# EDGAR Filing Document

**Accession Number:** 0001705873
**File Stem:** 0001705873-25-000057
**Filing Date:** 2025-8
**Character Count:** 572557
**Document Hash:** 67d4d7ede039d48e4929945ef2447b1b
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001705873-25-000057.hdr.sgml**: 20250807

**ACCESSION NUMBER**: 0001705873-25-000057

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 85

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250807

**DATE AS OF CHANGE**: 20250807

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Berry Corp (bry)
- **CENTRAL INDEX KEY:** 0001705873
- **STANDARD INDUSTRIAL CLASSIFICATION:** CRUDE PETROLEUM & NATURAL GAS [1311]
- **ORGANIZATION NAME:** 01 Energy & Transportation
- **EIN:** 815410470
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38606
- **FILM NUMBER:** 251195070

**BUSINESS ADDRESS:**
- **STREET 1:** 16000 N. DALLAS PARKWAY, SUITE 500
- **CITY:** DALLAS
- **STATE:** TX
- **ZIP:** 75248
- **BUSINESS PHONE:** 214-453-2920

**MAIL ADDRESS:**
- **STREET 1:** 16000 N. DALLAS PARKWAY, SUITE 500
- **CITY:** DALLAS
- **STATE:** TX
- **ZIP:** 75248

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Berry Petroleum Corp
- **DATE OF NAME CHANGE:** 20170504

?xml version='1.0' encoding='ASCII'? bry-20250630

**UNITED STATES SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 10-Q**

☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the Quarterly Period Ended June 30, 2025** 

**OR**

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from_______________ to _______________**

**Commission file number 001-38606**

**Berry Corporation (bry)**

(Exact name of registrant as specified in its charter)

---

| | |
|:---|:---|
| **Delaware**<br>(State of incorporation or organization) | **81-5410470**<br>(I.R.S. Employer Identification Number) |

---

**16000 Dallas Parkway, Suite 500**

**Dallas, Texas 75248**

**(661) 616-3900**

(Address of principal executive offices, including zip code

Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of each class**<br>Common Stock, par value $0.001 per share | **Trading Symbol**<br>BRY | **Name of each exchange on which registered**<br>Nasdaq Global Select Market |

---

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒&nbsp;&nbsp;&nbsp;&nbsp;No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒&nbsp;&nbsp;&nbsp;&nbsp;No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer ☐ | Accelerated filer ☒ | Non-accelerated filer ☐ | Smaller reporting company ☐ |
| Emerging growth company ☐ | | | |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐&nbsp;&nbsp;&nbsp;&nbsp;No ☒

Shares of common stock outstanding as of July 31, 2025&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp; 77,601,401

------

**Table of Contents**

---

| | | |
|:---|:---|:---|
| | | **Page** |
| **<u>[Part I – Financial Information](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_10)</u>**  | **<u>[Part I – Financial Information](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_10)</u>**  | |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 1.</u> | <u>[Financial Statements](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_10)</u>  | |
|  | &nbsp;&nbsp;&nbsp;&nbsp;<u>[Condensed Consolidated Balance Sheets](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_13)</u> | <u>[1](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_13)</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;<u>[Condensed Consolidated Statements of Operations](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_16)</u> | <u>[2](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_16)</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;<u>[Condensed Consolidated Statements of Stockholders' Equity](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_19)</u> | <u>[3](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_19)</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;<u>[Condensed Consolidated Statements of Cash Flows](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_22)</u> | <u>[4](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_22)</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;<u>[Notes to Condensed Consolidated Financial Statements](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_25)</u> | <u>[5](#ide40b88e15fe455a80f0747bbcd34fce_4387)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 2.</u> | <u>[Management's Discussion and Analysis of Financial Condition and Results of Operations](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_94)</u> | <u>[22](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_94)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 3.</u> | <u>[Quantitative and Qualitative Disclosures About Market Risk](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_157)</u> | <u>[66](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_157)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 4.</u> | <u>[Controls and Procedures](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_160)</u> | <u>[67](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_160)</u> |
| **<u>[Part II – Other Information](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_163)</u>** | **<u>[Part II – Other Information](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_163)</u>** | |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 1.</u> | <u>[Legal Proceedings](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_166)</u> | <u>[68](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_166)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 1A.</u> | <u>[Risk Factors](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_169)</u> | <u>[68](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_169)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 2.</u> | <u>[Unregistered Sales of Equity Securities and Use of Proceeds and Issuer Purchases of Equity Securities](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_172)</u> | <u>[68](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_172)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 5.</u> | <u>[Other Information](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_184)</u> | <u>[69](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_184)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;<u>Item 6.</u> | <u>[Exhibits](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_190)</u> | <u>[70](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_190)</u> |
| | <u>[Glossary of Terms](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_193)</u> | <u>[71](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_193)</u> |
|  | <u>[Signatures](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_196)</u> | <u>[78](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_196)</u> |

---

The financial information and certain other information presented in this report have been rounded to the nearest whole number or the nearest decimal. Therefore, the sum of the numbers in a column may not conform exactly to the total figure given for that column in certain tables in this report. In addition, certain percentages presented in this report reflect calculations based upon the underlying information prior to rounding and, accordingly, may not conform exactly to the percentages that would be derived if the relevant calculations were based upon the rounded numbers, or may not sum due to rounding.

------

<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**PART I – FINANCIAL INFORMATION**

**Item 1. Financial Statements** 

**BERRY CORPORATION (bry)**

**CONDENSED CONSOLIDATED BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| | **(in thousands, except share amounts)** | **(in thousands, except share amounts)** |
| | Unaudited | |
| **ASSETS** |  |  |
| **Current assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $19728 | $15336 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restricted cash | 250 | 14700 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net of allowance for doubtful accounts of $655 at June 30, 2025 and December 31, 2024 | 70850 | 77630 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative instruments | 40059 | 4526 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other current assets | 27161 | 37451 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 158048 | 149643 |
| **Noncurrent assets:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil and natural gas properties | 2057912 | 1975456 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated depletion and amortization | (947312) | (735304) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total oil and natural gas properties, net | 1110600 | 1240152 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other property and equipment | 172350 | 171303 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accumulated depreciation | (106872) | (91075) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other property and equipment, net | 65478 | 80228 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes | 54793 | 26779 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative instruments | 29324 | 11697 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other noncurrent assets | 9872 | 9187 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $1428115 | $1517686 |
| **LIABILITIES AND EQUITY** |  |  |
| **Current liabilities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | $145393 | $133809 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative instruments |  | 7703 |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of long-term debt, net | 45000 | 45000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income taxes payable | 534 | 1368 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 190927 | 187880 |
| **Noncurrent liabilities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Long-term debt, net | 364602 | 384633 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes |  | 1612 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Asset retirement obligations | 179976 | 185283 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other noncurrent liabilities | 27669 | 27642 |
| **Commitments and Contingencies - Note 4** |  |  |
| **Stockholders' equity:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Common stock ($0.001 par value; 750,000,000 shares authorized; 89,600,013 and 88,942,805 shares issued; and 77,596,202 and 76,938,994 shares outstanding, at June 30, 2025 and December 31, 2024, respectively) | 90 | 89 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in-capital | 785333 | 787953 |
| &nbsp;&nbsp;&nbsp;&nbsp;Treasury stock, at cost (12,003,811 shares at June 30, 2025 and December 31, 2024, respectively) | (113768) | (113768) |
| &nbsp;&nbsp;&nbsp;&nbsp;(Accumulated deficit) retained earnings  | (6714) | 56362 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 664941 | 730636 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and stockholders' equity** | $1428115 | $1517686 |

---

*The accompanying notes are an integral part of these condensed consolidated financial statements.*

------

<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

**(Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>June 30,** | **Three Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| | **(in thousands, except per share amounts)** | **(in thousands, except per share amounts)** | **(in thousands, except per share amounts)** | **(in thousands, except per share amounts)** |
| **Revenues and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and natural gas liquids sales  | $125637 | $168781 | $273499 | $335099 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Services revenue | 22824 | 31155 | 46488 | 62838 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity sales | 4886 | 3691 | 9853 | 7934 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gains (losses) on oil and gas sales derivatives | 56423 | (5844) | 61898 | (77044) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing and other revenues | 308 | 1851 | 991 | 6887 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | 210078 | 199634 | 392729 | 335714 |
| **Expenses and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | 53193 | 53885 | 110475 | 115161 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Costs of services | 19001 | 25021 | 39826 | 52325 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity generation expenses | 624 | 586 | 1833 | 1679 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transportation expenses | 1225 | 1039 | 2164 | 2098 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing expenses | 345 | 1885 | 637 | 6275 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs | 310 | 1394 | 310 | 4011 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses | 20270 | 18881 | 40575 | 39115 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion, and amortization | 35294 | 42843 | 75686 | 85674 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties |  | 43980 | 157910 | 43980 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 12957 | 12674 | 22197 | 28363 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Losses (gains) on natural gas purchase derivatives | 3130 | 2642 | (2561) | 7123 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other operating expense (income) | 1365 | (3204) | 1766 | (3337) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses and other | 147714 | 201626 | 450818 | 382467 |
| **Other (expenses) income:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | (15513) | (10050) | (30685) | (19190) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other, net | (59) | (53) | 213 | (136) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other expenses | (15572) | (10103) | (30472) | (19326) |
| **Income (loss) before income taxes** | 46792 | (12095) | (88561) | (66079) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax expense (benefit)  | 13188 | (3326) | (25485) | (17226) |
| **Net income (loss)** | $33604 | $(8769) | $(63076) | $(48853) |
| **Net income (loss) per share:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | $0.43 | $(0.11) | $(0.81) | $(0.64) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | $0.43 | $(0.11) | $(0.81) | $(0.64) |

---

*The accompanying notes are an integral part of these condensed consolidated financial statements.*

------

<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY**

**(Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six-Month Period Ended June 30, 2024** | **Six-Month Period Ended June 30, 2024** | **Six-Month Period Ended June 30, 2024** | **Six-Month Period Ended June 30, 2024** | **Six-Month Period Ended June 30, 2024** |
| | **Common Stock** | **Additional Paid-in Capital** | **Treasury Stock** | **Retained Earnings** | **Total Stockholders' Equity** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **December 31, 2023** | $88 | $819157 | $(113768) | $52499 | $757976 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares withheld for payment of taxes on equity awards and other |  | (5257) |  |  | (5257) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation |  | 616 |  |  | 616 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuance of common stock | 1 |  |  |  | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends declared on common stock, $0.26/share |  | (24408) |  |  | (24408) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss |  |  |  | (40084) | (40084) |
| **March 31, 2024** | $89 | $790108 | $(113768) | $12415 | $688844 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation |  | 2118 |  |  | 2118 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends declared on common stock, $0.12/share |  | (9233) |  |  | (9233) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss |  |  |  | (8769) | (8769) |
| **June 30, 2024** | $89 | $782993 | $(113768) | $3646 | $672960 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six-Month Period Ended June 30, 2025** | **Six-Month Period Ended June 30, 2025** | **Six-Month Period Ended June 30, 2025** | **Six-Month Period Ended June 30, 2025** | **Six-Month Period Ended June 30, 2025** |
| | **Common Stock** | **Additional Paid-in Capital** | **Treasury Stock** | **Retained Earnings**<br>**(Accumulated Deficit)**  | **Total Stockholders' Equity** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **December 31, 2024** | $89 | $787953 | $(113768) | $56362 | $730636 |
| &nbsp;&nbsp;&nbsp;&nbsp;Shares withheld for payment of taxes on equity awards and other |  | (1322) |  |  | (1322) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation |  | 2571 |  |  | 2571 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuance of common stock | 1 |  |  |  | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends declared on common stock, $0.03/share |  | (3738) |  |  | (3738) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss |  |  |  | (96680) | (96680) |
| **March 31, 2025** | $90 | $785464 | $(113768) | $(40318) | $631468 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation |  | 2197 |  |  | 2197 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dividends declared on common stock, $0.03/share |  | (2328) |  |  | (2328) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income |  |  |  | 33604 | 33604 |
| **June 30, 2025** | 90 | 785333 | (113768) | (6714) | 664941 |

---

*The accompanying notes are an integral part of these condensed consolidated financial statements.*

------

<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(Unaudited)**

---

| | | |
|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** |
| **Cash flows from operating activities:** |  |  |
| Net loss | $(63076) | $(48853) |
| Adjustments to reconcile net loss to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion and amortization | 75686 | 85674 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of debt issuance costs | 3614 | 1393 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties | 157910 | 43980 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation expense | 4432 | 2375 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes | (29627) | (17951) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses | 1589 | 44 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total (gains) losses  | (64459) | 84167 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash settlements received (paid) on derivatives | 3596 | (28209) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Decrease in accounts receivable  | 6803 | 4927 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Decrease in other assets | 8691 | 5849 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Decrease in accounts payable and accrued expenses | (13420) | (47898) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in other liabilities | (17229) | 12666 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash provided by operating activities** | 74510 | 98164 |
| **Cash flows from investing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | (82638) | (59261) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in capital expenditures accruals | 28186 | 4147 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisitions, net of cash received |  | (6033) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of property and equipment and other | 520 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in investing activities** | (53932) | (61147) |
| **Cash flows from financing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayments on 2024 term loan | (22500) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings under 2024 revolver | 70000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayments on 2024 revolver | (70000) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings under former revolving credit facility |  | 342500 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayments on former revolving credit facility |  | (337500) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dividends paid on common stock | (6066) | (33641) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares withheld for payment of taxes on equity awards and other | (1322) | (5257) |
| &nbsp;&nbsp;&nbsp;&nbsp;Debt issuance cost | (748) | (1266) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in financing activities** | (30636) | (35164) |
| **Net (decrease) increase in cash and cash equivalents** | (10058) | 1853 |
| **Cash, cash equivalents and restricted cash:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning | 30036 | 4835 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ending | $19978 | $6688 |

---

*The accompanying notes are an integral part of these condensed consolidated financial statements.*

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<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS** 

**(Unaudited)**

**Note 1—Basis of Presentation**

"Berry Corp." refers to Berry Corporation (bry), a Delaware corporation, which is the sole member of each of its Delaware limited liability company subsidiaries: (1) Berry Petroleum Company, LLC ("Berry LLC"), which owns Macpherson Energy, LLC and its subsidiaries (collectively, "Macpherson Energy"); (2) CJ Berry Well Services Management, LLC ("C&J Management") and (3) C&J Well Services, LLC ("C&J," and, together with C&J Management, "CJWS"). As the context may require, "Berry," the "Company," "we," "our" or similar words in this report refer to Berry Corp., together with its and their subsidiaries, Berry LLC, C&J Management, and C&J.

*Nature of Business*

We are a value-driven western United States independent upstream energy company with a focus on onshore, low geologic risk, low decline, long-lived oil and gas reserves. We operate in two business segments: (i) exploration and production ("E&P") and (ii) well servicing and abandonment services. Our E&P assets are located in California and Utah, are characterized by high oil content and are predominantly located in rural areas with low population. Our California assets are in the San Joaquin Basin (100% oil), and our Utah assets are in the Uinta Basin (65% oil). We provide our well servicing and abandonment services to third party operators in California and our California E&P operations through CJWS.

*Principles of Consolidation and Reporting*

The condensed consolidated financial statements were prepared in conformity with U.S. generally accepted accounting principles ("GAAP"), which requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We eliminated all significant intercompany transactions and balances upon consolidation. For oil and gas E&P joint ventures in which we have a direct working interest, we account for our proportionate share of assets, liabilities, revenue, expense and cash flows within the relevant lines of the financial statements.

We prepared this report pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC") applicable to interim financial information, which permit the omission of certain disclosures to the extent they have not changed materially since the latest annual financial statements. We believe our disclosures are adequate to make the disclosed information not misleading. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of results for future periods. This Quarterly Report on Form 10-Q should be read in conjunction with the consolidated financial statements and the notes thereto in our Annual Report on Form 10-K for the year ended December 31, 2024.

*New Accounting Standards Issued, But Not Yet Adopted*

In December 2023, the FASB issued rules to enhance the annual income tax disclosure to address investors' request for more information regarding tax risks and opportunities present in an entity's operations related to the effective tax rate reconciliation and income taxes paid. The guidance is effective for fiscal periods beginning after December 15, 2024, with early adoption permitted for annual financial statements. We expect that the adoption of these rules will only impact our disclosures and have no impact on our results of operations, cash flows and financial condition. This guidance will result in additional disclosures for the Company beginning with our 2025 annual reporting.

In November 2024, the FASB issued new disclosure requirements to enhance disclosure of certain costs and expenses. The rules are effective for fiscal years beginning after December 15, 2026 and interim periods beginning after December 15, 2027, with early adoption permitted. We expect that the adoption of these rules will only impact our disclosures and have no impact on our results of operations, cash flows and financial condition. This guidance will result in additional disclosures for the Company beginning with our 2027 annual reporting and interim periods beginning in 2028.

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<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

*Income Taxes*

On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was enacted into law in the United States. The OBBBA includes significant provisions, including favorable changes to bonus depreciation and the business interest limitation. The Company is currently evaluating the impact of the new legislation but does not expect it to have a material impact on our 2025 results of operations.

*Reclassifications*

Certain reclassifications have been made to prior period amounts to conform with current period presentation. These reclassifications had no effect on the previously reported net income (loss), net income (loss) per share, operating cash flows, or statement of financial position.

**Note 2—Debt**

The following table summarizes our outstanding debt:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **June 30,<br>2025** | **December 31, <br>2024** | **Interest Rate** | **Maturity** | **Security** |
| | **(in thousands)** | **(in thousands)** | | | |
| **2024 Revolver**  | $— | $— | 8.82% (2025)<sup>(1)</sup><br>9.03% (2024)<sup>(1)</sup> | December 24, 2027 | Mortgage on 90% of Present Value of proven oil and gas reserves and lien on certain other assets |
| **2024 Term Loan** | 427500 | 450000 | 11.82% (2025) 11.84% (2024) | December 24, 2027 | Mortgage on 90% of Present Value of proven oil and gas reserves and lien on certain other assets |
| &nbsp;&nbsp;&nbsp;&nbsp;Less: Debt Issuance/Original Issue Discount Costs | (17898) | (20367) |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current Portion of Debt | (45000) | (45000) |  |  |  |
| **Long-Term Debt, net** | $364602 | $384633 |  |  |  |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Rates at June 30, 2025 and December 31, 2024 represent borrowing rates using the SOFR one-month option.

*Deferred Financing Costs*

We incurred legal and bank fees related to the issuance of debt. At June 30, 2025 and December 31, 2024, debt issuance costs, net of amortization, for the 2024 Revolver (defined below) reported in "other noncurrent assets" on the balance sheet were approximately $3 million and $4 million, respectively. At June 30, 2025 and December 31, 2024, debt issuance costs, net of amortization, for the 2024 Term Loan (defined below) reported in "Long-Term Debt, net" on the balance sheet were approximately $18 million and $20 million, respectively.

For the three month periods ended June 30, 2025 and 2024, the amortization expense was approximately $2 million and $1 million, respectively. For the six month periods ended June 30, 2025 and 2024, the amortization expense was approximately $4 million and $1 million, respectively. The amortization of debt issuance costs is presented in "interest expense" on the condensed consolidated statements of operations.

