Calgary, AB — September 2, 2025 — Leads & Copy — Source Rock Royalties Ltd. (TSXV: SRR) has announced its financial results for the three and six month periods ended June 30, 2025. The company, which operates as a pure-play oil and gas royalty entity with a focus on oil-based royalties, reported a royalty production of 237 boe/d for the second quarter, with 93% attributed to oil and NGLs, marking a 6% decrease compared to Q2 2024. Quarterly royalty revenue stood at $1,526,025, a 27% decrease year-over-year.
Adjusted EBITDA for the quarter was $1,299,095 ($0.029 per share), a 33% decrease from Q2 2024, while funds from operations totaled $1,168,154 ($0.026 per share), a 30% decrease year-over-year. The company declared three monthly dividends of $0.0065 per share, resulting in a payout ratio of 76%. Source Rock achieved an operating netback of $60.23 per boe and a corporate netback of $54.16 per boe, with working capital at $5,543,005 ($0.12 per share) as of June 30, 2025.
Year-to-date figures show royalty production at 234 boe/d (93% oil and NGLs), a 5% decrease from the same period in 2024, and royalty revenue of $3,202,413, a 16% decrease year-over-year. Adjusted EBITDA was $2,759,535 ($0.061 per share), a 20% decrease, and funds from operations were $2,460,369 ($0.054 per share), an 18% decrease. Six monthly dividends of $0.0065 per share were declared, resulting in a payout ratio of 72%. The operating netback was $65.15 per boe, and the corporate netback was $58.09 per boe.
Brad Docherty, President & CEO
Source Rock is a pure-play oil and gas royalty company targeting a balanced growth and yield business model, using funds from operations to pursue accretive royalty acquisitions and pay dividends.
Source: Source Rock Royalties Ltd.
