Category: Americas

MIL-OSI: Birchcliff Energy Ltd. Announces Strong Q1 2025 Results and Declares Q2 2025 Dividend

Source: GlobeNewswire (MIL-OSI)

CALGARY, Alberta, May 14, 2025 (GLOBE NEWSWIRE) — Birchcliff Energy Ltd. (“Birchcliff” or the “Corporation”) (TSX: BIR) is pleased to announce its Q1 2025 financial and operational results.

Chris Carlsen, Birchcliff’s President and Chief Executive Officer, commented: “We are pleased to report strong operational and financial results for the first quarter of 2025, driven by our continued focus on operational excellence and our high-quality asset base. We successfully executed our Q1 capital program, drilling 14 wells and bringing 8 wells onstream, resulting in first quarter average production of 77,363 boe/d. We generated adjusted funds flow⁽¹⁾ of $124.4 million in Q1 2025 (an 88% increase from Q1 2024), driven by increased production and a stronger average realized natural gas sales price, which benefitted from our natural gas market diversification, with approximately 78% of our natural gas volumes realizing U.S. pricing at the Dawn and NYMEX HH markets. We achieved free funds flow⁽¹⁾ of $12.6 million in the first quarter, notwithstanding that approximately 40%⁽²⁾ of our full-year capital budget was invested in Q1 2025 prior to spring break-up. With a substantial portion of our capital program behind us, we expect to generate significant free funds flow during the remainder of the year, which will be allocated primarily towards reducing our total debt⁽³⁾ by approximately 28% from year end 2024⁽⁴⁾ , after the payment of our base dividend. Our 2025 production guidance and capital program are unchanged and we remain focused on capital efficiency improvements, driving down our costs and strengthening our balance sheet.

This year marks a significant milestone for Birchcliff as we celebrate our 20^th anniversary. We extend our gratitude to our dedicated staff, our board of directors and our shareholders for their support over the years. Together, we look forward to a promising future, leveraging our strengths to navigate the evolving market, drive profitable growth and deliver long-term shareholder value.”

Q1 2025 FINANCIAL AND OPERATIONAL HIGHLIGHTS

Delivered average production of 77,363 boe/d (82% natural gas, 10% NGLs, 6% condensate and 2% light oil), a 3% increase from Q1 2024.
Generated adjusted funds flow of $124.4 million, or $0.46 per basic common share⁽⁵⁾, an 88% and 84% increase, respectively, from Q1 2024. Cash flow from operating activities was $126.1 million, a 93% increase from Q1 2024.
Reported net income to common shareholders of $65.7 million, or $0.24 per basic common share, as compared to a net loss to common shareholders of $15.0 million and $0.06 per basic common share in Q1 2024.
Birchcliff’s market diversification contributed to an effective average realized natural gas sales price⁽⁵⁾ of $4.89/Mcf in Q1 2025, which represents a 142% premium to the average benchmark AECO 7A Monthly Index price in the quarter.
Achieved an operating netback⁽⁵⁾ of $17.71/boe, a 38% increase from Q1 2024.
Birchcliff had a very active first quarter capital program, drilling 14 (14.0 net) wells and bringing 8 (8.0 net) wells on production, with F&D capital expenditures totalling $111.8 million in Q1 2025.

Birchcliff’s unaudited interim condensed financial statements for the three months ended March 31, 2025 and related management’s discussion and analysis will be available on its website at www.birchcliffenergy.com and on SEDAR+ at www.sedarplus.ca. Birchcliff’s updated corporate presentation will be available on its website at www.birchcliffenergy.com on May 14, 2025.

______________________________

^{(1) Non-GAAP financial measure. See “Non-GAAP and Other Financial Measures”.}

^{(2) Based on the mid-point of Birchcliff’s 2025 capital budget of $260 million to $300 million.}

^{(3) Capital management measure. See “Non-GAAP and Other Financial Measures”.}

^{(4) Based on the mid-point of Birchcliff’s total debt guidance range at year end 2025 of $365 million to $405 million and as compared to Birchcliff’s total debt at year end 2024 of $535.6 million.}

^{(5) Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.}

DECLARATION OF Q2 2025 QUARTERLY DIVIDEND

Birchcliff’s board of directors (the “Board”) has declared a quarterly cash dividend of $0.03 per common share for the quarter ending June 30, 2025.
The dividend will be payable on June 30, 2025 to shareholders of record at the close of business on June 13, 2025. The dividend has been designated as an eligible dividend for the purposes of the Income Tax Act (Canada).

EXTENSION OF CREDIT FACILITIES

Subsequent to the end of Q1 2025, Birchcliff’s syndicate of lenders completed its regular semi-annual review of the borrowing base limit under the Corporation’s extendible revolving credit facilities (the “Credit Facilities”).
In connection therewith, the agreement governing the Credit Facilities was amended effective May 7, 2025 to extend the maturity dates of each of the syndicated extendible revolving term credit facility and the extendible revolving working capital facility from May 11, 2027 to May 11, 2028. In addition, the lenders confirmed the borrowing base limit at $850 million. The Credit Facilities do not contain any financial maintenance covenants.

ANNUAL MEETING OF SHAREHOLDERS

Birchcliff’s annual meeting of shareholders is scheduled to take place tomorrow, Thursday, May 15, 2025, at 3:00 p.m. (Mountain Daylight Time) in the McMurray Room at the Calgary Petroleum Club, 319 – 5^th Avenue S.W., Calgary, Alberta.

^{This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. For further information regarding the forward-looking statements and forward-looking information contained herein, see “Advisories – Forward-Looking Statements”. With respect to the disclosure of Birchcliff’s production contained in this press release, production volumes have been disclosed on a “gross” basis, as such term is defined in National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities (“NI 51-101”). For further information regarding the disclosure of Birchcliff’s production contained herein, see “Advisories – Production”. In addition, this press release uses various “non-GAAP financial measures”, “non-GAAP ratios” and “capital management measures” as such terms are defined in National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure (“NI 52-112”). Non-GAAP financial measures and non-GAAP ratios are not standardized financial measures under GAAP and might not be comparable to similar financial measures disclosed by other issuers. For further information regarding the non-GAAP and other financial measures used in this press release, see “Non-GAAP and Other Financial Measures”.}

Q1 2025 UNAUDITED FINANCIAL AND OPERATIONAL SUMMARY

	Three months ended		Three months ended
	March 31, 2025		March 31, 2024
OPERATING
Average production
Light oil (bbls/d)	1,795		1,525
Condensate (bbls/d)	4,238		4,765
NGLs (bbls/d)	7,626		7,397
Natural gas (Mcf/d)	382,224		370,288
Total (boe/d)	77,363		75,402
Average realized sales prices (CDN$)
Light oil (per bbl)	95.27		95.24
Condensate (per bbl)	97.98		100.26
NGLs (per bbl)	27.95		27.59
Natural gas (per Mcf)	3.64		2.61
Total (per boe)	28.32		23.80
NETBACK AND COST ($/boe)
Petroleum and natural gas revenue	28.32		23.80
Royalty expense	(2.16	)	(2.11	)
Operating expense	(3.04	)⁽¹⁾	(3.85	)
Transportation and other expense⁽²⁾	(5.41	)	(4.99	)
Operating netback⁽²⁾	17.71		12.85
G&A expense, net	(1.42	)	(1.28	)
Interest expense	(1.27	)	(1.13	)
Lease interest expense	(0.33	)⁽¹⁾	–
Realized gain (loss) on financial instruments	3.18		(0.82	)
Other cash income	–		0.01
Adjusted funds flow⁽²⁾	17.87		9.63
Depletion and depreciation expense	(8.99	)	(8.56	)
Unrealized gain (loss) on financial instruments	3.53		(3.28	)
Other expenses⁽³⁾	(0.48	)	(0.52	)
Deferred income tax (expense) recovery	(2.49	)	0.54
Net income (loss) to common shareholders	9.44		(2.19	)
FINANCIAL
Petroleum and natural gas revenue ($000s)	197,188		163,304
Cash flow from operating activities ($000s)	126,097		65,255
Adjusted funds flow ($000s)⁽⁴⁾	124,413		66,081
Per basic common share ($)⁽²⁾	0.46		0.25
Free funds flow ($000s)⁽⁴⁾	12,594		(36,692	)
Per basic common share ($)⁽²⁾	0.05		(0.14	)
Net income (loss) to common shareholders ($000s)	65,727		(15,035	)
Per basic common share ($)	0.24		(0.06	)
End of period basic common shares (000s)	272,071		268,578
Weighted average basic common shares (000s)	271,614		267,905
Dividends on common shares ($000s)	8,151		26,857
F&D capital expenditures ($000s)⁽⁵⁾	111,819		102,773
Total capital expenditures ($000s)⁽⁴⁾	112,473		103,484
Revolving term credit facilities ($000s)	518,581		428,566
Total debt ($000s)⁽⁶⁾	534,710		443,380

^{(1) Effective July 1, 2024, Birchcliff assumed operatorship of a third-party natural gas processing facility that resulted in the take-or-pay commitment associated with the underlying processing arrangement (the “Gas Processing Lease”) being classified as a lease under IFRS Accounting Standards. Birchcliff’s operating expense and lease interest expense for the three months ended March 31, 2025 include the financial effects of the Gas Processing Lease.}

^{(2) Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.}

^{(3) Includes non-cash items such as compensation, accretion, amortization of deferred financing fees and other gains and losses.}

^{(4) Non-GAAP financial measure. See “Non-GAAP and Other Financial Measures”.}

^{(5) See “Advisories – F&D Capital Expenditures”.}

^{(6) Capital management measure. See “Non-GAAP and Other Financial Measures”.}

2025 GUIDANCE

Birchcliff is reaffirming its 2025 annual average production guidance of 76,000 to 79,000 boe/d and F&D capital expenditures guidance of $260 million to $300 million.
As a result of the continued volatility in commodity prices driven by the uncertainties surrounding tariffs, global trade tensions and OPEC+ production increases, Birchcliff has lowered its commodity price assumptions for the remainder of 2025 and revised its guidance for adjusted funds flow, free funds flow and total debt accordingly. In addition, the Corporation has lowered its royalty expense guidance for 2025, primarily due to lower oil prices forecasted for the remainder of the year.
Birchcliff expects to significantly strengthen its balance sheet in 2025, with free funds flow (after the payment of dividends) anticipated to be allocated primarily towards debt reduction. Based on its current commodity price assumptions, Birchcliff expects to exit 2025 with total debt of $365 million to $405 million, which represents a 28% reduction from its total debt at year end 2024 of $535.6 million.
The following tables set forth Birchcliff’s updated and previous guidance and commodity price assumptions for 2025, as well as its free funds flow sensitivity:

	Updated 2025 guidance and assumptions – May 14, 2025⁽¹⁾	Previous 2025 guidance and assumptions – March 12, 2025
Production
Annual average production (boe/d)	76,000 – 79,000	76,000 – 79,000
% Light oil	3%	3%
% Condensate	6%	6%
% NGLs	9%	9%
% Natural gas	82%	82%

Average Expenses ($/boe)
Royalty	$1.90 – $2.10	$2.10 – $2.30
Operating	$2.90 – $3.10	$2.90 – $3.10
Transportation and other⁽²⁾	$5.55 – $5.75	$5.55 – $5.75

Adjusted Funds Flow (millions)⁽³⁾	$480	$580

F&D Capital Expenditures (millions)	$260 – $300	$260 – $300

Free Funds Flow (millions)⁽³⁾	$180 – $220	$280 – $320

Total Debt at Year End (millions)⁽⁴⁾	$365 – $405	$265 – $305

Natural Gas Market Exposure
AECO exposure as a % of total natural gas production	23%	23%
Dawn exposure as a % of total natural gas production	41%	41%
NYMEX HH exposure as a % of total natural gas production	35%	35%
Alliance exposure as a % of total natural gas production	1%	1%

Commodity Prices
Average WTI price (US$/bbl)	$61.75⁽⁵⁾	$67.00
Average WTI-MSW differential (CDN$/bbl)	$5.60⁽⁵⁾	$8.80
Average AECO price (CDN$/GJ)	$2.30⁽⁵⁾	$2.20
Average Dawn price (US$/MMBtu)	$3.65⁽⁵⁾	$4.20
Average NYMEX HH price (US$/MMBtu)	$3.95⁽⁵⁾	$4.50
Exchange rate (CDN$ to US$1)	1.41⁽⁵⁾	1.44

Forward eight months’ free funds flow sensitivity⁽⁵⁾⁽⁶⁾	Estimated change to 2025 free funds flow (millions)
Change in WTI US$1.00/bbl	$2.6
Change in NYMEX HH US$0.10/MMBtu	$4.5
Change in Dawn US$0.10/MMBtu	$5.5
Change in AECO CDN$0.10/GJ	$2.4
Change in CDN/US exchange rate CDN$0.01	$3.5

^{(1) Birchcliff’s guidance for its production commodity mix, adjusted funds flow, free funds flow, total debt and natural gas market exposure in 2025 is based on an annual average production rate of 77,500 boe/d in 2025, which is the mid-point of Birchcliff’s annual average production guidance range for 2025. Changes in assumed commodity prices and variances in production forecasts can have an impact on the Corporation’s forecasts of adjusted funds flow and free funds flow and the Corporation’s other guidance, which impact could be material. In addition, any acquisitions or dispositions completed over the course of 2025 could have an impact on Birchcliff’s 2025 guidance and assumptions set forth herein, which impact could be material. For further information regarding the risks and assumptions relating to the Corporation’s guidance, see “Advisories – Forward-Looking Statements”.}

^{(2) Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.}

^{(3) Non-GAAP financial measure. See “Non-GAAP and Other Financial Measures”.}

^{(4) Capital management measure. See “Non-GAAP and Other Financial Measures”.}

^{(5) Birchcliff’s updated commodity price and exchange rate assumptions and free funds flow sensitivity for 2025 are based on anticipated full-year averages using the Corporation’s anticipated forward benchmark commodity prices and the CDN/US exchange rate as of May 5, 2025, which include settled benchmark commodity prices and the CDN/US exchange rate for the period from January 1, 2025 to April 30, 2025.}

^{(6) Illustrates the expected impact of changes in commodity prices and the CDN/US exchange rate on the Corporation’s updated forecast of free funds flow for 2025, holding all other variables constant. The sensitivity is based on the updated commodity price and exchange rate assumptions set forth in the table above. The calculated impact on free funds flow is only applicable within the limited range of change indicated. Calculations are performed independently and may not be indicative of actual results. Actual results may vary materially when multiple variables change at the same time and/or when the magnitude of the change increases.}

The oil and natural gas industry in Canada, along with other industries, has faced considerable uncertainty in respect of the United States’ evolving trade policy. Although Birchcliff currently anticipates that U.S. tariffs will not have a material impact on its business, this considerable uncertainty makes it impossible to predict what, if any, impacts there might be on the Corporation’s business. Birchcliff will continue to monitor developments in U.S. trade policy, assess any potential impacts on the Corporation’s business and will update its guidance if, as and when appropriate.

Q1 2025 FINANCIAL AND OPERATIONAL RESULTS

Production

Birchcliff’s production averaged 77,363 boe/d in Q1 2025, a 3% increase from Q1 2024. The increase was primarily due to the strong performance of the Corporation’s capital program and the successful drilling of new Montney/Doig wells brought on production since Q1 2024, specifically high-rate natural gas wells in liquids-rich zones in Pouce Coupe and light oil and liquids-rich natural gas wells in Gordondale, partially offset by natural production declines.
Liquids accounted for 18% of Birchcliff’s total production in both Q1 2025 and Q1 2024.

Adjusted Funds Flow and Cash Flow From Operating Activities

Birchcliff’s adjusted funds flow was $124.4 million in Q1 2025, or $0.46 per basic common share, an 88% and 84% increase, respectively, from Q1 2024.
Birchcliff’s cash flow from operating activities was $126.1 million in Q1 2025, a 93% increase from Q1 2024.
The increases were primarily due to higher natural gas revenue, which largely resulted from higher natural gas production in Q1 2025 and a 39% increase in the average realized natural gas sales price Birchcliff received for such production as compared to Q1 2024. Adjusted funds flow and cash flow from operating activities were also positively impacted by a realized gain on financial instruments of $22.2 million in Q1 2025 as compared to a realized loss on financial instruments of $5.6 million in Q1 2024.

Net Income (Loss) to Common Shareholders

Birchcliff reported net income to common shareholders of $65.7 million in Q1 2025, or $0.24 per basic common share, as compared to a net loss to common shareholders of $15.0 million and $0.06 per basic common share in Q1 2024.
The change to a net income position was primarily due to higher adjusted funds flow and an unrealized gain on financial instruments of $24.6 million in Q1 2025 as compared to an unrealized loss on financial instruments of $22.5 million in Q1 2024, partially offset by a deferred income tax expense of $17.3 million in Q1 2025 as compared to a deferred income tax recovery of $3.7 million in Q1 2024.

Capital Activities and Investment

Birchcliff had a very active first quarter capital program, drilling 14 (14.0 net) wells and bringing 8 (8.0 net) wells on production, with F&D capital expenditures totalling $111.8 million in Q1 2025.

Debt and Credit Facilities

Total debt at March 31, 2025 was $534.7 million, a 21% increase from March 31, 2024.
At March 31, 2025, Birchcliff had a balance outstanding under its Credit Facilities of $522.3 million (March 31, 2024: $430.2 million) from available Credit Facilities of $850.0 million (March 31, 2024: $850.0 million), leaving the Corporation with $327.7 million (39%) of unutilized credit capacity after adjusting for outstanding letters of credit and unamortized deferred financing fees.

Natural Gas Market Diversification

Birchcliff’s physical natural gas sales exposure primarily consists of the AECO, Dawn and Alliance markets. In addition, the Corporation has various financial instruments outstanding that provide it with exposure to NYMEX HH pricing.
The following table sets forth Birchcliff’s effective sales, production and average realized sales price for its natural gas and liquids for Q1 2025, after taking into account the Corporation’s financial instruments:

Three months ended March 31, 2025
	Effective sales (CDN$000s)	Percentage of total sales (%)	Effective production (per day)	Percentage of total natural gas production (%)	Percentage of total corporate production (%)	Effective average realized sales price (CDN$)
Market
AECO⁽¹⁾⁽²⁾	16,210	7	82,553 Mcf	22	18	2.18/Mcf
Dawn⁽³⁾	82,094	34	162,982 Mcf	43	35	5.60/Mcf
NYMEX HH⁽¹⁾⁽⁴⁾	69,988	29	136,689 Mcf	35	29	5.69/Mcf
Total natural gas⁽¹⁾	168,292	70	382,224 Mcf	100	82	4.89/Mcf
Light oil	15,391	6	1,795 bbls		2	95.27/bbl
Condensate	37,371	16	4,238 bbls		6	97.98/bbl
NGLs	19,183	8	7,626 bbls		10	27.95/bbl
Total liquids	17,945	30	13,659 bbls		18	58.52/bbl
Total corporate⁽¹⁾	240,237	100	77,363 boe		100	34.50/boe

^{(1) Effective sales and effective average realized sales price on a total natural gas and total corporate basis and for the AECO and NYMEX HH markets are non-GAAP financial measures and non-GAAP ratios, respectively. See “Non-GAAP and Other Financial Measures”.}

^{(2) Birchcliff has short-term physical sales agreements with third-party marketers to sell and deliver into the Alliance pipeline system. All of Birchcliff’s short-term physical Alliance sales and production during Q1 2025 received AECO premium pricing and have therefore been included as effective sales and production in the AECO market.}

^{(3) Birchcliff has agreements for the firm service transportation of an aggregate of 175,000 GJ/d of natural gas on TransCanada PipeLines’ Canadian Mainline, whereby natural gas is transported to the Dawn trading hub in Southern Ontario.}

^{(4) NYMEX HH effective sales and production include financial NYMEX HH/AECO 7A basis swap contracts for an aggregate of 147,500 MMBtu/d at an average contract price of NYMEX HH less US$1.088/MMBtu during Q1 2025.}

^{Birchcliff’s effective average realized sales price for NYMEX HH of CDN$5.69/Mcf (US$3.65/MMBtu) was determined on a gross basis before giving effect to the average NYMEX HH/AECO 7A fixed contract basis differential price of CDN$1.70/Mcf (US$1.088/MMBtu) and includes any realized gains and losses on financial NYMEX HH/AECO 7A basis swap contracts during Q1 2025.}

^{After giving effect to the NYMEX HH/AECO 7A fixed contract basis differential price and including any realized gains and losses on financial NYMEX HH/AECO 7A basis swap contracts during Q1 2025, Birchcliff’s effective average realized net sales price for NYMEX HH was CDN$3.99/Mcf (US$2.56/MMBtu) in Q1 2025.}

The following table sets forth Birchcliff’s physical sales, production, average realized sales price, transportation costs and natural gas sales netback by natural gas market for the periods indicated, before taking into account the Corporation’s financial instruments:

Three months ended March 31, 2025
Natural gas market	Natural gas sales (CDN$000s)	Percentage of natural gas sales (%)	Natural gas production (Mcf/d)	Percentage of natural gas production (%)	Average realized natural gas sales price (CDN$/Mcf)	Natural gas transportation costs⁽¹⁾ (CDN$/Mcf)	Natural gas sales netback⁽²⁾ (CDN$/Mcf)
AECO	42,368	34	215,026	56	2.19	0.46	1.73
Dawn	82,094	65	162,982	43	5.60	1.55	4.05
Alliance⁽³⁾	769	1	4,216	1	2.03	–	2.03
Total	125,231	100	382,224	100	3.64	0.92	2.72
Three months ended March 31, 2024
Natural gas market	Natural gas sales (CDN$000s)	Percentage of natural gas sales (%)	Natural gas production (Mcf/d)	Percentage of natural gas production (%)	Average realized natural gas sales price (CDN$/Mcf)	Natural gas transportation costs⁽¹⁾ (CDN$/Mcf)	Natural gas sales netback⁽²⁾ (CDN$/Mcf)
AECO	38,639	44	195,141	53	2.19	0.40	1.79
Dawn	45,198	51	161,667	44	3.07	1.41	1.66
Alliance⁽³⁾	4,185	5	13,480	3	3.41	–	3.41
Total	88,022	100	370,288	100	2.61	0.83	1.78

^{(1) Reflects costs to transport natural gas from the field receipt point to the delivery sales trading hub.}

^{(2) Natural gas sales netback denotes the average realized natural gas sales price less natural gas transportation costs.}

^{(3) Birchcliff has short-term physical sales agreements with third-party marketers to sell and deliver into the Alliance pipeline system. Alliance sales are indexed to the AECO 5A benchmark index price and are recorded net of transportation tolls.}

OPERATIONAL UPDATE

Birchcliff’s 2025 capital budget of $260 million to $300 million includes the drilling of 25 (25.0 net) wells and the bringing on production of 26 (26.0 net) wells in 2025. Year-to-date, the Corporation has drilled 15 (15.0 net) wells and brought 12 (12.0 net) wells on production.
In the first quarter of 2025, Birchcliff delivered strong execution metrics, building on the operational momentum and key learnings from a successful capital program in 2024. Birchcliff’s teams continue to demonstrate a steadfast focus on execution, operational efficiency and disciplined cost management. Birchcliff’s purposeful execution is helping to strengthen its performance and position the business for sustainable growth through the remainder of the year and in the long-term.

