter over quarter coupled with increased crude oil prices over the same period.

Production taxes. Production taxes increased $10.5 million to $79.5 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The increase was primarily due to the impact of higher crude oil revenues quarter over quarter coupled with less non-recurring refunds related to certain North Dakota wells receiving extraction tax exemptions within the three months ended September 30, 2025. The production tax rate as a percentage of crude oil, NGL and natural gas revenues of 8.2% for the three months ended September 30, 2025 increased from 7.3% for the three months ended June 30, 2025 primarily as a result of less non-recurring refunds within the current quarter.

General and administrative expenses. G&A expenses decreased $10.7 million to $21.9 million for the three months ended September 30, 2025 as compared to the three months ended June 30, 2025. The decrease was primarily attributable to decreases in various general corporate expenses of $6.7 million coupled with a decrease in merger-related costs of $2.9 million. Merger-related costs for the three months ended June 30, 2025 were $2.9 million and were primarily comprised of severance and advisory expenses related to the Arrangement. Merger-related costs for the three months ended September 30, 2025 were not material.

Impairment and exploration. There were no significant impairment charges during the three months ended September 30, 2025. As a result of a decrease in the price of our common stock during the three months ended June 30, 2025, which was impacted by a decline in crude oil and natural gas prices over that same period, we recorded an impairment charge on our goodwill of $539.3 million for the three months ended June 30, 2025.

Derivative instruments. We recorded a $20.7 million net gain on derivative instruments for the three months ended September 30, 2025, which was comprised of a net gain of $19.8 million associated with our commodity derivative contracts and an unrealized gain of $0.9 million associated with a contract that includes contingent consideration. The net gain of $19.8 million on commodity derivative contracts primarily included a realized gain of $19.8 million on settled commodity derivative contracts coupled with an insignificant unrealized gain related to the change in fair value of our commodity derivative contracts. During the three months ended June 30, 2025, we recorded a $82.2 million net gain on derivative instruments, which was comprised of a net gain of $82.0 million associated with our commodity derivative contracts and an unrealized gain of $0.2 million associated with a contract that includes contingent consideration. The net gain of $82.0 million on commodity derivative contracts included an unrealized gain of $67.9 million related to the change in fair value of our commodity derivative contracts primarily driven by a downward shift in the futures curve for forecasted commodity prices coupled with a realized gain of $14.1 million on settled commodity derivative contracts.

Investment in unconsolidated affiliate. We recorded a $4.6 million net loss related to our investment in Energy Transfer LP (“Energy Transfer”) for the three months ended September 30, 2025, which includedan unrealized loss of$7.0 million as a result of adecrease in the fair value of the investment during the quarter, partially offset by a gain of$2.4 million for a cash distribution from Energy Transfer during the quarter. During the three months ended June 30, 2025, we recorded a $1.0 million net loss related to our investment in Energy Transfer, which included an unrealized loss of $3.3 million as a result of a decrease in the fair value of the investment during the quarter, partially offset by a gain of $2.4 million for a cash distribution from Energy Transfer during the quarter.

Income tax expense. Our effective tax rate was recorded at 23.6% of pre-tax income for the three months ended September 30, 2025 and (16.2)% of pre-tax loss for the three months ended June 30, 2025. The effective tax rate for the three months ended September 30, 2025 was higher than the statutory federal rate of 21% primarily as a result of the impact of state income taxes. The effective tax rate for the three months ended June 30, 2025 was lower than the statutory federal rate of 21% primarily as a result of the impact of the goodwill impairment charge, coupled with a loss before income taxes, recorded during the same period.

Nine months ended September 30, 2025 as compared to nine months ended September 30, 2024

Lease operating expenses. LOE increased $155.7 million to $738.6 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. The increase was primarily driven by our expanded operations after the Arrangement contributing $115.3 million of additional LOE period over period, as well as increased workover costs of $27.1 million and increased fixed and variable costs of $16.4 million primarily due to new wells brought online during the nine months ended September 30, 2025. LOE per Boe increased $0.03 per Boe period over period to $9.74 per Boe for the nine months ended September 30, 2025.

Gathering, processing and transportation expenses. GPT expenses increased $26.0 million to $220.5 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. The increase was primarily due to our expanded operations after the Arrangement contributing $48.2 million of additional GPT expenses. This increase was partially offset by lower transportation rates of $12.8 million, primarily due to several contracts expiring during the year ended December 31, 2024, and lower fair value losses of $5.9 million attributable to the completion of a derivative transportation contract in June 2024. GPT expenses decreased $0.33 per Boe period over period to $2.91 per Boe for the nine months ended September 30, 2025 primarily due to lower transportation rates and fair value losses period over period.

Purchased oil and gas expenses. Purchased oil and gas expenses decreased $337.7 million to $684.1 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 primarily due to a decrease in the volume of crude oil purchased and subsequently sold period over period coupled with decreased crude oil prices over the same period.

Production taxes. Production taxes decreased $21.3 million to $223.1 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. The decrease was primarily due to decreases in crude oil revenues period over period due to lower crude oil prices and a reduction in the production tax rate during the nine months ended September 30, 2025 primarily due to a non-recurring refund related to certain North Dakota wells receiving an extraction tax exemption. This decrease was largely offset by a $46.0 million increase in production taxes attributable to our expanded operations after the Arrangement. The production tax rate as a percentage of crude oil, NGL and natural gas revenues decreased from 8.8% for the nine months ended September 30, 2024 to 7.4% for the nine months ended September 30, 2025 primarily due to the non-recurring refund coupled with natural gas comprising a larger percentage of total sales relative to the prior period.

