Company: CRK
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000950170-25-024783
Chunk: 90

Company: COMSTOCK RESOURCES INC
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1B
Chunk 90
---
 and oil wells and to dismantle and remove our production facilities is included in our reserve for future abandonment costs, which was $34.0 million as of December 31, 2024.

Prices for natural gas and oil have been highly volatile in recent years but we expect our natural gas production to increase, assuming we maintain a sufficient development program to offset expected production declines from our producing wells. The level of our drilling activity is dependent on natural gas prices. If we are unable to offset production declines with the new wells we plan to drill in 2025 and future periods, our production volumes and cash flows from our operating activities may not be sufficient to fund our capital expenditures, and thus, we may need to either curtail drilling activity or seek additional borrowings, which would result in an increase in our interest expense in 2025 and future periods. We may need to recognize impairments of our natural gas and oil properties if natural gas and oil prices decline, and as a result, the expected future cash flows from these properties become insufficient to recover their carrying value.

32

COMSTOCK RESOURCES, INC.

Results of Operations

Year Ended December 31, 2024 Compared to Year Ended December 31, 2023

Our operating data for the year ended December 31, 2024 and 2023 are summarized below:

    Year Ended December 31,

    2024

    2023

    (In thousands except per unit amounts)

    Net Production Data:

    Natural gas (MMcf)

    527,548

    524,467

    Oil (MBbls)

    50

    70

    Natural gas equivalent (MMcfe)

    527,847

    524,890

    Revenues:

    Natural gas sales
     
    $
    1,043,886

    $
    1,259,450

    Oil sales

    3,597

    5,161

    Total natural gas and oil sales
     
    $
    1,047,483

    $
    1,264,611

    Expenses:

    Production and ad valorem taxes
     
    $
    57,437

    $
    91,803

    Gathering and transportation
     
    $
    194,890

    $
    184,906

    Lease operating
     
    $
    130,504

    $
    132,203

    Exploration