Pouce Coupe

Birchcliff completed the drilling of its 5-well 04-05 pad in December 2024 and the wells were turned over to production through Birchcliff’s permanent facilities in early March 2025. This pad targeted high-rate natural gas wells in the Lower Montney. The wells have shown strong production rates exhibiting low declines as highlighted in the table below, which summarizes the aggregate and average production rates for the wells from the pad:

5-Well 04-05 Pad IP Rates

		Wells: IP 30⁽¹⁾	Wells: IP 60⁽¹⁾
Aggregate production rate (boe/d)		6,130	5,578
	Aggregate natural gas production rate (Mcf/d)	34,691	31,864
	Aggregate condensate production rate (bbls/d)	348	267
Average per well production rate (boe/d)		1,226	1,116
	Average per well natural gas production rate (Mcf/d)	6,938	6,373
	Average per well condensate production rate (bbls/d)	70	53
Condensate-to-gas ratio (bbls/MMcf)		10	8

_{(1) Represents the cumulative volumes for each well measured at the wellhead separator for the 30 or 60 days (as applicable) of production immediately after each well was considered stabilized after producing fracture treatment fluid back to surface in an amount such that flow rates of hydrocarbons became reliable. The natural gas volumes represent raw natural gas volumes as opposed to sales gas volumes. See “Advisories – Initial Production Rates”.}

Completions operations on Birchcliff’s 3-well 07-10 pad were finished in March 2025 and the wells were turned over to production through the Corporation’s permanent facilities in April 2025. This pad targeted condensate-rich natural gas wells in the Lower Montney.
Completions operations on Birchcliff’s 4-well 05-19 pad were finished in April 2025 and flowback operations were recently completed. The wells are currently scheduled to be turned over to production through the Corporation’s permanent facilities later in May 2025. This pad targeted condensate-rich natural gas wells in the Lower Montney.
Completions operations are underway on Birchcliff’s 4-well 03-06 pad and the wells are currently scheduled to be turned over to production through the Corporation’s permanent facilities in June 2025. This pad targeted condensate-rich natural gas wells in the Lower Montney.
In the second half of April 2025, Birchcliff successfully completed the first phase of its planned turnaround at its Pouce Coupe gas plant. The second phase of the turnaround is well underway and is expected to be completed shortly.

Gordondale

Completions operations on Birchcliff’s 4-well 02-27 pad were finished in March 2025 and the wells were turned over to production through the Corporation’s permanent facilities in May 2025. This pad targeted condensate-rich natural gas wells in the Lower Montney.

Elmworth

As previously disclosed in its March 12, 2025 press release, Birchcliff completed a horizontal Montney land retention well in February 2025 and performed a 10.5 day flow test on the well.
Birchcliff continues to progress the formal planning for the construction of a proposed 100% owned and operated 80 MMcf/d natural gas processing plant in Elmworth. In the second half of March 2025, Birchcliff held an open house in the area to discuss its proposed plans for the area with community residents.

ABBREVIATIONS

AECO	benchmark price for natural gas determined at the AECO ‘C’ hub in southeast Alberta
bbl	barrel
bbls	barrels
bbls/d	barrels per day
boe	barrel of oil equivalent
boe/d	barrel of oil equivalent per day
condensate	pentanes plus (C5+)
F&D	finding and development
G&A	general and administrative
GAAP	generally accepted accounting principles for Canadian public companies, which are currently IFRS Accounting Standards
GJ	gigajoule
GJ/d	gigajoules per day
HH	Henry Hub
IFRS	International Financial Reporting Standards as issued by the International Accounting Standards Board
IP	initial production
Mcf	thousand cubic feet
Mcf/d	thousand cubic feet per day
MMBtu	million British thermal units
MMBtu/d	million British thermal units per day
MMcf	million cubic feet
MMcf/d	million cubic feet per day
MSW	price for mixed sweet crude oil at Edmonton, Alberta
NGLs	natural gas liquids consisting of ethane (C2), propane (C3) and butane (C4) and specifically excluding condensate
NYMEX	New York Mercantile Exchange
OPEC	Organization of the Petroleum Exporting Countries
OPEC+	OPEC plus certain other oil-producing countries
Q	quarter
WTI	West Texas Intermediate, the reference price paid in U.S. dollars at Cushing, Oklahoma, for crude oil of standard grade
000s	thousands
$000s	thousands of dollars

NON-GAAP AND OTHER FINANCIAL MEASURES

This press release uses various “non-GAAP financial measures”, “non-GAAP ratios” and “capital management measures” (as such terms are defined in NI 52-112), which are described in further detail below.

Non-GAAP Financial Measures

NI 52-112 defines a non-GAAP financial measure as a financial measure that: (i) depicts the historical or expected future financial performance, financial position or cash flow of an entity; (ii) with respect to its composition, excludes an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in the primary financial statements of the entity; (iii) is not disclosed in the financial statements of the entity; and (iv) is not a ratio, fraction, percentage or similar representation. The non-GAAP financial measures used in this press release are not standardized financial measures under GAAP and might not be comparable to similar measures presented by other companies. Investors are cautioned that non-GAAP financial measures should not be construed as alternatives to or more meaningful than the most directly comparable GAAP financial measures as indicators of Birchcliff’s performance. Set forth below is a description of the non-GAAP financial measures used in this press release.

Adjusted Funds Flow and Free Funds Flow

Birchcliff defines “adjusted funds flow” as cash flow from operating activities before the effects of decommissioning expenditures, retirement benefit payments and changes in non-cash operating working capital. Birchcliff eliminates settlements of decommissioning expenditures from cash flow from operating activities as the amounts can be discretionary and may vary from period to period depending on its capital programs and the maturity of its operating areas. The settlement of decommissioning expenditures is managed with Birchcliff’s capital budgeting process which considers available adjusted funds flow. Birchcliff eliminates retirement benefit payments from cash flow from operating activities as such payments reflect costs for past service and contributions made by eligible executives under the Corporation’s post-employment benefit plan, which are not indicative of the current period. Changes in non-cash operating working capital are eliminated in the determination of adjusted funds flow as the timing of collection and payment are variable and by excluding them from the calculation, the Corporation believes that it is able to provide a more meaningful measure of its operations and ability to generate cash on a continuing basis. Management believes that adjusted funds flow assists management and investors in assessing Birchcliff’s financial performance after deducting all operating and corporate cash costs, as well as its ability to generate the cash necessary to fund sustaining and/or growth capital expenditures, repay debt, settle decommissioning obligations, buy back common shares and pay dividends.

Birchcliff defines “free funds flow” as adjusted funds flow less F&D capital expenditures. Management believes that free funds flow assists management and investors in assessing Birchcliff’s ability to generate shareholder value and returns through a number of initiatives, including, but not limited to, debt repayment, common share buybacks, the payment of common share dividends, acquisitions and other opportunities that would complement or otherwise improve the Corporation’s business and enhance long-term shareholder value.

The most directly comparable GAAP financial measure to adjusted funds flow and free funds flow is cash flow from operating activities. The following table provides a reconciliation of cash flow from operating activities to adjusted funds flow and free funds flow for the periods indicated:

	Three months ended				Twelve months ended
	March 31,				December 31,
($000s)	2025		2024		2024
Cash flow from operating activities	126,097		65,255		203,710
Change in non-cash operating working capital	(2,194	)	(13,163	)	17,269
Decommissioning expenditures	510		138		1,964
Retirement benefit payments	–		13,851		13,851
Adjusted funds flow	124,413		66,081		236,794
F&D capital expenditures	(111,819	)	(102,773	)	(273,084	)
Free funds flow	12,594		(36,692	)	(36,290	)

Birchcliff has disclosed in this press release forecasts of adjusted funds flow and free funds flow for 2025, which are forward-looking non-GAAP financial measures. See “2025 Guidance”. The equivalent historical non-GAAP financial measures are adjusted funds flow and free funds flow for the twelve months ended December 31, 2024. Birchcliff anticipates the forward-looking non-GAAP financial measures for adjusted funds flow and free funds flow disclosed herein will be higher than their respective historical amounts, primarily due to higher anticipated benchmark natural gas prices in 2025 as compared to 2024. The commodity price assumptions on which the Corporation’s guidance is based are set forth under the heading “2025 Guidance”.

Transportation and Other Expense

Birchcliff defines “transportation and other expense” as transportation expense plus marketing purchases less marketing revenue. Birchcliff may enter into certain marketing purchase and sales arrangements with the objective of reducing any unused transportation or fractionation fees associated with its take-or-pay commitments and/or increasing the value of its production through value-added downstream initiatives. Management believes that transportation and other expense assists management and investors in assessing Birchcliff’s total cost structure related to transportation and marketing activities. The most directly comparable GAAP financial measure to transportation and other expense is transportation expense. The following table provides a reconciliation of transportation expense to transportation and other expense for the periods indicated:

	Three months ended				Twelve months ended
	March 31,				December 31,
($000s)	2025		2024		2024
Transportation expense	37,519		36,625		149,534
Marketing purchases	14,910		7,111		51,496
Marketing revenue	(14,748	)	(9,468	)	(54,069	)
Transportation and other expense	37,681		34,268		146,961

Operating Netback

Birchcliff defines “operating netback” as petroleum and natural gas revenue less royalty expense, operating expense and transportation and other expense. Operating netback is a key industry performance indicator and one that provides investors with information that is commonly presented by other oil and natural gas producers. Management believes that operating netback assists management and investors in assessing Birchcliff’s operating profits after deducting the cash costs that are directly associated with the sale of its production, which can then be used to pay other corporate cash costs or satisfy other obligations. The following table provides a breakdown of Birchcliff’s operating netback for the periods indicated:

Three months ended ($000s)	March 31, 2025		March 31, 2024
P&NG revenue	197,188		163,304
Royalty expense	(15,039	)	(14,467	)
Operating expense	(21,133	)	(26,427	)
Transportation and other expense	(37,681	)	(34,268	)
Operating netback	123,335		88,142

Total Capital Expenditures

Birchcliff defines “total capital expenditures” as exploration and development expenditures less dispositions plus acquisitions (if any) and plus administrative assets. Management believes that total capital expenditures assists management and investors in assessing Birchcliff’s overall capital cost structure associated with its petroleum and natural gas activities. The most directly comparable GAAP financial measure to total capital expenditures is exploration and development expenditures. The following table provides a reconciliation of exploration and development expenditures to total capital expenditures for the periods indicated:

Three months ended ($000s)	March 31, 2025	March 31, 2024
Exploration and development expenditures⁽¹⁾	111,819	102,773
Dispositions	–	(109	)
Administrative assets	654	820
Total capital expenditures	112,473	103,484

^{(1) Disclosed as F&D capital expenditures elsewhere in this press release. See “Advisories – F&D Capital Expenditures”.}

Effective Sales – Total Corporate, Total Natural Gas, AECO Market and NYMEX HH Market

Birchcliff defines “effective sales” in the AECO market and NYMEX HH market as the sales amount received from the production of natural gas that is effectively attributed to the AECO and NYMEX HH market pricing, respectively, and does not consider the physical sales delivery point in each case. Effective sales in the NYMEX HH market includes realized gains and losses on financial instruments and excludes the notional fixed basis costs associated with the underlying financial contract in the period. Birchcliff defines “effective total natural gas sales” as the aggregate of the effective sales amount received in each natural gas market. Birchcliff defines “effective total corporate sales” as the aggregate of the effective total natural gas sales and the sales amount received from the production of light oil, condensate and NGLs. Management believes that disclosing the effective sales for each natural gas market assists management and investors in assessing Birchcliff’s natural gas diversification and commodity price exposure to each market. The most directly comparable GAAP financial measure to effective total natural gas sales and effective total corporate sales is natural gas sales. The following table provides a reconciliation of natural gas sales to effective total natural gas sales and effective total corporate sales for the periods indicated:

Three months ended ($000s)	March 31, 2025	March 31, 2024
Natural gas sales	125,231	88,022
Realized gain (loss) on financial instruments	22,167	(5,628	)
Notional fixed basis costs⁽¹⁾	20,894	18,477
Effective total natural gas sales	168,292	100,871
Light oil sales	15,391	13,219
Condensate sales	37,371	43,477
NGLs sales	19,183	18,568
Effective total corporate sales	240,237	176,135

^{(1) Reflects the aggregate notional fixed basis cost associated with Birchcliff’s financial NYMEX HH/AECO 7A basis swap contracts in the period.}

Non-GAAP Ratios

NI 52-112 defines a non-GAAP ratio as a financial measure that: (i) is in the form of a ratio, fraction, percentage or similar representation; (ii) has a non-GAAP financial measure as one or more of its components; and (iii) is not disclosed in the financial statements of the entity. The non-GAAP ratios used in this press release are not standardized financial measures under GAAP and might not be comparable to similar measures presented by other companies. Set forth below is a description of the non-GAAP ratios used in this press release.

Adjusted Funds Flow Per Boe and Adjusted Funds Flow Per Basic Common Share

Birchcliff calculates “adjusted funds flow per boe” as aggregate adjusted funds flow in the period divided by the production (boe) in the period. Management believes that adjusted funds flow per boe assists management and investors in assessing Birchcliff’s financial profitability and sustainability on a cash basis by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

Birchcliff calculates “adjusted funds flow per basic common share” as aggregate adjusted funds flow in the period divided by the weighted average basic common shares outstanding at the end of the period. Management believes that adjusted funds flow per basic common share assists management and investors in assessing Birchcliff’s financial strength on a per common share basis.

Free Funds Flow Per Basic Common Share

Birchcliff calculates “free funds flow per basic common share” as aggregate free funds flow in the period divided by the weighted average basic common shares outstanding at the end of the period. Management believes that free funds flow per basic common share assists management and investors in assessing Birchcliff’s financial strength and its ability to deliver shareholder returns on a per common share basis.

Transportation and Other Expense Per Boe

Birchcliff calculates “transportation and other expense per boe” as aggregate transportation and other expense in the period divided by the production (boe) in the period. Management believes that transportation and other expense per boe assists management and investors in assessing Birchcliff’s cost structure as it relates to its transportation and marketing activities by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

Operating Netback Per Boe

Birchcliff calculates “operating netback per boe” as aggregate operating netback in the period divided by the production (boe) in the period. Operating netback per boe is a key industry performance indicator and one that provides investors with information that is commonly presented by other oil and natural gas producers. Management believes that operating netback per boe assists management and investors in assessing Birchcliff’s operating profitability and sustainability by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

Effective Average Realized Sales Price – Total Corporate, Total Natural Gas, AECO Market and NYMEX HH Market

Birchcliff calculates “effective average realized sales price” as effective sales, in each of total corporate, total natural gas, AECO market and NYMEX HH market, as the case may be, divided by the effective production in each of the markets during the period. Management believes that disclosing the effective average realized sales price for each natural gas market assists management and investors in comparing Birchcliff’s commodity price realizations in each natural gas market on a per unit basis.

Capital Management Measures

NI 52-112 defines a capital management measure as a financial measure that: (i) is intended to enable an individual to evaluate an entity’s objectives, policies and processes for managing the entity’s capital; (ii) is not a component of a line item disclosed in the primary financial statements of the entity; (iii) is disclosed in the notes to the financial statements of the entity; and (iv) is not disclosed in the primary financial statements of the entity. Set forth below is a description of the capital management measure used in this press release.

Total Debt

Birchcliff calculates “total debt” at the end of the period as the amount outstanding under the Corporation’s Credit Facilities plus working capital deficit (less working capital surplus) plus the fair value of the current asset portion of financial instruments less the fair value of the current liability portion of financial instruments and less the current portion of other liabilities discounted to the end of the period. The current portion of other liabilities has been excluded from total debt as these amounts have not been incurred and reflect future commitments in the normal course of operations. Management believes that total debt assists management and investors in assessing Birchcliff’s overall liquidity and financial position at the end of the period. The following table provides a reconciliation of the amount outstanding under the Corporation’s Credit Facilities, as determined in accordance with GAAP, to total debt for the periods indicated:

As at ($000s)	March 31, 2025		December 31, 2024		March 31, 2024
Revolving term credit facilities	518,581		566,857		428,566
Working capital (surplus) deficit⁽¹⁾	(67,109	)	(88,953	)	34,261
Fair value of financial instruments – asset⁽²⁾	96,623		71,038		240
Fair value of financial instruments – liability⁽²⁾	–		–		(14,550	)
Other liabilities⁽²⁾	(13,385	)	(13,385	)	(5,137	)
Total debt	534,710		535,557		443,380

^{(1) Current liabilities less current assets.}

^{(2) Reflects the current portion only.}

ADVISORIES

Unaudited Information

All financial and operational information contained in this press release for the three months ended March 31, 2025 and 2024 is unaudited.

Currency

Unless otherwise indicated, all dollar amounts are expressed in Canadian dollars, all references to “$” and “CDN$” are to Canadian dollars and all references to “US$” are to United States dollars.

Boe Conversions

Boe amounts have been calculated by using the conversion ratio of 6 Mcf of natural gas to 1 bbl of oil. Boe amounts may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value.

MMBtu Pricing Conversions

$1.00 per MMBtu equals $1.00 per Mcf based on a standard heat value Mcf.

Oil and Gas Metrics

This press release contains metrics commonly used in the oil and natural gas industry, including operating netback. These oil and gas metrics do not have any standardized meanings or standard methods of calculation and therefore may not be comparable to similar measures presented by other companies. As such, they should not be used to make comparisons. Management uses these oil and gas metrics for its own performance measurements and to provide investors with measures to compare Birchcliff’s performance over time; however, such measures are not reliable indicators of Birchcliff’s future performance, which may not compare to Birchcliff’s performance in previous periods, and therefore should not be unduly relied upon. For additional information regarding operating netback and how such metric is calculated, see “Non-GAAP and Other Financial Measures”.

Production

With respect to the disclosure of Birchcliff’s production contained in this press release: (i) references to “light oil” mean “light crude oil and medium crude oil” as such term is defined in NI 51-101; (ii) references to “liquids” mean “light crude oil and medium crude oil” and “natural gas liquids” (including condensate) as such terms are defined in NI 51-101; and (iii) references to “natural gas” mean “shale gas”, which also includes an immaterial amount of “conventional natural gas”, as such terms are defined in NI 51-101. In addition, NI 51-101 includes condensate within the product type of natural gas liquids. Birchcliff has disclosed condensate separately from other natural gas liquids as the price of condensate as compared to other natural gas liquids is currently significantly higher and Birchcliff believes presenting the two commodities separately provides a more accurate description of its operations and results therefrom.

With respect to the disclosure of Birchcliff’s production contained in this press release, all production volumes have been disclosed on a “gross” basis as such term is defined in NI 51-101, meaning Birchcliff’s working interest (operating or non-operating) share before the deduction of royalties and without including any royalty interests of Birchcliff.

Initial Production Rates

Any references in this press release to initial production rates or other short-term production rates are useful in confirming the presence of hydrocarbons; however, such rates are not determinative of the rates at which such wells will continue to produce and decline thereafter and are not indicative of the long-term performance or the ultimate recovery of such wells. In addition, such rates may also include recovered “load oil” or “load water” fluids used in well completion stimulation. Readers are cautioned not to place undue reliance on such rates in calculating the aggregate production for Birchcliff. Such rates are based on field estimates and may be based on limited data available at this time.