*Fair Value*

Our debt is recorded at the carrying amount on the balance sheets. The carrying amount of the 2024 Revolver approximates fair value because the interest rates are variable and reflect market rates. The fair value of the 2024 Term Loan was approximately $428 million and $450 million at June 30, 2025 and December 31, 2024, respectively. The 2024 Revolver and 2024 Term Loan are Level 2 in the fair value hierarchy.

*2024 Term Loan*

On November 6, 2024, the Company entered into a Senior Secured Term Loan Credit Agreement (the "Original Term Loan Agreement") among Berry Corp., as borrower, certain subsidiaries of Berry Corp., as guarantors, Breakwall Credit Management LLC, as administrative agent, and the lenders from time to time party thereto. On December 24, 2024, the Company entered into the First Amendment to the Credit Agreement, (the "Term Loan Amendment") among the Company, as borrower, certain of the Company's direct and indirect subsidiaries, as guarantors, the lenders party thereto and Breakwall Credit Management LLC, as administrative agent, which amended the Original Term Loan Agreement (the Original Term Loan Agreement, as amended by the Term Loan Amendment, the "2024 Term Loan").

The 2024 Term Loan provides for (i) an initial term loan facility in the aggregate principal amount of $450 million (the "Initial Term Loan") and (ii) a delayed draw term loan facility with commitments in an aggregate principal amount of up to $32 million (the "Delayed Draw Term Loan") which is available for borrowing until December 24, 2026, subject to satisfaction of certain customary conditions precedent, as further set forth in the 2024 Term Loan. We borrowed $450 million under the Initial Term Loan on December 24, 2024 to fund the redemption or repayment, as applicable, of $403 million of outstanding debt; to fund a portion of the costs and expenses associated with the execution of the 2024 Revolver, 2024 Term Loan, and the termination of our former revolving debt facilities; and for other general corporate purposes. The commitments under the Delayed Draw Term Loan will be reduced, on a dollar-for-dollar basis, by any increase in the commitments under the 2024 Revolver. We had not borrowed any amounts under the Delayed Draw Term Loan as of June 30, 2025.

The 2024 Term Loan has an initial maturity date of December 24, 2027, unless terminated earlier in accordance with the terms of the 2024 Term Loan, which may be extended by up to two one-year increments subject to payment of extension fees and satisfaction of certain other customary conditions. The loans under the 2024 Term Loan are available to us for general corporate purposes, including working capital.

Loans under the 2024 Term Loan bear interest at a rate per annum equal to, at our option, either (a) a customary base rate (subject to a floor of 4.00%) plus an applicable margin of 6.50% or (b) a term SOFR reference rate (subject to a floor of 3.00%) plus an applicable margin of 7.50%. Interest on base rate borrowings is payable quarterly in arrears and interest on term SOFR borrowings accrues in respect of interest periods of one, three or six months, at the election of the borrower, and is payable on the last day of such interest period (or, for interest periods of six months, three months after the commencement of such interest period and at the end of such interest period). If an Event of Default (as defined in the 2024 Term Loan) exists and is continuing, upon the election of the Majority Lenders (as defined in the 2024 Term Loan) under the 2024 Term Loan, or automatically without such election, in the case of a bankruptcy, insolvency, or payment Event of Default, all amounts outstanding under the 2024 Term Loan will bear interest at 2.00% per annum above the rate and margin otherwise applicable thereto (it being understood that such Majority Lenders may elect for the application of default interest to commence on any date that is on or after the occurrence of such Event of Default while such Event of Default is continuing). Quarterly debt service payments of an amount equal to the sum of 2.50% of the sum of (a) the face value of the Initial Term Loan and (b) the aggregate amount of delayed draws made from the Delayed Draw Term Loan, which quarterly debt service payments began in March 2025. We have the right to repay any amounts borrowed prior to the maturity date of the 2024 Term Loan (i) without any premium for any optional prepayment made on or prior to December 24, 2026 and (ii) thereafter, subject to a concurrent premium payment of 2.75% of the principal amount being repaid.

The 2024 Term Loan contains certain financial covenants, including (a) a minimum liquidity of $25 million as of the last day of any calendar month, (b) a total net leverage ratio that may not exceed 2.5 to 1.0 as of the last day of any fiscal quarter and (c) an asset coverage ratio that may not be less than 1.3 to 1.0 as of the last day of any fiscal quarter, in each case, as more fully described in the 2024 Term Loan. We were in compliance with all applicable financial covenants under the 2024 Term Loan as of June 30, 2025.

The 2024 Term Loan also contains other restrictive covenants that limit the ability of the Company and its subsidiaries to, among other things, pay dividends or prepay other debt, make investments and loans, enter into mergers and acquisitions, sell assets, incur additional indebtedness, incur additional liens, enter into certain hedging transactions, engage in transactions with affiliates and make certain capital expenditures. The 2024 Term Loan permits us to pay dividends and repurchase equity interests up to an annual cap, subject to, among other things, pro forma compliance with our financial covenants.

In addition, the 2024 Term Loan is subject to customary events of default, including a change in control (which change of control event of default is subject to a carve-out for no decline in the Company's corporate credit rating). If an event of default occurs and is continuing, subject to customary cure rights, the administrative agent or the majority lenders may accelerate any amounts outstanding, terminate lender commitments and/or exercise other remedies against any collateral.

In addition, the 2024 Term Loan is guaranteed by the Company and all of its wholly owned material subsidiaries and is secured by a first lien security interest in substantially all assets of the Company and of its wholly owned material subsidiaries, subject to permitted liens. The 2024 Term Loan is also required to be guaranteed by, and secured with substantially all assets of, certain future wholly-owned material subsidiaries of the Company that we may form or acquire. The lenders under the 2024 Term Loan hold a mortgage lien on at least 90% of the present value of our proven oil and gas reserves.

As of June 30, 2025, we had approximately $428 million of borrowings outstanding under the 2024 Term Loan and $32 million of available commitments, but no borrowings outstanding, under the Delayed Draw Term Loan.

*2024 Revolver*

On December 24, 2024, the Company entered into a Senior Secured Revolving Credit Agreement (the "2024 Revolver") among Berry Corp., certain subsidiaries of Berry Corp., as guarantors, the lenders from time to time party thereto and Texas Capital Bank, as administrative agent. The 2024 Revolver provides for a revolving credit facility of up to the least of (i) the maximum commitments of $500 million, (ii) the then-effective borrowing base, which was equal to $95 million as of June 30, 2025, and (iii) the aggregate elected commitment amount, which was equal to $63 million as of June 30, 2025. The aggregate commitments under the 2024 Revolver include a $30 million sublimit for the issuance of letters of credit (with borrowing availability being reduced by the face amount of any letters of credit issued under the subfacility). The borrowing base will be redetermined by the lenders at least semi-annually on or about May 1 and November 1 of each year, beginning May 2025. We may increase elected commitments under the 2024 Revolver to the amount of our borrowing base with applicable lender approval. Any such increase above the elected commitments in effect as of December 26, 2024 will result in a dollar-for-dollar reduction in commitments under the 2024 Term Loan.

The 2024 Revolver matures on December 24, 2027, unless terminated earlier in accordance with the terms of the 2024 Revolver. The loans under the 2024 Revolver are available to us for general corporate purposes, including working capital.

The outstanding borrowings under the 2024 Revolver bear interest at a rate per annum equal to, at our option, either (a) a customary base rate (subject to a floor of 1.00%) plus an applicable margin of 3.50% or (b) a term SOFR reference rate plus 0.10% (subject to a floor of 2.00%) plus an applicable margin of 4.50%. Interest on base rate borrowings is payable quarterly in arrears and interest on term SOFR borrowings accrues in respect of interest periods of one, three or six months, at the election of the borrower, and is payable on the last day of such interest period (or, for interest periods of six months, three months after the commencement of such interest period and at the end of such interest period). If an Event of Default (as defined in the 2024 Revolver) exists and is continuing, upon the election of the Majority Lenders (as defined in the 2024 Revolver) under the 2024 Revolver, or automatically without such election, in the case of a bankruptcy, insolvency, or payment default, all amounts outstanding under the 2024 Revolver will bear interest at 4.50% per annum above the rate and margin otherwise applicable thereto (it being understood that such Majority Lenders may elect for the application of default interest to commence on any date that is on or after the occurrence of such Event of Default while such Event of Default is continuing).

The 2024 Revolver contains certain financial covenants, including (a) minimum liquidity of $25 million as of the last day of any calendar month, (b) a total net leverage ratio that may not exceed 2.5 to 1.0 as of the last day of any fiscal quarter and (c) an asset coverage ratio that may not be less than 1.3 to 1.0 as of the last day of any fiscal quarter, in each case, as more fully described in the 2024 Revolver. We were in compliance with all applicable financial covenants under the 2024 Revolver as of June 30, 2025.

The amount we are able to borrow with respect to the borrowing base under the 2024 Revolver is subject to compliance with the financial covenants and other provisions of the 2024 Revolver, including that the Consolidated Cash Balance (as defined in the 2024 Revolver) does not exceed $35 million at the time of and after giving effect to such borrowing and the use of proceeds thereof. In addition, the 2024 Revolver provides that if there are any outstanding borrowings thereunder and the Consolidated Cash Balance exceeds $35 million at the end of the last business day of any calendar month, such excess amounts shall be used to prepay borrowings under the 2024 Revolver.

The 2024 Revolver contains other restrictive covenants that limit the ability of the Company and its subsidiaries to, among other things, pay dividends or prepay other debt, make investments and loans, enter into mergers and acquisitions, sell assets, incur additional indebtedness, incur additional liens, enter into certain hedging transactions, engage in transactions with affiliates and make certain capital expenditures. The 2024 Revolver permits us to pay dividends and repurchase equity interests up to an annual cap, subject to, among other things, pro forma compliance with our financial covenants.

In addition, the 2024 Revolver is subject to customary events of default, including a change in control (which change of control event of default is subject to a carve-out for no decline in the Company's corporate credit rating). If an event of default occurs and is continuing, subject to customary cure rights, the administrative agent or the majority lenders may accelerate any amounts outstanding and terminate lender commitments and exercise remedies against any collateral.

The 2024 Revolver is guaranteed by the Company and all of its wholly owned material subsidiaries and is secured by a first lien security interest in substantially all assets of the Company and of its wholly owned material subsidiaries, subject to permitted liens. The 2024 Revolver is also required to be guaranteed by, and secured with substantially all assets of, certain future wholly-owned material subsidiaries of the Company that we may form or acquire. The lenders under the 2024 Revolver hold a mortgage lien on at least 90% of the present value of our proven oil and gas reserves.

As of June 30, 2025, we had no borrowings outstanding, $14 million of letters of credit outstanding, and approximately $49 million of available borrowing capacity under the 2024 Revolver.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

**Note 3—Derivatives**

We utilize derivatives, such as swaps, puts, calls and collars, to hedge a portion of our forecasted oil and gas production and gas purchases to reduce exposure to fluctuations in oil and natural gas prices, which addresses our market risk. In addition to satisfying the oil sales and gas purchase hedging requirements of the 2024 Term Loan and the 2024 Revolver, which specifies the volume and types of our hedges, we target covering a significant portion of our anticipated costs, with the oil sales hedges generally for a period of at least three years out and gas purchase hedges for a period of at least 18 months out. At times, we will hedge beyond these periods when strike prices appear to satisfy anticipated costs in those years. We have also entered into gas transportation contracts to help reduce the price fluctuation exposure of our gas purchases used in our steam operations; however these do not qualify as hedges. We also, from time to time, have entered into agreements to purchase a portion of the natural gas we require for our operations, which we do not record at fair value as derivatives because they qualify for normal purchases and normal sales exclusions. We had no such transactions in the periods presented.

The 2024 Revolver and 2024 Term Loan each requires us to maintain commodity hedges which are Existing Swaps (as defined in the 2024 Term Loan), or are otherwise in the form of fixed price swaps (at market prices) or costless collars, on minimum notional volumes of (i) at least 75% of our reasonably projected production of crude oil from our PDP reserves, for each month during the twenty-four calendar month period immediately following December 24, 2024, and (ii) at least 50% of our reasonably projected production of crude oil from our PDP reserves, for each month during the twenty-fifth through thirty-sixth calendar month period following December 24, 2024. The 2024 Revolver and 2024 Term Loan each also requires us to maintain commodity hedges in the form of fixed price swaps (at market prices), costless collars, certain other collars or put options meeting conditions described in the 2024 Revolver and 2024 Term Loan, or, with respect to the Existing Swaps, in the form of the Existing Swaps as of the effective date of the 2024 Term Loan, on minimum notional volumes, of (i) at least 75% of our reasonably projected production of crude oil from our PDP reserves, for each month during a rolling period of twenty-four calendar months commencing with the end of the then next upcoming month from the relevant minimum hedging test date, and (ii) at least 50% of our reasonably projected production of crude oil from our PDP reserves, for each month during a rolling period of twelve months commencing with the end of the twenty-fifth month from the relevant minimum hedging test date. In addition, the 2024 Revolver and 2024 Term Loan each requires us to maintain hedges in respect of purchases of natural gas for fuel in respect of 40,000 mmbtu of natural gas for fuel for each day (a) during the 18 calendar month period immediately following December 24, 2024 and (b) during the 18 calendar month period commencing with the end of the next upcoming month after the applicable minimum hedging test date.

In addition to the minimum hedging requirements and other restrictions in respect of hedging described therein, each of the 2024 Revolver and 2024 Term Loan contains restrictions on our commodity hedging which prevent us from entering into hedging agreements (i) with a tenor exceeding 60 months or (ii) for notional volumes which (when netted and aggregated with other hedges then in effect) exceed, as of the date such hedging agreement is executed, 90% of our reasonably projected production of crude oil, natural gas and natural gas liquids, calculated separately, from our PDP reserves, for each month following the date such hedging agreement is entered into, provided that each of the 2024 Revolver and 2024 Term Loan provides that the Company may enter into additional commodity hedges pertaining to oil and gas properties to be acquired, subject to the requirements set forth in the 2024 Revolver and 2024 Term Loan.

*Oil Sales Hedges*

For fixed-price sales swaps, we are the seller, so we make settlement payments for prices above, and conversely collect settlement receipts for prices below, the indicated weighted-average price per bbl.

A Brent collar is used for the sale of crude production and is the combination of selling a call option and buying a put option. We would make settlement payments for prices above the weighted-average price of the call option and we would receive settlement payments for prices below the weighted-average price of the put option. No payment would be made or received for prices between the call and put's weighted-average price per barrel, other than any applicable deferred premium.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

For our purchased puts, we would receive settlement payments for prices below the weighted-average price per barrel, net of any deferred premium. No payment would be made or received for prices above the weighted-average price per barrel, other than any applicable deferred premium.

*Gas Purchase Hedges*

For fixed-price gas purchase swaps, we are the buyer, so we make settlement payments for prices below the weighted-average price per mmbtu and receive settlement payments for prices above the weighted-average price per mmbtu.

*Other Hedge Information*

For some of our options we paid or received a premium at the time the positions were created and for others, the premium payment or receipt is deferred until the time of settlement. As of June 30, 2025, we have no net premium assets.

We use oil and gas production hedges to protect our sales against decreases in oil and gas prices. We use natural gas purchase hedges to protect our natural gas purchases against increases in prices. We do not enter into derivative contracts for speculative trading purposes and have not accounted for our derivatives as cash-flow or fair-value hedges. The changes in fair value of these instruments are recorded in current earnings. Gains (losses) on oil and gas sales hedges are classified in the revenues and other section of the statement of operations, while natural gas purchase hedges are included in expenses and other section of the statement of operations.

As of June 30, 2025, we had the following crude oil production and gas purchase hedges.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Q3 2025** | **Q4 2025** | **FY 2026** | **FY 2027** | **FY 2028** |
| **<u>Brent - Crude Oil production</u>** | | | | | |
| &nbsp;&nbsp;**Swaps** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (bbls) | 1613083 | 1610000 | 5382518 | 3718000 | 1930500 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mbbls) per day | 17.5 | 17.5 | 14.7 | 10.2 | 5.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average price ($/bbl) | $74.48 | $74.69 | $69.71 | $69.48 | $67.69 |
| &nbsp;&nbsp;**Collars** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (bbls) |  |  | 90000 | 364000 | 106000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mbbls) per day |  |  | 0.2 | 1.0 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average ceiling ($/bbl) | $— | $— | $82.25 | $72.58 | $67.67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average floor ($/bbl) | $— | $— | $60.00 | $62.50 | $60.00 |
| **<u>NWPL - Natural Gas purchases</u>**<sup>(1)</sup> |  |  |  |  |  |
| &nbsp;&nbsp;**Swaps** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mmbtu) | 3680000 | 3680000 | 14600000 | 12160000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mmbtu) per day | 40.0 | 40.0 | 40.0 | 33.3 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average price ($/mmbtu) | $4.29 | $4.15 | $3.97 | $4.18 | $— |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The term "NWPL" is defined as Northwest Rocky Mountain Pipeline and represents the index used for these gas purchase hedges.

In addition to the table above, in July 2025, we added the following sold oil swaps (Brent) for each of the following years: approximately 500 bbl/d at $65.50 for 2027 and approximately 300 bbl/d at $65.83 for 2028.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

Our commodity derivatives are measured at fair value using industry-standard models with various inputs including publicly available underlying commodity prices and forward curves, and all are classified as Level 2 in the required fair value hierarchy for the periods presented. These commodity derivatives are subject to counterparty netting. The following tables present the fair values (gross and net) of our outstanding derivatives as of June 30, 2025 and December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **Balance Sheet<br>Classification** | **Gross Amounts<br>Recognized at Fair Value** | **Gross Amounts Offset<br> in the Balance Sheet** | **Net Fair Value Presented <br>in the Balance Sheet** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Current assets | $49765 | $(9706) | $40059 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Non-current assets | 40218 | (10894) | 29324 |
| Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Current liabilities | (9706) | 9706 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Non-current liabilities | (10894) | 10894 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total derivatives |  | $69383 | $— | $69383 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Balance Sheet<br>Classification** | **Gross Amounts<br>Recognized at Fair Value** | **Gross Amounts Offset<br> in the Balance Sheet** | **Net Fair Value Presented <br>in the Balance Sheet** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Current assets | $14691 | $(10165) | $4526 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Non-current assets | 25435 | (13738) | 11697 |
| Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Current liabilities | (17868) | 10165 | (7703) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commodity Contracts | Non-current liabilities | (13738) | 13738 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total derivatives |  | $8520 | $— | $8520 |

---

By using derivative instruments to economically hedge exposure to changes in commodity prices, we expose ourselves to credit risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes us, which creates credit risk. We do not receive collateral from our counterparties.

We minimize the credit risk in derivative instruments by limiting our exposure to any single counterparty. In addition, our 2024 Term Loan and 2024 Revolver prevent us from entering into hedging arrangements that are secured, except with our lenders and their affiliates, or with a non-lender counterparty that does not have an A or A2 credit rating or better from Standard & Poor's or Moody's, respectively. In accordance with our standard practice, our commodity derivatives are subject to counterparty netting under agreements governing such derivatives which partially mitigates the counterparty nonperformance risk.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

*Gains (Losses) on Derivatives*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended**<br>**June 30,** | **Three Months Ended**<br>**June 30,** | **Six Months Ended**<br>**June 30,** | **Six Months Ended**<br>**June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Realized gains (losses) on commodity derivatives:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Realized gains (losses) on oil sales derivatives | $8593 | $(9801) | $8757 | $(14483) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Realized losses on natural gas purchase derivatives | (7698) | (9314) | (9174) | (13726) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total realized gains (losses) on derivatives | $895 | $(19115) | $(417) | $(28209) |
| **Unrealized gains (losses) on commodity derivatives:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized gains (losses) on oil sales derivatives | $47830 | $3957 | $53141 | $(62561) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized gains on natural gas purchase derivatives | 4568 | 6672 | 11735 | 6603 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total unrealized gains (losses) on derivatives | $52398 | $10629 | $64876 | $(55958) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total gains (losses) on derivatives | $53293 | $(8486) | $64459 | $(84167) |

---

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<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

**Note 4—Commitments and Contingencies**

In the normal course of business, we, or our subsidiaries, are the subject of, or party to, pending or threatened legal proceedings, contingencies and commitments involving a variety of matters that seek, or may seek, among other things, compensation for alleged personal injury, breach of contract, false claims, property damage or other losses, punitive damages, fines and penalties, remediation costs, or injunctive or declaratory relief.

