Battalion Oil Corp

F:RAQB

Business Description

Sector

Energy

Industry

Energy

Headquarters

United States of America US

Employees

40

IPO date

Dec 19, 2019

Battalion Oil Corp is an independent oil and gas producer. It looks for and develops crude oil and natural gas reserves, mainly in U.S. shale basins such as the Delaware Basin in West Texas and New Mexico. Its business is about drilling wells, completing them, and then producing hydrocarbons from those properties over time.

The company sells the oil and gas it produces into the commodity market, so its cash flow depends on both production volumes and market prices. Its main customers are not end users but buyers in the energy supply chain, such as refiners, processors, and other commodity purchasers that take the output to market. Battalion makes money from selling produced barrels and gas volumes after covering the cost of finding, drilling, and operating wells.

What makes Battalion’s business model different is that it sits at the risky, capital-intensive upstream end of the energy industry. Instead of owning pipelines, refineries, or service stations, it owns mineral-producing assets and uses drilling expertise to turn underground reserves into saleable barrels. That means its value is tied closely to the quality of its acreage, drilling results, and the economics of extracting oil and gas from the ground.