With respect to the production rates for the Corporation’s 5-well 04-05 pad disclosed herein, such rates represent the cumulative volumes for each well measured at the wellhead separator for the 30 and 60 days (as applicable) of production immediately after each well was considered stabilized after producing fracture treatment fluid back to surface in an amount such that flow rates of hydrocarbons became reliable, divided by 30 or 60 (as applicable), which were then added together to determine the aggregate production rates for the 5-well pad and then divided by 5 to determine the per well average production rates. The production rates excluded the hours and days when the wells did not produce. To-date, no pressure transient or well-test interpretation has been carried out on any of the wells. The natural gas volumes represent raw natural gas volumes as opposed to sales gas volumes.

Finding and Development (F&D) Capital Expenditures

References in this press release to “F&D capital expenditures” denotes exploration and development expenditures as disclosed in the Corporation’s financial statements in accordance with GAAP, and is primarily comprised of capital for land, seismic, workovers, drilling and completions, well equipment and facilities and capitalized G&A costs and excludes any acquisitions, dispositions, administrative assets and the capitalized portion of cash incentive payments that have not been approved by the Board. Management believes that F&D capital expenditures assists management and investors in assessing Birchcliff’s capital cost outlay associated with its exploration and development activities for the purposes of finding and developing its reserves.

Forward-Looking Statements

Certain statements contained in this press release constitute forward‐looking statements and forward-looking information (collectively referred to as “forward‐looking statements”) within the meaning of applicable Canadian securities laws. The forward-looking statements contained in this press release relate to future events or Birchcliff’s future plans, strategy, operations, performance or financial position and are based on Birchcliff’s current expectations, estimates, projections, beliefs and assumptions. Such forward-looking statements have been made by Birchcliff in light of the information available to it at the time the statements were made and reflect its experience and perception of historical trends. All statements and information other than historical fact may be forward‐looking statements. Such forward‐looking statements are often, but not always, identified by the use of words such as “seek, “plan”, “focus”, “future”, “outlook”, “position”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “forecast”, “guidance”, “potential”, “proposed”, “predict”, “budget”, “continue”, “targeting”, “may”, “will”, “could”, “might”, “should”, “would”, “on track”, “maintain”, “deliver” and other similar words and expressions.

By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward‐looking statements. Accordingly, readers are cautioned not to place undue reliance on such forward-looking statements. Although Birchcliff believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct and Birchcliff makes no representation that actual results achieved will be the same in whole or in part as those set out in the forward-looking statements.

In particular, this press release contains forward‐looking statements relating to:

Birchcliff’s plans and other aspects of its anticipated future financial performance, results, operations, focus, objectives, strategies, opportunities, priorities and goals, including: Birchcliff’s continued focus on operational excellence; that with a substantial portion of its capital program behind it, Birchcliff expects to generate significant free funds flow during the remainder of the year, which will be allocated primarily towards reducing its total debt by approximately 28% from year end 2024, after the payment of its base dividend; that Birchcliff’s 2025 production guidance and capital program are unchanged and it remains focused on capital efficiency improvements, driving down its costs and strengthening its balance sheet; and that Birchcliff looks forward to a promising future, leveraging its strengths to navigate the evolving market, drive profitable growth and deliver long-term shareholder value;
the information set forth under the heading “2025 Guidance” and elsewhere in this press release as it relates to Birchcliff’s guidance for 2025, including: that as a result of the continued volatility in commodity prices driven by the uncertainties surrounding tariffs, global trade tensions and OPEC+ production increases, Birchcliff has lowered its commodity price assumptions for the remainder of 2025; that lower oil prices are forecasted for the remainder of the year; that Birchcliff expects to significantly strengthen its balance sheet in 2025, with free funds flow (after the payment of dividends) anticipated to be allocated primarily towards debt reduction; that based on its current commodity price assumptions, Birchcliff expects to exit 2025 with total debt of $365 million to $405 million, which represents a 28% reduction from its total debt at year end 2024 of $535.6 million; forecasts of annual average production, production commodity mix, average expenses, adjusted funds flow, F&D capital expenditures, free funds flow, total debt at year end, natural gas market exposure and the expected impact of changes in commodity prices and the CDN/US exchange rate on Birchcliff’s forecast of free funds flow; and that Birchcliff currently anticipates that U.S. tariffs will not have a material impact on its business;
the information set forth under the heading “Operational Update” and elsewhere in this press release regarding Birchcliff’s 2025 capital program and its exploration, production and development activities and plans (including its plans for Elmworth) and the timing thereof, including: that Birchcliff’s 2025 capital budget of $260 million to $300 million includes the drilling of 25 (25.0 net) wells and the bringing on production of 26 (26.0 net) wells in 2025; that Birchcliff’s teams continue to demonstrate a steadfast focus on execution, operational efficiency and disciplined cost management; that Birchcliff’s purposeful execution is helping to strengthen its performance and position the business for sustainable growth through the remainder of the year and in the long-term; the expected timing for wells to be brought on production and the completion of the turnaround at Birchcliff’s Pouce Coupe gas plant; targeted product types; and that Birchcliff is progressing the formal planning for the construction of a proposed 100% owned and operated 80 MMcf/d natural gas processing plant in Elmworth; and
that Birchcliff anticipates the forward-looking non-GAAP financial measures for adjusted funds flow and free funds flow disclosed herein will be higher than their respective historical amounts, primarily due to higher anticipated benchmark natural gas prices in 2025 as compared to 2024.

With respect to the forward-looking statements contained in this press release, assumptions have been made regarding, among other things: prevailing and future commodity prices and differentials, exchange rates, interest rates, inflation rates, royalty rates and tax rates; the state of the economy, financial markets and the exploration, development and production business; the political environment in which Birchcliff operates; tariffs and trade policies; the regulatory framework regarding royalties, taxes, environmental, climate change and other laws; the Corporation’s ability to comply with existing and future laws; future cash flow, debt and dividend levels; future operating, transportation, G&A and other expenses; Birchcliff’s ability to access capital and obtain financing on acceptable terms; the timing and amount of capital expenditures and the sources of funding for capital expenditures and other activities; the sufficiency of budgeted capital expenditures to carry out planned operations; the successful and timely implementation of capital projects and the timing, location and extent of future drilling and other operations; results of operations; Birchcliff’s ability to continue to develop its assets and obtain the anticipated benefits therefrom; the performance of existing and future wells; reserves volumes and Birchcliff’s ability to replace and expand reserves through acquisition, development or exploration; the impact of competition on Birchcliff; the availability of, demand for and cost of labour, services and materials; the approval of the Board of future dividends; the ability to obtain any necessary regulatory or other approvals in a timely manner; the satisfaction by third parties of their obligations to Birchcliff; the ability of Birchcliff to secure adequate processing and transportation for its products; Birchcliff’s ability to successfully market natural gas and liquids; the results of the Corporation’s risk management and market diversification activities; and Birchcliff’s natural gas market exposure. In addition to the foregoing assumptions, Birchcliff has made the following assumptions with respect to certain forward-looking statements contained in this press release:

With respect to Birchcliff’s 2025 guidance (as updated on May 14, 2025), such guidance is based on the commodity price, exchange rate and other assumptions set forth under the heading “2025 Guidance”. In addition:
- Birchcliff’s production guidance assumes that: the 2025 capital program will be carried out as currently contemplated; no unexpected outages occur in the infrastructure that Birchcliff relies on to produce its wells and that any transportation service curtailments or unplanned outages that occur will be short in duration or otherwise insignificant; the construction of new infrastructure meets timing and operational expectations; existing wells continue to meet production expectations; and future wells scheduled to come on production meet timing, production and capital expenditure expectations.
- Birchcliff’s forecast of F&D capital expenditures assumes that the 2025 capital program will be carried out as currently contemplated and excludes any potential acquisitions, dispositions and the capitalized portion of cash incentive payments that have not been approved by the Board. The amount and allocation of capital expenditures for exploration and development activities by area and the number and types of wells to be drilled and brought on production is dependent upon results achieved and is subject to review and modification by management on an ongoing basis throughout the year. Actual spending may vary due to a variety of factors, including commodity prices, economic conditions, results of operations and costs of labour, services and materials.
- Birchcliff’s forecasts of adjusted funds flow and free funds flow assume that: the 2025 capital program will be carried out as currently contemplated and the level of capital spending for 2025 set forth herein is met; and the forecasts of production, production commodity mix, expenses and natural gas market exposure and the commodity price and exchange rate assumptions set forth herein are met. Birchcliff’s forecast of adjusted funds flow takes into account its financial basis swap contracts outstanding as at May 5, 2025 and excludes cash incentive payments that have not been approved by the Board.
- Birchcliff’s forecast of year end total debt assumes that: (i) the forecasts of adjusted funds flow and free funds flow are achieved, with the level of capital spending for 2025 met and the payment of an annual base dividend of approximately $33 million; (ii) any free funds flow remaining after the payment of dividends, asset retirement obligations and other amounts for administrative assets, financing fees and capital lease obligations is allocated towards debt reduction; and (iii) there are no buybacks of common shares, no equity issuances, no further exercises of stock options and no significant acquisitions or dispositions completed by the Corporation during 2025. The forecast of total debt excludes cash incentive payments that have not been approved by the Board.
- Birchcliff’s forecast of its natural gas market exposure assumes: (i) 175,000 GJ/d being sold on a physical basis at the Dawn price; (ii) 147,500 MMBtu/d being contracted on a financial basis at an average fixed basis differential price between AECO 7A and NYMEX HH of US$1.088/MMBtu; and (iii) 1,200 GJ/d being sold at Alliance on a physical basis at the AECO 5A price plus a premium. Birchcliff’s natural gas market exposure takes into account its financial basis swap contracts outstanding as at May 5, 2025.
With respect to statements regarding future wells to be drilled or brought on production, such statements assume: the continuing validity of the geological and other technical interpretations performed by Birchcliff’s technical staff, which indicate that commercially economic volumes can be recovered from Birchcliff’s lands as a result of drilling future wells; and that commodity prices and general economic conditions will warrant proceeding with the drilling of such wells.

Birchcliff’s actual results, performance or achievements could differ materially from those anticipated in the forward-looking statements as a result of both known and unknown risks and uncertainties including, but not limited to: general economic, market and business conditions which will, among other things, impact the demand for and market prices of Birchcliff’s products and Birchcliff’s access to capital; volatility of crude oil and natural gas prices; fluctuations in commodity prices and exchange, interest and inflation rates; risks associated with increasing costs, whether due to high inflation rates, supply chain disruptions or other factors; an inability of Birchcliff to generate sufficient cash flow from operations to meet its current and future obligations; an inability to access sufficient capital from internal and external sources on terms acceptable to the Corporation; risks associated with Birchcliff’s Credit Facilities, including a failure to comply with covenants under the agreement governing the Credit Facilities and the risk that the borrowing base limit may be redetermined; fluctuations in the costs of borrowing; operational risks and liabilities inherent in oil and natural gas operations; the risk that weather events such as wildfires, flooding, droughts or extreme hot or cold temperatures forces the Corporation to shut-in production or otherwise adversely affects the Corporation’s operations; the occurrence of unexpected events such as fires, explosions, blow-outs, equipment failures, transportation incidents and other similar events; an inability to access sufficient water or other fluids needed for operations; the risks associated with supply chain disruptions; uncertainty that development activities in connection with Birchcliff’s assets will be economic; an inability to access or implement some or all of the technology necessary to operate its assets and achieve expected future results; geological, technical, drilling, construction and processing problems; uncertainty of geological and technical data; horizontal drilling and completions techniques and the failure of drilling results to meet expectations for reserves or production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to production, revenue, costs and reserves; the accuracy of cost estimates and variances in Birchcliff’s actual costs and economic returns from those anticipated; incorrect assessments of the value of acquisitions and exploration and development programs; the risks posed by pandemics, epidemics, geopolitical events and global conflict and their impacts on supply and demand and commodity prices; actions taken by OPEC and other major oil producers and the impact such actions may have on supply and demand and commodity prices; stock market volatility; loss of market demand; changes to the regulatory framework in the locations where the Corporation operates, including changes to tax laws, Crown royalty rates, environmental and climate change laws (including emissions and “greenwashing”), carbon tax regimes, incentive programs and other regulations that affect the oil and natural gas industry; political uncertainty and uncertainty associated with government policy changes; actions by government authorities; the risk that: (i) the U.S. tariffs that are currently in effect on goods exported from or imported into Canada continue in effect for an extended period of time, the tariffs that have been threatened are implemented, that tariffs that are currently suspended are reactivated, the rate or scope of tariffs are increased or new tariffs are imposed, including on oil and natural gas; (ii) the U.S. and/or Canada imposes any other form of tax, restriction or prohibition on the import or export of products from one country to the other, including on oil and natural gas; and (iii) the tariffs imposed or threatened to be imposed by the U.S. on other countries and retaliatory tariffs imposed or threatened to be imposed by other countries on the U.S. will trigger a broader global trade war, which could have a material adverse effect on the Canadian, U.S. and global economies, and by extension the Canadian oil and natural gas industry and the Corporation, including by decreasing the demand for (and the price of) oil and natural gas, disrupting supply chains, increasing costs, causing volatility in global financial markets and limiting access to financing; an inability of the Corporation to comply with existing and future laws and the cost of compliance with such laws; dependence on facilities, gathering lines and pipelines; uncertainties and risks associated with pipeline restrictions and outages to third-party infrastructure that could cause disruptions to production; the lack of available pipeline capacity and an inability to secure adequate and cost-effective processing and transportation for Birchcliff’s products; an inability to satisfy obligations under Birchcliff’s firm marketing and transportation arrangements; shortages in equipment and skilled personnel; the absence or loss of key employees; competition for, among other things, capital, acquisitions of reserves, undeveloped lands, equipment and skilled personnel; management of Birchcliff’s growth; environmental and climate change risks, claims and liabilities; potential litigation; default under or breach of agreements by counterparties and potential enforceability issues in contracts; claims by Indigenous peoples; the reassessment by taxing or regulatory authorities of the Corporation’s prior transactions and filings; unforeseen title defects; third-party claims regarding the Corporation’s right to use technology and equipment; uncertainties associated with the outcome of litigation or other proceedings involving Birchcliff; uncertainties associated with counterparty credit risk; risks associated with Birchcliff’s risk management and market diversification activities; risks associated with the declaration and payment of future dividends, including the discretion of the Board to declare dividends and change the Corporation’s dividend policy and the risk that the amount of dividends may be less than currently forecast; the failure to obtain any required approvals in a timely manner or at all; the failure to complete or realize the anticipated benefits of acquisitions and dispositions and the risk of unforeseen difficulties in integrating acquired assets into Birchcliff’s operations; negative public perception of the oil and natural gas industry; the Corporation’s reliance on hydraulic fracturing; market competition, including from alternative energy sources; changing demand for petroleum products; the availability of insurance and the risk that certain losses may not be insured; breaches or failure of information systems and security (including risks associated with cyber-attacks); risks associated with artificial intelligence; risks associated with the ownership of the Corporation’s securities; the accuracy of the Corporation’s accounting estimates and judgments; and the risk that any of the Corporation’s material assumptions prove to be materially inaccurate (including the Corporation’s commodity price and exchange rate assumptions for 2025).

Readers are cautioned that the foregoing lists of factors are not exhaustive. Additional information on these and other risk factors that could affect Birchcliff’s results of operations, financial performance or financial results are included in the Corporation’s annual information form and annual management’s discussion and analysis for the financial year ended December 31, 2024 under the heading “Risk Factors” and in other reports filed with Canadian securities regulatory authorities.

This press release contains information that may constitute future-oriented financial information or financial outlook information (collectively, “FOFI”) about Birchcliff’s prospective financial performance, financial position or cash flows, all of which is subject to the same assumptions, risk factors, limitations and qualifications as set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on FOFI. Birchcliff’s actual results, performance and achievements could differ materially from those expressed in, or implied by, FOFI. Birchcliff has included FOFI in order to provide readers with a more complete perspective on Birchcliff’s future operations and management’s current expectations relating to Birchcliff’s future performance. Readers are cautioned that such information may not be appropriate for other purposes.

Management has included the above summary of assumptions and risks related to forward-looking statements provided in this press release in order to provide readers with a more complete perspective on Birchcliff’s future operations and management’s current expectations relating to Birchcliff’s future performance. Readers are cautioned that this information may not be appropriate for other purposes.

The forward-looking statements and FOFI contained in this press release are expressly qualified by the foregoing cautionary statements. The forward-looking statements and FOFI contained herein are made as of the date of this press release. Unless required by applicable laws, Birchcliff does not undertake any obligation to publicly update or revise any forward-looking statements or FOFI, whether as a result of new information, future events or otherwise.

ABOUT BIRCHCLIFF:

Birchcliff is an intermediate oil and natural gas company based in Calgary, Alberta with operations focused on the exploration and development of the Montney/Doig Resource Play in Alberta. Birchcliff’s common shares are listed for trading on the Toronto Stock Exchange under the symbol “BIR”.

For further information, please contact:

Birchcliff Energy Ltd.
Suite 1000, 600 – 3^rd Avenue S.W.
Calgary, Alberta T2P 0G5
Telephone: (403) 261-6401
Email: birinfo@birchcliffenergy.com
www.birchcliffenergy.com

Chris Carlsen – President and Chief Executive Officer

Bruno Geremia – Executive Vice President and Chief Financial Officer

The MIL Network –

May 15, 2025

MIL-OSI: Conifer Holdings Reports 2025 First Quarter Financial Results

Source: GlobeNewswire (MIL-OSI)

TROY, Mich., May 14, 2025 (GLOBE NEWSWIRE) — Conifer Holdings, Inc. (Nasdaq: CNFR) (“Conifer” or the “Company”) today announced results for the first quarter ended March 31, 2025.

First Quarter 2025 Financial Highlights

Personal Lines production was up 22% for the period
Net income allocable to common shareholders of $522,000, or $0.04 per share
Book value increased to $2.09 per common share outstanding

Management Comments

Brian Roney, CEO of Conifer, commented, “While we were pleased to see continued growth in our Personal lines production, overall, Conifer had an up and down quarter, netting to a small gain. Of note for the period, book value did increase, but largely due to GAAP treatment of an expected earn-out payment.”

2025 First Quarter Financial Results Overview


	At and for the Three Months Ended March 31,
	2025			2024			% Change
	(dollars in thousands, except share and per share amounts)

Gross written premiums	$	16,173		$	24,313		-33.5	%
Net written premiums		10,840			15,391		-29.6	%
Net earned premiums		10,315			16,887		-38.9	%

Net investment income		1,289			1,546		-16.6	%
Net realized investment gains (losses)		3			–		**
Change in fair value of equity investments		(192	)		43		**

Net income (loss) allocable to common shareholders		522			74		**
Net income (loss) allocable to common shareholders per share, diluted	$	0.04		$	0.01		**

Adjusted operating income (loss)*		(3,684	)		1,314		**
Adjusted operating income (loss) per share, diluted*	$	(0.30	)	$	0.11		**

Book value per common share outstanding	$	2.09		$	0.21

Weighted average shares outstanding, basic and diluted		12,222,881			12,222,881

Underwriting ratios:
Loss ratio (1)		89.7	%		62.0	%
Expense ratio (2)		50.8	%		34.7	%
Combined ratio (3)		140.5	%		96.7	%

* The “Definitions of Non-GAAP Measures” section of this release defines and reconciles data that are not based on generally accepted accounting principles.
** Percentage is not meaningful
(1) The loss ratio is the ratio, expressed as a percentage, of net losses and loss adjustment expenses to net earned premiums and other income from underwriting operations.
(2) The expense ratio is the ratio, expressed as a percentage, of policy acquisition costs and other underwriting expenses to net earned premiums and other income from underwriting operations.
(3) The combined ratio is the sum of the loss ratio and the expense ratio. A combined ratio under 100% indicates an underwriting profit. A combined ratio over 100% indicates an underwriting loss.

2025 First Quarter Gross Written Premium

Gross written premiums decreased 33.5% in the first quarter of 2025 to $16.2 million, compared to
$24.3 million in the prior year period. This decrease reflects the Company’s strategic shift away from Commercial Lines premium following the sale of our agency group in 2024.

Commercial Lines Financial and Operational Review


Commercial Lines Financial Review
	Three Months Ended March 31,
	2025			2024			% Change
	(dollars in thousands)

Gross written premiums	$	2,047		$	12,762		-84.0	%
Net written premiums		(1,604	)		8,287		-119.4	%
Net earned premiums		1,331			8,797		-84.9	%

Underwriting ratios:
Loss ratio		113.1	%		76.5	%
Expense ratio		25.3	%		32.7	%
Combined ratio		138.4	%		109.2	%

Contribution to combined ratio from net (favorable) adverse prior year development		-46.6	%		0.5	%

Accident year combined ratio (1)		185.0	%		108.7	%

(1) The accident year combined ratio is the sum of the loss ratio and the expense ratio, less changes in net ultimate loss estimates from prior accident year loss reserves. The accident year combined ratio provides management with an assessment of the specific policy year’s profitability and assists management in their evaluation of product pricing levels and quality of business written.

The Company’s commercial lines of business represented 12.6% of total gross written premium in the first quarter of 2025. As noted above, premium decreased considerably year over year as Conifer continued to focus its underwriting efforts on Personal Lines business, notably our homeowner’s insurance portfolio in Texas and the Midwest.