We accrue reserves for currently outstanding lawsuits, claims and proceedings when it is probable that a liability has been incurred and the liability can be reasonably estimated. Reserve balances for these items at June 30, 2025 and December 31, 2024 were not material to our consolidated financial position or results of operations as of such dates. We also evaluate the amount of reasonably possible losses that we could incur as a result of these matters. We believe that reasonably possible losses that we could incur in excess of accruals on our balance sheet would not be material to our consolidated financial position or results of operations.

We, or our subsidiaries, or both, have indemnified various parties against specific liabilities those parties might incur in the future in connection with transactions that they have entered into with us. As of June 30, 2025, we are not aware of material indemnity claims pending or threatened against us.

*Securities Litigation Matters*

There have been no material updates to the securities litigation matters described in our Annual Report. See "Note 5, Commitments and Contingencies" in the notes to the consolidated financial statements in Part II—Item 8. "Financial Statements and Supplementary Data" in our Annual Report for details. As of June 30, 2025, we are currently unable to estimate the probability of the outcome of these matters or the range of reasonably possible loss that may be related to these matters.

*Commitments*

As of June 30, 2025, we have entered into contracts to purchase GHG compliance instruments totaling $11 million, of which $8 million was delivered and paid in July 2025. The remaining amount of $3 million will be delivered and paid in the fourth quarter of 2025.

**Note 5—Stockholders' Equity**

*Cash Dividends*

In March 2025, our Board of Directors declared a cash dividend of $0.03 per share, which was paid in April 2025. In May 2025, the Board of Directors declared a cash dividend of $0.03 per share, which was paid in May 2025. In August 2025, the Board of Directors approved a cash dividend of $0.03 per share, which is expected to be paid in August 2025.

The Company anticipates that it will continue to pay quarterly cash dividends in the future. However, the payment and amount of future dividends remain within the discretion of the Board of Directors and will depend upon the Company's future earnings, financial condition, capital requirements, and other factors.

*Stock Repurchase Program*

The manner, timing and amount of any purchases of the Company's common stock will be determined based on our evaluation of market conditions, stock price, compliance with outstanding agreements and other factors. Purchases may be commenced or suspended at any time without notice and the share repurchase program does not obligate the Company to purchase shares during any period or at all. Any shares repurchased are reflected as treasury stock and any shares acquired will be available for general corporate purposes.

As of June 30, 2025, the Company's remaining total share repurchase authority approved by the Board of Directors was $190 million. The Board of Directors' authorization permits the Company to make purchases of its common stock from time to time in the open market and in privately negotiated transactions or by other means,

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<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

subject to market conditions and other factors, up to the aggregate amount authorized by the Board of Directors. The Board of Directors' authorization has no expiration date.

The Company did not repurchase any shares during the six months ended June 30, 2025. As of June 30, 2025, the Company had repurchased a total of 11.9 million shares, cumulatively, under the stock repurchase program for approximately $114 million in aggregate.

*ATM Program*

On March 13, 2025, the Company entered into an Open Market Sale Agreement (the "Sales Agreement") with Jefferies LLC and Johnson Rice & Company L.L.C. (the "Sales Agents"). Pursuant to the Sales Agreement, we may offer and sell common stock having an aggregate offering price of up to $50 million from time to time to or through the Sales Agents, subject to our compliance with applicable laws and applicable requirements of the Sales Agreement (the "ATM Program"). The timing of any sales and the number of shares sold, if any, will depend on a variety of factors to be determined and considered by us, and we are not obligated to sell any shares under the Sales Agreement.

Net proceeds from the ATM Program can be used for general corporate purposes, which may include, among other things, paying or refinancing indebtedness, and funding acquisitions, capital expenditures and working capital.

During the six months ended June 30, 2025, the Company did not sell any shares of common stock under the ATM Program.

*Stock-Based Compensation*

In March 2025, pursuant to the Company's 2022 Omnibus Incentive Plan, the Company granted (i) approximately 1,386,000 restricted stock units ("RSUs"), which are scheduled to vest ratably on the first, second, and third anniversary of the grant date or, in the case of RSUs issued to the Company's non-employee directors, in full on the first anniversary of the grant date, and (ii) a target number of approximately 414,000 performance-based restricted stock units ("PSUs"), which are scheduled to vest in full on the third anniversary of the grant date, and earned based on performance during the three-year performance period. The fair value of these RSU and PSU awards was approximately $7 million.

The RSUs awarded in March 2025 are solely time-based awards. The PSUs awarded in March 2025 are subject to both time and performance-based conditions, with performance based on the Company's absolute total stockholder return ("TSR"), defined as the capital gains per share of stock plus cumulative dividends, over a three year performance period. Depending on the results achieved during the three-year performance period, the actual number of shares of common stock that a grant recipient earns at the end of the performance period may range from 0% to 200% of the target number of PSUs granted.

The fair value of the RSUs was determined using the grant date stock price. The grant date fair value of the PSUs was determined using a Monte Carlo simulation to estimate the TSR ranking of the Company for the value of the absolute TSR award. The historical volatility was determined at the date of grant for the Company. The dividend yield assumption was based on the then-current annualized declared dividend. The risk-free interest rate assumption was based on observed interest rates consistent with the three-year performance measurement period.

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<u>[**Table of Contents**](#i9646bcee52c14dc1ad7a8a7e9dd0b2c5_7)</u>

**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

**Note 6—Supplemental Disclosures to the Financial Statements**

*Supplemental Information on Balance Sheet*

Other current assets reported on the condensed consolidated balance sheets included the following:

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| | **(in thousands)** | **(in thousands)** |
| Prepaid expenses | $6862 | $12183 |
| Materials and supplies | 12239 | 12109 |
| Deposits | 3373 | 8701 |
| Oil inventories | 4132 | 4232 |
| Other | 555 | 226 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other current assets | $27161 | $37451 |

---

*Noncurrent assets*

Other noncurrent assets at June 30, 2025 was approximately $10 million, which included $4 million of operating lease right-of-use assets, net of amortization, approximately $4 million of deferred financing costs, net of amortization and $2 million of collateral deposits. At December 31, 2024, other non-current assets was approximately $9 million, which included $5 million of operating lease right-of-use assets, net of amortization and $4 million of deferred financing costs, net of amortization.

Accounts payable and accrued expenses on the condensed consolidated balance sheets included the following:

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| | **(in thousands)** | **(in thousands)** |
| Accounts payable - trade | $21309 | $18990 |
| Accrued expenses | 80850 | 53925 |
| Royalties payable | 16363 | 26256 |
| Greenhouse gas liability - current portion |  | 8068 |
| Taxes other than income tax liability | 6386 | 6374 |
| Accrued interest | 1572 | 1160 |
| Asset retirement obligations - current portion | 17000 | 17000 |
| Operating lease liability | 1913 | 2036 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total accounts payable and accrued expenses | $145393 | $133809 |

---

*Noncurrent liabilities*

The decrease of approximately $5 million in the long-term portion of the asset retirement obligations from $185 million at December 31, 2024 to $180 million at June 30, 2025 was due to $12 million of liabilities settled during the period, offset by $6 million of accretion expense and $1 million of liabilities incurred.

Other noncurrent liabilities at June 30, 2025 was approximately $28 million, which included approximately $25 million of greenhouse gas liability and $3 million of operating lease noncurrent liability. At December 31, 2024, other noncurrent liabilities was approximately $28 million and included approximately $24 million of greenhouse gas liability and $4 million of non-current operating lease liability.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

*Supplemental Information on the Statement of Operations*

For the three months ended June 30, 2025, other operating expense was $1 million and included settlements related to royalties. For the three months ended June 30, 2024, other operating income was $3 million and mainly consisted of prior period royalty receipts and property tax refunds.

For the six months ended June 30, 2025, other operating expense was $2 million and included settlements related to royalties. For the six months ended June 30, 2024, other operating income was $3 million and mainly consisted of prior period royalty receipts and property tax refunds.

*Supplemental Cash Flow Information*

Supplemental disclosures to the condensed consolidated statements of cash flows are presented below:

---

| | | |
|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** |
| Supplemental Disclosures of Significant Non-Cash Investing Activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Material inventory transfers to oil and natural gas properties | $697 | $1873 |
| Supplemental Disclosures of Cash Payments: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest, net of amounts capitalized | $27946 | $16651 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income taxes payments | $5305 | $491 |

---

**Note 7—Acquisitions and Divestitures** 

In April 2024, we purchased a 21% working interest in four, two-to-three mile lateral wellbores that have been drilled and completed and were placed into production in the second quarter of 2024. These are adjacent to our existing operations in Utah, and the results from these wells are used to evaluate opportunities on our own acreage. The total purchase price was approximately $10 million, subject to customary purchase price adjustments, which was reported as capital expenditures.

During the second quarter of 2024, we purchased additional working interests in our Round Mountain field for approximately $4 million.

In July 2024, we completed the sale of CJWS' storage facility in Ventura, California for approximately $8 million.

**Note 8—Earnings Per Share**

We calculate basic earnings (loss) per share by dividing net income (loss) by the weighted-average number of common shares outstanding for each period presented. Common shares issuable upon the satisfaction of certain conditions pursuant to a contractual agreement, are considered common shares outstanding and are included in the computation of net income (loss) per share.

The RSUs and PSUs are not a participating security as the dividends are forfeitable. For the three months ended June 30, 2025, 101,000 incremental RSU and PSU shares were included in the diluted EPS calculation. For the six months ended June 30, 2025 and the three and six months ended June 30, 2024, no RSU or PSU shares were included in the diluted EPS calculation as their effect was anti-dilutive under the "if converted" method.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>June 30,** | **Three Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| | **(in thousands except per share amounts)** | **(in thousands except per share amounts)** | **(in thousands except per share amounts)** | **(in thousands except per share amounts)** |
| **Basic EPS calculation** |  |  |  |  |
| Net income (loss) | $33604 | $(8769) | $(63076) | $(48853) |
| Weighted-average shares of common stock outstanding | 77596 | 76939 | 77397 | 76597 |
| Basic earnings (loss) per share | $0.43 | $(0.11) | $(0.81) | $(0.64) |
| **Diluted EPS calculation** |  |  |  |  |
| Net income (loss) | $33604 | $(8769) | $(63076) | $(48853) |
| Weighted-average shares of common stock outstanding | 77596 | 76939 | 77397 | 76597 |
| Dilutive effect of potentially dilutive securities<sup>(1)</sup> | 101 |  |  |  |
| Weighted-average common shares outstanding - diluted | 77697 | 76939 | 77397 | 76597 |
| Diluted earnings (loss) per share | $0.43 | $(0.11) | $(0.81) | $(0.64) |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;We excluded approximately 0.1 million of combined RSUs and PSUs from the dilutive weighted-average common shares outstanding for the six months ended June 30, 2025, because their effect was anti-dilutive. We excluded approximately 0.2 million and 0.3 million of combined RSUs and PSUs from the dilutive weighted-average common shares outstanding for each of the three and six months ended June 30, 2024, respectively, because their effect was anti-dilutive.

**Note 9—Revenue Recognition** 

We derive revenue from sales of oil, natural gas and natural gas liquids ("NGL"), with additional revenue generated from sales of electricity and commodity marketing activity. Revenue from CJWS is generated from well servicing and abandonment services business.

The following table provides disaggregated revenue for the three and six months ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended**<br>**June 30,** | **Three Months Ended**<br>**June 30,** | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Oil sales | $122883 | $166466 | $266873 | $329218 |
| Natural gas sales | 1897 | 1440 | 4717 | 4159 |
| Natural gas liquids sales | 857 | 875 | 1909 | 1722 |
| Service revenue<sup>(1)</sup> | 22824 | 31155 | 46488 | 62838 |
| Electricity sales | 4886 | 3691 | 9853 | 7934 |
| Marketing and other revenues | 308 | 1851 | 991 | 6887 |
| Revenues from contracts with customers | 153655 | 205478 | 330831 | 412758 |
| Gains (losses) on oil and gas sales derivatives | 56423 | (5844) | 61898 | (77044) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $210078 | $199634 | $392729 | $335714 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, service revenue was approximately $31 million and $37 million and the intercompany elimination was $8 million and $6 million for the three months ended June 30, 2025 and 2024, respectively. Prior to the intercompany elimination, service revenue was approximately $61 million and $72 million and the intercompany elimination was $14 million and $9 million for the six months ended June 30, 2025 and 2024, respectively.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

**Note 10—Oil and Natural Gas Properties**

We evaluate the impairment of our proved and unproved oil and natural gas properties whenever events or changes in circumstance indicate that a property's carrying value may not be recoverable. If the carrying amount of the proved properties exceeds the estimated undiscounted future cash flows, we record an impairment charge to reduce the carrying values of proved properties to their estimated fair value.

For our unproved oil and gas properties, if exploration and development work were to be unsuccessful, or management decided not to pursue development of these properties as a result of lower commodity prices, higher development and operating costs, contractual conditions, regulatory constraints or other factors, the capitalized costs of such properties would be expensed. The timing of any write-downs of unproved properties, if warranted, depends upon management's plans, the nature, timing and extent of future exploration and development activities and their results.

In the first quarter of 2025, we identified an impairment indicator with respect to certain of our proved oil and gas properties as a result of changes in estimates of future reserve recoverability and the volatility in oil and gas prices. U.S. domestic policy shifts under the current administration have contributed to commodity price uncertainty. Recent executive actions aimed at expanding domestic drilling, rolling back environmental regulations, and renegotiating trade agreements have introduced mixed signals to the market. While these measures are intended to boost U.S. energy independence, they have also raised concerns about oversupply, regulatory instability, and global response. Futures forward curves for crude oil reflect this ongoing uncertainty, suggesting that price volatility may persist and affect our operations and financial outlook. Further, natural gas is a key cost of our oil production in California, and gas futures prices increased in the first quarter of 2025, impacting the expected margins. Additionally, lower than expected production data from the first quarter of 2025 resulted in negative revisions to our reserve estimates in one of our non-thermal diatomite California fields.

During the first quarter of 2025, as a result of operating evaluations, market volatility and price declines, we recorded a non-cash pre-tax asset impairment charge of $158 million ($113 million after-tax) on one of our non-thermal diatomite proved properties in California.

The fair value measurements used in this analysis were determined using inputs classified as Level 3 in the fair value hierarchy.

As of June 30, 2025, there was a decline in operating margins driven by commodity price decreases in one of our depletion units. We determined that no impairment existed as the estimated cash flows exceeded the carrying value. However, impairment charges may be required in the future if oil and natural gas prices remain low or decline further, unproved property values decrease, estimated proved reserve volumes are revised downward or the net capitalized cost of proved oil and natural gas properties otherwise exceeds the present value of estimated future net cash flows.

**Note 11—Segment Information**

We operate in two business segments: (i) E&P and (ii) well servicing and abandonment services. The E&P segment is engaged in the exploration and production of onshore, low geologic risk, long-lived oil and gas reserves located in California and Utah. The well servicing and abandonment services segment is operated by CJWS and provides wellsite services in California to oil and natural gas production companies, with a focus on well servicing, well abandonment services and water logistics.

Net income (loss) before income taxes is the measure reported to the chief operating decision maker (CODM) for purposes of making decisions about allocating resources to and assessing performance of each segment. This

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

measure allows our management to effectively evaluate our operating performance by segment and compare the results between periods. The CODM is our Chief Executive Officer.

The well servicing and abandonment services segment provides services to our E&P segment, as such, we recorded an intercompany elimination in revenue and expense during consolidation for the three and six months ended June 30, 2025 and 2024, respectively.

The following table represents selected financial information for the periods presented regarding the Company's business segments on a stand-alone basis and the consolidation and elimination entries necessary to arrive at the financial information for the Company on a consolidated basis.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Revenues and other:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and natural gas liquid sales | $125637 | $— | $125637 | $— | $125637 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue | $— | $31082 | $31082 | $(8258) | $22824 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gains on oil and gas derivatives | $56423 | $— | $56423 | $— | $56423 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other revenue <sup>(1)</sup> | $5194 | $— | $5194 | $— | $5194 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $187254 | $31082 | $218336 | $(8258) | $210078 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Other revenue generally consists of revenues related to electricity sales and marketing activities.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** | **Three Months Ended<br> June 30, 2025** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Segment Operating Revenues | $187254 | $31082 | $218336 | $(8258) | $210078 |
| Less: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | 53193 |  | 53193 |  | 53193 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on natural gas purchase derivatives | 3130 |  | 3130 |  | 3130 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services |  | 27259 | 27259 | (8258) | 19001 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses <sup>(1)</sup> | 2194 |  | 2194 |  | 2194 |
| &nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 12957 |  | 12957 |  | 12957 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses <sup>(2)</sup> | 34779 | 4119 | 38898 | 18341 | 57239 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense and other, net |  |  |  | 15572 | 15572 |
| Segment profit (loss) | 81001 | (296) | 80705 |  |  |
| Income before income taxes |  |  |  |  | 46792 |
| Capital expenditures | $53350 | $333 | $53683 | $566 | $54249 |
| Total assets | $1429078 | $43451 | $1472529 | $(44414) | $1428115 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Amounts for our E&P segment include electricity, transportation, and marketing costs.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes depreciation, depletion, and amortization expenses of approximately $33 million and $2 million for our E&P and Well Servicing and Abandonment Services segments. Also includes corporate depreciation, depletion, and amortization expenses of approximately $1 million. Other expenses for each reportable segment and corporate also primarily include general and administrative expenses, and other operating income (expenses).

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Revenues and other:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and natural gas liquid sales | $168781 | $— | $168781 | $— | $168781 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue | $— | $36680 | $36680 | $(5525) | $31155 |
| &nbsp;&nbsp;&nbsp;&nbsp;Losses on oil and gas derivatives | $(5844) | $— | $(5844) | $— | $(5844) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other revenue <sup>(1)</sup> | $5542 | $— | $5542 | $— | $5542 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $168479 | $36680 | $205159 | $(5525) | $199634 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Other revenue generally consists of revenues related to electricity sales and marketing activities.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** | **Three Months Ended**<br> **June 30, 2024** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Segment Operating Revenues | $168479 | $36680 | $205159 | $(5525) | $199634 |
| Less: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | 53885 |  | 53885 |  | 53885 |
| &nbsp;&nbsp;&nbsp;&nbsp;Losses on natural gas purchase derivatives | 2642 |  | 2642 |  | 2642 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services |  | 30546 | 30546 | (5525) | 25021 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses <sup>(1)</sup> | 3510 |  | 3510 |  | 3510 |
| &nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 12674 |  | 12674 |  | 12674 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses <sup>(2)</sup> | 81908 | 5017 | 86925 | 16969 | 103894 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense and other, net |  |  |  | 10103 | 10103 |
| Segment profit | 13860 | 1117 | 14977 |  |  |
| Loss before income taxes |  |  |  |  | (12095) |
| Capital expenditures | $41735 | $468 | $42203 | $122 | $42325 |
| Total assets | $1547334 | $63329 | $1610663 | $(77754) | $1532909 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Amounts for our E&P segment include electricity, transportation, and marketing costs.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes depreciation, depletion, and amortization expenses of approximately $40 million and $3 million for our E&P and Well Servicing and Abandonment Services segments. Also includes corporate depreciation, depletion, and amortization expenses of approximately $1 million. Our E&P segment recorded a pretax impairment charge of $44 million for the three months ended June 30, 2024. Other expenses for each reportable segment and corporate also primarily include general and administrative expenses, and other operating income (expenses).

