Prairie Operating (PROP) presented its growth strategy and operational metrics at the EnerCom Denver conference on Tuesday, highlighting a shift from its cryptocurrency origins to a focused oil and gas producer. The company, incorporated as a public entity in 2023, has sold its crypto assets and now operates solely in the DJ Basin and Wattenberg Basin in Colorado.
The producer reported current production of approximately 27,000 net barrels of oil equivalent per day, with full-year 2025 guidance calling for 23,000 to 25,000 net barrels per day. For 2025, Prairie expects EBITDA of $180 million to $190 million, up from $193 million in the last twelve months, alongside capital expenditures of $185 million to $195 million. The company’s market capitalization stands at $80 million, with total debt to capital at 77% and revenue growth of 286% over the past year.
Prairie’s asset base includes 118 million barrels of oil equivalent in proved reserves, with 73% liquids and 50% of that total in crude oil. The company holds 70,000 net acres primarily in Weld County, Colorado, and maintains a drilling inventory of approximately 600 locations, sufficient for roughly 10 years at an annual pace of 60 wells per rig. An additional 150 locations have been identified within existing acreage, potentially expanding the inventory to 600–800 locations.
The company operates under a conservative model, deploying one rig and one frac crew in the Niobrara and Codell formations. Year-to-date, 27 wells have been drilled and completed, with a target of 40 wells for the full year. Prairie oversees over 550 producing wells and targets 6 to 12 wells per drilling spacing unit, including a 'wine rack' development plan featuring 12 Niobrara wells and 4 Codell wells per section. Average lateral lengths reach about 2 miles, with some 3-mile laterals in use.
Prairie maintains a rolling 24-month hedge position between $60 and $64 per barrel for proved developed producing reserves, though the company noted it is currently in a deficit position as market prices exceed these hedge levels. The company’s operational safety record remains strong, with a zero Total Recordable Incident Rate, supported by electrified drilling rigs, line power, and hybrid or full-electric completion equipment.
Leadership highlighted the company’s consolidation strategy within the Rockies, balancing capital deployment between drilling and acquisitions. Prairie has grown its headcount from 12 employees at inception to 72 at the time of the presentation.
