Presidio Debuts Dividend, Betting on a No-Drill Strategy for Returns

FORT WORTH, TX – April 14, 2026 – In a move that solidifies its core promise to investors, the newly public Presidio Production Company (NYSE: FTW) announced today that its Board of Directors has declared its first-ever cash dividend. The declaration comes just over a month after the company began trading on the New York Stock Exchange, marking a significant and swift execution of its shareholder-return strategy.

The Fort Worth-based operator declared a special cash dividend of $0.10125 per share of Class A Common Stock. This initial payout represents a pro-rata amount for the period from March 5, 2026—the first trading day following the company’s public debut—through the end of the first quarter on March 31. The figure is based on an anticipated quarterly dividend rate of $0.3375 per share, which projects to an annual dividend of $1.35 per share. The dividend is scheduled to be paid on May 18, 2026, to stockholders of record as of May 4, 2026.

This first dividend is more than a financial distribution; it is the tangible result of a business model intentionally designed to generate consistent cash flow in the historically volatile oil and gas sector. Presidio’s leadership has made it clear that this is the first step in building a long-term track record of rewarding its investors.

“Today’s dividend declaration marks a significant milestone for Presidio as we deliver on our foundational commitment to provide consistent cash to shareholders,” said Will Ulrich, Chairman and Co-CEO of Presidio. “We built this company around the conviction that cash-flowing producing assets can generate reliable, attractive returns for our investors. This first dividend is a tangible demonstration of that thesis, and we look forward to building a consistent track record of paying and increasing the dividend over time.”

A New Yield Play in the Energy Patch

For income-seeking investors, Presidio’s entry into the public markets and its immediate dividend declaration present a differentiated opportunity. The company’s projected annual yield of 13.5%, based on an initial $10 share price, positions it as a high-yield contender. This strategy is designed to attract capital that might otherwise be wary of the capital-intensive and cyclical nature of traditional energy exploration and production (E&P) companies.

The company has also laid out an anticipated schedule for future dividends, aiming for a regular quarterly cadence that aligns with its earnings reports. This predictable schedule is a core component of its value proposition, intended to provide clarity and reliability for shareholders.

Chris Hammack, Co-CEO of Presidio, emphasized this focus on predictability. “Establishing a predictable, quarterly dividend cadence is a core element of the Presidio value proposition,” he stated. “Our portfolio of low-decline, producing wells generates substantial free cash flow, and we are committed to a disciplined framework that prioritizes dividends to shareholders alongside accretive acquisitions.”

Beyond the Drill Bit: A Contrarian Strategy

What sets Presidio apart is its deliberate avoidance of new drilling. Instead of pouring capital into exploring for new oil and gas reserves, the company operates a contrarian “acquire and optimize” model. Its focus is on purchasing existing, mature, and producing wells and then applying modern technology to enhance their efficiency and extend their productive life.

This capital-light approach sidesteps the immense geological risks and financial costs associated with drilling. The company operates a portfolio of over 2,000 producing wells across the Mid-Continent region, including Texas, Oklahoma, and Kansas. By targeting assets with low natural decline rates—reportedly around 8% compared to a peer average of 24%—Presidio aims for a more stable and predictable production base. The company then leverages automation, real-time data analytics, and AI-driven processes to streamline operations and reduce costs, maximizing the free cash flow generated from these assets.

This strategy was put on immediate display with the assets acquired from EQV Resources LLC as part of the business combination. Presidio reported an estimated 50% reduction in operating costs on its first day of managing those assets, showcasing the potential of its optimization-focused approach. Further bolstering its cash flow stability, the company has implemented a robust hedging program, with an estimated 78% of its production hedged through 2027, insulating it from some of the commodity price volatility that can disrupt the dividend policies of other producers.

From SPAC to Shareholder Returns

Presidio’s journey to the public market was facilitated through a business combination with EQV Ventures Acquisition Corp., a Special Purpose Acquisition Company (SPAC). The deal, which closed on March 4, 2026, transformed Presidio from a private entity into a publicly traded company with an enterprise value cited around $735 million.

The transaction infused the company with significant capital, including a Private Investment in Public Equity (PIPE) and proceeds from the SPAC’s trust account, backed by investors like JPMorgan Investment Management and Morgan Stanley Energy Partners. This funding provides the financial firepower necessary to execute its acquisition-led strategy. While the SPAC merger process saw a notable level of redemptions, the infusion of substantial new capital from institutional investors signals confidence in Presidio’s unique, yield-focused business model.

The Road Ahead: Growth Through Acquisition

While the “no-drilling” model offers stability, it also presents a fundamental challenge: all oil and gas wells have a finite lifespan. To counteract the natural decline of its existing assets and grow its cash flow, Presidio’s long-term success is intrinsically linked to its ability to continuously identify and integrate new, value-adding acquisitions.

The company has positioned itself as a natural consolidator for a fragmented landscape of mature wells, many of which are held by private equity firms seeking an exit. Presidio’s strategy depends on a disciplined M&A pipeline to refresh its asset base and fuel future dividend growth.

Evidence of this forward-looking strategy is already apparent. The company has a pending Letter of Intent for what it calls the “Arkoma Acquisition,” an $80 million deal for producing assets. According to Presidio, successfully closing this transaction could enable an increase in its anticipated annual dividend to $1.50 per share. This potential dividend hike underscores how crucial accretive acquisitions are to the company’s promise of not just paying, but also growing its returns to shareholders over time. This dual focus on disciplined acquisitions and unwavering commitment to shareholder dividends forms the foundation of Presidio's path forward as a public company.