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended**<br> **June 30, 2025** | **Six Months Ended**<br> **June 30, 2025** | **Six Months Ended**<br> **June 30, 2025** | **Six Months Ended**<br> **June 30, 2025** | **Six Months Ended**<br> **June 30, 2025** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Revenues and other:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and natural gas liquid sales | $273499 | $— | $273499 | $— | $273499 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue |  | 60829 | 60829 | (14341) | 46488 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gains on oil and gas derivatives | 61898 |  | 61898 |  | 61898 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other revenue <sup>(1)</sup> | 10844 |  | 10844 |  | 10844 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $346241 | $60829 | $407070 | $(14341) | $392729 |

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__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Other revenue generally consists of revenues related to electricity sales and marketing activities.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended**<br>**June 30, 2025** | **Six Months Ended**<br>**June 30, 2025** | **Six Months Ended**<br>**June 30, 2025** | **Six Months Ended**<br>**June 30, 2025** | **Six Months Ended**<br>**June 30, 2025** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Segment Operating Revenues | $346241 | $60829 | $407070 | $(14341) | $392729 |
| Less: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | 110475 |  | 110475 |  | 110475 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gains) on natural gas purchase derivatives | (2561) |  | (2561) |  | (2561) |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services |  | 54167 | 54167 | (14341) | 39826 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses <sup>(1)</sup> | 4634 |  | 4634 |  | 4634 |
| &nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 22197 |  | 22197 |  | 22197 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses <sup>(2)</sup> | 231912 | 8669 | 240581 | 35666 | 276247 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense and other, net |  |  |  | 30472 | 30472 |
| Segment loss | (20416) | (2007) | (22423) |  |  |
| Loss before income taxes |  |  |  |  | $(88561) |
| Capital expenditures | $80968 | $389 | $81357 | $1281 | $82638 |
| Total assets | $1429078 | $43451 | $1472529 | $(44414) | $1428115 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Amounts for our E&P segment include electricity, transportation, and marketing costs.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes depreciation, depletion, and amortization expenses of approximately $71 million and $4 million for our E&P and Well Servicing and Abandonment Services segments. Also includes corporate depreciation, depletion, and amortization expenses of approximately $1 million. Our E&P segment recorded a pretax impairment charge of $158 million in the first quarter of 2025. Other expenses for each reportable segment and corporate also primarily include general and administrative expenses and other operating income (expenses).

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended**<br> **June 30, 2024** | **Six Months Ended**<br> **June 30, 2024** | **Six Months Ended**<br> **June 30, 2024** | **Six Months Ended**<br> **June 30, 2024** | **Six Months Ended**<br> **June 30, 2024** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Revenues and other:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and natural gas liquid sales | $335099 | $— | $335099 | $— | $335099 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue |  | 72148 | 72148 | (9310) | 62838 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Losses) on oil and gas derivatives | (77044) |  | (77044) |  | (77044) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other revenue <sup>(1)</sup> | 14821 |  | 14821 |  | 14821 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $272876 | $72148 | $345024 | $(9310) | $335714 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Other revenue generally consists of revenues related to electricity sales and marketing activities.

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**BERRY CORPORATION (bry)**

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)** 

**(Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended**<br>**June 30, 2024** | **Six Months Ended**<br>**June 30, 2024** | **Six Months Ended**<br>**June 30, 2024** | **Six Months Ended**<br>**June 30, 2024** | **Six Months Ended**<br>**June 30, 2024** |
| | **E&P** | **Well Servicing and Abandonment Services** | **Total Reportable Segments** | **Corporate/Eliminations** | **Consolidated Company** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| Segment Operating Revenues | $272876 | $72148 | $345024 | $(9310) | $335714 |
| Less: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | 115161 |  | 115161 |  | $115161 |
| &nbsp;&nbsp;&nbsp;&nbsp;Losses on natural gas purchase derivatives | 7123 |  | 7123 |  | $7123 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services |  | 61635 | 61635 | (9310) | $52325 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses <sup>(1)</sup> | 10052 |  | 10052 |  | $10052 |
| &nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 28363 |  | 28363 |  | $28363 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses <sup>(2)</sup> | 123153 | 10637 | 133790 | 35653 | $169443 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense and other, net |  |  |  | 19326 | $19326 |
| Segment loss | (10976) | (124) | (11100) |  |  |
| Loss before income taxes |  |  |  |  | $(66079) |
| Capital expenditures | $57152 | $1800 | $58952 | $309 | $59261 |
| Total assets | $1547334 | $63329 | $1610663 | $(77754) | $1532909 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Amounts for our E&P segment include electricity, transportation, and marketing costs.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes depreciation, depletion, and amortization expenses of approximately $79 million and $6 million for our E&P and Well Servicing and Abandonment Services segments. Also includes corporate depreciation, depletion, and amortization expenses of approximately $1 million. Our E&P segment recorded a pretax impairment charge of $44 million in the second quarter of 2024. Other expenses for each reportable segment and corporate also primarily include general and administrative expenses and other operating income (expenses).

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 **Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

*Management's Discussion and Analysis of Financial Condition and Results of Operations (*"*MD&A*"*) should be read in conjunction with our interim unaudited condensed consolidated financial statements and the related notes thereto presented in this Quarterly Report on Form 10-Q (this "Quarterly Report"), as well as our audited consolidated financial statements and related notes thereto contained in our Annual Report on Form 10-K for the year ended December 31, 2024 (the "Annual Report") filed with the Securities and Exchange Commission ("SEC"). When we use the terms "we," "us," "our," "Berry," the "Company" or similar words in this report, we are referring to, as the context may require, Berry Corp., together with its subsidiaries, Berry LLC, C&J Management, and C&J.* 

**Our Company** 

We are a value-driven western United States independent upstream energy company with a focus on onshore, low geologic risk, low decline, long-lived oil and gas reserves. We operate in two business segments: (i) exploration and production ("E&P") and (ii) well servicing and abandonment services. Our E&P assets are located in California and Utah, are characterized by high oil content and are predominantly located in rural areas with low population. Our California assets are in the San Joaquin Basin (100% oil), and our Utah assets are in the Uinta Basin (65% oil). We provide our well servicing and abandonment services to third party operators in California and our California E&P operations through C&J Well Services (CJWS).

With respect to our E&P operations in Kern County, California, we focus on conventional, shallow oil reservoirs. The drilling and completion of wells in the San Joaquin Basin are relatively low-cost in contrast to unconventional resource plays. The California oil market is primarily tied to Brent-influenced pricing which has typically realized premium pricing relative to West Texas Intermediate ("WTI"). All of our California assets are located in oil-rich reservoirs in the San Joaquin Basin, which has more than 150 years of production history and substantial oil remaining in place. As a result of the data generated over the basin's long history of production, its reservoir characteristics and low geological risk opportunities are generally well understood.

Our 2025 capital program in California is comprised of drilling and completing sidetrack wells, the majority of which targets our thermal diatomite assets. During the first half of 2025, we drilled and completed 28 wells in California, 26 of which were thermal diatomite sidetracks. We expect to have incurred the substantial majority of our annual California capital expenditures by the end of the third quarter. Due to the nature of the reservoir, completing the thermal diatomite sidetrack wells required planned downtime of nearby wells. Downtime in a portion of the thermal diatomite has extended into the third quarter due to steam-to-surface at one well; however, we expect that production from these wells will be fully brought online in the third quarter. Assuming full resumption of production in the third quarter, we still anticipate an increase in production in the second half of the year compared to the first half.

With respect to our E&P operations in Utah, we have historically focused on vertical well development from five reservoirs that produce oil and natural gas at depths ranging from 4,000 feet to 8,000 feet. As of June 30, 2025, we held approximately 100,000 net acres in the Uinta Basin, and with a high working interest and the majority of acreage held by production, we have high operational control of our existing acreage, which provides significant upside for additional development and recompletions.

Over the last few years, the Uinta Basin has experienced an increase in activity by new and existing operators, driven by acquisition and divestiture activity and successful results from horizontal drilling across the basin, which we believe indicates significant new development potential for our existing acreage. In April 2024, we acquired a 21% working interest in four, two-to-three mile lateral wells in the Uteland Butte reservoir, adjacent to our existing operations, which were put on production in the second quarter of 2024. The initial production rates from those four wells exceeded our initial expectations. In November 2024, we executed an agreement to exchange, on an equal value basis, certain of our oil, gas, and mineral leasehold interests in Duchesne County, Utah, for that of another operator's, also located in Duchesne County, Utah. We received an approximately 17% working interest in three, three-mile Drilling Spacing Units (DSUs) in exchange for an approximately 75% working interest in one, two-mile

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DSU. Like the first four horizontal wells that we farmed-in, these wells are adjacent to our existing operations, and the results from all of these farmed-in horizontal wells will be useful to evaluating opportunities on our own acreage. In the second quarter of 2025, we executed another farm-in agreement for a 30% working interest on a horizontal well targeting the Castle Peak reservoir of the Uinta Basin. Currently, we expect the well to be online in the fourth quarter of 2025.

Our 2025 capital program includes the drilling and completion of an operated, four-well horizontal pad in the Uteland Butte reservoir of the Uinta Basin with depths ranging from 6,000 to 6,500 feet. These wells were drilled in the first half of 2025 and we finished a significant portion of the completion activity for these wells in the second quarter of 2025. We began flowback of two of our horizontal wells in early August and expect all four wells will be brought online within the month. This activity marks the development of our first operated horizontal pad on our Uinta Basin acreage, and the results will inform our plans for further horizontal development across our acreage in Utah. Similar to our 2025 capital program in California, we anticipate that the majority of our 2025 capital expenditures for our Utah program will be incurred by the end of the third quarter.

C&J Well Services is one of the largest upstream well servicing and abandonment services businesses in California, providing a suite of services to third-party oil and natural gas production companies and to our E&P operations, including well servicing and workover, water logistics, and plugging and abandonment (P&A) services on wells at the end of their productive life. We believe CJWS has upside opportunity based on the significant inventory of idle wells within California, coupled with existing and new regulations that will increase the annual idle well management obligations of operators. With extensive experience operating in California and a best-in-class safety record, CJWS provides a competitive advantage to Berry by providing access and control over an important part of our supply chain. Additionally, CJWS supports our commitment to be a responsible operator and reduce fugitive GHG emissions —including methane and carbon dioxide—through the plugging and abandonment of idle wells.

**How We Plan and Evaluate Operations**

We use the following metrics to manage and assess the performance of our operations: (a) Adjusted EBITDA; (b) Free Cash Flow; (c) production from our E&P business; (d) E&P operating costs; (e) HSE results; (f) general and administrative expenses; and (g) the performance of our well servicing and abandonment services operations based on activity levels, pricing and relative performance for each service provided.

***Adjusted EBITDA***

Adjusted EBITDA is the primary financial and operating measurement that our management uses to analyze and monitor our operating performance. We also use Adjusted EBITDA in planning our capital expenditure allocation to maintain production levels year-over-year and determining our strategic hedging needs aside from the hedging requirements of the 2024 Term Loan and the 2024 Revolver. Adjusted EBITDA is a non-GAAP financial measure that we define as earnings before interest expense; income taxes; depreciation, depletion, and amortization ("DD&A"); derivative gains or losses net of cash received or paid for scheduled derivative settlements; impairments; stock compensation expense; and unusual and infrequent items. See "—Non-GAAP Financial Measures" for a reconciliation of net income (loss) and net cash provided (used) by operating activities, our most directly comparable financial measures calculated and presented in accordance with GAAP, to the non-GAAP financial measure of Adjusted EBITDA. This supplemental non-GAAP financial measure is used by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies.

***Free Cash Flow***

Free Cash Flow is a non-GAAP measure defined as cash flow from operations less capital expenditures. We use Free Cash Flow as the primary metric to measure our ability to pay dividends, pay down debt, repurchase stock, and make strategic growth and bolt-on acquisitions. Free Cash Flow does not represent the total increase or decrease in our cash balance, and it should not be inferred that the entire amount of Free Cash Flow is available for dividends, debt pay down, share repurchases, bolt-on acquisitions or other growth opportunities, or other discretionary expenditures, since we have non-discretionary expenditures that are not deducted from this measure. Free Cash Flow

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is a non-GAAP financial measure. See "Non-GAAP Financial Measures" for a reconciliation of cash provided by operating activities, our most directly comparable financial measure calculated and presented in accordance with GAAP, to the non-GAAP financial measure of Free Cash Flow.

***Production***

Oil and gas production is a key driver of our operating performance, an important factor to the success of our business, and used in forecasting future development economics. We measure and closely monitor production on a continuous basis, adjusting our property development efforts in accordance with the results. We track production by commodity type and compare it to prior periods and expected results.

***E&P Operating Costs***

Overall, management assesses the efficiency of our E&P operations by considering core E&P operating costs. A substantial majority of such costs are our lease operating expenses ("LOE") which includes fuel gas, purchased power, labor, field office, vehicle, supervision, maintenance, tools and supplies, and workover expenses. A core component of our E&P operations in California is steam, which we use to lift heavy oil to the surface. The most significant cost component of generating steam is the fuel gas purchased to operate traditional steam generators and our cogeneration facilities. We strive to minimize the variability of our fuel gas costs for our California steam operations with natural gas purchase hedges. Consequently, the efficiency of our E&P operations is impacted by the cash settlements we receive or pay from these derivatives. We also have contracts for the transportation of fuel gas from the Rockies, which has historically been cheaper than the California markets.

***Health, Safety & Environmental***

Like other companies in the oil and gas industry, the operations of both our E&P business and CJWS are subject to complex federal, state and local laws and regulations that govern health and safety, the release or discharge of materials, and land use or environmental protection that may restrict the use of our properties and operations, increase our costs or lower demand for or restrict the use of our products and services. Please see "—Regulatory Matters" in this Quarterly Report as well as Part I, Items 1 and 2. "Business and Properties—Regulatory Matters" and Part I, Item 1A. "Risk Factors" in our Annual Report for a discussion of the potential impact that government regulations, including those regarding HSE matters, may have upon our business, operations, capital expenditures, earnings and competitive position.

As part of our commitment to creating long-term value, we strive to conduct our operations in an ethical, safe and responsible manner, to protect the environment and to take care of our people and the communities in which we live and operate. We also seek proactive and transparent engagement with regulatory agencies, the communities in which we operate and our other stakeholders in order to realize the full potential of our resources in a timely fashion that safeguards people and the environment and complies with existing laws and regulations. We monitor our HSE performance through various measures, and we hold our employees and contractors to high standards. Meeting corporate HSE metrics, including with respect to HSE incidents and spill prevention, is a part of our short-term incentive program for all employees.

***General and Administrative Expenses***

We monitor our cash general and administrative expenses as a measure of the efficiency of our overhead activities. Such expenses are a key component of the appropriate level of support our corporate and professional team provides to the development of our assets and our day-to-day operations.

***Well Servicing and Abandonment Services Operational Performance***

We monitor our well servicing and abandonment services' operational performance by analyzing the pre-tax income, revenue and cost by customer, and Adjusted EBITDA generated by this business.

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**Business Environment, Market Conditions and Outlook**

Our operating and financial results, and those of the oil and gas industry as a whole, are heavily influenced by commodity prices, including differentials, which have and may continue to fluctuate significantly as a result of numerous market-related variables, including global geopolitical and economic conditions, and local and regional market factors and dislocations. Average oil prices were relatively flat for the first quarter of 2025 compared to fourth quarter of 2024; however, they subsequently declined in the second quarter of 2025 due to the circumstances described below. Natural gas prices for the first quarter of 2025 increased slightly relative to the fourth quarter of 2024, but declined in the second quarter of 2025. Oil and natural gas prices have been, and may remain, volatile. As a net gas purchaser, our operating costs are generally expected to be more impacted by the volatility of natural gas prices than our gas sales. To reduce our exposure to oil and gas price volatility and in accordance with the covenants of our debt agreements, our strategy includes maintaining an active hedging program covering a significant portion of our forecasted production to help us achieve more predictable cash flows. For more information regarding our hedging program, see "Liquidity and Capital Resources—Hedging."

Our well servicing and abandonment services business is dependent on expenditures of oil and gas companies, which can in part reflect the volatility of commodity prices, as well as the impact from changes in the regulatory environment. Existing oil and natural gas wells require ongoing spending to maintain production, necessitating expenditures by oil and gas companies for the maintenance of existing wells, which can moderate the impact of a volatile price environment. Additionally, our customers' requirements to plug and abandon wells are largely driven by regulatory requirements that are less dependent on commodity prices.

The price of oil is impacted by the actions of OPEC+ and beginning in 2022 they implemented production cuts to address imbalances in global supply levels. In December 2024, OPEC+ extended the reduced production quotas of 3.65 mmbbl/d through the end of 2026 and extended the 2.2 mmbbl/d voluntary cuts through the end of March 2025. In April 2025 through June 2025, OPEC+ initiated a phased rollback of the 2.2 million voluntary cuts it initially announced in November 2023, which rollback accelerated in August. The broader 22-member OPEC+ alliance has 3.65 mmbbl/d of separate cuts that are scheduled to remain in place until the end of 2026.

In addition, President Trump has issued numerous executive orders aimed at increasing oil production and decreasing commodity prices, among other matters, and has separately instituted tariffs that could cause inflation, slow economic growth, and intensify trade disputes. Collectively, these actions have created uncertainty in the market which has contributed to recent oil price declines. While imports of oil, gas and refined products were given exemptions from the tariffs, concerns that the measures could cause inflation, slow economic growth and intensify trade disputes has also placed downward pressure on oil prices. With negotiations and countermeasures ongoing, the situation is fluid, and we cannot predict when prices will stabilize or improve. In addition, tariffs have the potential to significantly increase our operating and capital costs; however, we do not expect any material impact through at least 2025 based on our current inventory levels and purchasing needs. We continue to monitor the economic effects of U.S. trade policy as well as opportunities to mitigate their impacts on costs and prices, though the ultimate policy and its effect remains uncertain.

Futures forward price curves for crude oil reflect this ongoing uncertainty, suggesting that price volatility may persist and affect our operations and financial outlook. As a result of operating evaluations, market volatility and price declines we recorded a non-cash pre-tax asset impairment charge of $158 million ($113 million after-tax) on one of our non-thermal diatomite proved properties in California in the first quarter of 2025. Further impairment charges may be required in the future if oil and natural gas prices remain low or decline further, unproved property values decrease, estimated proved reserve volumes are revised downward or the net capitalized cost of proved oil and natural gas properties otherwise exceeds the present value of estimated future net cash flows.

Oil and natural gas prices could fluctuate further with any changes in demand due to, among other things, the ongoing conflict in Ukraine, the ongoing conflicts in the Middle East, international sanctions, speculation as to future actions by OPEC+, higher gas prices, high interest rates, tariffs, inflation and government efforts to reduce inflation, and possible changes in the overall health of the global economy, including increased volatility in financial and credit markets or a prolonged recession.

