EON Resources Inc. Provides FAQ Responses in Advance of Earnings Call

HOUSTON, TX / ACCESS Newswire / October 27, 2026 / EON Resources Inc. (NYSE American:EONR) ("EON" or the "Company") is an independent upstream energy company with 20,000 leasehold acres in the Permian Basin with approximately 1.2 billion barrels of original oil in place. The management team routinely receives questions from the investor community. Accordingly, the Company is providing certain responses in advance of the second quarter earnings call.

What are the current production volumes from our waterflood programs? * The Grayburg-Jackson Field ("GJF") oilfield (without the San Andres horizontal drilling program oil production) is close to 900 barrels of oil per day ("BOPD") * Our South Justis Unit ("SJU") is close to 50 BOPD. This is down 100 BOPD overall due to heavy rains that impacted our power supply from the local utility. * Gas sales (which are only 2% of our revenue stream) are down due to curtailment from our midstream gas purchaser, because of plant maintenance. * We expect production to be back over 1000 BOPD. What is the status of drilling the horizontal wells in the San Andres zone of the GJF? * The San Andres farmout agreement includes an initial three-well drilling commitment under which EON receives a contractual carry through first production and delivery to the tanks, subject to the terms of the agreement. * To date, two horizontal wells have been successfully drilled and completed and are now producing into permanent production facilities. The Operator continues to evaluate well performance and will provide additional production updates when sufficient operating data is available. * The first horizontal well drilled under the program encountered an unexpected high-pressure water flow at shallow depths. Following successful well-control procedures, the Operator and EON agreed that plugging and abandoning the well was the prudent course of action. A substitute well is planned as part of the next phase of drilling anticipated in early 2027 and will be carried in accordance with the terms of the agreements. * The Operator has also advanced permitting activities for the 2027 development program and does not anticipate permitting to be a significant constraint on the pace of development. Future drilling activity will be governed by operational results, capital availability, regulatory approvals, service availability, and other customary development considerations. What is the expected production from the horizontal wells? * The two initial San Andres horizontal wells have been placed on production through newly installed permanent production facilities. The Operator is managing the initial production operations and monitoring well performance as completion and production fluids are recovered. The facilities operate as designed. The Operator continues to collect and evaluate production data to better understand the wells' performance characteristics and inform future development decisions. * While it is premature to establish reliable production expectations at this stage, the Company remains optimistic about the development potential of the San Andres formation. Meaningful production results will be communicated as sufficient operating data becomes available. Why the high cost of borrowing? * We borrowed money at 40% to 50% net effective interest rates. Most has already been paid back. There are several reasons the Company borrowed at these rates:* To be compliant with NMOCD regulations we needed capital to fix broken surface equipment and to repair idle wells. We could not wait for new wells to fund this work. * We also had no ability to use our ELOC due to our late SEC registrations, which prevent issuing an S-1 registration. When we have access to the ELOC again, like in the past, we only utilize in small increments as necessary to mitigate pressure on our stock price.