Riley Exploration Sells Dovetail Midstream for Approximately $111M
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 04 2025
0mins
Riley Exploration's wholly-owned subsidiary, Riley Exploration - Permian, entered into a purchase and sale agreement with Targa Northern Delaware pursuant to which the company sold to buyer all of the membership interests in Dovetail Midstream, a wholly-owned subsidiary of the company for an aggregate cash purchase price of approximately $111M, subject to customary purchase price adjustments. Dovetail's assets primarily consist of natural gas gathering infrastructure serving production in Eddy County, New Mexico. Closing proceeds from the transaction will be used to reduce borrowings on the company's credit facility and to pay income taxes and transaction costs associated with the transaction. The company also has the right to earn up to an additional $60M in cash payments contingent on achieving certain volume-based performance thresholds over a five-year period. The purchase agreement also provides for the sale to the buyer of certain compressor station assets at a subsequent closing date anticipated to occur no later than Q1 2026 for an aggregate cash purchase price of approximately $10M, subject to the satisfaction of certain closing conditions.
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Analyst Views on REPX
Wall Street analysts forecast REPX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for REPX is 36.00 USD with a low forecast of 36.00 USD and a high forecast of 36.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 28.050
Low
36.00
Averages
36.00
High
36.00
Current: 28.050
Low
36.00
Averages
36.00
High
36.00
About REPX
Riley Exploration Permian, Inc. is an independent oil and natural gas company focused on the acquisition, exploration, development and production of oil, natural gas and natural gas liquids. The Company is focused on horizontal drilling of conventional oil-saturated and liquids-rich formations in the Permian Basin that produce long-term cash flows. The Permian Basin is an oil and natural gas producing area located in West Texas and the adjoining area of Southeastern New Mexico covering an area approximately 250 miles wide and 300 miles long, and encompasses several sub-basins, including the Delaware Basin, Midland Basin, Central Basin Platform and Northwest Shelf. The Company's acreage is primarily located on large contiguous blocks in Yoakum County, Texas, which represents its Champions field and in Eddy County, New Mexico, which represents its Red Lake field. Its land-based oil and natural gas facilities are typical of those found in the Permian Basin.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Riley Exploration to Release Q4 and Full Year 2025 Financial Results
- Earnings Release Schedule: Riley Exploration Permian plans to release its fourth quarter and full year 2025 financial and operating results on March 4, 2026, after U.S. market close, providing crucial performance data for investors.
- Investor Conference Call: Management will host a conference call on March 5, 2026, at 9:00 a.m. CT to discuss the financial results and conduct a Q&A session, enhancing transparency and engagement with stakeholders.
- Participation Details: Interested parties can join the call by dialing toll-free 1 (888) 596-4144 or 1 (646) 968-2525, with Conference ID 1303008, ensuring easy access to important information for investors.
- Replay Availability: A replay of the call will be accessible until March 19, 2026, via toll-free numbers 1 (800) 770-2030 or 1 (609) 800-9909, further facilitating information retrieval for stakeholders.
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