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***Commodity Pricing and Differentials***

Our cash flow, profitability, shareholder returns and future growth are highly dependent on the prices we receive for our oil and natural gas production, as well as the prices we pay for our natural gas purchases, which are affected by a variety of factors, including those discussed in Part I, Item 1A. "Risk Factors" in our Annual Report.

Oil and natural gas prices and differentials may fluctuate significantly as a result of numerous market-related variables. We use derivatives to hedge a portion of our forecasted oil and gas production and gas purchases to reduce our exposure to fluctuations in oil and natural gas prices. The following table sets forth certain average benchmark prices, average realized prices and price realizations as a percentage of average benchmark prices for our products for the periods indicated below.

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|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **March 31, 2025** | **March 31, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **Average Price** | **Realization**<sup>(1)</sup> | **Average Price** | **Realization**<sup>(1)</sup> | **Average Price** | **Realization**<sup>(1)</sup> |
| **Sales of Crude Oil (per bbl):** | | | | | | |
| &nbsp;&nbsp;**Brent** | $66.71 |  | $74.98 |  | $85.03 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $61.26 | 92% | $69.48 | 93% | $78.18 | 92% |
| &nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 6.28 |  | 0.08 |  | (4.60) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price with derivative settlements | $67.54 | 101% | $69.56 | 93% | $73.58 | 87% |
| &nbsp;&nbsp;**WTI** | $63.92 |  | $71.51 |  | $80.60 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $61.26 | 96% | $69.48 | 97% | $78.18 | 97% |
| **Purchased Natural Gas (per mmbtu)** |  |  |  |  |  |  |
| &nbsp;&nbsp;**Average Monthly Settled Price - NWPL** | $2.18 |  | $3.88 |  | $1.40 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $2.80 | 128% | $4.35 | 112% | $2.24 | 160% |
| &nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 1.89 |  | 0.35 |  | 2.05 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price with derivative settlements | $4.69 | 215% | $4.70 | 121% | $4.29 | 306% |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Represents the percentage of our realized prices compared to the indicated index.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **Average Price** | **Realization**<sup>(1)</sup> | **Average Price** | **Realization**<sup>(1)</sup> |
| **Sales of Crude Oil (per bbl):** | | | | |
| &nbsp;&nbsp;**Brent** | $70.81 |  | $83.42 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $65.44 | 92% | $76.73 | 92% |
| &nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 3.13 |  | (3.38) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price with derivative settlements | $68.57 | 97% | $73.35 | 88% |
| &nbsp;&nbsp;**WTI** | $67.69 |  | $78.81 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $65.44 | 97% | $76.73 | 97% |
| **Purchased Natural Gas (per mmbtu)** |  |  |  |  |
| &nbsp;&nbsp;**Average Monthly Settled Price - NWPL** | $3.03 |  | $2.40 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price without derivative settlements | $3.59 | 118% | $3.20 | 133% |
| &nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 1.11 |  | 1.47 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized price with derivative settlements | $4.70 | 155% | $4.67 | 195% |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Represents the percentage of our realized prices compared to the indicated index.

*Oil Prices*

California oil prices are Brent-influenced as California refiners import approximately 77% of the state's demand from OPEC+ countries and other waterborne sources. We believe that receiving Brent-influenced pricing contributes to our ability to continue realizing strong cash margins in California. Though the California market generally receives Brent-influenced pricing, California oil prices are also determined by local supply and demand dynamics, including third-party transportation and infrastructure capacity. In the second quarter of 2025, average oil prices declined compared to the first quarter of 2025, but were roughly similar to prices observed in the fourth quarter of 2024. The drop in prices became more pronounced toward the end of the second quarter of 2025. Interim price volatility during the second quarter of 2025 was largely driven by geopolitical events. This downward pressure also extended to forward oil prices as the second quarter came to a close.

In October 2024, Phillips 66 announced plans to close its Wilmington refinery in Los Angeles in late 2025. Additionally, in April 2025, Valero announced plans to close its Benicia refinery in the San Francisco Bay Area by April 2026. Following the closure of these refineries, we expect California to have approximately 1.3 million barrels per day of remaining refining capacity, which is over four times the amount of crude oil produced in California in 2024. Further, the California Energy Commission issued policy recommendations in June 2025 to expand oil storage requirements and provide more regulatory flexibility designed to reduce uncertainty and volatility for the oil and gas industry. We currently do not expect that the announced refinery closures will negatively impact our price realizations; however, additional refinery closures could have an adverse impact on our ability to market our crude production in California.

Utah oil prices have historically traded at a discount to WTI. The oil is sold to local refineries that are designed for the oil's unique characteristics and transported via rail to other refiners, primarily in the Gulf Coast. A major loading terminal in Utah is also expected to more than triple its processing capacity by spring 2026, enhancing takeaway capacity and market access. We have high operational control of our existing acreage, which provides significant upside for additional vertical and/or horizontal development wells and recompletions. For the three months ended June 30, 2025, March 31, 2025, and June 30, 2024, Utah had an average realized oil price of $49.08,

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$56.20 and $65.58, respectively, compared to an average Brent oil price of $66.71, $74.98 and $85.03 for the same periods.

*Gas Prices*

For our California steam operations, the price we pay for fuel gas purchases is generally based on the Northwest, Rocky Mountains index for purchases made in the Rockies and the SoCal Gas city-gate index for purchases made in California. We currently buy most of our gas in the Rockies. Now that we are purchasing a majority of our fuel gas in the Rockies, most of the purchases made in California use the SoCal Gas city-gate index, whereas prior to this shift the predominant index for California purchases was Kern, Delivered. The price from the Northwest, Rocky Mountain index was as high as $2.52 per mmbtu and as low as $1.80 per mmbtu in the second quarter of 2025. The price from the SoCal Gas city-gate index was as high as $3.52 per mmbtu and as low as $2.72 per mmbtu in the second quarter of 2025. Overall, on an unhedged basis, we paid an average of $2.80 per mmbtu in the second quarter of 2025 for our gas purchases which includes transportation costs. When including the hedging effects in our gas purchases, we paid $4.69, $4.70 and $4.29 per mmbtu in the second quarter of 2025, the first quarter of 2025, and the second quarter of 2024, respectively.

The price of our gas sales is generally based on the Northwest, Rocky Mountains index, as selling at the same index as fuel gas purchases provides a natural hedge for gas purchases. In the second quarter of 2025, natural gas sales from our Utah operations had an average realized gas price of $2.30, compared to an average Northwest, Rocky Mountains gas price of $2.18, which was a 106% realization. In the three months ended March 31, 2025 and June 30, 2024, Utah had an average realized gas price of $3.95, and $1.78, compared to an average Northwest, Rocky Mountains gas price of $3.88, or 102% realization, and $1.40, or 127% realization, respectively.

Natural gas prices and differentials are strongly affected by local market fundamentals, availability of transportation capacity from producing areas and seasonal impacts. Our key exposure to gas prices is in our costs. We purchase more natural gas for our California steamfloods and cogeneration facilities than we produce and sell in the Rockies. We purchase most of our gas in the Rockies and transport it to our California operations using our Kern River pipeline capacity. Beginning in 2025, we purchased approximately 43,000 mmbtu/d in the Rockies (48,000 mmbtu/d prior to this change), with the remaining volumes purchased in California markets. Gas volumes purchased in California fluctuate and averaged 2,000 mmbtu/d in the second quarter of 2025, 4,000 mmbtu/d in the first quarter of 2025 and 2,000 mmbtu/d in the second quarter of 2024. The natural gas we purchase in the Rockies is shipped to our operations in California to help limit our exposure to California fuel gas purchase price fluctuations. We strive to further minimize the variability of our fuel gas costs for our steam operations by hedging a significant portion of our gas purchases. Additionally, the negative impact of higher gas prices on our California operating expenses is partially offset by higher gas sales for the gas we produce and sell in the Rockies. The Kern River pipeline capacity allows us to purchase and sell natural gas at the same pricing indices.

We seek to mitigate a substantial portion of the gas purchase price exposure for our cogeneration plants by selling excess electricity from our cogeneration operations to third parties at prices linked to the price of natural gas. Aside from the impact gas prices have on electricity prices, these sales are generally higher in the summer months as they include seasonal capacity amounts. Gas prices decreased in the second quarter of 2025 compared to the first quarter of 2025. Our hedging strategy coupled with our midstream access to gas from the Rockies helps us mitigate the impact of high natural gas prices on our cost structure.

Our earnings are also affected by the performance of our cogeneration facilities. These cogeneration facilities generate both electricity and steam for our properties and electricity for off-lease sales. While a portion of the electric output of our cogeneration facilities is utilized within our production facilities to reduce operating expenses, we also sell electricity produced by two of our cogeneration facilities under long-term contracts with terms ending in December 2025 and November 2026. The most significant input and cost of the cogeneration facilities is natural gas.

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Prices and differentials for NGLs are related to the supply and demand for the products making up these liquids. Some of them more typically correlate to the price of oil while others are affected by natural gas prices as well as the demand for certain chemical products which are used as feedstock. In addition, infrastructure constraints magnify pricing volatility.

***Regulatory Matters***

Like other companies in the oil and gas industry, our business is subject to complex and stringent federal, state and local laws and regulations, and California, where most of our operations and assets are located, is one of the most heavily regulated states in the United States with respect to oil and gas operations. Federal, state and local agencies may assert overlapping authority to regulate in these areas. For additional information about the potential impact that government regulations, including those regarding environmental matters, may have upon our business, operations, capital expenditures, earnings and competitive position, please see Part I, Item 1 "Regulatory Matters," as well as Part I, Item 1A. "Risk Factors" in our Annual Report.

*Permitting Update*

Over the last few years, a number of developments at both the California state and local levels have resulted in significant delays in the issuance of permits to drill new oil and gas wells in Kern County, where all of our California assets are located. We have secured all of the permits necessary to execute our 2025 operating plan, as well as permits to support sidetrack drilling and workover activity into 2026. On June 26, 2025, Kern County approved revisions to its oil and gas permitting ordinance and certified a Second Supplemental Recirculated Environmental Impact Report (SSREIR) which could allow for approximately 2,700 new oil wells to be permitted each year. The SSREIR must be approved by the court before the ordinance can be fully implemented and permitting can resume. If SSREIR is not approved, it is possible that future permitting delays could adversely impact our plans in 2026 and beyond, and the inability to secure the permits and other approvals (on a timely basis or at all) required to develop our assets could adversely impact our business and results of operations. For additional information regarding well permitting with respect to our California operations, see Part I, Item 1 "Regulatory Matters" in our Annual Report.

*Executive Orders Relating to Energy Production* 

President Trump has issued numerous Executive Orders aimed to increase oil production and decrease commodity prices. For example, President Trump declared a "national energy emergency" in early January 2025, and gave the executive branch more power to expedite approvals for energy resource infrastructure (including oil and gas). Additionally, President Trump's "Unleashing American Energy" Executive Order incorporated numerous provisions aimed at unburdening and removing impediments to the development of various domestic energy resources, such as oil and gas. More recently, in April 2025, President Trump signed an Executive Order that, among other matters, directed the U.S. Attorney General to investigate certain state laws that may adversely impact the development of energy resources, including state laws relating to climate change, environmental, social and governance initiatives, and funds collecting carbon penalties and/or taxes. We cannot predict what impact this Executive Order or others may ultimately have on our operations or state and local laws and regulations relating to oil and gas and climate change.

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***Income Taxes***

On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was enacted into law in the United States. The OBBBA includes significant provisions, including favorable changes to bonus depreciation and the business interest limitation. The Company is currently evaluating the impact of the new legislation but does not expect it to have a material impact on our 2025 results of operations.

***Inflation***

The Company, similar to other companies in our industry, has experienced inflationary pressures on our costs over the past few years which has resulted in increases to the costs of our goods, services and personnel, which in turn, have caused our capital expenditures and operating costs to rise since 2021. During the first half of 2025, inflation rates continued to stabilize and decrease following a trend of increasing inflation that began in the middle of 2023; however, there are concerns that the implementation of tariffs, if sustained, may cause additional inflationary pressure. We are unable to predict if such inflationary pressures and contributing factors will continue through the remainder of 2025. We have not experienced a material change to our cost structure due to inflation thus far in 2025. We will continue to monitor cost trends that could have an impact on our capital expenditures and operating costs next year and beyond.

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**Our Capital Program**

For the three and six months ended June 30, 2025, our total capital expenditures were approximately $54 million and $83 million, respectively, including capitalized overhead and interest and excluding acquisitions and asset retirement spending. E&P and corporate expenditures were approximately $54 million and $82 million for the three and six months ended June 30, 2025 (which excludes well servicing and abandonment services capital of less than $1 million in each period). The capital expenditures for the six months ended June 30, 2025 were generally split equally between our California and Utah operations. During the first six months of 2025, we drilled 28 wells in California and four horizontal wells in Utah. In the second quarter of 2025, we executed on a majority of the completion activity for the four horizontal wells in Utah and we expect they will be brought online in the third quarter of 2025.

Our 2025 capital expenditure budget for E&P operations, CJWS and corporate activities is expected to be between $110 to $120 million. We intend for our total 2025 production volume to be consistent with last year, and we currently anticipate approximately 93% of our production will be oil. Our 2025 E&P capital program proportionally allocates more capital to our Utah development opportunities than in prior years, as we are investing in opportunities to de-risk increased horizontal development of our Uinta Basin assets. We currently plan to direct approximately 40% of our 2025 capital expenditures for E&P operations to Utah, compared to 25% in 2024. Our 2025 California drilling campaign is expected to be comprised of sidetracks (primarily in our thermal diatomite assets), and in Utah our plans are focused on drilling and completing a four-well horizontal pad (of which the drilling and a significant portion of the completion activity was finished in the second quarter of 2025, with first production expected in the third quarter of 2025). We may also choose to participate in non-operated horizontal wells on properties adjacent to ours. In the second quarter of 2025, for example, we executed a farm-in agreement for a 30% working interest in a horizontal well targeting the Castle Peak reservoir of the Uinta Basin. Currently, we expect the well to be on production in the fourth quarter of 2025. Based on current commodity prices and our drilling success rate to date, we expect to be able to fund the remainder of our 2025 capital program from cash flow from operations. Please see "—Regulatory Matters" in this Quarterly Report, as well as in our Annual Report, for additional discussion of the laws and regulations that impact our ability to drill and develop our assets.

Exclusive of the capital expenditures noted above, for the full year 2025, we currently expect to spend approximately $14 million to $20 million on plugging and abandonment activities, a significant portion of which is planned to meet our annual requirements under California's idle well regulations. In 2024, we spent approximately $15 million on plugging and abandonment activities, most of which was to meet our annual requirements under California idle well regulations. We spent approximately $7 million and $12 million for plugging and abandonment activities in the three and six months ended June 30, 2025, respectively.

For information about the potential risks related to our capital program, see Part I, Item IA. "Risk Factors" in our Annual Report.

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**Production and Prices**

The following table sets forth information regarding average daily production, total production and average prices for each of the periods indicated.

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| | | | |
|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2024** |
| **Average daily production:**<sup>(1)</sup> | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil (mbbl/d) | 22.0 | 23.0 | 23.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Natural Gas (mmcf/d) | 9.1 | 7.9 | 8.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NGL (mbbl/d) | 0.4 | 0.4 | 0.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total (mboe/d)<sup>(2)</sup> | 23.9 | 24.7 | 25.3 |
| **Total Production:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil (mbbl) | 2006 | 2072 | 2129 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmcf) | 827 | 713 | 808 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NGLs (mbbl) | 33 | 34 | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total (mboe)<sup>(2)</sup> | 2177 | 2225 | 2300 |
| **Weighted-average realized sales prices:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil without hedges ($/bbl) | $61.26 | $69.48 | $78.18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Effects of scheduled derivative settlements ($/bbl) | $6.28 | $0.08 | $(4.60) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil with hedges ($/bbl) | $67.54 | $69.56 | $73.58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Natural gas ($/mcf) | $2.30 | $3.95 | $1.78 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NGL ($/bbl) | $26.04 | $30.56 | $24.46 |
| **Average Benchmark prices:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil (bbl) – Brent | $66.71 | $74.98 | $85.03 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil (bbl) – WTI | $63.92 | $71.51 | $80.60 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – SoCal Gas city-gate<sup>(3)</sup> | $3.11 | $4.50 | $1.86 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – Northwest, Rocky Mountains<sup>(4)</sup> | $2.18 | $3.88 | $1.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – Henry Hub<sup>(4)</sup> | $3.19 | $4.14 | $2.07 |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Production represents volumes sold during the period. We also consume a portion of the natural gas we produce on lease to extract oil and gas.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Natural gas volumes have been converted to boe based on energy content of six mcf of gas to one bbl of oil. Barrels of oil equivalence does not necessarily result in price equivalence. The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower for a number of years. For example, in the three months ended June 30, 2025, the average prices of Brent oil and Henry Hub natural gas were $66.71 per bbl and $3.19 per mmbtu.

(3)&nbsp;&nbsp;&nbsp;&nbsp;The natural gas we purchase to generate steam and electricity is primarily based on Rockies price indexes, including transportation charges, as we currently purchase a substantial majority of our gas needs from the Rockies, with the balance purchased in California. SoCal Gas city-gate Index is the relevant index used only for the portion of gas purchases in California. In May 2022, we began purchasing a majority of our fuel gas in the Rockies using the Northwest, Rocky Mountains index.

(4)&nbsp;&nbsp;&nbsp;&nbsp;Most of our gas purchases and gas sales in the Rockies are predicated on the Northwest, Rocky Mountains index, and to a lesser extent based on Henry Hub.

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The following table sets forth average daily production by operating area for the periods indicated:

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| | | | |
|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2024** |
| **Average daily production (mboe/d):**<sup>(1)</sup> | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;California | 19.7 | 20.4 | 21.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Utah | 4.2 | 4.3 | 4.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total average daily production | 23.9 | 24.7 | 25.3 |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Production represents volumes sold during the period.

Our average daily production decreased 3%, or 0.8 mboe/d, for the three months ended June 30, 2025, compared to the three months ended March 31, 2025. Our California production was 19.7 mboe/d for the three months ended June 30, 2025, a decrease of 3% or 0.7 mboe/d from the three months ended March 31, 2025, mostly due to the impact from our sidetrack drilling activity that required temporary production curtailment in certain of our thermal diatomite properties. Our Utah production was essentially flat for the three months ended June 30, 2025 and for the three months ended March 31, 2025.

Our average daily production decreased 6%, or 1.4 mboe/d, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024. California production was 19.7 mboe/d for the second quarter of 2025, 1.4 mboe/d lower than the second quarter of 2024, due to natural decline and the temporary impact from our sidetrack drilling activity as discussed above. These decreases were partially offset by increased production due to development activity in the Midway Sunset field. Average daily production in Utah for the three months ended June 30, 2025 was flat compared to the same period in 2024.

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The following table sets forth information regarding average daily production, total production and average prices for each of the periods indicated.