Personal Lines Financial and Operational Review


Personal Lines Financial Review
	Three Months Ended March 31,
	2025			2024			% Change
	(dollars in thousands)

Gross written premiums	$	14,126		$	11,551		22.3	%
Net written premiums		12,444			7,104		75.2	%
Net earned premiums		8,984			8,090		11.1	%

Underwriting ratios:
Loss ratio		86.3	%		46.2	%
Expense ratio		54.6	%		36.8	%
Combined ratio		140.9	%		83.0	%

Contribution to combined ratio from net (favorable) adverse prior year development		8.6	%		-6.3	%

Accident year combined ratio		132.3	%		89.3	%

Personal lines, representing 87.4% of total gross written premium for the quarter, consists primarily of low-value dwelling homeowner’s insurance in Texas and the Midwest.

Personal lines gross written premium increased 22.3% from the prior year period to $14.1 million for the first quarter of 2025, led by growth in the Company’s low-value dwelling line of business in Texas.

For the quarter, the loss ratio was impacted by ordinary seasonal storms, largely in Texas. As per the expected norm, we believe that the loss ratio should moderate as the year progresses.

Combined Ratio Analysis


	Three Months Ended March 31,
	2025		2024


Underwriting ratios:
Loss ratio	89.7	%	62.0	%
Expense ratio	50.8	%	34.7	%
Combined ratio	140.5	%	96.7	%

Contribution to combined ratio from net (favorable) adverse prior year development	1.4	%	-2.7	%

Accident year combined ratio	139.1	%	99.4	%

Net Investment Income
Net investment income was $1.3 million for the quarter ended March 31, 2025, compared to $1.5 million in the prior year period.

Change in Fair Value of Equity Securities
During the quarter, the Company reported a loss from the change in fair value of equity investments of $192,000, compared to a $43,000 gain in the prior year period.

Net Income (Loss) allocable to common shareholders
The Company reported net income allocable to common shareholders of $522,000, or $0.04 per share, for the first quarter of 2025.

Adjusted Operating Income (Loss)
There was an adjusted operating loss of $3.7 million, or $0.30 per share, for the first quarter ended March 31, 2025. See Definitions of Non-GAAP Measures.

About Conifer Holdings
Conifer Holdings, Inc. is a Michigan-based property and casualty holding company. Through its subsidiaries, Conifer offers specialty insurance coverage for largely personal lines, marketing through independent agents. The Company trades on the Nasdaq Capital Market under the symbol CNFR. Additional information is available on the Company’s website at www.ir.cnfrh.com.

Definitions of Non-GAAP Measures
Conifer prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners’ (NAIC) Accounting Practices and Procedures Manual, and therefore is not reconciled to GAAP data.

We believe that investors’ understanding of Conifer’s performance is enhanced by our disclosure of adjusted operating income. Our method for calculating this measure may differ from that used by other companies and therefore comparability may be limited. We define adjusted operating income (loss), a non-GAAP measure, as net income (loss) excluding: 1) net realized investment gains and losses, 2) change in fair value of equity securities 3) change in fair value of contingent considerations and 4) net income (loss) from discontinued operations. We use adjusted operating income as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance.

Forward-Looking Statement

This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give current expectations or forecasts of future events or our future financial or operating performance, and include Conifer’s expectations regarding premiums, earnings, its capital position, expansion, and growth strategies. The forward-looking statements contained in this press release are based on management’s good-faith belief and reasonable judgment based on current information. The forward-looking statements are qualified by important factors, risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from those in the forward-looking statements, including those described in our form 10-K (“Item 1A Risk Factors”) filed with the SEC on March 28, 2025 and subsequent reports filed with or furnished to the SEC. Any forward-looking statement made by us in this report speaks only as of the date hereof or as of the date specified herein. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable laws or regulations.

Reconciliations of adjusted operating income (loss) and adjusted operating income (loss) per share:


	Three Months Ended March 31,
	2025			2024
	(dollar in thousands, except share and per share amounts)

Net income (loss)	$	522		$	231
Less:
Net realized investment gains (losses)		3			–
Change in fair value of equity securities		(192	)		43
Change in fair value of contingent considerations		4,395			–
Net income (loss) from discontinued operations		–			(1,126	)
Impact of income tax expense (benefit) from adjustments *		–			–
Adjusted operating income (loss)	$	(3,684	)	$	1,314

Weighted average common shares, diluted		12,222,881			12,222,881

Diluted income (loss) per common share:
Net income (loss)	$	0.04		$	0.02
Less:
Net realized investment gains (losses)		–			–
Change in fair value of equity securities		(0.02	)		0.01
Change in fair value of contingent considerations		0.36			–
Net income (loss) from discontinued operations		–			(0.10	)
Impact of income tax expense (benefit) from adjustments *		–			–
Adjusted operating income (loss), per share	$	(0.30	)	$	0.11

* The Company has recorded a full valuation allowance against its deferred tax assets as of March 31, 2025 and March 31, 2024, respectively. As a result, there were no taxable impacts to adjusted operating income from the adjustments to net income (loss) in the table above after taking into account the use of NOLs and the change in the valuation allowance.


Conifer Holdings, Inc. and Subsidiaries
Consolidated Balance Sheets
(dollars in thousands)

	March 31,			December 31,
	2025			2024
Assets	(Unaudited)
Investment securities:
Debt securities, at fair value (amortized cost of $106,636 and $117,827, respectively)	$	96,023		$	105,665
Equity securities, at fair value (cost of $1,838 and $1,836, respectively)		1,411			1,603
Short-term investments, at fair value		42,066			21,151
Total investments		139,500			128,419

Cash and cash equivalents		10,281			27,654
Premiums and agents’ balances receivable, net		9,568			9,901
Reinsurance recoverables on unpaid losses		77,872			84,490
Reinsurance recoverables on paid losses		11,666			6,919
Prepaid reinsurance premiums		5,403			6,088
Deferred policy acquisition costs		6,647			6,380
Receivable from contingent considerations		12,465			8,070
Other assets		3,672			3,735
Total assets	$	277,074		$	281,656

Liabilities and Shareholders’ Equity
Liabilities:
Unpaid losses and loss adjustment expenses	$	176,362		$	189,285
Unearned premiums		30,645			30,590
Reinsurance premiums payable		2,488			1
Debt		11,996			11,932
Mandatorily redeemable preferred stock		5,651			–
Funds held under reinsurance agreements		20,964			25,829
Accounts payable and accrued expenses		3,383			2,494
Total liabilities		251,489			260,131

Commitments and contingencies		–			–

Shareholders’ equity:
Common stock, no par value (100,000,000 shares authorized; 12,222,881 issued and outstanding, respectively)		100,117			98,178
Accumulated deficit		(62,631	)		(63,153	)
Accumulated other comprehensive income (loss)		(11,901	)		(13,500	)
Total shareholders’ equity		25,585			21,525
Total liabilities and shareholders’ equity	$	277,074		$	281,656

Conifer Holdings, Inc. and Subsidiaries
Consolidated Statements of Operations (Unaudited)
(dollars in thousands, except share and per share data)

	Three Months Ended
	March 31
	2025			2024

Revenue and Other Income
Premiums
Gross earned premiums	$	16,118		$	34,232
Ceded earned premiums		(5,803	)		(17,345	)
Net earned premiums		10,315			16,887
Net investment income		1,289			1,546
Net realized investment gains (losses)		3			–
Change in fair value of equity securities		(192	)		43
Other income		65			149
Change in fair value of contingent considerations		4,395			–
Total revenue and other income		15,875			18,625

Expenses
Losses and loss adjustment expenses, net		9,274			10,520
Policy acquisition costs		2,677			3,160
Operating expenses		2,861			2,862
Interest expense		541			877
Total expenses		15,353			17,419

Income (loss) from continuing operations before income taxes		522			1,206
Income tax expense (benefit)		–			(151	)

Net income (loss) from continuing operations	$	522		$	1,357
Net income (loss) from discontinued operations		–			(1,126	)
Net income (loss)		522			231
Series A Preferred Stock dividends		–			157
Net income (loss) allocable to common shareholders	$	522		$	74

Earnings (loss) per common share, basic and diluted
Net income (loss) from continuing operations	$	0.04		$	0.11
Net income (loss) from discontinued operations	$	–		$	(0.10	)
Net income (loss) allocable to common shareholders	$	0.04		$	0.01

Weighted average common shares outstanding, basic and diluted		12,222,881			12,222,881

For Further Information:
Jessica Gulis, 248.559.0840
ir@cnfrh.com

The MIL Network –

May 15, 2025

MIL-OSI: Epsilon Reports First Quarter 2025 Results

Source: GlobeNewswire (MIL-OSI)

HOUSTON, May 14, 2025 (GLOBE NEWSWIRE) — Epsilon Energy Ltd. (“Epsilon” or the “Company”) (NASDAQ: EPSN) today reported first quarter 2025 financial and operating results.

First Quarter 2025 Highlights:

Epsilon – Q1 2025
		Q1 2025	Q4 2024	Q1 2024	QoQ%		YoY%
NRI Production
Gas	MMcf	2,740	1,765	1,666	55	%	64	%
Oil	Mbbl	46	52	37	-12	%	24	%
NGL	Mbbl	16	17	16	-6	%	-2	%
Total	Mmcfe	3,108	2,176	1,982	43	%	57	%

Revenues	$M
Gas		10,614	3,958	2,963	168	%	258	%
Oil		3,270	3,537	2,715	-8	%	20	%
NGL		387	385	373	1	%	4	%
Midstream¹		1,892	1,060	1,936	79	%	-2	%
Total		16,163	8,940	7,987	81	%	102	%

Realized Prices²
Gas	$/Mcf	3.87	2.24	1.78	73	%	118	%
Oil	$/Bbl	71.76	68.38	74.13	5	%	-3	%
NGL	$/Bbl	24.52	22.98	23.16	7	%	6	%

Adj. EBITDA	$M	10,609	5,335	4,595	99	%	131	%

Cash + STI³	$M	7,363	6,990	15,447	5	%	-52	%

Capex⁴	$M	8,035	3,804	21,466	111	%	-63	%

Dividend	$M	1,376	1,370	1,370	0	%	0	%

Share Buybacks	$M	0	0	1,199			-100	%

1) Net of elimination entry for fees paid by Epsilon
2) Excludes impact of hedge realizations
3) Includes restricted cash balance
4) Includes acquisitions

Operations Update:

Epsilon’s capital expenditures were $8.0 million for the quarter ended March 31, 2025. These were primarily related to the drilling and completion of 2 gross (0.5 net) Glauconitic wells in the Garrington area of Alberta, Canada (including $4.9 million in drilling carry in favor of the operator to earn a 25% working interest in the large leasehold position).

Jason Stabell, Epsilon’s Chief Executive Officer, commented, “Our Marcellus business performed very well during the quarter with all delayed turn-in-line wells now on production and the lifting of the curtailments we sustained for most of last year. As a result, total gas volumes were up over 50% quarter over quarter. Realized gas prices also rebounded strongly, with Marcellus cash-flows (revenues less operating expenses) up over 200% quarter over quarter and up over 450% from the first quarter last year. This demonstrates the leverage we have in the basin to incremental development in a strong natural gas market. As mentioned previously, we have meaningful remaining undeveloped inventory there. However, we don’t expect any additional development this year.

In Texas, current plans call for 2 gross (0.5 net) new wells over the remainder of the year, in line with our development obligations on the leasehold. The Barnett wells are still economic at current oil prices, but any escalation in activity levels will require higher sustained prices.

Our first two wells in the Alberta JV we entered in October are now on production. Our operating partner is currently evaluating inflow performance and sizing artificial lift and facilities. The current plan is to drill 2 more wells there over the remainder of the year.

With our diversified assets, commodity mix and balance sheet, we remain in a strong position to take advantage of accretive opportunities.”

Current Hedge Book:

NG Hedge Book				Realized – Q125
2025		Jan-25		Feb-25		Mar-25		Apr-25		May-25		Jun-25		Jul-25		Aug-25		Sep-25		Oct-25		Nov-25		Dec-25
NYMEX Henry Hub (LD)
Fixed Swaps	MMBTUs	(232,500	)	(210,000	)	(387,500	)	(255,000	)	(418,500	)	(255,000	)	(263,500	)	(263,500	)	(255,000	)	(263,500	)	(120,000	)	(120,000	)
Hedges per Day	p/day	(7,500	)	(7,500	)	(12,500	)	(8,500	)	(13,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)	(4,000	)	(4,000	)
WA Strike Price	$ / MMBTU	3.47		3.47		3.68		3.21		3.12		3.21		3.21		3.21		3.21		3.21		4.66		4.66
Tenn Z4 300L Basis
Basis Swaps	MMBTUs	(232,500	)	(210,000	)	(232,500	)	(255,000	)	(263,500	)	(255,000	)	(263,500	)	(263,500	)	(255,000	)	(263,500	)
Hedges per Day	p/day	(7,500	)	(7,500	)	(7,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)	(8,500	)
WA Strike Price	$ / MMBTU	(0.74	)	(0.74	)	(0.74	)	(0.95	)	(0.95	)	(0.95	)	(0.95	)	(0.95	)	(0.95	)	(0.95	)

Hedged Net Price	$ / MMBTU									2.17		2.26		2.26		2.26		2.26		2.26
Settlements	$M	(76.73	)	(94.50	)	(159.50	)	(198.40	)	(28.62	)

NG Hedge Book
2026		Jan-26		Feb-26		Mar-26		Apr-26		May-26		Jun-26		Jul-26		Aug-26		Sep-26		Oct-26		Nov-26		Dec-26
NYMEX Henry Hub (LD)
Fixed Swaps	MMBTUs	(124,000	)	(112,000	)	(124,000	)	(120,000	)	(124,000	)	(120,000	)	(124,000	)	(124,000	)	(120,000	)	(124,000	)
Hedges per Day	p/day	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)	(4,000	)
WA Strike Price	$ / MMBTU	4.66		4.66		4.66		4.09		4.09		4.09		4.09		4.09		4.09		4.09

Crude Hedge Book		Realized – Q125
2025		Jan-25		Feb-25		Mar-25		Apr-25		May-25		Jun-25		Jul-25		Aug-25		Sep-25		Oct-25		Nov-25		Dec-25
NYMEX WTI CMA
Fixed Swaps	Bbls	(4,682	)	(4,091	)	(4,389	)	(6,600	)	(6,600	)	(6,200	)	(6,200	)	(6,000	)	(5,600	)	(3,400	)	(3,200	)	(3,200	)
Hedges per Day	BOPD	(151	)	(146	)	(142	)	(220	)	(213	)	(207	)	(200	)	(194	)	(187	)	(110	)	(107	)	(103	)
WA Strike Price	$/Bbl	74.34		74.34		74.34		71.73		71.76		71.79		71.07		71.06		71.05		70.20		70.20		70.20
Settlements	$M	(3.55	)	12.81		28.09		57.86

Earning’s Call:

The Company will host a conference call to discuss its results on Thursday, May 15, 2025 at 10:00 a.m. Central Time (11:00 a.m. Eastern Time).

Interested parties in the United States and Canada may participate toll-free by dialing (833) 816-1385. International parties may participate by dialing (412) 317-0478. Participants should ask to be joined to the “Epsilon Energy First Quarter 2025 Earnings Conference Call.”

A webcast can be viewed at: https://event.choruscall.com/mediaframe/webcast.html?webcastid=Ehro2Pgc. A webcast replay will be available on the Company’s website (www.epsilonenergyltd.com) following the call.

About Epsilon

Epsilon Energy Ltd. is a North American onshore natural gas and oil production and gathering company with assets in Pennsylvania, Texas, Alberta CA, New Mexico, and Oklahoma.

Forward-Looking Statements

Certain statements contained in this news release constitute forward looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, ‘may”, “will”, “project”, “should”, ‘believe”, and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated. Forward-looking statements are based on reasonable assumptions, but no assurance can be given that these expectations will prove to be correct and the forward-looking statements included in this news release should not be unduly relied upon.

Contact Information:

281-670-0002

Jason Stabell
Chief Executive Officer
Jason.Stabell@EpsilonEnergyLTD.com

Andrew Williamson
Chief Financial Officer
Andrew.Williamson@EpsilonEnergyLTD.com


EPSILON ENERGY LTD. Unaudited Consolidated Statements of Operations (All amounts stated in US$)

	Three months ended March 31,
	2025			2024
Revenues from contracts with customers:
Gas, oil, NGL, and condensate revenue	$	14,270,790		$	6,051,045
Gas gathering and compression revenue		1,892,350			1,935,698
Total revenue		16,163,140			7,986,743

Operating costs and expenses:
Lease operating expenses		2,755,898			1,768,462
Gathering system operating expenses		552,651			552,570
Depletion, depreciation, amortization, and accretion		3,475,857			2,380,426
Impairment expense		6,669			—
General and administrative expenses:
Stock based compensation expense		385,838			321,569
Other general and administrative expenses		1,818,418			1,559,023
Total operating costs and expenses		8,995,331			6,582,050
Operating income		7,167,809			1,404,693

Other income (expense):
Interest income		15,299			266,272
Interest expense		(12,211	)		(8,760	)
Loss on derivative contracts		(1,462,170	)		(100,726	)
Other expense		(22,499	)		(533	)
Other (expense) income, net		(1,481,581	)		156,253

Net income before income tax expense		5,686,228			1,560,946
Income tax expense		1,670,194			54,050
NET INCOME	$	4,016,034		$	1,506,896
Currency translation adjustments		(50,116	)		364
Unrealized loss on securities		—			(4,609	)
NET COMPREHENSIVE INCOME	$	3,965,918		$	1,502,651

Net income per share, basic	$	0.18		$	0.07
Net income per share, diluted	$	0.18		$	0.07
Weighted average number of shares outstanding, basic		22,008,766			21,994,207
Weighted average number of shares outstanding, diluted		22,109,819			21,994,207

EPSILON ENERGY LTD. Unaudited Consolidated Balance Sheets (All amounts stated in US$)

	March 31,			December 31,
	2025			2024
ASSETS
Current assets
Cash and cash equivalents	$	6,892,735		$	6,519,793
Accounts receivable		8,003,517			5,843,722
Prepaid income taxes		—			975,963
Other current assets		647,295			792,041
Total current assets		15,543,547			14,131,519
Non-current assets
Property and equipment:
Oil and gas properties, successful efforts method
Proved properties		194,811,616			191,879,210
Unproved properties		33,425,087			28,364,186
Accumulated depletion, depreciation, amortization and impairment		(126,370,072	)		(123,281,395	)
Total oil and gas properties, net		101,866,631			96,962,001
Gathering system		43,176,418			43,116,371
Accumulated depletion, depreciation, amortization and impairment		(36,777,152	)		(36,449,511	)
Total gathering system, net		6,399,266			6,666,860
Land		637,764			637,764
Buildings and other property and equipment, net		246,894			259,335
Total property and equipment, net		109,150,555			104,525,960
Other assets:
Operating lease right-of-use assets, long term		318,604			344,589
Restricted cash		470,000			470,000
Prepaid drilling costs		22,581			982,717
Total non-current assets		109,961,740			106,323,266
Total assets	$	125,505,287		$	120,454,785

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable trade	$	2,013,172		$	2,334,732
Gathering fees payable		1,651,164			997,016
Royalties payable		2,019,819			1,400,976
Income taxes payable		924,905			—
Accrued capital expenditures		309,630			572,079
Accrued compensation		284,905			695,018
Other accrued liabilities		481,770			371,503
Fair value of derivatives		1,534,675			487,548
Operating lease liabilities		121,293			121,135
Total current liabilities		9,341,333			6,980,007
Non-current liabilities
Asset retirement obligations		3,716,029			3,652,296
Deferred income taxes		12,417,125			12,738,577
Operating lease liabilities, long term		326,527			355,776
Total non-current liabilities		16,459,681			16,746,649
Total liabilities		25,801,014			23,726,656
Commitments and contingencies (Note 11)
Shareholders’ equity
Preferred shares, no par value, unlimited shares authorized, none issued or outstanding		—			—
Common shares, no par value, unlimited shares authorized and 22,008,766 shares issued and outstanding at March 31, 2025 and December 31, 2024		116,081,031			116,081,031
Additional paid-in capital		12,504,745			12,118,907
Accumulated deficit		(38,864,654	)		(41,505,076	)
Accumulated other comprehensive income		9,983,151			10,033,267
Total shareholders’ equity		99,704,273			96,728,129
Total liabilities and shareholders’ equity	$	125,505,287		$	120,454,785

EPSILON ENERGY LTD. Unaudited Consolidated Statements of Cash Flows (All amounts stated in US$)

	Three months ended March 31,
	2025			2024
Cash flows from operating activities:
Net income	$	4,016,034		$	1,506,896
Adjustments to reconcile net income to net cash provided by operating activities:
Depletion, depreciation, amortization, and accretion		3,475,857			2,380,426
Impairment expense		6,669			—
Accretion of discount on available for sale securities		—			(216,180	)
Loss on derivative contracts		1,462,170			100,726
Settlement (paid) received on derivative contracts		(415,043	)		488,285
Settlement of asset retirement obligation		(1,600	)		(1,653	)
Stock-based compensation expense		385,838			321,569
Deferred income tax expense (benefit)		(321,452	)		(22,993	)
Changes in assets and liabilities:
Accounts receivable		(2,159,795	)		953,714
Prepaid income taxes		978,542			(68,401	)
Other assets and liabilities		141,640			146,477
Accounts payable, royalties payable, gathering fees payable, and other accrued liabilities		91,390			(1,897,438	)
Income taxes payable		922,326			—
Net cash provided by operating activities		8,582,576			3,691,428
Cash flows from investing activities:
Additions to unproved oil and gas properties		(5,060,901	)		(3,088,198	)
Additions to proved oil and gas properties		(2,578,866	)		(17,226,449	)
Additions to gathering system properties		(104,275	)		(22,650	)
Additions to land, buildings and property and equipment		—			(7,681	)
Purchases of short term investments – available for sale		—			(4,045,785	)
Proceeds from short term investments – held to maturity		—			10,794,285
Prepaid drilling costs		960,136			1,813,808
Net cash used in investing activities		(6,783,906	)		(11,782,670	)
Cash flows from financing activities:
Buyback of common shares		—			(1,203,708	)
Dividends paid		(1,375,612	)		(1,370,409	)
Net cash used in financing activities		(1,375,612	)		(2,574,117	)
Effect of currency rates on cash, cash equivalents, and restricted cash		(50,116	)		364
Decrease in cash, cash equivalents, and restricted cash		372,942			(10,664,995	)
Cash, cash equivalents, and restricted cash, beginning of period		6,989,793			13,873,628
Cash, cash equivalents, and restricted cash, end of period	$	7,362,735		$	3,208,633

Supplemental cash flow disclosures:
Income tax paid – federal	$	80,000		$	—
Income tax paid – state (PA)	$	5,138		$	—
Income tax paid – state (other)	$	25		$	—
Interest paid	$	657		$	—

Non-cash investing activities:
Change in proved properties accrued in accounts payable	$	341,974		$	2,946,528
Change in gathering system accrued in accounts payable	$	(44,228	)	$	(3,624	)
Asset retirement obligation asset additions and adjustments	$	18,235		$	16,372

	Three months ended March 31,
	2025			2024
Net income	$	4,016,034		$	1,506,896
Add Back:
Interest income, net		(3,088	)		(257,512	)
Income tax expense		1,670,194			54,050
Depreciation, depletion, amortization, and accretion		3,475,857			2,380,426
Impairment expense		6,669			—
Stock based compensation expense		385,838			321,569
Loss on derivative contracts net of cash received or paid on settlement		1,047,127			589,011
Foreign currency translation loss		10,289			570
Adjusted EBITDA	$	10,608,920		$	4,595,010

Epsilon defines Adjusted EBITDA as earnings before (1) net interest expense, (2) taxes, (3) depreciation, depletion, amortization and accretion expense, (4) impairments of natural gas and oil properties, (5) non-cash stock compensation expense, (6) gain or loss on derivative contracts net of cash received or paid on settlement, and (7) other income. Adjusted EBITDA is not a measure of financial performance as determined under U.S. GAAP and should not be considered in isolation from or as a substitute for net income or cash flow measures prepared in accordance with U.S. GAAP or as a measure of profitability or liquidity.

