Royale Energy, Inc.

Royale Energy, Inc. is an independent oil and natural gas producer. The company's main activities include producing and selling oil and natural gas, acquiring oil and gas lease interests and proved reserves, drilling both exploratory and development wells, and selling fractional working interests in wells it plans to drill. Royale was incorporated in Delaware in 2017, succeeding Royale Energy Funds, Inc., a California corporation established in 1983. As of December 31, 2025, Royale and its consolidated subsidiaries had 11 full-time employees. On September 3, 2025, Royale, through its subsidiary Royale Energy Funds, Inc., acquired non-operated working and net revenue interests in seven gross (0.189 net) producing horizontal wells and approximately 382.9 net acres of associated leasehold acreage within the Pradera Fuego project. This acquisition, effective July 1, 2025, from Pradera Fuego, LP, cost $1.5 million in cash, financed by $1.0 million cash on hand and an additional $500,000 in borrowings. This increased Royale's existing working and revenue interests in the Pradera Fuego project. Royale and its subsidiaries own wells, leases, and proved and non-proved oil and natural gas reserves primarily in Mitchell County and Ector County, Texas, and in the Sacramento Basin and San Joaquin Basin in California, as well as in Oklahoma. The company also holds an overriding royalty interest in a non-producing well in Alaska. Typically, Royale sells a portion of the working interest in each well it drills or participates in with third parties, while retaining a portion for its own account.