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| | | |
|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **June 30, 2024** |
| **Average daily production:**<sup>(1)</sup> | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil (mbbl/d) | 22.5 | 23.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural Gas (mmcf/d) | 8.5 | 8.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;NGL (mbbl/d) | 0.4 | 0.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total (mboe/d)<sup>(2)</sup> | 24.3 | 25.4 |
| **Total Production:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil (mbbl) | 4078 | 4290 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmcf) | 1540 | 1531 |
| &nbsp;&nbsp;&nbsp;&nbsp;NGLs (mbbl) | 67 | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total (mboe)<sup>(2)</sup> | 4402 | 4610 |
| **Weighted-average realized sales prices:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil without hedges ($/bbl) | $65.44 | $76.73 |
| &nbsp;&nbsp;&nbsp;&nbsp;Effects of scheduled derivative settlements ($/bbl) | $3.13 | $(3.38) |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil with hedges ($/bbl) | $68.57 | $73.35 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas ($/mcf) | $3.06 | $2.72 |
| &nbsp;&nbsp;&nbsp;&nbsp;NGL ($/bbl) | $28.35 | $26.74 |
| **Average Benchmark prices:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil (bbl) – Brent | $70.81 | $83.42 |
| &nbsp;&nbsp;&nbsp;&nbsp;Oil (bbl) – WTI | $67.69 | $78.81 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – SoCal Gas city-gate<sup>(3)</sup> | $3.80 | $3.03 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – Northwest, Rocky Mountains<sup>(4)</sup> | $3.03 | $2.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;Natural gas (mmbtu) – Henry Hub<sup>(4)</sup> | $3.66 | $2.11 |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Production represents volumes sold during the period. We also consume a portion of the natural gas we produce on lease to extract oil and gas.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Natural gas volumes have been converted to boe based on energy content of six mcf of gas to one bbl of oil. Barrels of oil equivalence does not necessarily result in price equivalence. The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower for a number of years. For example, during the six months ended June 30, 2025, the average prices of Brent oil and Henry Hub natural gas were $70.81 per bbl and $3.66 per mmbtu respectively.

(3)&nbsp;&nbsp;&nbsp;&nbsp;The natural gas we purchase to generate steam and electricity is primarily based on Rockies price indexes, including transportation charges, as we currently purchase a substantial majority of our gas needs from the Rockies, with the balance purchased in California. SoCal Gas city-gate Index is the relevant index used only for the portion of gas purchases in California. In May 2022, we began purchasing a majority of our fuel gas in the Rockies using the Northwest, Rocky Mountains index.

(4)&nbsp;&nbsp;&nbsp;&nbsp;Northwest, Rocky Mountains and Henry Hub are the relevant indices used for gas purchases and sales, respectively, in the Rockies.

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The following table sets forth average daily production by operating area for the periods indicated:

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| | | |
|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **June 30, 2024** |
| **Average daily production (mboe/d):**<sup>(1)</sup> | | |
| &nbsp;&nbsp;&nbsp;&nbsp;California | 20.1 | 21.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Utah | 4.2 | 4.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total average daily production | 24.3 | 25.4 |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Production represents volumes sold during the period.

Average daily production for the six months ended June 30, 2025, decreased 4% or 1.1 mboe/d to 24.3 mboe/d compared to the same period in 2024. California production declined 5% or 1.1 mboe/d to 20.1 mboe/d mostly due to natural decline, partially offset by increased production from development activity in the Midway Sunset field. Average daily production in Utah for the six months ended June 30, 2025 was flat compared to the same period in 2024.

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**Results of Operations**

***Three Months Ended June 30, 2025 compared to Three Months Ended March 31, 2025.***

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | | |
| | **June 30, 2025** | **March 31, 2025** |<br>**$ Change** |<br>**% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Revenues and other:** | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and NGL sales | $125637 | $147862 | $(22225) | (15)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue<sup>(1)</sup> | 22824 | 23664 | (840) | (4)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity sales | 4886 | 4967 | (81) | (2)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Gains on oil and gas sales derivatives | 56423 | 5475 | 50948 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing and other revenues | 308 | 683 | (375) | (55)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $210078 | $182651 | $27427 | 15% |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, service revenue was approximately $31 million and $30 million and the intercompany elimination was $8 million and $6 million for the quarters ended June 30, 2025 and March 31, 2025, respectively.

*Revenues and Other*

Oil, natural gas and NGL sales decreased by $22 million, or 15%, to approximately $126 million for the three months ended June 30, 2025, compared to the three months ended March 31, 2025. The decrease included $16 million lower oil prices, $5 million lower oil volumes, and $1 million lower gas prices. The lower oil volumes were due to impacts from our sidetrack drilling activity that required temporary production curtailment in certain of our thermal diatomite properties.

Service revenue consisted entirely of revenue from the well servicing and abandonment services business, excluding intercompany amounts. Service revenue decreased by less than $1 million, or 4%, to $23 million for the three months ended June 30, 2025, compared to the three months ended March 31, 2025 due to decreased activity.

Electricity sales represent sales to utilities and were flat at $5 million for the three months ended June 30, 2025, compared to the three months ended March 31, 2025.

Gain or loss on oil and gas sales derivatives consists of settlement gains and losses and mark-to-market gains and losses. Our settlement gains for the three months ended June 30, 2025 and March 31, 2025 were $9 million and less than $1 million, respectively. The quarter-over-quarter increase in settlement gains was primarily due to lower settlement prices relative to fixed prices in the second quarter 2025. The mark-to-market non-cash gains for the three months ended June 30, 2025 and March 31, 2025, were $48 million and $5 million, respectively. Because we are the floating price payer on these swaps, generally, period to period decreases (increases) in the associated price index create valuation gains (losses).

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **$ Change** | **% Change** |
| | **June 30, 2025** | **March 31, 2025** | **$ Change** | **% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Expenses and other:** | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | $53193 | $57282 | $(4089) | (7)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Costs of services<sup>(1)</sup> | 19001 | 20825 | (1824) | (9)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity generation expenses | 624 | 1209 | (585) | (48)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transportation expenses | 1225 | 939 | 286 | 30% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing expenses | 345 | 292 | 53 | 18% |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(2)</sup> | 310 |  | 310 | —% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses | 20270 | 20305 | (35) | —% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion and amortization | 35294 | 40392 | (5098) | (13)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties |  | 157910 | (157910) | (100)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 12957 | 9240 | 3717 | 40% |
| &nbsp;&nbsp;&nbsp;&nbsp;Losses (gains) on natural gas purchase derivatives | 3130 | (5691) | 8821 | n/a |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expense  | 1365 | 401 | 964 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses and other | 147714 | 303104 | (155390) | (51)% |
| **Other expenses:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | (15513) | (15172) | (341) | 2% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other, net | (59) | 272 | (331) | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other expenses | (15572) | (14900) | (672) | 5% |
| **Income (loss) before income taxes** | 46792 | (135353) | 182145 | >100% |
| Income tax expense (benefit)  | 13188 | (38673) | 51861 | >100% |
| **Net income (loss)** | $33604 | $(96680) | $130284 | >100% |
| **Adjusted EBITDA**<sup>(2)</sup> | $52915 | $68450 | $(15535) | (23)% |
| **Adjusted Net Income (Loss)**<sup>(2)</sup> | $(364) | $9370 | $(9734) | >100% |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, costs of services were $27 million for both three months ended June 30, 2025 and March 31, 2025. The intercompany elimination was $8 million and $6 million for the three months ended June 30, 2025 and March 31, 2025, respectively.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Adjusted EBITDA and Adjusted Net Income (Loss) are financial measures that are not calculated in accordance with GAAP. For definitions and a reconciliation to the Net Cash Provided by Operating Activities and Net Income (loss), please see "—Non-GAAP Financial Measures".

*Expenses* 

Lease operating expenses, which do not include the effects of gas purchase hedges, decreased 7% or $4 million to $53 million in the second quarter of 2025 when compared to the first quarter of 2025, largely due to lower natural gas (fuel) costs for our California steam generation facilities. Fuel costs decreased $6 million due to lower prices. Lease operating expenses excluding fuel increased $2 million due to an increase in power costs from higher summer rates.

Costs of services consisted entirely of costs from the well servicing and abandonment services business, excluding intercompany amounts. Cost of services decreased $2 million, or 9%, to $19 million in the second quarter of 2025 due to decreased activity.

Electricity generation expenses were lower by less than $1 million in the three months ended June 30, 2025 compared to the three months ended March 31, 2025.

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Natural gas purchase derivatives for the three months ended June 30, 2025, resulted in a loss of $3 million that included $8 million settlement losses and $5 million mark-to-market gains. Natural gas derivatives in the first quarter of 2025 resulted in a $6 million gain that included $7 million mark-to-market valuation gains and $1 million settlement losses. Quarter-over-quarter settlement losses increased due to lower average settlement prices in the second quarter compared to those in the first quarter.

General and administrative expenses were flat at $20 million for the three months ended June 30, 2025 and three months ended March 31, 2025. Amounts in each of these periods included $2 million in non-cash stock compensation.

Adjusted General and Administrative Expenses, which exclude non-cash stock compensation expense and non-recurring costs, were flat for the three months ended June 30, 2025, compared to the three months ended March 31, 2025. See "—Non-GAAP Financial Measures" for a reconciliation of general and administrative expenses, the most directly comparable financial measure calculated and presented in accordance with GAAP, to Adjusted General and Administrative Expenses.

DD&A decreased $5 million for the three months ended June 30, 2025, compared to the three months ended March 31, 2025 primarily due to a decrease in the depletion rate and lower production.

*Impairment of Oil and Gas Properties*

There was no impairment of oil and gas properties for the three months ended June 30, 2025. For the three months ended March 31, 2025, as a result of operating evaluations, market volatility and price declines, we recorded a non-cash pre-tax asset impairment charge of $158 million ($113 million after-tax) on one of our non-thermal diatomite proved properties in California. For information regarding Impairment of Oil and Gas Properties, see "Note 10—Oil and Natural Gas Properties" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report.

*Taxes, Other Than Income Taxes*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **$ Change** | **% Change** |
| | **June 30, 2025** | **March 31, 2025** | **$ Change** | **% Change** |
| | **(per boe)** | **(per boe)** | | |
| &nbsp;&nbsp;Severance taxes | $1.93 | $2.13 | $(0.20) | (9)% |
| &nbsp;&nbsp;Ad valorem and property taxes | 2.04 | 2.14 | (0.10) | (5)% |
| &nbsp;&nbsp;Greenhouse gas allowances and other emission costs | 1.98 | (0.12) | 2.10 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total taxes other than income taxes | $5.95 | $4.15 | $1.80 | 43% |

---

Taxes, other than income taxes, increased in the three months ended June 30, 2025 by $1.80 per boe, or 43%, to $5.95. The increase included higher greenhouse gas mark-to-market prices compared to the first quarter of 2025, partially offset by lower severance and ad valorem taxes.

 *Other Operating (Income) Expenses* 

For the three months ended June 30, 2025 and March 31, 2025, other operating expense were $1 million.

*Interest Expense*

Interest expense was flat at $15 million for the three months ended June 30, 2025, compared to the three months ended March 31, 2025.

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*Income Taxes* 

Our effective tax rate was 28% for the three months ended June 30, 2025, compared to approximately 29% for the quarter ended March 31, 2025. The effective tax rate for both periods was impacted by the effect of certain permanent items that are not deductible for tax purposes and the impact of tax credits generated in the quarter.

***Three Months Ended June 30, 2025 compared to Three Months Ended June 30, 2024.***

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>June 30,** | **Three Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Revenues and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and NGL sales | $125637 | $168781 | $(43144) | (26)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue<sup>(1)</sup> | 22824 | 31155 | (8331) | (27)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity sales | 4886 | 3691 | 1195 | 32% |
| &nbsp;&nbsp;&nbsp;&nbsp;Gains (losses) on oil and gas sales derivatives | 56423 | (5844) | 62267 | n/a |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing and other revenues | 308 | 1851 | (1543) | (83)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $210078 | $199634 | $10444 | 5% |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, service revenue was approximately $31 million and $37 million and the intercompany elimination was $8 million and $6 million for the quarters ended June 30, 2025 and 2024, respectively.

*Revenues and Other*

Oil, natural gas and NGL sales decreased $43 million, or 26%, to approximately $126 million for the three months ended June 30, 2025, when compared to the three months ended June 30, 2024. The decrease in revenue was driven by $33 million lower oil prices and $10 million lower oil volumes. The lower oil volumes were due to impacts from our sidetrack drilling activity that required temporary production curtailment in certain of our thermal diatomite properties.

Service revenue (excluding intercompany amounts) decreased by $8 million, or 27%, to $23 million for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, due to decreased activity and rates in the second quarter of 2025.

Electricity sales represent sales to utilities and were $1 million higher at $5 million for the three months ended June 30, 2025, primarily due to higher operating volumes and resource adequacy payments received when compared to the three months ended June 30, 2024.

Gain or loss on oil and gas sales derivatives consists of settlement gains and losses and mark-to-market gains and losses. Settlement gains for the three months ended June 30, 2025 were $9 million compared to losses of $10 million for the three months ended June 30, 2024. Settlement gains in the second quarter of 2025 were driven by lower average settlement prices relative to average fixed prices. Notional volumes were 18 mbbl/d in the second quarter of 2025 and 2024. The mark-to-market non-cash gains for the three months ended June 30, 2025 were $48 million compared to $4 million gains for the three months ended June 30, 2024. Because we are the floating price payer on these swaps, generally, period to period decreases (increases) in the associated price index create valuation gains (losses).

Marketing and other revenues, which include third-party gas marketing and processing revenue as well as revenue from gas we purchased in the Rockies and sold into the California market, was less than $1 million in the three months ended June 30, 2025, $2 million lower than the same period in 2024 due to less gas marketing activity.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>June 30,** | **Three Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Expenses and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | $53193 | $53885 | $(692) | (1)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Costs of services<sup>(1)</sup> | 19001 | 25021 | (6020) | (24)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity generation expenses | 624 | 586 | 38 | 6% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transportation expenses | 1225 | 1039 | 186 | 18% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing expenses | 345 | 1885 | (1540) | (82)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(2)</sup> | 310 | 1394 | (1084) | (78)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses | 20270 | 18881 | 1389 | 7% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion and amortization | 35294 | 42843 | (7549) | (18)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties |  | 43980 | (43980) | 100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 12957 | 12674 | 283 | 2% |
| &nbsp;&nbsp;&nbsp;&nbsp;Losses on natural gas purchase derivatives | 3130 | 2642 | 488 | 18% |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expense (income) | 1365 | (3204) | 4569 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses and other | 147714 | 201626 | (53912) | (27)% |
| **Other expenses:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | (15513) | (10050) | (5463) | 54% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other, net | (59) | (53) | (6) | 11% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other expenses | (15572) | (10103) | (5469) | 54% |
| **Income (loss) before income tax** | 46792 | (12095) | 58887 | >100% |
| Income tax expense (benefit) | 13188 | (3326) | 16514 | >100% |
| **Net income (loss)** | $33604 | $(8769) | $42373 | >100% |
| **Adjusted EBITDA**<sup>(3)</sup> | $52915 | $74329 | $(21414) | (29)% |
| **Adjusted Net Income (Loss)**<sup>(3)</sup> | $(364) | $14155 | $(14519) | >100% |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, costs of services was $27 million and $31 million and the intercompany elimination was $8 million and $6 million for the quarters ended June 30, 2025 and June 30, 2024, respectively.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transactions activities.

(3)&nbsp;&nbsp;&nbsp;&nbsp;Adjusted EBITDA and Adjusted Net Income (Loss) are financial measures that are not calculated in accordance with GAAP. For definitions and a reconciliation to the Net Cash Provided by Operating Activities and Net Income (loss), please see "—Non-GAAP Financial Measures".

*Expenses* 

Lease operating expenses, which do not include the effects of gas purchase hedges, decreased 1% or $1 million to $53 million for the second quarter of 2025 when compared to the second quarter of 2024. Non-fuel lease operating expense decreased $2 million in the second quarter of 2025 due to lower well servicing and outside labor costs. The decrease was partially offset by a $1 million dollar in higher natural gas (fuel) costs for our California steam generation facilities, which includes a $2 million increase in price and a $1 million decrease in volumes.

Cost of services (excluding intercompany amounts) decreased $6 million, or 24%, to $19 million for the second quarter of 2025 compared to the same period in 2024 primarily due to lower activity.

Natural gas purchase derivatives in the three months ended June 30, 2025, resulted in a loss of $3 million that included $8 million settlement losses and $5 million mark-to-market gains. Natural gas purchase derivatives in the

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same period of 2024 resulted in a loss of $3 million including $9 million settlement losses and $7 million mark-to-market gains.

Marketing expenses, which includes third-party gas marketing and processing expenses, as well as costs from gas we purchased in the Rockies and sold into the California market, was less than $1 million in the three months ended June 30, 2025, $2 million lower than the same period in 2024 due to less gas marketing activity.

Acquisition costs were comparable for the three months ended June 30, 2025 and 2024.

General and administrative expenses increased $1 million to $20 million for the three months ended June 30, 2025 when compared to the same period in 2024. For both the three months ended June 30, 2025, and 2024, general and administrative expenses had $2 million in non-cash stock compensation expense. We had no non-recurring costs for both periods.

Adjusted General and Administrative Expenses, which exclude non-cash stock compensation expense and non-recurring costs increased $1 million to $18 million for the three months ended June 30, 2025 when compared to the three months ended June 30, 2024 primarily due to higher employee-related costs. See "—Non-GAAP Financial Measures" for a reconciliation of general and administrative expenses, the most directly comparable financial measure calculated and presented in accordance with GAAP, to Adjusted General and Administrative Expenses.

DD&A decreased $8 million, or 18%, to $35 million in the three months ended June 30, 2025, primarily due to a decrease in the depletion rate and lower production when compared to the three months ended June 30, 2024.

*Impairment of Oil and Gas Properties*

There was no impairment of oil and gas properties for the three months ended June 30, 2025. For the three months ended June 30, 2024, we recorded an impairment of oil and gas properties for $44 million as a result of regulatory changes that negatively impacted unproved oil and gas properties in certain California locations.

*Taxes, Other Than Income Taxes*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>June 30,** | **Three Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(per boe)** | **(per boe)** | | |
| Severance taxes | $1.93 | $1.72 | $0.21 | 12% |
| Ad valorem and property taxes | 2.04 | 2.14 | (0.10) | (5)% |
| &nbsp;&nbsp;Greenhouse gas allowances and other emission costs | 1.98 | 1.65 | 0.33 | 20% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total taxes other than income taxes | $5.95 | $5.51 | $0.44 | 8% |

---

Taxes, other than income taxes increased in the three months ended June 30, 2025, by 8% to $5.95 per boe primarily due to higher GHG mark-to-market prices and severance taxes in the second quarter of 2025 compared to the same period in 2024.

*Other Operating (Income) Expenses* 

For the three months ended June 30, 2025, other operating expense was $1 million and included settlements related to royalties. For the three months ended June 30, 2024, other operating income was $3 million and mainly consisted of prior period royalty receipts and property tax refunds.

*Interest Expense*

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Interest expense increased $5 million in the three months ended June 30, 2025, when compared to the three months ended June 30, 2024, due to the prevailing interest rate associated with our borrowings and increased amortization of deferred financing costs.

*Income Taxes*

Our effective tax rate was approximately 28% for the three months ended June 30, 2025 compared to approximately 28% for the three months ended June 30, 2024. The effective tax rate in both periods included the effect of certain permanent items that are not deductible for tax purposes and the impact of tax credits generated.