Additionally, Adjusted EBITDA may not be comparable to other similarly titled measures of other companies. Epsilon has included Adjusted EBITDA as a supplemental disclosure because its management believes that EBITDA provides useful information regarding its ability to service debt and to fund capital expenditures. It further provides investors a helpful measure for comparing operating performance on a “normalized” or recurring basis with the performance of other companies, without giving effect to certain non-cash expenses and other items. This provides management, investors and analysts with comparative information for evaluating the Company in relation to other natural gas and oil companies providing corresponding non-U.S. GAAP financial measures or that have different financing and capital structures or tax rates. These non-U.S. GAAP financial measures should be considered in addition to, but not as a substitute for, measures for financial performance prepared in accordance with U.S. GAAP.

The MIL Network –

May 15, 2025

MIL-OSI: dLocal Reports 2025 First Quarter Financial Results

Source: GlobeNewswire (MIL-OSI)

Record highs across key financial and operational metrics.
TPV milestone of US$8 billion, +53% YoY and +5% QoQ. In constant currency, TPV increased +72% YoY.
Revenue and gross profit record highs of US$217 million and US$85 million. Continued geographic diversification.
Adjusted EBITDA of US$58 million, with Adjusted EBITDA/Gross Profit at 68%, demonstrating our ability to scale efficiently.
Strong cash flow, with free cash flow to net income conversion at 85%, reinforcing cash generating financial model.

MONTEVIDEO, Uruguay, May 14, 2025 (GLOBE NEWSWIRE) — DLocal Limited (“dLocal”, “we”, “us”, and “our”) (NASDAQ:DLO), a technology – first payments platform, today announced its financial results for the first quarter ended March 31, 2025.

dLocal’s management team will host a conference call and audio webcast on May 14, 2025 at 5:00 p.m. Eastern Time. Please click here to pre-register for the conference call and obtain your dial in number and passcode.

The live conference call can be accessed via audio webcast at the investor relations section of dLocal’s website, at https://investor.dlocal.com/. An archive of the webcast will be available for a year following the conclusion of the conference call. The investor presentation will also be filed on EDGAR at www.sec.gov.

“The first quarter of 2025 demonstrated strong execution across many of the levers of our strategic plan. Our commercial team effectively leveraged existing merchant relationships and established new partnerships. Financially, we executed our investment plan in a responsible and efficient manner. In addition, our operations and technology teams delivered improved effectiveness to our merchants, and our legal and regulatory teams focused on expanding our license portfolios,” said Pedro Arnt, CEO of dLocal.

First quarter 2025 financial highlights

dLocal reports in US dollars and in accordance with IFRS as issued by the IASB

Total Payment Volume (“TPV”) reached a record US$8.1 billion in the first quarter, up 53% year-over-year compared to US$5.3 billion in the first quarter of 2024 and up 5% compared to US$7.7 billion in the fourth quarter of 2024. In constant currency, TPV growth for the period would have been 72% year-over-year.
Revenues amounted to US$216.8 million, up 18% year-over-year compared to US$184.4 million in the first quarter of 2024 and up 6% compared to US$204.5 million in the fourth quarter of 2024. This quarter-over-quarter increase, above TPV growth, was driven by higher cross-border share in the mix, and partially offset by Mexico, given the commerce seasonality effect in the fourth quarter and partial volume loss with a large merchant. In constant currency, revenue growth for the period would have been 36% year-over-year.
Gross profit was US$84.9 million in the first quarter of 2025, up 35% compared to US$63.0 million in the first quarter of 2024 and up 1% compared to US$83.7 million in the fourth quarter of 2024. The quarter-over-quarter comparison was primarily due to (i) Argentina, with gross profit following revenue trends, in addition to increasing advancement volumes (which have higher take rates) and wider FX spreads in Q1 2025 vs Q4 2024; and (ii) Other LatAm markets, with notable performance in Chile. These positive factors were partially offset by (i) Brazil, due to the migration to the Payment Orchestration model, which brings lower take rates, coupled with one-off incremental processing costs; and (ii) Mexico, as explained above. In addition, despite volume growth across various countries, Other Africa and Asia was adversely affected by increased processing costs in South Africa and Nigeria. In constant currency, gross profit growth for the period would have been 59% year-over-year.
As a result, gross profit margin was 39% in this quarter, compared to 34% in the first quarter of 2024 and 41% in the fourth quarter of 2024.
Gross profit over TPV was at 1.05% decreasing from 1.19% in the first quarter of 2024 and from 1.09% compared to the fourth quarter of 2024.
Operating profit was US$45.8 million, up 70% compared to US$26.9 million in the first quarter of 2024 and up 8% compared to US$42.3 million in the fourth quarter of 2024. Operating expenses grew by 8% year-over-year, explained by the increase in headcount, as we continue to invest in our capabilities. On the sequential comparison, operating expenses decreased by 6% quarter-over-quarter, primarily attributed to a reduction in G&A and Technology & Development expenses, driven by the decrease in third-party services, travel expenses and timing of implementation of new initiatives. This decrease was partially offset by the growth in headcount and increase in Sales & Marketing expenses, driven by key commercial events.
As a result, Adjusted EBITDA was US$57.9 million, up 57% compared to US$36.8 million in the first quarter of 2024 and up 2% compared to US$56.9 million in the fourth quarter of 2024.
Adjusted EBITDA margin was 27%, compared to the 20% recorded in the first quarter of 2024 and 28% in the fourth quarter of 2024. Adjusted EBITDA over gross profit of 68% increased compared to 58% in the first quarter of 2024 and slightly increased compared to 68% in the fourth quarter of 2024, marking the fourth consecutive quarter of improvement.
Net financial result was US$7.0 million gain, compared to a net finance gain of US$0.2 million in the first quarter of 2024 and a net finance loss of US$1.1 million in the fourth quarter of 2024, as explained in the Net Income section.
Our effective income tax rate decreased to 10% from 27% last quarter (or 16% when excluding the tax settlement, as mentioned in the fourth quarter earnings release), as result of higher cross-border share of pre-tax income and a lower pre-tax income in Brazil given the higher costs, as explained previously.
Net income for the first quarter of 2025 was US$46.7 million, or US$0.15 per diluted share, up 163% compared to a profit of US$17.7 million, or US$0.06 per diluted share, for the first quarter of 2024 and up 57% compared to a profit of US$29.7 million, or US$0.10 per diluted share for the fourth quarter of 2024. During the current period, net income was mostly affected by the positive non-cash mark to market effect related to our Argentine bond investments and lower finance costs.
Free cash flow for the first quarter of 2025 amounted to US$39.7 million, up 200% year-over-year compared to US$13.2 million in the first quarter of 2024 and up 22% compared to US$32.5 million in the fourth quarter of 2024. The variation quarter-over-quarter is primarily explained by improved operational results, partially offset by normal variability in corporate working capital and higher income tax paid and capex.
As of March 31, 2025, dLocal had US$511.5 million in cash and cash equivalents, which includes US$355.9 million of Corporate cash and cash equivalents. The Corporate cash and cash equivalents increased by US$58.0 million from US$298.0 million as of March 31, 2024, despite the US$100 million in shares repurchased throughout 2024. When compared to the US$317.8 million Corporate cash and cash equivalents position as of December 31, 2024, it increased by US$38.1 million quarter-over-quarter.

The following table summarizes our key performance metrics:

	Three months ended March 31
	2025	2024	% change
Key Performance metrics	(In millions of US$ except for %)
TPV	8,107	5,310	53%
Revenue	216.8	184.4	18%
Gross Profit	84.9	63.0	35%
Gross Profit margin	39%	34%	5p.p
Adjusted EBITDA	57.9	36.8	57%
Adjusted EBITDA margin	27%	20%	7p.p
Adjusted EBITDA/Gross Profit	68%	58%	10p.p
Profit	46.7	17.7	163%
Profit margin	22%	10%	12p.p

Special note regarding Adjusted EBITDA and Adjusted EBITDA Margin

dLocal has only one operating segment. dLocal measures its operating segment’s performance by Revenues, Adjusted EBITDA and Adjusted EBITDA Margin, and uses these metrics to make decisions about allocating resources. Adjusted EBITDA as used by dLocal is defined as the profit from operations before financing and taxation for the year or period, as applicable, before depreciation of property, plant and equipment, amortization of right-of-use assets and intangible assets, and further excluding the finance income and costs, impairment gains/(losses) on financial assets, transaction costs, share-based payment non-cash charges,other operating gain/loss,other non-recurring costs, and inflation adjustment. dLocal defines Adjusted EBITDA Margin as the Adjusted EBITDA divided by consolidated revenues. dLocal defines Adjusted EBITDA to Gross Profit Ratio as Adjusted EBITDA divided by Gross Profit. Although Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA to Gross Profit Ratio may be commonly viewed as non-IFRS measures in other contexts, pursuant to IFRS 8, (“Operating Segments”), Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA to Gross Profit Ratio are treated by dLocal as IFRS measures based on the manner in which dLocal utilizes these measures. Nevertheless, dLocal’s Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA to Gross Profit Ratio metrics should not be viewed in isolation or as a substitute for net income for the periods presented under IFRS. dLocal also believes that its Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA to Gross Profit Ratio metrics are useful metrics used by analysts and investors, although these measures are not explicitly defined under IFRS. Additionally, the way dLocal calculates operating segment’s performance measures may be different from the calculations used by other entities, including competitors, and therefore, dLocal’s performance measures may not be comparable to those of other entities. Finally, dLocal is unable to present a quantitative reconciliation of forward-looking guidance for Adjusted EBITDA because dLocal cannot reliably predict certain of their necessary components, such as impairment gains/(losses) on financial assets, transaction costs, and inflation adjustment.

The table below presents a reconciliation of dLocal’s Adjusted EBITDA to net income:

$ in thousands	Three months ended March 31
	2025	2024
Profit for the period	46,667	17,718
Income tax expense	5,262	7,114
Depreciation and amortization	5,062	3,762
Finance income and costs, net	(6,969)	(299)
Share-based payment non-cash charges	6,020	4,461
Other operating loss¹	422	1,819
Impairment loss / (gain) on financial assets	386	(177)
Inflation adjustment	885	2,368
Other non-recurring costs²	123	–
Adjusted EBITDA	57,858	36,766

Note: ¹ The company wrote-off certain amounts related to merchants/processors off-boarded by dLocal. ² Other non-recurring costs consist of costs not directly associated with the Company’s core business activities, including costs associated with addressing the allegations made by a short-seller report and certain class action and other legal and regulatory expenses (which include fees from counsel, global expert services and a forensic accounting advisory firm) in 2025.

dLocal Limited Certain financial information Consolidated Condensed Interim Statements of Comprehensive Income for the three-month period ended March 31, 2025 and 2024 (All amounts in thousands of U.S. Dollars except share data or as otherwise indicated)

	Three months ended March 31
	2025	2024
Continuing operations
Revenues	216,759	184,430
Cost of services	(131,880)	(121,459)
Gross profit	84,879	62,971

Technology and development expenses	(6,767)	(5,465)
Sales and marketing expenses	(7,135)	(4,631)
General and administrative expenses	(24,324)	(24,332)
Impairment (loss)/gain on financial assets	(386)	177
Other operating (loss)/gain	(422)	(1,819)
Operating profit	45,845	26,901
Finance income	12,228	18,257
Finance costs	(5,259)	(17,958)
Inflation adjustment	(885)	(2,368)
Other results	6,084	(2,069)
Profit before income tax	51,929	24,832
Income tax expense	(5,262)	(7,114)
Profit for the period	46,667	17,718

Profit attributable to:
Owners of the Group	46,630	17,708
Non-controlling interest	37	10
Profit for the period	46,667	17,718

Earnings per share (in USD)
Basic Earnings per share	0.16	0.06
Diluted Earnings per share	0.15	0.06

Other comprehensive income
Items that may be reclassified to profit or loss:
Exchange difference on translation on foreign operations	3,526	(669)
Other comprehensive income for the period, net of tax	3,526	(669)
Total comprehensive income for the period, net of tax	50,193	17,049

Total comprehensive income for the period
Owners of the Group	50,174	17,036
Non-controlling interest	19	13
Total comprehensive income for the period	50,193	17,049

dLocal Limited Certain financial information Consolidated Condensed Interim Statements of Financial Position as of March 31, 2025 and December 31, 2024 (All amounts in thousands of U.S. dollars)

	March 31, 2025	December 31, 2024
ASSETS
Current Assets
Cash and cash equivalents	511,506	425,172
Financial assets at fair value through profit or loss	125,487	129,319
Trade and other receivables	477,349	496,713
Derivative financial instruments	463	2,874
Other assets	28,001	18,805
Total Current Assets	1,142,806	1,072,883

Non-Current Assets
Trade and other receivables	15,518	18,044
Deferred tax assets	5,468	5,367
Property, plant and equipment	4,007	3,377
Right-of-use assets	3,852	3,645
Intangible assets	65,301	63,318
Other assets	4,695	4,695
Total Non-Current Assets	98,841	98,446
TOTAL ASSETS	1,241,647	1,171,329

LIABILITIES
Current Liabilities
Trade and other payables	614,133	597,787
Lease liabilities	1,107	1,137
Tax liabilities	20,631	21,515
Derivative financial instruments	1,098	6,227
Financial liabilities	54,248	50,455
Provisions	543	500
Total Current Liabilities	691,760	677,621

Non-Current Liabilities
Deferred tax liabilities	1,862	1,858
Lease liabilities	2,825	2,863
Total Non-Current Liabilities	4,687	4,721
TOTAL LIABILITIES	696,447	682,342

EQUITY
Share Capital	570	570
Share Premium	187,671	186,769
Treasury Shares	(200,980)	(200,980)
Capital Reserve	38,556	33,438
Other Reserves	(17,390)	(20,934)
Retained earnings	536,654	490,024
Total Equity Attributable to owners of the Group	545,081	488,887
Non-controlling interest	119	100
TOTAL EQUITY	545,200	488,987
TOTAL EQUITY AND LIABILITIES	1,241,647	1,171,329

dLocal Limited Certain interim financial information Consolidated Statements of Cash flows for the three-month period ended March 31, 2025 and 2024 (All amounts in thousands of U.S. dollars)

	Three months ended March 31
	2025	2024
Cash flows from operating activities
Profit before income tax	51,929	24,832
Adjustments:
Interest Income from financial instruments	(5,106)	(7,442)
Interest charges for lease liabilities	41	43
Other interests charges	883	127
Finance expense related to derivative financial instruments	414	9,878
Net exchange differences	4,142	7,637
Fair value loss/(gain) on financial assets at FVPL	(7,343)	(10,815)
Amortization of Intangible assets	4,584	3,424
Depreciation and disposals of PP&E and right-of-use	703	400
Share-based payment expense, net of forfeitures	6,020	4,461
Other operating gain	422	1,819
Net Impairment loss/(gain) on financial assets	386	(177)
Inflation adjustment and other financial results	6,083	(5,892)
	63,158	28,295
Changes in working capital
Increase in Trade and other receivables	21,082	(32,836)
Decrease / (Increase) in Other assets	1,025	3,219
Increase / (Decrease) in Trade and Other payables	16,346	45,964
Increase / (Decrease) in Tax Liabilities	965	(1,120)
Increase / (Decrease) in Provisions	43	4
Cash (used) / generated from operating activities	102,619	43,526
Income tax paid	(7,208)	(3,558)
Net cash (used) / generated from operating activities	95,411	39,968

Cash flows from investing activities
Acquisitions of Property, plant and equipment	(945)	(786)
Additions of Intangible assets	(6,567)	(5,022)
Acquisition of financial assets at FVPL	(41,374)	–
Collections of financial assets at FVPL	47,416	(243)
Interest collected from financial instruments	5,106	7,442
Payments for investments in other assets at FVPL	(10,000)	–
Net cash (used in) / generated investing activities	(6,364)	1,391

Cash flows from financing activities
Interest payments on lease liability	(41)	(43)
Principal payments on lease liability	(663)	(95)
Finance expense paid related to derivative financial instruments	(3,132)	(10,151)
Net proceeds from financial liabilities	5,790	–
Interest payments on financial liabilities	(2,166)	–
Other finance expense paid	(714)	(127)
Net cash used in by financing activities	(926)	(10,416)
Net increase in cash flow	88,121	30,943

Cash and cash equivalents at the beginning of the period	425,172	536,160
Net (decrease)/increase in cash flow	88,121	30,943
Effects of exchange rate changes on inflation and cash and cash equivalents	(1,787)	5,254
Cash and cash equivalents at the end of the period	511,506	572,357

About dLocal
dLocal powers local payments in emerging markets, connecting global enterprise merchants with billions of emerging market consumers in more than 40 countries across Africa, Asia, and Latin America. Through the “One dLocal” platform (one direct API, one platform, and one contract), global companies can accept payments, send pay-outs and settle funds globally without the need to manage separate pay-in and pay-out processors, set up numerous local entities, and integrate multiple acquirers and payment methods in each market.

Forward-looking statements
This press release contains certain forward-looking statements. These forward-looking statements convey dLocal’s current expectations or forecasts of future events, including guidance in respect of total payment volume, revenue, gross profit and Adjusted EBITDA. Forward-looking statements regarding dLocal and amounts stated as guidance are based on current management expectations and involve known and unknown risks, uncertainties and other factors that may cause dLocal’s actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. Certain of these risks and uncertainties are described in the “Risk Factors,” “Forward-Looking Statements” and “Cautionary Statement Regarding Forward-Looking Statements” sections of dLocal’s filings with the U.S. Securities and Exchange Commission. Unless required by law, dLocal undertakes no obligation to publicly update or revise any forward-looking statements to reflect circumstances or events after the date hereof. In addition, dLocal is unable to present a quantitative reconciliation of forward-looking guidance for Adjusted EBITDA, because dLocal cannot reliably predict certain of their necessary components, such as impairment gains/(losses) on financial assets, transaction costs, and inflation adjustment.