Depreciation, depletion and amortization. DD&A expense increased $344.7 million to $1,101.7 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. The increase was primarily due to $194.5 million of additional depletion expense due to a higher depletion rate period over period, coupled with $129.8 million of additional DD&A expense related to an overall increase in production volumes, mainly due to our expanded operations after the Arrangement, as well as an increase in accretion expense of $13.8 million. The depletion rate increased $1.81 per Boe period over period to $14.11 per Boe for the nine months ended September 30, 2025 primarily due to the purchase consideration allocated to the fair value of the oil and gas properties acquired in the Arrangement. Accretion expense increased primarily due to higher plugging and abandonment expenses and incremental accretion related to properties acquired in the Arrangement.

General and administrative expenses. G&A expenses decreased $67.1 million to $92.8 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 primarily due to lower merger-related costs of $72.2 million. Merger-related costs for the nine months ended September 30, 2025 and 2024 were $8.1 million and $80.3 million, respectively, and were primarily comprised of severance, legal and advisory expenses related to the Arrangement. This decrease in merger-related costs was partially offset by an increase in costs associated with a larger organization after the Arrangement of $5.1 million.

Impairment and exploration. Impairment and exploration expenses increased $531.0 million to $546.0 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024 primarily due to the impairment of our goodwill. During the nine months ended September 30, 2025, we recorded an impairment charge on our goodwill of $539.3 million as a result of the decrease in the price of our common stock during the three months ended June 30, 2025, which was impacted by a decline in crude oil and natural gas prices over that same period. During the nine months ended September 30, 2024, we recorded a lower of cost or net realizable value write down of oil-in-tank inventory of $7.4 million and a $2.5 million impairment expense related to the Denver office lease and related fixed assets acquired in connection with the Arrangement.

Gain (loss) on sale of assets, net. During the nine months ended September 30, 2025 and 2024, we recorded a net gain on sale of assets of $4.6 million and $13.8 million, respectively, primarily related to the divestiture of certain non-core oil and gas properties within each period.

Derivative instruments. During the nine months ended September 30, 2025, we recorded a $82.7 million net gain on derivative instruments, which was comprised of a net gain of $80.8 million associated with our commodity derivative contracts and an unrealized gain of $1.9 million associated with a contract that includes contingent consideration. The net gain of $80.8 million on commodity derivative contracts included an unrealized gain of $47.2 million related to the change in fair value of our commodity derivative contracts primarily driven by a downward shift in the futures curve for forecasted commodity prices and a realized gain of $33.6 million on settled commodity derivative contracts. During the nine months ended September 30, 2024, we recorded a $29.8 million net gain on derivative instruments, which was comprised of a net gain of $27.1 million associated with our commodity derivative contracts and an unrealized gain of $2.6 million associated with a contract that includes contingent consideration. The net gain of $27.1 million on commodity derivative contracts included an unrealized gain of $31.5 million related to the change in fair value of our commodity derivative contracts primarily driven by a downward shift in the futures curve for forecasted commodity prices, partially offset by a realized loss of $4.3 million on settled commodity derivative contracts.

Investment in unconsolidated affiliate. We recorded a $10.5 million net loss related to our investment in Energy Transfer for the nine months ended September 30, 2025, which included an unrealized loss of $17.6 million as a result of a decrease in the fair value of the investment during the period, partially offset by a gain of $7.1 million for cash distributions from Energy Transfer during the period. During the nine months ended September 30, 2024, we recorded a net gain of $23.2 million related to our investment in Energy Transfer, which included an unrealized gain of $16.3 million as a result of an increase in the fair value of the investment during the period, coupled with a gain of $6.9 million for cash distributions from Energy Transfer during the period.

Interest expense, net of capitalized interest. Interest expense increased $14.4 million to $53.3 million for the nine months ended September 30, 2025 as compared to the nine months ended September 30, 2024. The increase is primarily due to $14.4 million of interest expense from the issuance of the 2033 Senior Notes in March 2025. Interest expense on the Credit Facility (defined below) was consistent period over period. For the nine months ended September 30, 2025, the weighted average borrowings outstanding under the Credit Facility were $283.4 million, and the weighted average interest rate incurred on the outstanding borrowings was 6.5%. During the nine months ended September 30, 2024, the weighted average borrowings outstanding under the Credit Facility were $267.0 million, and the weighted average interest rate incurred on the outstanding borrowings was 7.5%.

Loss on debt extinguishment. On March 13, 2025, we paid an aggregate of $409.1 million to purchase and satisfy and discharge the 2026 Senior Notes, resulting in a loss on debt extinguishment of $3.5 million for the nine months ended September 30, 2025. The loss primarily included the write-off of unamortized debt issuance costs of $2.1 million and a premium paid to redeem a portion of the 2026 Senior Notes of $1.1 million.

Income tax expense. Our effective tax rate was recorded at 131.3% and 25.2% of pre-tax income for the nine months ended September 30, 2025 and 2024, respectively. Our effective tax rate for the nine months ended September 30, 2025 was higher than the statutory federal rate of 21% primarily as a result of the impact of the goodwill impairment charge recorded during the second quarter of 2025. The effective tax rate for the nine months ended September 30, 2024 was higher than the statutory federal rate of 21% primarily as a result of the impact of state income taxes.