***Six Months Ended June 30, 2025 compared to Six Months Ended June 30, 2024.***

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Revenues and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Oil, natural gas and NGL sales | $273499 | $335099 | $(61600) | (18)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Service revenue<sup>(1)</sup> | 46488 | 62838 | (16350) | (26)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity sales | 9853 | 7934 | 1919 | 24% |
| &nbsp;&nbsp;&nbsp;&nbsp;Gains (losses) on oil and gas sales derivatives | 61898 | (77044) | 138942 | n/a |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing and other revenues | 991 | 6887 | (5896) | (86)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenues and other | $392729 | $335714 | $57015 | 17% |

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__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, service revenue was approximately $61 million and $72 million and the intercompany elimination was $14 million and $9 million for the six months ended June 30, 2025 and 2024, respectively.

*Revenues and Other*

Oil, natural gas and NGL sales decreased $62 million, or 18%, to $273 million for the six months ended June 30, 2025 when compared to the six months ended June 30, 2024. The variance was driven by a $46 million decrease in oil prices and a $16 million decrease in oil volumes. The lower oil volumes were due to natural decline, partially offset by increased production due to development activity in the Midway Sunset field.

Service revenue (excluding intercompany amounts) decreased $16 million, or 26%, to $46 million for the six months ended June 30, 2025 when compared to the six months ended June 30, 2024, due to lower activity and rates.

Electricity sales, which represent sales to utilities increased $2 million, or 24%, to $10 million for the six months ended June 30, 2025, when compared to the six months ended June 30, 2024, due to higher resource adequacy payments received and operating volumes.

Gain or loss on oil and gas sales derivatives consists of settlement gains and losses and mark-to-market gains and losses. Settlement gains for the six months ended June 30, 2025 were $9 million compared to a loss of $14 million for six months ended June 30, 2024. Settlement gains in the second quarter of 2025 were driven by a lower average settlement price relative to the average fixed price. The mark-to-market non-cash gain was $53 million for the six months ended June 30, 2025, compared to a loss of $63 million for the six months ended June 30, 2024. Because we are the floating price payer on these swaps, generally, period to period decreases (increases) in the associated price index create valuation gains (losses).

Marketing and other revenues, which includes third-party gas marketing and processing revenue as well as revenue from gas we purchased in the Rockies and sold into the California market, was $1 million in the six months ended June 30, 2025, $6 million lower than the same period in 2024, due to less gas marketing activity.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(in thousands)** | **(in thousands)** | | |
| **Expenses and other:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lease operating expenses | $110475 | $115161 | $(4686) | (4)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Costs of services<sup>(1)</sup> | 39826 | 52325 | (12499) | (24)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Electricity generation expenses | 1833 | 1679 | 154 | 9% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Transportation expenses | 2164 | 2098 | 66 | 3% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Marketing expenses | 637 | 6275 | (5638) | (90)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(2)</sup> | 310 | 4011 | (3701) | (92)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses | 40575 | 39115 | 1460 | 4% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion and amortization | 75686 | 85674 | (9988) | (12)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties | 157910 | 43980 | 113930 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxes, other than income taxes | 22197 | 28363 | (6166) | (22)% |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gains) losses on natural gas purchase derivatives | (2561) | 7123 | (9684) | n/a |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expense (income)  | 1766 | (3337) | 5103 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses and other | 450818 | 382467 | 68351 | 18% |
| **Other (expenses):** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | (30685) | (19190) | (11495) | 60% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other, net | 213 | (136) | 349 | >100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other expenses | (30472) | (19326) | (11146) | 58% |
| **Loss before income taxes** | (88561) | (66079) | (22482) | (34)% |
| Income tax benefit | (25485) | (17226) | (8259) | (48)% |
| **Net loss** | $(63076) | $(48853) | $(14223) | (29)% |
| **Adjusted EBITDA**<sup>(3)</sup> | $121365 | $142863 | $(21498) | (15)% |
| **Adjusted Net Income**<sup>(3)</sup> | $9006 | $25065 | $(16059) | (64)% |

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__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;The well servicing and abandonment services segment provides services to our E&P segment. Prior to the intercompany elimination, costs of services was $54 million and $62 million and the intercompany elimination was $14 million and $9 million for the six months ended June 30, 2025 and June 30, 2024, respectively.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transaction activities.

(3)&nbsp;&nbsp;&nbsp;&nbsp;Adjusted EBITDA and Adjusted Net Income (Loss) are financial measures that are not calculated in accordance with GAAP. For definitions and a reconciliation to the Net Cash Provided by Operating Activities and Net Income (loss), please see "—Non-GAAP Financial Measures".

*Expenses* 

Lease operating expenses, which do not include the effects of gas purchase hedges, decreased 4%, or $5 million, on an absolute dollar basis to $110 million for the six months ended June 30, 2025 when compared to the six months ended June 30, 2024. The decrease was due to lower outside services, power, and well servicing costs, partially offset by higher company labor. Natural gas (fuel) costs for our California steam generation facilities were flat for the six months ended June 30, 2025 when compared to the same period in 2024. A $3 million increase in fuel price was completely offset by a $3 million decrease in fuel volumes.

Cost of services (excluding intercompany amounts) decreased $12 million, or 24%, to $40 million in the six months ended June 30, 2025, due to lower activity.

Electricity generation expenses were flat at $2 million for the six months ended June 30, 2025 compared to the same period in 2024.

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Gain on natural gas purchase derivatives for the six months ended June 30, 2025 was $3 million resulting from $12 million mark-to-market gains and $9 million settlement losses. Loss on natural gas purchase derivatives for the same period in 2024 was $7 million resulting from $7 million mark-to-market gains and $14 million settlement losses. Mark-to-market valuation gains were consistent with the changes in futures prices at the end of each period. Settlement losses were the result of average settlement prices that were lower than average fixed prices during the same periods.

Transportation expenses were comparable for the periods presented.

Marketing expenses, which include third-party gas marketing and processing expenses as well as costs from gas we purchased in the Rockies and sold into the California market, was less than $1 million in the six months ended June 30, 2025, $6 million lower than the same period in 2024, due to less gas marketing activity.

Acquisition costs were less than $1 million and $4 million for the six months ended June 30, 2025 and 2024, respectively. Acquisition costs include legal and professional expenses that are driven by transactional activity each period.

General and Administrative expenses increased $1 million, or 4%, to approximately $41 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024. For the six months ended June 30, 2025 and June 30, 2024, General and Administrative expenses included non-cash stock compensation costs of approximately $4 million and $2 million, respectively. We incurred no non-recurring costs for the six months ended June 30, 2025. For the six months ended June 30, 2024, we incurred non-recurring costs of $1 million.

Adjusted General and Administrative expenses, which exclude non-cash stock compensation costs and non-recurring costs were $37 million for the six months ended June 30, 2025 and were comparable to the six months ended June 30, 2024. See "—Non-GAAP Financial Measures" for a reconciliation of General and Administrative expense, the most directly comparable financial measure calculated and presented in accordance with GAAP, to Adjusted General and Administrative expenses.

DD&A decreased $10 million, or 12%, to $76 million for the six months ended June 30, 2025, compared to the six months ended June 30, 2024, due to decreased depletion rates and lower production.

*Impairment of Oil and Gas Properties*

As a result of operating evaluations, market volatility and price declines we recorded a non-cash pre-tax asset impairment charge of $158 million ($113 million after-tax) on one of our non-thermal diatomite proved properties in California for the six months ended June 30, 2025. For the six months ended June 30, 2024, we recorded an impairment of oil and gas properties for $44 million as a result of regulatory changes that negatively impacted unproved oil and gas properties in certain California locations. For information regarding Impairment of Oil and Gas Properties, see "Note 10—Oil and Natural Gas Properties" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report.

*Taxes, Other Than Income Taxes*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** | **$ Change** | **% Change** |
| | **2025** | **2024** | **$ Change** | **% Change** |
| | **(per boe)** | **(per boe)** | | |
| Severance taxes | $2.03 | $1.69 | $0.34 | 20% |
| Ad valorem and property taxes | 2.10 | 2.33 | (0.23) | (10)% |
| &nbsp;&nbsp;Greenhouse gas allowances and other emission costs | 0.91 | 2.13 | (1.22) | (57)% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total taxes other than income taxes | $5.04 | $6.15 | $(1.11) | (18)% |

---

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Taxes other than income taxes decreased 18% to $5.04 per boe for the six months ended June 30, 2025, compared to $6.15 per boe for the six months ended June 30, 2024. GHG allowance expense decreased due to lower non-cash mark-to-market prices for the allowances compared to the same period in 2024.

*Other Operating (Income) Expenses* 

For the six months ended June 30, 2025, other operating expense was $2 million and included settlements related to royalties. For the six months ended June 30, 2024, other operating income was $3 million and mainly consisted of prior period royalty receipts and property tax refunds.

*Interest Expense*

Interest expense increased $11 million, or 60%, in the six months ended June 30, 2025, compared to the same period in 2024, due to the prevailing interest rate associated with our borrowings and increased amortization of deferred financing costs.

*Income Taxes*

Our effective tax rate was approximately 29% for the six months ended June 30, 2025, compared to 26% for the six months ended June 30, 2024, respectively. The effective tax rate in both periods included the effect of certain permanent items that are not deductible for tax purposes and the impact of tax credits generated.

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**Non-GAAP Financial Measures**

***Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), Adjusted General and Administrative Expenses and E&P Operating Costs***

Adjusted EBITDA is not a measure of either net income (loss) or cash flow, Free Cash Flow is not a measure of cash flow, Adjusted Net Income (Loss) is not a measure of net income (loss), and Adjusted General and Administrative Expenses is not a measure of general and administrative expenses, in all cases, as determined by GAAP. Rather, Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), and Adjusted General and Administrative Expenses are supplemental non-GAAP financial measures used by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies.

We define Adjusted EBITDA as earnings before interest expense; income taxes; depreciation, depletion, and amortization; derivative gains or losses net of cash received or paid for scheduled derivative settlements; impairments; stock compensation expense; and unusual and infrequent items. Our management believes Adjusted EBITDA provides useful information in assessing our financial condition, results of operations and cash flows and is widely used by the industry and the investment community. The measure also allows our management to more effectively evaluate our operating performance and compare the results between periods without regard to our financing methods or capital structure. We also use Adjusted EBITDA in planning our capital expenditure allocation to sustain production levels and to determine our strategic hedging needs aside from the hedging requirements of the 2024 Term Loan and 2024 Revolver.

We define Free Cash Flow as cash flow from operations less capital expenditures. We use Free Cash Flow as the primary metric to measure our ability to pay dividends, pay down debt, repurchase stock, and make strategic growth and bolt-on acquisitions. Management believes Free Cash Flow may be useful in an investor analysis of our ability to generate cash from operating activities from our existing oil and gas asset base after capital expenditures and to fund such activities. Free Cash Flow does not represent the total increase or decrease in our cash balance, and it should not be inferred that the entire amount of Free Cash Flow is available for dividends, debt repayment, share repurchases, strategic acquisitions or other growth opportunities, or other discretionary expenditures, since we have mandatory debt service requirements and other non-discretionary expenditures that are not deducted from this measure.

We define Adjusted Net Income (Loss) as net income (loss) adjusted for derivative gains or losses net of cash received or paid for scheduled derivative settlements, unusual and infrequent items, and the income tax expense or benefit of these adjustments using our statutory tax rate. Adjusted Net Income (Loss) excludes the impact of unusual and infrequent items affecting earnings that vary widely and unpredictably, including non-cash items such as derivative gains and losses. This measure is used by management when comparing results period over period. We believe Adjusted Net Income (Loss) is useful to investors because it reflects how management evaluates the Company's ongoing financial and operating performance from period-to-period after removing certain transactions and activities that affect comparability of the metrics and are not reflective of the Company's core operations. We believe this also makes it easier for investors to compare our period-to-period results with our peers.

We define Adjusted General and Administrative Expenses as general and administrative expenses adjusted for non-cash stock compensation expense and unusual and infrequent costs. Management believes Adjusted General and Administrative Expenses is useful because it allows us to more effectively compare our performance from period to period. We believe Adjusted General and Administrative Expenses is useful to investors because it reflects how management evaluates the Company's ongoing general and administrative expenses from period-to-period after removing non-cash stock compensation, as well as unusual or infrequent costs that affect comparability of the metrics and are not reflective of the Company's administrative costs. We believe this also makes it easier for investors to compare our period-to-period results with our peers.

While Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), and Adjusted General and Administrative Expenses are non-GAAP measures, the amounts included in the calculation of Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), and Adjusted General and Administrative Expenses were computed in accordance with GAAP. These measures are provided in addition to, and not as an alternative for, income and

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liquidity measures calculated in accordance with GAAP and should not be considered as an alternative to, or more meaningful than income and liquidity measures calculated in accordance with GAAP. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing our financial performance, such as our cost of capital and tax structure, as well as the historic cost of depreciable and depletable assets. Our computations of Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), and Adjusted General and Administrative Expenses may not be comparable to other similarly titled measures used by other companies. Adjusted EBITDA, Free Cash Flow, Adjusted Net Income (Loss), and Adjusted General and Administrative Expenses should be read in conjunction with the information contained in our financial statements prepared in accordance with GAAP.

The following tables present reconciliations of the GAAP financial measures of net income (loss) and net cash provided (used) by operating activities to the non-GAAP financial measure of Adjusted EBITDA, as applicable, for each of the periods indicated.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income (loss) | $33604 | $(96680) | $(8769) | $(63076) | $(48853) |
| **Add (Subtract):** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense | 15513 | 15172 | 10050 | 30685 | 19190 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense (benefit) | 13188 | (38673) | (3326) | (25485) | (17226) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation, depletion and amortization | 35294 | 40392 | 42843 | 75686 | 85674 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties |  | 157910 | 43980 | 157910 | 43980 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gains) losses on derivatives | (53293) | (11166) | 8486 | (64459) | 84167 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net cash received (paid) for scheduled derivative settlements | 4908 | (1312) | (19115) | 3596 | (28209) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expense (income)  | 1365 | 401 | (3204) | 1766 | (3337) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock compensation expense | 2026 | 2406 | 1990 | 4432 | 2375 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(1)</sup> | 310 |  | 1394 | 310 | 4011 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs<sup>(2)</sup> |  |  |  |  | 1091 |
| **Adjusted EBITDA** | $52915 | $68450 | $74329 | $121365 | $142863 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transaction activities.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs included cost savings initiatives.

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---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** | **Adjusted EBITDA reconciliation:** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by operating activities | $28638 | $45872 | $70891 | $74510 | $98164 |
| **Add (Subtract):** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash interest payments | 14487 | 13459 | 1395 | 27946 | 16651 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash income tax payments | 5239 | 66 | 491 | 5305 | 491 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(1)</sup> | 310 |  | 1394 | 310 | 4011 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs<sup>(2)</sup> |  |  |  |  | 1091 |
| &nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities - working capital<sup>(3)</sup> | 3852 | 9265 | 3293 | 13117 | 25836 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating income - cash portion<sup>(4)</sup> | 389 | (212) | (3135) | 177 | (3381) |
| **Adjusted EBITDA** | $52915 | $68450 | $74329 | $121365 | $142863 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transaction activities.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs included cost savings initiatives.

(3)&nbsp;&nbsp;&nbsp;&nbsp;Changes in other assets and liabilities consists of working capital and various immaterial items.

(4)&nbsp;&nbsp;&nbsp;&nbsp;Represents the cash portion of other operating (income) expenses from the income statement, net of the non-cash portion in the cash flow statement.

The following table presents a reconciliation of the GAAP financial measure of operating cash flow to the non-GAAP financial measure of Free Cash Flow for each of the periods indicated.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Free Cash Flow reconciliation:** | **Free Cash Flow reconciliation:** | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by operating activities | $28638 | $45872 | $70891 | $74510 | $98164 |
| &nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | (54249) | (28389) | (42325) | (82638) | (59261) |
| **Free Cash Flow** | $(25611) | $17483 | $28566 | $(8128) | $38903 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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The following table presents a reconciliation of the GAAP financial measures of net income (loss) and net income (loss) per share — diluted to the non-GAAP financial measures of Adjusted Net Income (Loss) and Adjusted Net Income (Loss) per share — diluted for each of the periods indicated.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **March 31, 2025** | **March 31, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **(in thousands)** | **per share - diluted** | **(in thousands)** | **per share - diluted** | **(in thousands)** | **per share - diluted** |
| **Adjusted Net Income (Loss) reconciliation:** | **Adjusted Net Income (Loss) reconciliation:** | **Adjusted Net Income (Loss) reconciliation:** | **Adjusted Net Income (Loss) reconciliation:** | **Adjusted Net Income (Loss) reconciliation:** | **Adjusted Net Income (Loss) reconciliation:** | |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income (loss) | $33604 | $0.43 | $(96680) | $(1.25) | $(8769) | $(0.11) |
| **Add (Subtract):** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Gains) losses on derivatives | (53293) | (0.69) | (11166) | (0.14) | 8486 | 0.11 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net cash received (paid) for scheduled derivative settlements | 4908 | 0.07 | (1312) | (0.02) | (19115) | (0.25) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses (income) | 1365 | 0.03 | 401 |  | (3204) | (0.05) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties |  |  | 157910 | 2.04 | 43980 | 0.57 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(1)</sup> | 310 |  |  |  | 1394 | 0.02 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total additions, net | (46710) | (0.59) | 145833 | 1.88 | 31541 | 0.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax benefit (expense) of adjustments<sup>(2)</sup> | 12742 | 0.16 | (39783) | (0.51) | (8617) | (0.11) |
| **Adjusted Net Income** | $(364) | $0.00 | $9370 | $0.12 | $14155 | $0.18 |
| &nbsp;&nbsp;Basic EPS on Adjusted Net Income | $0.00 |  | $0.12 |  | $0.18 |  |
| &nbsp;&nbsp;Diluted EPS on Adjusted Net Income | $0.00 |  | $0.12 |  | $0.18 |  |
| &nbsp;&nbsp;Weighted average shares of common stock outstanding - basic | 77596 |  | 77196 |  | 76939 |  |
| &nbsp;&nbsp;Weighted average shares of common stock outstanding - diluted | 77596 |  | 77371 |  | 77161 |  |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transaction activities.

(2)&nbsp;&nbsp;&nbsp;&nbsp;The federal and state statutory rates were utilized for all periods presented.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **(in thousands)** | **per share - diluted** | **(in thousands)** | **per share - diluted** |
| **Adjusted Net (Loss) Income reconciliation:** | **Adjusted Net (Loss) Income reconciliation:** | **Adjusted Net (Loss) Income reconciliation:** | **Adjusted Net (Loss) Income reconciliation:** | **Adjusted Net (Loss) Income reconciliation:** |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss | $(63076) | $(0.81) | $(48853) | $(0.64) |
| **Add (Subtract):** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Gains) losses on derivatives | (64459) | (0.83) | 84167 | 1.10 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net cash received (paid) for scheduled derivative settlements | 3596 | 0.05 | (28209) | (0.37) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses (income) | 1766 | 0.02 | (3337) | (0.03) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of oil and gas properties | 157910 | 2.04 | 43980 | 0.57 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition costs<sup>(1)</sup> | 310 |  | 4011 | 0.05 |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs<sup>(2)</sup> |  |  | 1091 | 0.01 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total additions, net | 99123 | 1.28 | 101703 | 1.33 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense of adjustments<sup>(3)</sup> | (27041) | (0.35) | (27785) | (0.36) |
| **Adjusted Net Income** | $9006 | $0.12 | $25065 | $0.33 |
| &nbsp;&nbsp;Basic EPS on Adjusted Net Income | $0.12 |  | $0.33 |  |
| &nbsp;&nbsp;Diluted EPS on Adjusted Net Income | $0.12 |  | $0.33 |  |
| &nbsp;&nbsp;Weighted average shares of common stock outstanding - basic | 77397 |  | 76597 |  |
| &nbsp;&nbsp;Weighted average shares of common stock outstanding - diluted | 77539 |  | 76860 |  |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Includes legal and other professional expenses related to various transaction activities.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs included cost savings initiatives.