Investor Relations Contact:
investor@dlocal.com

Media Contact:
media@dlocal.com

The MIL Network –

May 15, 2025

MIL-OSI USA: FEMA’s National Flood Insurance Program Pays Tennesseans More Than $15 Million

Source: US Federal Emergency Management Agency 2

FEMA’s National Flood Insurance Program Pays Tennesseans More Than $15 Million

FEMA’s National Flood Insurance Program has paid $15.1 million to Tennessee policyholders to repair flood damage from Tropical Storm Helene. More than 83% of these claims came from areas at high risk for flooding.National Flood Insurance Program policyholders with flood damage from the storm can submit a claim even if they do not live in one of the eight Tennessee counties eligible for federal disaster assistance. While tropical storms like Helene can bring significant flooding far inland, anywhere it rains can experience overflowing rivers, flash flooding and dam or levee failures. Just an inch of water can cause $25,000 in damage and most homeowners and renters insurance policies do not cover flood damage.The National Flood Insurance Program was created to provide financial protection from flood damage to property owners, renters and businesses through government-backed flood insurance policies. Federal assistance can only provide a small amount of funding, so having flood insurance can help you recover more quickly after a flood.In Tennessee, to buy a flood insurance policy, your community must participate in the National Flood Insurance Program. Visit FEMA’s Community Status page for a list of participating communities. If your community is on the list, you can call the National Flood Insurance Program Direct Helpline at 877-336-2627, visit FloodSmart.gov and follow the prompt to get a quote or call your insurance agent to find out how much coverage may cost.
kwei.nwaogu
Wed, 05/14/2025 – 18:44

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA’s Magellan Mission Reveals Possible Tectonic Activity on Venus

Source: NASA

Using archival data from the mission, launched in 1989, researchers have uncovered new evidence that tectonic activity may be deforming the planet’s surface.
Vast, quasi-circular features on Venus’ surface may reveal that the planet has ongoing tectonics, according to new research based on data gathered more than 30 years ago by NASA’s Magellan mission. On Earth, the planet’s surface is continually renewed by the constant shifting and recycling of massive sections of crust, called tectonic plates, that float atop a viscous interior. Venus doesn’t have tectonic plates, but its surface is still being deformed by molten material from below.
Seeking to better understand the underlying processes driving these deformations, the researchers studied a type of feature called a corona. Ranging in size from dozens to hundreds of miles across, a corona is most often thought to be the location where a plume of hot, buoyant material from the planet’s mantle rises, pushing against the lithosphere above. (The lithosphere includes the planet’s crust and the uppermost part of its mantle.) These structures are usually oval, with a concentric fracture system surrounding them. Hundreds of coronae are known to exist on Venus.
Published in the journal Science Advances, the new study details newly discovered signs of activity at or beneath the surface shaping many of Venus’ coronae, features that may also provide a unique window into Earth’s past. The researchers found the evidence of this tectonic activity within data from NASA’s Magellan mission, which orbited Venus in the 1990s and gathered the most detailed gravity and topography data on the planet currently available.
“Coronae are not found on Earth today; however, they may have existed when our planet was young and before plate tectonics had been established,” said the study’s lead author, Gael Cascioli, assistant research scientist at the University of Maryland, Baltimore County, and NASA’s Goddard Space Flight Center in Greenbelt, Maryland. “By combining gravity and topography data, this research has provided a new and important insight into the possible subsurface processes currently shaping the surface of Venus.”

As members of NASA’s forthcoming VERITAS (Venus Emissivity, Radio science, InSAR, Topography, and Spectroscopy) mission, Cascioli and his team are particularly interested in the high-resolution gravity data the spacecraft will provide. Study coauthor Erwan Mazarico, also at Goddard, will co-lead the VERITAS gravity experiment when the mission launches no earlier than 2031.
Mystery Coronae
Managed by NASA’s Jet Propulsion Laboratory in Southern California, Magellan used its radar system to see through Venus’ thick atmosphere and map the topography of its mountains and plains. Of the geological features the spacecraft mapped, coronae were perhaps the most enigmatic: It wasn’t clear how they formed. In the years since, scientists have found many coronae in locations where the planet’s lithosphere is thin and heat flow is high.
“Coronae are abundant on Venus. They are very large features, and people have proposed different theories over the years as to how they formed,” said coauthor Anna Gülcher, Earth and planetary scientist at the University of Bern in Switzerland. “The most exciting thing for our study is that we can now say there are most likely various and ongoing active processes driving their formation. We believe these same processes may have occurred early in Earth’s history.”
The researchers developed sophisticated 3D geodynamic models that demonstrate various formation scenarios for plume-induced coronae and compared them with the combined gravity and topography data from Magellan. The gravity data proved crucial in helping the researchers detect less dense, hot, and buoyant plumes under the surface — information that couldn’t be discerned from topography data alone. Of the 75 coronae studied, 52 appear to have buoyant mantle material beneath them that is likely driving tectonic processes.
One key process is subduction: On Earth, it happens when the edge of one tectonic plate is driven beneath the adjacent plate. Friction between the plates can generate earthquakes, and as the old rocky material dives into the hot mantle, the rock melts and is recycled back to the surface via volcanic vents.

On Venus, a different kind of subduction is thought to occur around the perimeter of some coronae. In this scenario, as a buoyant plume of hot rock in the mantle pushes upward into the lithosphere, surface material rises and spreads outward, colliding with surrounding surface material and pushing that material downward into the mantle.
Another tectonic process known as lithospheric dripping could also be present, where dense accumulations of comparatively cool material sink from the lithosphere into the hot mantle. The researchers also identify several places where a third process may be taking place: A plume of molten rock beneath a thicker part of the lithosphere potentially drives volcanism above it.
Deciphering Venus
This work marks the latest instance of scientists returning to Magellan data to find that Venus exhibits geologic processes that are more Earth-like than originally thought. Recently, researchers were able to spot erupting volcanoes, including vast lava flows that vented from Maat Mons, Sif Mons, and Eistla Regio in radar images from the orbiter.
While those images provided direct evidence of volcanic action, the authors of the new study will need sharper resolution to draw a complete picture about the tectonic processes driving corona formation. “The VERITAS gravity maps of Venus will boost the resolution by at least a factor of two to four, depending on location — a level of detail that could revolutionize our understanding of Venus’ geology and implications for early Earth,” said study coauthor Suzanne Smrekar, a planetary scientist at JPL and principal investigator for VERITAS.
Managed by JPL, VERITAS will use a synthetic aperture radar to create 3D global maps and a near-infrared spectrometer to figure out what the surface of Venus is made of. Using its radio tracking system, the spacecraft will also measure the planet’s gravitational field to determine the structure of Venus’ interior. All of these instruments will help pinpoint areas of activity on the surface.
For more information about NASA’s VERITAS mission, visit:

VERITAS

News Media Contacts
Ian J. O’NeillJet Propulsion Laboratory, Pasadena, Calif.818-354-2649ian.j.oneill@jpl.nasa.gov
Karen Fox / Molly WasserNASA Headquarters, Washington202-358-1600karen.c.fox@nasa.gov / molly.l.wasser@nasa.gov
2025-068

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA Studies Reveal Hidden Secrets About Interiors of Moon, Vesta

Source: NASA

Analyzing gravity data collected by spacecraft orbiting other worlds reveals groundbreaking insights about planetary structures without having to land on the surface.
Although the Moon and the asteroid Vesta are very different, two NASA studies use the same technique to reveal new details about the interiors of both.
In the lunar study, published May 14 in the journal Nature, researchers developed a new gravity model of the Moon that includes tiny variations in the celestial body’s gravity during its elliptical orbit around Earth. These fluctuations cause the Moon to flex slightly due to Earth’s tidal force — a process called tidal deformation — which provides critical insights into the Moon’s deep internal structure.
Using their model, the researchers produced the most detailed lunar gravitational map yet, providing future missions an improved way to calculate location and time on the Moon. They accomplished this by analyzing data on the motion of NASA’s GRAIL (Gravity Recovery and Interior Laboratory) mission, whose spacecraft, Ebb and Flow, orbited the Moon from Dec. 31, 2011, to Dec. 17, 2012.

In a second study, published in the journal Nature Astronomy on April 23, the researchers focused on Vesta, an object in the main asteroid belt between Mars and Jupiter. Using NASA’s Deep Space Network radiometric data and imaging data from the agency’s Dawn spacecraft, which orbited the asteroid from July 16, 2011, to Sept. 5, 2012, they found that instead of having distinct layers as expected, Vesta’s internal structure may be mostly uniform, with a very small iron core or no core at all.
Both studies were led by Ryan Park, supervisor of the Solar System Dynamics Group at NASA’s Jet Propulsion Laboratory in Southern California, and were years in the making due to their complexity. The team used NASA supercomputers to build a detailed map of how gravity varies across each body. From that, they could better understand what the Moon and Vesta are made of and how planetary bodies across the solar system formed.
“Gravity is a unique and fundamental property of a planetary body that can be used to explore its deep interior,” said Park. “Our technique doesn’t need data from the surface; we just need to track the motion of the spacecraft very precisely to get a global view of what’s inside.”
Lunar Asymmetry
The lunar study looked at gravitational changes to the Moon’s near and far sides. While the near side is dominated by vast plains — known as mare — formed by molten rock that cooled and solidified billions of years ago, the far side is more rugged, with few plains.

Some theories suggest intense volcanism on the near side likely caused these differences. That process would have caused radioactive, heat-generating elements to accumulate deep inside the near side’s mantle, and the new study offers the strongest evidence yet that this is likely the case.
“We found that the Moon’s near side is flexing more than the far side, meaning there’s something fundamentally different about the internal structure of the Moon’s near side compared to its far side,” said Park. “When we first analyzed the data, we were so surprised by the result we didn’t believe it. So we ran the calculations many times to verify the findings. In all, this is a decade of work.”
When comparing their results with other models, Park’s team found a small but greater-than-expected difference in how much the two hemispheres deform. The most likely explanation is that the near side has a warm mantle region, indicating the presence of heat-generating radioactive elements, which is evidence for volcanic activity that shaped the Moon’s near side 2 billion to 3 billion years ago.
Vesta’s Evolution
Park’s team applied a similar approach for their study that focused on Vesta’s rotational properties to learn more about its interior.
“Our technique is sensitive to any changes in the gravitational field of a body in space, whether that gravitational field changes over time, like the tidal flexing of the Moon, or through space, like a wobbling asteroid,” said Park. “Vesta wobbles as it spins, so we could measure its moment of inertia, a characteristic that is highly sensitive to the internal structure of the asteroid.”
Changes in inertia can be seen when an ice skater spins with their arms held outward. As they pull their arms in, bringing more mass toward their center of gravity, their inertia decreases and their spin speeds up. By measuring Vesta’s inertia, scientists can gain a detailed understanding of the distribution of mass inside the asteroid: If its inertia is low, there would be a concentration of mass toward its center; if it’s high, the mass would be more evenly distributed.
Some theories suggest that over a long period, Vesta gradually formed onion-like layers and a dense core. But the new inertia measurement from Park’s team suggests instead that Vesta is far more homogeneous, with its mass distributed evenly throughout and only a small core of dense material, or no core.
Gravity slowly pulls the heaviest elements to a planet’s center over time, which is how Earth ended up with a dense core of liquid iron. While Vesta has long been considered a differentiated asteroid, a more homogenous structure would suggest that it may not have fully formed layers or may have formed from the debris of another planetary body after a massive impact.
In 2016, Park used the same data types as the Vesta study to focus on Dawn’s second target, the dwarf planet Ceres, and results suggested a partially differentiated interior.
Park and his team recently applied a similar technique to Jupiter’s volcanic moon Io, using data acquired by NASA’s Juno and Galileo spacecraft during their flybys of the Jovian satellite as well as from ground-based observations. By measuring how Io’s gravity changes as it orbits Jupiter, which exerts a powerful tidal force, they revealed that the fiery moon is unlikely to possess a global magma ocean.
“Our technique isn’t restricted just to Io, Ceres, Vesta, or the Moon,” said Park. “There are many opportunities in the future to apply our technique for studying the interiors of intriguing planetary bodies throughout the solar system.”
News Media Contacts
Ian J. O’NeillJet Propulsion Laboratory, Pasadena, Calif.818-354-2649ian.j.oneill@jpl.nasa.gov
Karen Fox / Molly WasserNASA Headquarters, Washington202-358-1600karen.c.fox@nasa.gov / molly.l.wasser@nasa.gov

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Another First: NASA Webb Identifies Frozen Water in Young Star System

Source: NASA

Is frozen water scattered in systems around other stars? Astronomers have long expected it is, partially based on previous detections of its gaseous form, water vapor, and its presence in our own solar system.
Now there is definitive evidence: Researchers confirmed the presence of crystalline water ice in a dusty debris disk that orbits a Sun-like star 155 light-years away using detailed data known as spectra from NASA’s James Webb Space Telescope. (The term water ice specifies its makeup, since many other frozen molecules are also observed in space, such as carbon dioxide ice, or “dry ice.”) In 2008, data from NASA’s retired Spitzer Space Telescope hinted at the possibility of frozen water in this system.
“Webb unambiguously detected not just water ice, but crystalline water ice, which is also found in locations like Saturn’s rings and icy bodies in our solar system’s Kuiper Belt,” said Chen Xie, the lead author of the new paper and an assistant research scientist at Johns Hopkins University in Baltimore, Maryland.
All the frozen water Webb detected is paired with fine dust particles throughout the disk — like itsy-bitsy “dirty snowballs.” The results published Wednesday in the journal Nature.
Astronomers have been waiting for this definitive data for decades. “When I was a graduate student 25 years ago, my advisor told me there should be ice in debris disks, but prior to Webb, we didn’t have instruments sensitive enough to make these observations,” said Christine Chen, a co-author and associate astronomer at the Space Telescope Science Institute in Baltimore. “What’s most striking is that this data looks similar to the telescope’s other recent observations of Kuiper Belt objects in our own solar system.”
Water ice is a vital ingredient in disks around young stars — it heavily influences the formation of giant planets and may also be delivered by small bodies like comets and asteroids to fully formed rocky planets. Now that researchers have detected water ice with Webb, they have opened the door for all researchers to study how these processes play out in new ways in many other planetary systems.

The star, cataloged HD 181327, is significantly younger than our Sun. It’s estimated to be 23 million years old, compared to the Sun’s more mature 4.6 billion years. The star is slightly more massive than the Sun, and it’s hotter, which led to the formation of a slightly larger system around it.
Webb’s observations confirm a significant gap between the star and its debris disk — a wide area that is free of dust. Farther out, its debris disk is similar to our solar system’s Kuiper Belt, where dwarf planets, comets, and other bits of ice and rock are found (and sometimes collide with one another). Billions of years ago, our Kuiper Belt was likely similar to this star’s debris disk.
“HD 181327 is a very active system,” Chen said. “There are regular, ongoing collisions in its debris disk. When those icy bodies collide, they release tiny particles of dusty water ice that are perfectly sized for Webb to detect.”

Water ice isn’t spread evenly throughout this system. The majority is found where it’s coldest and farthest from the star. “The outer area of the debris disk consists of over 20% water ice,” Xie said.
The closer in the researchers looked, the less water ice they found. Toward the middle of the debris disk, Webb detected about 8% water ice. Here, it’s likely that frozen water particles are produced slightly faster than they are destroyed. In the area of the debris disk closest to the star, Webb detected almost none. It’s likely that the star’s ultraviolet light vaporizes the closest specks of water ice. It’s also possible that rocks known as planetesimals have “locked up” frozen water in their interiors, which Webb can’t detect.
This team and many more researchers will continue to search for — and study — water ice in debris disks and actively forming planetary systems throughout our Milky Way galaxy. “The presence of water ice helps facilitate planet formation,” Xie said. “Icy materials may also ultimately be ‘delivered’ to terrestrial planets that may form over a couple hundred million years in systems like this.”
The researchers observed HD 181327 with Webb’s NIRSpec (Near-Infrared Spectrograph), which is super-sensitive to extremely faint dust particles that can only be detected from space.
The James Webb Space Telescope is the world’s premier space science observatory. Webb is solving mysteries in our solar system, looking beyond to distant worlds around other stars, and probing the mysterious structures and origins of our universe and our place in it. Webb is an international program led by NASA with its partners, ESA (European Space Agency) and CSA (Canadian Space Agency).
To learn more about Webb, visit:
https://science.nasa.gov/webb
Downloads
Click any image to open a larger version.
View/Download all image products at all resolutions for this article from the Space Telescope Science Institute.
View/Download the research results from the journal Nature.

Laura Betz – laura.e.betz@nasa.govNASA’s Goddard Space Flight Center, Greenbelt, Md.
Claire Blome – cblome@stsci.eduSpace Telescope Science Institute, Baltimore, Md.
Christine Pulliam – cpulliam@stsci.eduSpace Telescope Science Institute, Baltimore, Md.

View Webb images of other debris disks around Vega, Fomalhaut, Beta Pictoris, and AU Microscopii
Learn more about spectroscopy
Read more: Webb’s Near-infrared Spectrograph (NIRSpec)
More Webb News
More Webb Images
Webb Science Themes
Webb Mission Page

What is the Webb Telescope?
SpacePlace for Kids
En Español
Ciencia de la NASA
NASA en español
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MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Understanding Your FEMA Determination Letter

Source: US Federal Emergency Management Agency

Headline: Understanding Your FEMA Determination Letter

Understanding Your FEMA Determination Letter

FRANKFORT, Ky

– If you applied for FEMA assistance after the April severe storms, straight-line winds, flooding, landslides and mudslides, you’ll receive a letter from FEMA in the mail or by email

This is your determination letter

The letter will explain your application status and how to respond

It is important to read the letter carefully because it will include the amount of any assistance FEMA may provide and information on the appropriate use of disaster assistance funds

If your letter says you are not currently eligible for assistance, this is not a denial

There are things you can do that may change that decision

Eligibility and Missing InformationYou may need to submit additional information or supporting documentation for FEMA to continue to process an application for financial assistance

Examples of missing documentation may include: Proof of insurance coverage

Settlement of insurance claims or denial letter from insurance provider

Proof of identity

Proof of occupancy

Proof of ownership

Proof that the damaged property was the applicant’s primary residence at the time of the disaster

How Can I Appeal FEMA’s Decision? The letter from FEMA will provide information on the types of documents or information that FEMA needs

It will also include an optional appeal form that you can use

Every applicant has the right to appeal a FEMA determination

If you feel the amount or type of assistance is incorrect, you may submit an appeal letter and any documents supporting your claim

You have 60 days from the date on your FEMA determination letter to send your appeal

You can submit your appeal and supporting documentation:Online at DisasterAssistance

gov, where you can create an account and upload documents

In-person at a Disaster Recovery Center

By mail: FEMA National Processing Service Center, P

O

Box 10055, Hyattsville MD 20782-7055

If you have questions about your letter, or disagree with the initial decision, call the disaster assistance helpline at 800-621-3362 to find out what information FEMA needs

You can also get help at a Disaster Recovery Center

Find the center nearest you: fema

gov/DRCRead more about your FEMA letter here

For more information about Kentucky flooding recovery, visit www

fema

gov/disaster/4860 and www

fema

gov/disaster/4864

Follow the FEMA Region 4 X account at x

com/femaregion4

martyce

allenjr
Wed, 05/14/2025 – 13:12

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA Glenn Showcases Stirling Engine Technology at Piston Powered Auto-Rama

Source: NASA

NASA Glenn Research Center’s work in power and propulsion was on full display at the Piston Powered Auto-Rama at the I-X Center in Cleveland, March 28-30. The event is the largest indoor showcase of cars, trucks, motorcycles, tractors, and other engine-powered vehicles.
Center staff introduced guests to NASA’s Stirling engine technology, a free-piston Stirling power convertor that set records for accomplishing 14 years of maintenance-free operation at NASA Glenn in 2020. Attendees also explored how NASA is using space nuclear power to reach the deepest, dustiest, darkest, and most distant regions of our solar system through radioisotope power systems.
More than 57,500 people attended the event.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Gov Pillen Joins Republican Governors in Recognizing Jewish American Heritage Month and Israel’s Independence Day

Source: US State of Nebraska

.

In addition to the joint statement, Gov. Pillen said: “Jewish people have had a strong and dynamic influence on Nebraska since its territorial beginnings and have made significant contributions across our state. We stand united in soundly rejecting all forms of antisemitism. I appreciate the partnerships we have fostered so far and look forward to strengthening the bond between Nebraska and Israel moving forward.”

Gov. Pillen will sign a proclamation recognizing Jewish American Heritage Month tomorrow.

In their statement, the Republican Governors wrote:

“As public servants and governors, we are proud to recognize May as Jewish American Heritage Month. We encourage all Americans to honor and celebrate the profound historical, cultural, and economic contributions of Jewish Americans who continue to enrich our communities and strengthen our nation. In our classrooms and at the kitchen table, we encourage our citizens to learn more about the strong heritage of our nation’s Jewish American community that has long been a part of our nation’s fabric, beginning with the Revolutionary War.

“The United States was proudly the first nation to recognize the State of Israel, cementing what has been an unbreakable bond for nearly 80 years. We reaffirm our continued, unwavering support for the nation of Israel and her people.

“We stand in solidarity with our nation’s Jewish community, and we condemn the rampant antisemitism, vile religious bigotry, and brutal terrorism that still festers in our country and across the globe.”

Signatories to the statement include: Governor Kay Ivey (AL), Governor Mike Dunleavy (AK), Governor Sarah Sanders (AR), Governor Ron DeSantis (FL), Governor Brian Kemp (GA), Governor Brad Little (ID), Governor Mike Braun (IN), Governor Kim Reynolds (IA), Governor Jeff Landry (LA), Governor Tate Reeves (MS), Governor Mike Kehoe (MO), Governor Greg Gianforte (MT), Governor Jim Pillen (NE), Governor Joe Lombardo (NV), Governor Kelly Ayotte (NH), Governor Kelly Armstrong (ND), Governor Mike DeWine (OH), Governor Kevin Stitt (OK), Governor Jenniffer González-Colón (PR), Governor Henry McMaster (SC), Governor Larry Rhoden (SD), Governor Bill Lee (TN), Governor Greg Abbott (TX), Governor Spencer Cox (UT), Governor Phil Scott (VT), Governor Glenn Youngkin (VA), Governor Patrick Morrisey (WV), and Governor Mark Gordon (WY).

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA Glenn Engineer Highlights Research for Hubble Servicing Missions

Source: NASA

April 24 marked the 35th anniversary of the launch of NASA’s Hubble Space Telescope. The iconic space observatory remains a household name —the most well-recognized and scientifically productive telescope in history. Engineers at NASA’s Glenn Research Center in Cleveland played a significant role in how the telescope functions today.

NASA Glenn researchers assisted in all five Hubble servicing missions by testing damaged insulation, determining why it degraded in space, and recommending replacement materials.

[embedded content]

One of those researchers, Kim de Groh, senior materials research engineer, shared some of that research in a special presentation at Great Lakes Science Center, home of the NASA Glenn Visitor Center, in Cleveland on May 8. She chronicled her Hubble experience with a presentation, a show-and-tell with samples directly from the telescope, and a Q&A addressing the audience’s Hubble-related questions.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Landmarks Illuminated on Buffalo Shooting Anniversary
Source: US State of New York

overnor Kathy Hochul today announced 15 State landmarks will be illuminated orange on the evening of May 14 to honor the lives taken and those impacted by the racially motivated mass shooting at Tops on Jefferson Avenue on May 14, 2022.

“As a daughter of Buffalo, my heart continues to break for our 10 neighbors that were senselessly taken away from us and the pain that was inflicted across this community,” Governor Hochul said. “Buffalo is tough and resilient, and as we reflect on that tragic day, I remain steadfast in my dedication to helping the East Buffalo community heal and ensuring the memory of those we lost and the lives impacted will never be forgotten.”

The following landmarks will be illuminated orange tonight:
- One World Trade Center
- Albany International Airport Gateway
- Alfred E. Smith State Office Building
- Empire State Plaza
- Fairport Lift Bridge over the Erie Canal
- Governor Mario M. Cuomo Bridge
- Grand Central Terminal – Pershing Square Viaduct
- Kosciuszko Bridge
- Moynihan Train Hall
- Niagara Falls
- State Education Building
- State Fairgrounds – Main Gate & Expo Center
- The H. Carl McCall SUNY Building
- The “Franklin D. Roosevelt” Mid-Hudson Bridge
- Walkway Over the Hudson State Historic Park
Governor Kathy Hochul, City of Buffalo Mayor Christopher P. Scanlon and members of the 5/14 Memorial Commission yesterday announced a major milestone for the permanent and living memorial to honor the lives affected by the 5/14 shooting. The 5/14 Memorial Commission identified 18 city-owned and privately-owned lots required for the construction of a permanent memorial, which have now been designated by the City of Buffalo for a unified site. The acquisition and designation of these parcels marks a critical step forward for the 5/14 Memorial Foundation Inc. to enter detailed phases of design, engineering, permitting and fundraising.

The 5/14 Memorial Commission, established in October 2022 by Governor Kathy Hochul and then-Mayor Byron W. Brown, unveiled the final design for the memorial, titled “Seeing Us,” on May 13, 2024. Designed by Jin Young Song and Douglass Alligood, the memorial features ten interconnected stone pillars inscribed with the names of the lives taken and survivors, each with a unique arc and height. A sweeping support building will serve as a central hub for education, exhibitions, community activities and events, with an elevated Memorial Walk on its roof. The design was selected through a comprehensive public engagement process, including community meetings and surveys.

MIL OSI USA News –
May 15, 2025
MIL-OSI USA: NASA Glenn Hosts Slovenian Delegation and Ohio Governor’s Office

Source: NASA

NASA’s Glenn Research Center in Cleveland hosted a delegation of Slovenian government officials and representatives from the Ohio Governor’s Office on April 11. NASA Glenn leadership provided the group with an overview of the center’s vital role within the agency. The delegation also visited key space-related and aeronautics facilities, including tours of the Zero Gravity Research Facility, Simulated Lunar Operations Laboratory, and Icing Research Tunnel.
Republic of Slovenia Minister of Defense Borut Sajovic and Ambassador of the Republic of Slovenia to the United States Iztok Mirosic headed the delegation. Joe Zeis, who is the senior advisor for Aerospace and Defense for the Office of the Governor, and Tobias Engel, who is with the Ohio Department of Development International Affairs, also attended.

The Slovenia Space Office — under the Ministry of the Economy, Industry, and Sport — coordinates Slovenia’s space activities within ESA (European Space Agency). Slovenia recently became a member state of ESA, enabling more international opportunities for Slovenian scientists and engineers. Last year, Slovenia joined the Artemis Accords, which provides a common set of principles to enhance the governance of the civil exploration and use of outer space, as the 39th participant.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Specialty NASA Glenn License Plates Available

Source: NASA

Ohio residents can now take their vehicle to new heights with a specialty license plate showcasing NASA’s Glenn Research Center in Cleveland.
It is available on the Ohio Bureau of Motor Vehicles (BMV) website under the “Special Interest Plates” section. Click the “Organizational Plates” drop-down tab for details on NASA Glenn’s plate.
The Ohio BMV will collect an additional $10 above the regular license plate fee. NASA will not receive any money from the sale.
NASA Glenn makes space exploration and aviation possible. This incredible work is happening right here in Northeast Ohio. The specialty license plate allows fans to show support for their community and Ohio’s NASA center.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA Glenn Shows Students Temperature-Cooling Technology

Source: NASA

Water is essential for life, and it is an important engineering tool as well. On March 21, NASA’s Glenn Research Center staff joined Great Lakes Science Center in celebrating World Water Day at the science center, home of the NASA Glenn Visitor Center, in downtown Cleveland. Staff conducted hands-on demonstrations highlighting NASA’s Liquid Cooling and Ventilation Garment during the free day for students.

This interactive activity helped students discover how NASA uses water to regulate the body temperatures of astronauts during spacewalks. 
Approximately 450 students and educators attended the event.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: President Donald J. Trump Approves Major Disaster Declaration for Arkansas

Source: US Federal Emergency Management Agency 2

ASHINGTON — FEMA announced that federal disaster assistance is available to the state of Arkansas to supplement recovery efforts in the areas affected by severe storms and tornadoes from March 14–15, 2025.
The President’s action makes federal funding available to affected individuals in Greene, Hot Spring, Independence, Izard, Jackson, Lawrence, Randolph, Sharp and Stone counties.
Assistance can include grants for temporary housing and home repairs, low-interest loans to cover uninsured property losses and other programs to help individuals and business owners recover from the effects of the disaster.
Roland W. Jackson has been named the Federal Coordinating Officer for federal recovery operations in the affected areas. Additional designations may be made at a later date if requested by the state and warranted by the results of further assessments.
Individuals and business owners who sustained losses in the designated areas can begin applying for assistance by registering online at www.DisasterAssistance.gov, by calling 1-800-621-3362 or by using the FEMA App. If you use a relay service, such as video relay service (VRS), captioned telephone service or others, provide FEMA the number for that service.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Statement on Certain Form N-PORT Data

Source: Securities and Exchange Commission

The staff of the Securities and Exchange Commission has determined that certain masked data fields on the publicly available reports on Form N-PORT submitted between Feb. 3, 2025, and May 8, 2025, were inadvertently made public on the SEC’s Electronic Data Gathering, Analysis and Retrieval (EDGAR) system. The unmasking occurred as a result of a software update effective Feb. 3, 2025. The masking error has been corrected and did not affect Form N-PORT filings made after May 8, 2025.

SEC staff has removed the affected data from the public EDGAR system as displayed on SEC.gov and all affected filers have been informed.

The Chairman has directed a comprehensive review of the EDGAR system.

MIL OSI USA News –

May 15, 2025

MIL-OSI USA: H.R. 1364, Automotive Support Services to Improve Safe Transportation Act of 2025

Source: US Congressional Budget Office

Bill Summary

H.R. 1364 would expand the types of adaptative equipment that the Department of Veterans Affairs (VA) can purchase for vehicles belonging to veterans who have received medical care from the department. The bill also would extend the reduction of pension payments for veterans and survivors who reside in Medicaid nursing homes.

Estimated Federal Cost

The estimated budgetary effects of H.R. 1364 are shown in Table 1. The bill would decrease net direct spending by $29 million and increase spending subject to appropriation by $26 million over the 2025‑2035 period. The costs of the legislation fall within budget functions 550 (health) and 700 (veterans benefits and services).

Table 1. Estimated Budgetary Effects of H.R. 1364
	By Fiscal Year, Millions of Dollars
	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2025-2030	2025-2035
	Increases or Decreases (-) in Direct Spending
Estimated Budget Authority	*	1	1	1	1	1	1	-39	1	1	2	5	-29
Estimated Outlays	*	1	1	1	1	1	1	-39	1	1	2	5	-29
	Increases in Spending Subject to Appropriation
Estimated Authorization	1	2	2	2	2	2	3	3	3	3	3	11	26
Estimated Outlays	1	2	2	2	2	2	3	3	3	3	3	11	26

Basis of Estimate

For this estimate, CBO assumes that H.R. 1364 will be enacted in fiscal year 2025 and that provisions will take effect upon enactment. CBO also estimates that outlays will follow historical spending patterns for affected programs.

Provisions That Affect Spending Subject to Appropriation and Direct Spending

Section 2 would expand the types of adaptative equipment that VA can purchase for the vehicles of eligible veterans who receive medical care at VA facilities. In addition to equipment that VA provides under its current policy, section 2 would authorize VA to provide kneeling systems. Those systems lower the side or rear of a vehicle to reduce the incline of a ramp, making it easier for people using wheelchairs or other mobility devices to access the vehicle. Using information from VA, CBO estimates that the department would purchase kneeling systems for roughly 55 veterans each year at a cost of about $63,000 on average, for a total of $37 million over the 2025‑2035 period.

Some of the veterans who would acquire kneeling systems under section 2 would be veterans who have been exposed to environmental hazards; thus, CBO expects that some of the costs of implementing the bill would be paid from the Toxic Exposures Fund (TEF) established by Public Law 117-168, the Honoring our PACT Act. The TEF is a mandatory appropriation that VA uses to pay for health care, disability claims processing, medical research, and information technology modernization that benefit veterans who were exposed to environmental hazards. Additional spending from the TEF occurs if legislation increases the costs of similar activities that benefit veterans with such exposure. Thus, in addition to increasing spending subject to appropriation, enacting section 2 would increase amounts paid from the TEF, which are classified as direct spending.

CBO projects that the proportion of costs paid by the TEF will grow over time based on the amount of formerly discretionary appropriations that CBO expects will be provided through the mandatory appropriation as specified in the Honoring our PACT Act. CBO estimates that over the 2025-2035 period, implementing section 2 would increase spending subject to appropriation by $26 million and direct spending by $11 million.

Direct Spending

In addition to expanding benefits that would partly be covered by the TEF, CBO estimates that enacting the bill would affect direct spending by reducing pension payments to veterans and survivors who reside in Medicaid nursing homes. In total, the bill would decrease net direct spending by $29 million over the 2025‑2035 period (see Table 2).

Under current law, VA reduces pension payments to veterans and survivors who reside in Medicaid nursing homes to $90 per month. That required reduction expires November 30, 2031. Section 3 would extend that reduction for ten months, through September 30, 2032. CBO estimates that extending that requirement would reduce VA benefits by $10 million per month. (Those benefits are paid from mandatory appropriations and are therefore considered direct spending.) As a result of that reduction in beneficiaries’ income, Medicaid would pay more of the cost of their care, increasing spending for that program by $6 million per month. Thus, enacting section 3 would reduce net direct spending by $40 million over the 2025-2035 period.

Table 2. Estimated Increases in Direct Spending Under H.R. 1364
	By Fiscal Year, Millions of Dollars
	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2025-2030	2025-2035
Adaptive Equipment
Estimated Budget Authority	*	1	1	1	1	1	1	1	1	1	2	5	11
Estimated Outlays	*	1	1	1	1	1	1	1	1	1	2	5	11
Pensions
Estimated Budget Authority	0	0	0	0	0	0	0	-40	0	0	0	0	-40
Estimated Outlays	0	0	0	0	0	0	0	-40	0	0	0	0	-40
Total Changes
Estimated Budget Authority	*	1	1	1	1	1	1	-39	1	1	2	5	-29
Estimated Outlays	*	1	1	1	1	1	1	-39	1	1	2	5	-29

Spending Subject to Appropriation

The discussion above in “Provisions That Affect Spending Subject to Appropriation and Direct Spending” describes the expansion of vehicle adaptations VA can purchase for eligible veterans after receiving medical care from the department. That expansion would increase spending subject to appropriation by $26 million over the 2025‑2035 period (see Table 3).

Table 3. Estimated Increases in Spending Subject to Appropriation Under H.R. 1364
	By Fiscal Year, Millions of Dollars
	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	2025-2030	2025-2035
Adaptive Equipment
Estimated Authorization	1	2	2	2	2	2	3	3	3	3	3	11	26
Estimated Outlays	1	2	2	2	2	2	3	3	3	3	3	11	26

Pay-As-You-Go Considerations

The Statutory Pay-As-You-Go Act of 2010 establishes budget-reporting and enforcement procedures for legislation affecting direct spending or revenues. The net changes in outlays that are subject to those pay-as-you-go procedures are shown in Table 2.

Increase in Long-Term Net Direct Spending and Deficits

CBO estimates that enacting H.R. 1364 would not increase net direct spending by more than $2.5 billion in any of the four consecutive 10-year periods beginning in 2036.

CBO estimates that enacting H.R. 1364 would not increase on‑budget deficits by more than $5 billion in any of the four consecutive 10-year periods beginning in 2036.

Mandates

The bill contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act.

Federal Costs: Paul B.A. Holland

Mandates: Brandon Lever

Estimate Reviewed By

David Newman
Chief, Defense, International Affairs, and Veterans’ Affairs Cost Estimates Unit

Kathleen FitzGerald
Chief, Public and Private Mandates Unit

Christina Hawley Anthony
Deputy Director of Budget Analysis

Phillip L. Swagel

Director, Congressional Budget Office

MIL OSI USA News –

May 15, 2025

MIL-OSI USA: ICE Tampa conducts worksite enforcement at rapidly expanding community, arrests 33 illegal aliens

Source: US Immigration and Customs Enforcement

WILDWOOD, Fla. — U.S. Immigration and Customs Enforcement, with the support of the Florida Highway Patrol, the Federal Bureau of Prison’s Coleman Federal Correctional Complex, and the U.S. Marshals Service arrested 33 illegal aliens May 13 during a targeted worksite enforcement operation at construction sites in one of the fastest growing communities in the nation located 20 miles south of Ocala.

The multiagency operation, directed by ICE Homeland Security Investigations Tampa, led to the arrest of 33 illegal aliens from Mexico, Honduras, and Guatemala. Four are charged with felony reentry after being previous removed from the United States. During the operation, more than 360 individuals were interviewed. As federal officers encountered construction workers, more than 30 could be seen fleeing from the construction sites.

“Worksite enforcement investigations are integral to uncovering many crimes, including unauthorized employment, document fraud, human smuggling, and sometimes human trafficking,” said ICE Homeland Security Investigations Tampa Assistant Special Agent in Charge Micah C. McCombs. “Following the president’s executive order, HSI Tampa will continue enforcing the immigration laws throughout the state of Florida to the fullest extent of the law.”

“State Troopers are proud to support ICE-HSI in their immigration enforcement efforts, and participate in all aspects of immigration enforcement operations,” said Florida Highway Patrol Executive Director Dave Kerner. “Florida Highway Patrol is committed to leading state efforts to enforce federal immigration law and ensuring Governor DeSantis’ immigration enforcement directives are faithfully executed.”

According to the U.S. Census Bureau, this central Florida region’s population rose nearly five percent to 151,565, making it the nation’s fastest-growing metro area from 2022 to 2023.

The main function of HSI’s worksite enforcement program is to assist the field in maintaining the integrity in the U.S. immigration system, ease pressure at the borders, promote self-compliance in the business community, and protect employment opportunities for the nation’s workforce.

HSI conducts investigations that target egregious worksite violators. These investigations lead to criminal, civil, or administrative judgments against employers who knowingly hire unauthorized workers. These actions seek to deter employers who hire unauthorized workers. Investigations often uncover multiple forms of criminal activity, such as human smuggling, document fraud, human rights abuses and other violations linked to the employment of unauthorized workers.

ICE officials have continually emphasized the agency’s continued focus to identifying public safety and national security threats. Individuals unlawfully present in the United States who are encountered during enforcement operations may be taken into custody and processed for removal in accordance with federal law.

Members of the public with information about suspected immigration violations or related criminal activity are encouraged to contact the ICE Tip Line at 866-DHS-2-ICE (866-347-2423) or submit information online via the ICE Tip Form.

For more information about ICE HSI Tampa and its efforts to enhance public safety in Florida, follow us on X at @HSITampa.

Learn more about worksite enforcement by visiting ICE’s Worksite Enforcement Investigations.

MIL OSI USA News –

May 15, 2025
MIL-OSI Video: President Trump motorcade is escorted into Lusail Palace for the Qatari State Dinner 🔥

Source: United States of America – The White House (video statements)

https://www.youtube.com/watch?v=26acPJgz_MA

MIL OSI Video –

May 15, 2025
MIL-OSI Security: Armed Career Criminal Sentenced to 30 Years in Federal Prison for Being a Felon in Possession of a Firearm and Possession with Intent to Distribute Marinjuana

Source: Office of United States Attorneys

LITTLE ROCK—Trevion Dickson, a multi-convicted felon who again illegally possessed guns and drugs, will spend the next 30 years in federal prison for being a felon in possession of a firearm and possession with intent to distribute marijuana. Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas, announced the 360-month total sentence, which was handed down today by United States District Judge Brian S. Miller.

A federal grand jury indicted Dickson, 43, of Pine Bluff, in an indictment on December 5, 2023. On February 6, 2025, Johnson pleaded guilty to being a felon in possession of a firearm and possession with intent to distribute marijuana. Judge Miller sentenced Dickson to 30 years on the firearm charge and five years on the drug charge, with the sentences to run concurrently.

On January 6, 2023, law enforcement officers from the White Hall Police Department were dispatched to an immobile vehicle revving its engine in the roadway. Dickson was standing next to the vehicle and upon questioning, Dickson fled from police on foot. He was later apprehended in a shed hiding behind a lawn mower and had to be physically restrained when officers attempted to take him into custody. At the time, Dickson had active felony warrants pending and was a parolee with a search waiver on file. Officers searched Dickson’s person and located methamphetamine, synthetic marijuana, marijuana, and alprazolam. During a search of Dickson’s vehicle officers located two sets of digital scales, marijuana, and a Smith & Wesson 9mm firearm.

Dickson has five previous felony cocaine convictions and two prior felony firearm convictions, as well as numerous other convictions. His criminal history classified him as an armed career criminal and enhanced his sentence.

Judge Miller also sentenced Dickson to three years’ supervised release. There is no parole in the federal system.

This case was investigated by DEA with assistance from the White Hall Police Department. This case was prosecuted by Assistant United States Attorney Stacy Williams.

# # #

Additional information about the office of the

United States Attorney for the Eastern District of Arkansas, is available online at

https://www.justice.gov/edar

X (formerly known as Twitter):

@USAO_EDAR

MIL Security OSI –

May 15, 2025
MIL-OSI USA: Organizing for our future

Source: US International Brotherhood of Boilermakers

We organize so that individual workers, through union representation, can bring their voices together and be heard.

Tim Simmons, International President

Unions exist to organize. Unions work because we organize. And unions organize, because it’s the only way for workers to hold companies’ feet to the fire and ensure safety, fair treatment, living wages and decent working conditions.

We organize so that individual workers, through union representation, can bring their voices together and be heard—so that through a collectively bargained, negotiated contract, management cannot ignore our voices.

Organizing is why workers at Doppelmayr OAC, who are now Local 549 Boilermakers, have a contract that includes yearly pay increases, medical premium payments and specifications on how reprimands are handled. Workers didn’t have those guarantees before. Organizing is why union Boilermakers at any industrial facility in the United States and Canada get a fair shake through defined and regimented grievance processes.

Organizing is why, in our Construction Sector Operations, all Boilermakers, no matter if they’re a man, woman or the best friend of a supervisor, go to work knowing their wages are fair and equal and knowing exactly what to expect on the job from the legally-binding contract that was agreed upon by our union and the contractors who employ them.

We like to think we’re a long way from the grim days before unions existed; when children as young as 10 years old labored in textile mills; when worn-to-the-bones men and women worked grueling hours in sweatshops for mere pennies. We like to think horrors like the disgusting working conditions in the 1900’s Chicago stockyards or New York City’s tragic Triangle Shirtwaist fire are a faraway past. But even today, left to their own moral standards, companies unfortunately continue to prove they’ll put greed and profit above human decency, let alone simply doing the right thing.

Just a year ago at Siemens Mobility in Sacramento, California, workers endured high temperatures and poor ventilation that was so extreme, some became ill. Siemens’ welders were paid less than the hourly wage of California McDonald’s workers.

The California Labor Federation reported revenue of $3 billion for Siemens Mobility.Yet, the company didn’t care about the inhumane working conditions, and they didn’t care that their workers—the very people they depend upon for the profits they enjoy—cannot afford the company-provided health insurance and sometimes work multiple jobs just to pay rent.

How does this happen in 2025 in the United States of America? Because the workers aren’t unionized. They don’t have a voice. You can read on page 12 about our efforts to organize Siemens workers. We didn’t win the votes this time—this time—but we’ve set a solid path for success, and we will not give up on the future these hard-working men and women deserve.

Organizing is a top priority in the work we do as a union. We know there are workers, like those at Siemens, who desperately need a union. It’s our duty as part of the labor movement and as Boilermakers to help them organize.

Even as we build power for the workers we represent, we also build our union’s power by joining more and more workers to amplify our unified Boilermaker voice. And as we make our Boilermaker voice louder, we make our Boilermaker future brighter.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Rep. Doggett Honors Austin Students Headed to Our Nation’s Military Service Academies
Source: United States House of Representatives – Congressman Lloyd Doggett (D-TX)

Contact: Alexis.Torres@mail.house.gov

Austin, Texas—Today, U.S. Representative Lloyd Doggett (D-Austin) honored 13 Austin students whom he nominated for our nation’s military service academies. In a highly competitive selection process, these students have been admitted to the U.S. Military, Air Force, and Naval Academies.

The students will receive a tuition-free education, which includes room and board, textbooks, and uniforms, as well as a guaranteed military job after graduation. A fully funded, four-year education at a military service academy is valued at upwards of $450,000.

“This is by far my largest number of nominees accepted for academy admission ever. It shows that Austin is home to many talented and determined students who have already demonstrated success in their studies and extracurricular activities. They are ready to serve our country and obtain the education and experience needed to become our next generation of leaders,” said Rep. Doggett. “Every year, I look forward to making these nominations to help a select group of young Austinites achieve their dreams. Young people, usually current high school juniors, wishing to be considered for our next year-end round of nominations should contact my office.”

The students and their parents were honored in a special ceremony in the historic LBJ Suite of the JJ Pickle Federal Building—President Lyndon B. Johnson’s Austin office, where he met with military and civilian leaders during his presidency.

Rep. Doggett’s nominees attending the U.S. Military Academy in West Point, NY:
- Tyler Letcher, a senior at Westlake High School
- Mary Teal, a senior at St. Dominic Savio Catholic High School
- Owen Baggish, a 2022 graduate of Westlake High School
Rep. Doggett’s nominees attending the U.S. Air Force Academy in Colorado Springs, CO:
- William Kugler, a senior at Westlake High School
- Paxton Seghi, an Air Force soccer recruit and senior at Westwood High School
- Maddox Brown, a 2024 graduate of Bowie High School and a NASA High School Aerospace Scholar
- Benjamin Brophy, an Air Force soccer recruit and senior at St. Michael’s Catholic Prep School
- Alexander Agrawal, a senior at St. Stephen’s Episcopal School
- Arun Gandhi, a senior at Bowie High School
- Ryan Gulandri, a senior at Bowie High School
Rep. Doggett’s nominees attending the U.S. Naval Academy in Annapolis, MD:
- Oscar Bednar, a senior at Anderson High School
- Angelina Gomez, a senior at Austin High School
- Trent Gray, a senior at Austin High School
MIL OSI USA News –
May 15, 2025
MIL-OSI USA: U.S. Secret Service Applications Jump 200% Since President Trump’s Inauguration

Source: US Federal Emergency Management Agency

Headline: U

S

Secret Service Applications Jump 200% Since President Trump’s Inauguration

ASHINGTON – Internal Department of Homeland Security (DHS) data shows a massive spike in applications to join the United States Secret Service (USSS)

From January 20, 2025, to May 1, 2025, USSS received over 22,000 applications to join its ranks

This is a 200% increase over the same period from 2024, where only 7,000 applied

This surge of applications comes as President Trump and Secretary Noem have put an end to DEI-based hiring practices in the Secret Service and across the Department

Secret Service officers are now being hired and promoted based on their merit

“For four years, the previous administration demoralized and denied resources to our brave men and women in law enforcement, including in the Secret Service,” said a DHS spokesperson

“We are reinvigorating the Secret Service and providing it with the resources our brave and women need to do their jobs

We are seeing a historic surge in applications

Americans want to protect and serve, and we simply must let them

”
These officers are charged with a no-fail mission, and that mission demands only the best of the best

Further, by putting an end to the distractions imposed upon them by political operatives in the previous administration, we have freed up the Secret Service to once again focus on its core mission of protecting the President

If you or someone you know is interested in joining the Secret Service, please go to https://www

secretservice

gov/careers to apply online

# # #

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA to Participate in Next Private Astronaut Mission Teleconference

Source: NASA

NASA will join a media teleconference hosted by Axiom Space at 10:30 a.m. EDT, Tuesday, May 20, to discuss the launch of Axiom Mission 4 (Ax-4), the fourth private astronaut mission to the International Space Station.
Briefing participants include:

Dana Weigel, manager, International Space Station Program, NASA
Allen Flynt, chief of mission services, Axiom Space
Sarah Walker, director, Dragon mission management, SpaceX
Sergio Palumberi, mission manager, ESA (European Space Agency)
Aleksandra Bukała, project manager, head of strategy and international cooperation, POLSA (Polish Space Agency)
Orsolya Ferencz, ministerial commissioner of space research, HUNOR (Hungarian to Orbit)

To join the call, media must register with Axiom Space by 12 p.m., Monday, May 19, at:
https://bit.ly/437SAAh
The Ax-4 launch aboard a SpaceX Dragon spacecraft on the company’s Falcon 9 rocket is targeted no earlier than 9:11 a.m., Sunday, June 8, from NASA’s Kennedy Space Center in Florida.
During the mission aboard the space station, a four-person multi-national crew will complete about 60 research experiments developed for microgravity in collaboration with organizations across the globe.
Peggy Whitson, former NASA astronaut and director of human spaceflight at Axiom Space, will command the commercial mission, while ISRO astronaut Shubhanshu Shukla will serve as pilot. The two mission specialists are ESA project astronaut Sławosz Uznański-Wiśniewski of Poland and Tibor Kapu of Hungary.
The first private astronaut mission to the station, Axiom Mission 1, lifted off in April 2022 for a 17-day mission aboard the orbiting laboratory. The second private astronaut mission to the station, Axiom Mission 2, also was commanded by Whitson and launched in May 2023 for eight days in orbit. The most recent private astronaut mission, Axiom Mission 3, launched in January 2024; the crew spent 18 days docked to the space station.
The International Space Station is a springboard for developing a low Earth economy. NASA’s goal is to achieve a strong economy off the Earth where the agency can purchase services as one of many customers to meet its science and research objectives in microgravity. NASA’s commercial strategy for low Earth orbit provides the government with reliable and safe services at a lower cost, enabling the agency to focus on Artemis missions to the Moon in preparation for Mars while also continuing to use low Earth orbit as a training and proving ground for those deep space missions.
Learn more about NASA’s commercial space strategy at:
https://www.nasa.gov/commercial-space
-end-
Claire O’SheaHeadquarters, Washington202-358-1100claire.a.o’shea@nasa.gov
Anna SchneiderJohnson Space Center, Houston281-483-5111anna.c.schneider@nasa.gov
Alexis DeJarnetteAxiom Space, Houstonalexis@axiomspace.com

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: NASA Observes First Visible-light Auroras at Mars

Source: NASA

On March 15, 2024, near the peak of the current solar cycle, the Sun produced a solar flare and an accompanying coronal mass ejection (CME), a massive explosion of gas and magnetic energy that carries with it large amounts of solar energetic particles. This solar activity led to stunning auroras across the solar system, including at Mars, where NASA’s Perseverance Mars rover made history by detecting them for the first time from the surface of another planet.

“This exciting discovery opens up new possibilities for auroral research and confirms that auroras could be visible to future astronauts on Mars’ surface.” said Elise Knutsen, a postdoctoral researcher at the University of Oslo in Norway and lead author of the Science Advances study, which reported the detection.
Picking the right aurora
On Earth, auroras form when solar particles interact with the global magnetic field, funneling them to the poles where they collide with atmospheric gases and emit light. The most common color, green, is caused by excited oxygen atoms emitting light at a wavelength of 557.7 nanometers. For years, scientists have theorized that green light auroras could also exist on Mars but suggested they would be much fainter and harder to capture than the green auroras we see on Earth.
Due to the Red Planet’s lack of a global magnetic field, Mars has different types of auroras than those we have on Earth. One of these is solar energetic particle (SEP) auroras, which NASA’s MAVEN (Mars Atmosphere and Volatile EvolutioN) mission discovered in 2014. These occur when super-energetic particles from the Sun hit the Martian atmosphere, causing a reaction that makes the atmosphere glow across the whole night sky.
While MAVEN had observed SEP auroras in ultraviolet light from orbit, this phenomenon had never been observed in visible light from the ground. Since SEPs typically occur during solar storms, which increase during solar maximum, Knutsen and her team set their sights on capturing visible images and spectra of SEP aurora from Mars’ surface at the peak of the Sun’s current solar cycle.
Coordinating the picture-perfect moment
Through modeling, Knutsen and her team determined the optimal angle for the Perseverance rover’s SuperCam spectrometer and Mastcam-Z camera to successfully observe the SEP aurora in visible light. With this observation strategy in place, it all came down to the timing and understanding of CMEs.
“The trick was to pick a good CME, one that would accelerate and inject many charged particles into Mars’ atmosphere,” said Knutsen.
That is where the teams at NASA’s Moon to Mars (M2M) Space Weather Analysis Office and the Community Coordinated Modeling Center (CCMC), both located at NASA’s Goddard Space Flight Center in Greenbelt, Maryland, came in. The M2M team provides real-time analysis of solar eruptions to the CCMC for initiating simulations of CMEs to determine if they might impact current NASA missions. When the simulations suggest potential impacts, the team sends out an alert.
At the University of California, Berkeley, space physicist Christina Lee received an alert from the M2M office about the March 15, 2024, CME. Lee, a member of the MAVEN mission team who serves as the space weather lead, determined there was a notable solar storm heading toward the Red Planet,which could arrive in a few days. She immediately issued the Mars Space Weather Alert Notification to currently operating Mars missions.
“This allows the science teams of Perseverance and MAVEN to anticipate impacts of interplanetary CMEs and the associated SEPs,” said Lee.
“When we saw the strength of this one,” Knutsen said, “we estimated it could trigger aurora bright enough for our instruments to detect.”
A few days later, the CME impacted Mars, providing a lightshow for the rover to capture, showing the aurora to be nearly uniform across the sky at an emission wavelength of exactly 557.7 nm. To confirm the presence of SEPs during the aurora observation, the team looked to MAVEN’s SEP instrument, which was additionally corroborated by data from ESA’s (European Space Agency) Mars Express mission. Data from both missions confirmed that the rover team had managed to successfully catch a glimpse of the phenomenon in the very narrow time window available.
“This was a fantastic example of cross-mission coordination. We all worked together quickly to facilitate this observation and are thrilled to have finally gotten a sneak peek of what astronauts will be able to see there some day,” said Shannon Curry, MAVEN principal investigator and research scientist at the Laboratory for Atmospheric and Space Physics (LASP) at the University of Colorado Boulder (CU Boulder).
The future of aurora on Mars
By coordinating the Perseverance observations with measurements from MAVEN’s SEP instrument, the teams could help each other determine that the observed 557.7 nm emission came from solar energetic particles. Since this is the same emission line as the green aurora on Earth, it is likely that future Martian astronauts would be able to see this type of aurora.
“Perseverance’s observations of the visible-light aurora confirm a new way to study these phenomena that’s complementary to what we can observe with our Mars orbiters,” said Katie Stack Morgan, acting project scientist for Perseverance at NASA’s Jet Propulsion Laboratory in Southern California. “A better understanding of auroras and the conditions around Mars that lead to their formation are especially important as we prepare to send human explorers there safely.”

More About Perseverance and MAVEN
The Mars 2020 Perseverance mission is part of NASA’s Mars Exploration Program portfolio and NASA’s Moon to Mars exploration approach, which includes Artemis missions to the Moon that will help prepare for human exploration of the Red Planet. NASA’s Jet Propulsion Laboratory, which is managed for the agency by Caltech, built and manages operations of the Perseverance rover.
The MAVEN mission, also part of NASA’s Mars Exploration Program portfolio, is led by LASP at CU Boulder. It’s managed by NASA’s Goddard Space Flight Center and was built and operated by Lockheed Martin Space, with navigation and network support from NASA’s JPL.
—
By Willow ReedLaboratory for Atmospheric and Space Physics (LASP), University of Colorado Boulder
Media Contact:
Karen Fox / Molly Wasser
Headquarters, Washington
202-358-1600
karen.c.fox@nasa.gov / molly.l.wasser@nasa.gov
Nancy N. JonesNASA’s Goddard Space Flight Center, Greenbelt, Md.
DC AgleJet Propulsion Laboratory, Pasadena, Calif.818-393-9011agle@jpl.nasa.gov

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Doggett, Schakowsky, Warren and Wyden Push Congressional Leadership to Reject Medicaid Cuts, Crack Down on Medicare Advantage Upcoding

Source: United States House of Representatives – Congressman Lloyd Doggett (D-TX)

Congressional Republicans’ current plan sets them up to slash hundreds of billions from Medicaid and CHIP; Lawmakers cite bipartisan support for cracking down on waste, fraud, and abuse in Medicare Advantage

Contact: Alexis.Torres@mail.house.gov

Washington, D.C. – As Congress considers reconciliation legislation, Representatives Lloyd Doggett (D-TX) and Jan Schakowsky (D-Ill.), along with Senator Elizabeth Warren (D-Mass.), Senator Ron Wyden (D-Ore.), Ranking Member of the Senate Finance Committee led their colleagues in writing to Speaker of the House Mike Johnson and Senate Majority Leader John Thune, urging them to crack down on waste, fraud, and abuse in Medicare Advantage (MA) instead of forging ahead with cuts to Medicaid.

“As Congress considers reconciliation legislation, we urge you to reject cuts to Medicaid, which are deeply unpopular and will rip away health care from millions of Americans,” wrote the lawmakers. “Where there is widespread agreement is the need to address waste, fraud, and abuse by private, for-profit insurance companies. We write to urge you to crack down on the growing threat to the Medicare program known as ‘upcoding.’”

Upcoding is the practice by which private insurers in Medicare Advantage exaggerate the medical diagnoses of their enrollees to secure higher payments from the federal government. This results in wasteful spending in Medicare, overcharging seniors and taxpayers while adding tens of billions in costs to the federal government. Analysis from the non-partisan Medicare Payment Advisory Committee (MedPAC) found that upcoding is expected to increase Medicare payments to private health insurance companies by an estimated 10 percent, or $40 billion, in 2025.

This waste, fraud, and abuse has been called out by both Democrats and Republicans. CMS Administrator Mehmet Oz even noted that tackling this fraud “is relatively enjoyable to go after, because … we have bipartisan support.” Senator Chuck Grassley (R-IA) has launched an inquiry into UnitedHealth’s billing practices in Medicare Advantage, and Senator Bill Cassidy (R-LA) supports the No UPCODE Act, which would ban some of the most aggressive forms of upcoding by private insurers in the program.

“The Wall Street Journal, MedPAC, Administrator Oz, and Congressional Republicans all seem to agree: wasteful spending in MA, driven by abusive upcoding practices, are a ‘more rational’ route to securing health care savings that will benefit the Medicare program and taxpayers,” continued the lawmakers. “Your directive to cut federal health care spending should come from reducing waste, fraud, and abuse like upcoding by for-profit insurance companies, not by cutting health care benefits for American families who rely on Medicaid to make ends meet.”

Nevertheless, Congressional Republicans are forging ahead with plans to slash hundreds of billions of dollars from Medicaid and the Children’s Health Insurance Program (CHIP) – which will put health and livelihoods at risk for the nearly 80 million Americans, including 37 million children, eight million people with disabilities, and seven million seniors covered by these programs

“If there is no course correction that protects Medicaid, tens of millions of Americans will be kicked off their health care,” wrote the lawmakers. “We urge you instead to listen to Administrator Oz and tackle real fraud, waste, and abuse by private, for-profit health insurers in MA.”

The letters were also signed by Representatives Hank Johnson (D-Ga.), Mark Pocan (D-Wis.), Adam Smith (D-Wash.), Ayanna Pressley (D-Mass.), Joaquin Castro (D-Texas), Rashida Tlaib (D-Mich.), Summer Lee (D-Pa.), Nydia Velazquez (D-N.Y.), Betty McCollum (D-Minn.), Al Green (D-Texas), John Garamendi (D-Calif.), Lateefah Simon (D-Calif.), Alexandria Ocasio-Cortez (D-N.Y.), Eleanor Homes Norton (D-D.C.), Raja Krishnamoorthi (D-Ill.), Pramila Jayapal (D-Wash.), Delia Ramirez (D-Ill.), Ilhan Omar (D-Minn.), Mark Takano (D-Calif.), Danny Davis (D-Ill.), Steve Cohen (D-Tenn.), Maxwell Frost (D-Florida), Chuy Garcia (D-Ill.), Sylvia Garcia (D-Texas), Greg Casar (D-Texas), Bonnie Watson Coleman (D-N.J.), Chris Deluzio (D-Pa.), Jill Tokuda (D-Hawaii), Val Hoyle (D-Ore.), Shri Thanedar (D-Mich.), Andre Carson (D-Ind.), Adriano Espaillat (D-N.Y.), Marcy Kaptur (D-Ohio), and Melanie Stansbury (D-N.M.), as well as Senators Bernie Sanders (D-Vt.), Tina Smith (D-Minn.), and Senator Jeff Merkley (D-Ore.).

The letters have been endorsed by the Center for American Progress, Center for Medicare Advocacy, Families USA, LeadingAge, P Street Project, Protect Our Care, and Public Citizen.

The full letter can be read here.

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Rep. Doggett’s Reaction to Trump’s Executive Order on Drug Prices

Source: United States House of Representatives – Congressman Lloyd Doggett (D-TX)

Contact: Alexis.Torres@mail.house.gov

Washington, D.C.—Today, U.S. Representative Lloyd Doggett (D-Texas), Ranking Member of the House Ways and Means Health Subcommittee, released the following statement:

“Rather than changing the law, Trump issues another press release that will offer consumers little or nothing. Begging Big Pharma to show some benevolence to the taxpayers and consumers, whom they continue to price gouge, will do nothing to assure access to affordable medications. As in his first term, Trump keeps talking big about drug prices but fails to accomplish anything. Simply by utilizing his existing authority to lower prices for drugs made possible through taxpayer research investments, as I have repeatedly urged, he could provide genuine relief to millions of Americans. And since Trump has failed to include real drug price relief this week in his ‘one big, beautiful bill,’ he could at least insist that House Republicans stop their continued attempt to weaken or repeal Medicare price negotiations.”

MIL OSI USA News –

May 15, 2025
MIL-OSI USA: Rep. Loudermilk Asks House Ways & Means to Make 1099-K Threshold Fix in Reconciliation Bill. – U.S. Representative Barry Loudermilk

Source: United States House of Representatives – Representative Barry Loudermilk (R-GA)

Washington D.C. (May 14, 2025) | Rep. Barry Loudermilk (GA-11) issued the following statement after he authored a letter to Ways and Means Committee Chair, Rep. Jason Smith, asking the committee to fix the American Rescue Plan Act (ARPA) IRS 1099-K threshold in the upcoming Tax Cuts and Jobs Act (TCJA) reauthorization.

“The American Rescue Plan Act was signed into law in March 2021. This was President Biden’s first reconciliation bill, including a pay-for that lowers the thresholds of reporting transactions on peer-to-peer payment platforms from $20,000 and 200 transactions to just $600 with no minimum transaction number. In practice, this lower threshold requires these platforms to report millions of untaxable transactions to the IRS, and the platforms have to provide a Form 1099-K to hundreds of thousands of people who do not need it. Additionally, this change would require people to keep detailed records of purchases or sales on items that need not be reported, which leads to over-reporting and overpaying, and in some cases could lead to an unwarranted audit. The ARPA change also threatens to delay processing for legitimate tax documents, leading to further delays and even greater backlogs at the agency.

“This provision is a gross example of federal overreach, and I am pleased that Chairman Smith has included this fix in the reconciliation bill. Returning to the pre-ARPA thresholds is a win for Americans and government efficiency.”

Here is a statement of support from the Coalition for 1099-K Fairness:

“The Coalition for 1099-K Fairness thanks Rep. Barry Loudermilk and the more than 20 members of Congress who sent a letter to Rep. Jason Smith, Chairman of the House Ways and Means Committee, encouraging him to return the 1099-K reporting threshold to $20,000. As the letter notes, the current, lower reporting requirement, creates unnecessary confusion for American taxpayers and could result in overpayment and unnecessary IRS scrutiny.

At a time of economic uncertainty, small business owners and consumers need policies that simplify their operations, not needless burdens.

We are grateful that Chairman Smith included this language in the Ways and Means Committee bill – which passed in Committee this week — to permanently increase the 1099-K reporting threshold and look forward to seeing this important change enacted into law later this year.”

Click here to read the full letter

MIL OSI USA News –

May 15, 2025

Category: Americas

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Congressional Republicans’ current plan sets them up to slash hundreds of billions from Medicaid and CHIP; Lawmakers cite bipartisan support for cracking down on waste, fraud, and abuse in Medicare Advantage