(3)&nbsp;&nbsp;&nbsp;&nbsp;The federal and state statutory rates were utilized for all periods presented.

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The following table presents a reconciliation of the GAAP financial measure of general and administrative expenses to the non-GAAP financial measure of Adjusted General and Administrative Expenses for each of the periods indicated.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Adjusted General and Administrative Expense reconciliation:** | **Adjusted General and Administrative Expense reconciliation:** | **Adjusted General and Administrative Expense reconciliation:** | **Adjusted General and Administrative Expense reconciliation:** | **Adjusted General and Administrative Expense reconciliation:** | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses | $20270 | $20305 | $18881 | $40575 | $39115 |
| **Subtract:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-cash stock compensation expense (G&A portion) | (1957) | (2005) | (1843) | (3962) | (2043) |
| &nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs<sup>(1)</sup> |  |  |  |  | (1091) |
| **Adjusted general and administrative expenses** | $18313 | $18300 | $17038 | $36613 | $35981 |
| **Well servicing and abandonment services segment** | $2124 | $2300 | $2454 | $4424 | $5383 |
| **E&P segment, and corporate** | $16189 | $16000 | $14584 | $32189 | $30598 |
| **E&P segment, and corporate ($/boe)** | $7.44 | $7.19 | $6.34 | $7.31 | $6.64 |
| **Total mboe** | 2177 | 2225 | 2300 | 4402 | 4610 |

---

__________

(1)&nbsp;&nbsp;&nbsp;&nbsp;Non-recurring costs included cost savings initiatives.

Overall, management assesses the efficiency of our E&P operations by considering core E&P operating costs. The substantial majority of such costs are our lease operating expenses ("LOE") which includes fuel gas, purchased power, labor, field office, vehicle, supervision, maintenance, tools and supplies, and workover expenses. A core component of our E&P operations in California is steam, which we use to lift heavy oil to the surface. The most significant cost component of generating steam is the fuel gas purchased to operate traditional steam generators and our cogeneration facilities.

The following table includes key components of our LOE as well as the gas purchase hedge effect of the fuel used in our steam generation. Energy LOE consists of the costs to generate the steam and electricity we produce and use in our operations and the power we purchase for our E&P operations. Non-energy LOE consists of all remaining LOE costs. Energy LOE - hedged includes the realized (cash settled) hedge effects on the fuel gas we purchase. LOE - hedged includes the realized (cash settled) hedge effects on our total LOE.

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| | | | |
|:---|:---|:---|:---|
| | **Three-months ended** | **Three-months ended** | **Three-months ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $22476 | $26323 | $21891 |
| &nbsp;&nbsp;&nbsp;Non-energy LOE | 30717 | 30959 | 31994 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses**<sup>(1)</sup> | 53193 | 57282 | 53885 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 7699 | 1476 | 9314 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses - hedged** | $60892 | $58758 | $63199 |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $22476 | $26323 | $21891 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 7699 | 1476 | 9314 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Energy LOE - hedged** | $30175 | $27799 | $31205 |

---

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| | | | |
|:---|:---|:---|:---|
| | **Three-months ended** | **Three-months ended** | **Three-months ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** |
| | **(per boe)** | **(per boe)** | **(per boe)** |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $10.32 | $11.83 | $9.52 |
| &nbsp;&nbsp;&nbsp;Non-energy LOE | 14.11 | 13.91 | 13.91 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses**<sup>(1)</sup> | 24.43 | 25.74 | 23.43 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 3.54 | 0.66 | 4.05 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses - hedged** | $27.97 | $26.40 | $27.48 |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $10.32 | $11.83 | $9.52 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 3.54 | 0.66 | 4.05 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Energy LOE - hedged** | $13.86 | $12.49 | $13.57 |

---

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| | | |
|:---|:---|:---|
| | **Six-months ended** | **Six-months ended** |
| | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $48799 | $51981 |
| &nbsp;&nbsp;&nbsp;Non-energy LOE | 61676 | 63180 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses**<sup>(1)</sup> | 110475 | 115161 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 9175 | 13726 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses - hedged** | $119650 | $128887 |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $48799 | $51981 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 9175 | 13726 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Energy LOE - hedged** | $57974 | $65707 |

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__________

(1) Lease operating expenses ("LOE") is also referred to as LOE - unhedged.

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| | | |
|:---|:---|:---|
| | **Six-months ended** | **Six-months ended** |
| | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(per boe)** | **(per boe)** |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $11.09 | $11.28 |
| &nbsp;&nbsp;&nbsp;Non-energy LOE | 14.01 | 13.70 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses**<sup>(1)</sup> | 25.10 | 24.98 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 2.08 | 2.98 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Lease operating expenses - hedged** | $27.18 | $27.96 |
| &nbsp;&nbsp;&nbsp;Energy LOE - unhedged | $11.09 | $11.28 |
| &nbsp;&nbsp;&nbsp;Gas purchase hedges - realized | 2.08 | 2.98 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Energy LOE - hedged** | $13.17 | $14.26 |

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__________

(1) Lease operating expenses ("LOE") is also referred to as LOE - unhedged.

Energy LOE - hedged and LOE - hedged are not complete measures of our operating costs. These are supplemental non-GAAP financial measures used by management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies. Our management believes Energy LOE - hedged and LOE - hedged provide useful information in assessing our operating costs and results of operations and are used by the industry and the investment community. These measures also allow our management to more effectively evaluate our operating performance and compare the results between periods.

While Energy LOE - hedged and LOE - hedged are non-GAAP measures, the amounts included in the calculation of these measures were computed in accordance with GAAP. These measures are provided in addition to, and not as an alternative for, operating costs in accordance with GAAP and should not be considered as an alternative to, or more meaningful than cost measures calculated in accordance with GAAP. Our computations of Energy LOE - hedged and LOE - hedged may not be comparable to other similarly titled measures used by other companies. Energy LOE - hedged and LOE - hedged should be read in conjunction with the information contained in our financial statements prepared in accordance with GAAP.

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**Liquidity and Capital Resources**

As of June 30, 2025, we had $428 million outstanding on our 2024 Term Loan (as defined below) and no borrowings outstanding under our 2024 Revolver. As of June 30, 2025, we had $101 million of liquidity consisting of $20 million of cash, $49 million of available borrowing capacity and $32 million of available commitments under the Delayed Draw Term Loan (defined below) provided under the 2024 Term Loan.

We review the usage of our Free Cash Flow periodically based on then existing conditions and circumstances, including our earnings, financial condition, restrictions in financing agreements, business conditions and other factors. Our capital allocation approach prioritizes debt reduction in alignment with the covenants contained in the 2024 Term Loan and facilitates our operating strategy and business plans while enabling investment in development opportunities.

Free Cash Flow does not represent the total increase or decrease in our cash balance, and it should not be inferred that the entire amount of Free Cash Flow is available for dividends, debt or share repurchases, strategic acquisitions or other growth opportunities, or other discretionary expenditures, since we have non-discretionary expenditures that are not deducted from this measure. Free Cash Flow is a non-GAAP financial measure. See "Management's Discussion and Analysis—Non-GAAP Financial Measures" for a reconciliation of the GAAP financial measure of operating cash flow, our most directly comparable financial measure calculated and presented in accordance with GAAP, to the non-GAAP financial measure of Free Cash Flow.

We currently believe that our liquidity, capital resources and cash will be sufficient to conduct our business and operations and meet our obligations for at least the next 12 months. Based on current commodity prices and our development success rate to date, we expect to be able to fund the remainder of our 2025 capital program from cash flow from operations. In the longer term, if oil prices were to significantly decline and remain weak, we may not be able to continue to generate the same level of Free Cash Flow we are currently generating and our liquidity and capital resources may not be sufficient to conduct our business and operations until commodity prices recover. Please see Part I, Item 1A. "Risk Factors" in our Annual Report for a discussion of known material risks, many of which are beyond our control, that could adversely impact our business, liquidity, financial condition, and results of operations.

*2024 Term Loan*

On November 6, 2024, the Company entered into a Senior Secured Term Loan Credit Agreement (as amended, the "Original Term Loan Agreement") among Berry Corp., as borrower, certain subsidiaries of Berry Corp., as guarantors, Breakwall Credit Management LLC, as administrative agent, and the lenders from time to time party thereto. On December 24, 2024, the parties entered into the First Amendment to the Original Term Loan Agreement (the "Term Loan Amendment"), which aligned certain terms with the 2024 Revolver. The Original Term Loan Agreement, as amended to date, is referred to as the "2024 Term Loan."

The 2024 Term Loan provides for (i) an initial term loan facility in aggregate principal amount of $450 million (the "Initial Term Loan") and (ii) a delayed draw term loan facility with commitments in aggregate principal amount of up to $32 million (the "Delayed Draw Term Loan") which is available for borrowing until December 24, 2026, subject to satisfaction of certain customary conditions precedent, as further set forth in the 2024 Term Loan. We borrowed $450 million under the Initial Term Loan on December 24, 2024, in part, to fund the redemption or repayment, as applicable, of $403 million of outstanding debt, to fund a portion of the costs and expenses associated with the execution of the 2024 Revolver and 2024 Term Loan, the termination of our former revolving debt facilities, and for other general corporate purposes. The commitments under the Delayed Draw Term Loan will be reduced, on a dollar-for-dollar basis, by any increase in the commitments under the 2024 Revolver.

As of June 30, 2025, we had $428 million of borrowings outstanding under the 2024 Term Loan and $32 million of available commitments and no borrowings outstanding under the Delayed Draw Term Loan. For additional information regarding the 2024 Term Loan and Delayed Draw Term Loan, see "Note 2—Debt" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report.

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*2024 Revolver*

On December 24, 2024, the Company entered into a Senior Secured Revolving Credit Agreement (as amended to date, the "2024 Revolver") among Berry Corp., certain subsidiaries of Berry Corp., as guarantors, the lenders from time to time party thereto and Texas Capital Bank, as administrative agent. The 2024 Revolver provides for a revolving credit facility of up to the least of (i) the maximum commitments of $500 million, (ii) the then-effective borrowing base, which was equal to $95 million as of June 30, 2025, and (iii) the aggregate elected commitment amount, which was equal to $63 million as of June 30, 2025. The aggregate commitments under the 2024 Revolver include a $30 million sublimit for the issuance of letters of credit (with borrowing availability being reduced by the face amount of any letters of credit issued under the subfacility). The borrowing base will be redetermined by the lenders at least semi-annually on or about May 1 and November 1 of each year, beginning May 2025. We may increase elected commitments under the 2024 Revolver to the amount of our borrowing base with applicable lender approval. Any such increase above the elected commitments in effect as of December 26, 2024 will result in a dollar-for-dollar reduction in commitments under the 2024 Term Loan.

As of June 30, 2025, we had approximately $49 million of available borrowing capacity under the 2024 Revolver with $14 million of letters of credit and no borrowings outstanding. For additional information regarding the 2024 Revolver, see "Note 2—Debt" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report.

*Hedging*

We have protected a significant portion of our anticipated cash flows through our commodity hedging program, including swaps, puts, calls and collars. We hedge crude oil and gas production to protect against oil and gas price decreases and we also hedge gas purchases to protect against price increases. We have also entered into gas transportation contracts in the Rockies to help reduce the price fluctuation exposure; however these do not qualify as hedges.

The 2024 Revolver and 2024 Term Loan each requires us to maintain commodity hedges as described in "Note 3—Derivatives" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report.

Our generally low-decline production base affords an ability to hedge a material amount of our future expected production. We expect our operations to generate sufficient cash flows at current commodity prices including our current hedging positions. For information regarding risks related to our hedging program, see Part I—Item 1A. "Risk Factors—Risks Related to Our Operations and Industry" in our Annual Report.

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As of July 31, 2025, we had the following crude oil production and gas purchase hedges.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Q3 2025** | **Q4 2025** | **FY 2026** | **FY 2027** | **FY 2028** |
| **<u>Brent - Crude Oil production</u>** | | | | | |
| &nbsp;&nbsp;**Swaps** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (bbls) | 1613083 | 1610000 | 5382518 | 3901500 | 2045000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mbbls) per day | 17.5 | 17.5 | 14.7 | 10.7 | 5.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average price ($/bbl) | $74.48 | $74.69 | $69.71 | $69.29 | $67.59 |
| &nbsp;&nbsp;**Collars** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (bbls) |  |  | 90000 | 364000 | 106000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mbbls) per day |  |  | 0.2 | 1.0 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average ceiling ($/bbl) | $— | $— | $82.25 | $72.58 | $67.67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average floor ($/bbl) | $— | $— | $60.00 | $62.50 | $60.00 |
| **<u>NWPL - Natural Gas purchases</u>**<sup>(1)</sup> |  |  |  |  |  |
| &nbsp;&nbsp;**Swaps** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mmbtu) | 3680000 | 3680000 | 14600000 | 12160000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hedged volume (mbbtu) per day | 40.0 | 40.0 | 40.0 | 33.3 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Weighted-average price ($/mmbtu) | $4.29 | $4.15 | $3.97 | $4.18 | $— |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;The term "NWPL" is defined as Northwest Rocky Mountain Pipeline and represents the index used for these gas purchase hedges.

*Gains (losses) on Derivatives*

A summary of gains and losses on the derivatives included on the statements of operations is presented below:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Realized gains (losses) on commodity derivatives:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Realized gains (losses) on oil sales derivatives | $8593 | $164 | $(9801) | $8757 | $(14483) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Realized losses on natural gas purchase derivatives | (7698) | (1476) | (9314) | (9174) | (13726) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total realized gains (losses) on derivatives | $895 | $(1312) | $(19115) | $(417) | $(28209) |
| **Unrealized gains (losses) on commodity derivatives:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized gains (losses) on oil sales derivatives | $47830 | $5311 | $3957 | $53141 | $(62561) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized gains on natural gas purchase derivatives | 4568 | 7167 | 6672 | 11735 | 6603 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total unrealized gains (losses) on derivatives | $52398 | $12478 | $10629 | $64876 | $(55958) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total gains (losses) on derivatives | $53293 | $11166 | $(8486) | $64459 | $(84167) |

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The following table summarizes the historical results of our hedging activities.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,<br>2025** | **March 31,<br>2025** | **June 30,<br>2024** | **June 30,<br>2025** | **June 30,<br>2024** |
| **Crude Oil (per bbl):** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Realized sales price, before the effects of derivative settlements | $61.26 | $69.48 | $78.18 | $65.44 | $76.73 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 6.28 | 0.08 | (4.60) | 3.13 | (3.38) |
| &nbsp;&nbsp;&nbsp;&nbsp;Realized sales price, after the effects of derivative settlements | $67.54 | $69.56 | $73.58 | $68.57 | $73.35 |
| **Purchased Natural Gas (per mmbtu):** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchase price, before the effects of derivative settlements | $2.80 | $4.35 | $2.24 | $3.59 | $3.20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Effects of derivative settlements | 1.89 | 0.35 | 2.05 | 1.11 | 1.47 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchase price, after the effects of derivatives settlements | $4.69 | $4.70 | $4.29 | $4.70 | $4.67 |

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*Cash Dividends*

In March 2025, our Board of Directors declared a cash dividend of $0.03 per share, which was paid in April 2025. In May 2025, the Board of Directors declared a cash dividend of $0.03 per share, which was paid in May 2025. In August 2025, the Board of Directors approved a cash dividend of $0.03 per share, which is expected to be paid in August 2025.

The Company anticipates that it will continue to pay quarterly cash dividends in the future. However, the payment and amount of future dividends remain within the discretion of the Board of Directors and will depend upon the Company's future earnings, financial condition, capital requirements, and other factors.

*Stock Repurchase Program*

The manner, timing and amount of any purchases of the Company's common stock will be determined based on our evaluation of market conditions, stock price, compliance with outstanding agreements and other factors. Purchases may be commenced or suspended at any time without notice and the share repurchase program does not obligate the Company to purchase shares during any period or at all. Any shares repurchased are reflected as treasury stock and any shares acquired will be available for general corporate purposes.

As of June 30, 2025, the Company's remaining total share repurchase authority approved by the Board of Directors was $190 million. The Board of Directors' authorization permits the Company to make purchases of its common stock from time to time in the open market and in privately negotiated transactions or by other means, subject to market conditions and other factors, up to the aggregate amount authorized by the Board of Directors. The Board of Directors' authorization has no expiration date.

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The Company did not repurchase any shares during the six months ended June 30, 2025. As of June 30, 2025, the Company had repurchased a total of 11.9 million shares, cumulatively, under the stock repurchase program for approximately $114 million in aggregate.

*ATM Program*

On March 13, 2025, the Company entered into an Open Market Sale Agreement (the "Sales Agreement") with Jefferies LLC and Johnson Rice & Company L.L.C. (the "Sales Agents"). Pursuant to the Sales Agreement, we may offer and sell common stock having an aggregate offering price of up to $50 million from time to time to or through the Sales Agents, subject to our compliance with applicable laws and applicable requirements of the Sales Agreement (the "ATM Program"). The timing of any sales and the number of shares sold, if any, will depend on a variety of factors to be determined and considered by us, and we are not obligated to sell any shares under the Sales Agreement.

Net proceeds from the ATM Program can be used for general corporate purposes, which may include, among other things, paying or refinancing indebtedness, and funding acquisitions, capital expenditures and working capital.

During the six months ended June 30, 2025, the Company did not sell any shares of common stock under the ATM Program.

*Statements of Cash Flows*

The following is a comparative cash flow summary:

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| | | |
|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** |
| Net cash: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provided by operating activities | $74510 | $98164 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Used in investing activities | (53932) | (61147) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Used in financing activities | (30636) | (35164) |
| Net (decease) increase in cash and cash equivalents | $(10058) | $1853 |

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***Operating Activities***

Cash provided by operating activities decreased for the six months ended June 30, 2025 by approximately $24 million when compared to the six months ended June 30, 2024. The decrease was primarily related to a decrease in revenue from lower oil prices and lower volumes and a decrease in net margin from CJWS, partially offset by an increase in derivative settlements received, lower taxes, other than income taxes (specifically GHG), and a decrease in lease operating expenses.

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***Investing Activities***

The following provides a comparative summary of cash flows from investing activities:

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| | | |
|:---|:---|:---|
| | **Six Months Ended<br>June 30,** | **Six Months Ended<br>June 30,** |
| | **2025** | **2024** |
| | **(in thousands)** | **(in thousands)** |
| Capital expenditures: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | $(82638) | $(59261) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in capital expenditures accruals | 28186 | 4147 |
| Acquisitions, net of cash received |  | (6033) |
| Proceeds from sale of property and equipment and other | 520 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in investing activities** | $(53932) | $(61147) |

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Cash used in investing activities decreased $7 million for the six months ended June 30, 2025 when compared to the same period in 2024. The year-over-year changes included increased capital expenditures mainly from drilling and completion activity (particularly in Utah) offset by an increase in capital expenditure accruals. We also had reduced acquisition activity in 2025.

***Financing Activities***

Cash used in financing activities decreased approximately $4 million for the six months ended June 30, 2025 when compared to the six months ended June 30, 2024. Cash used for the six months ended June 30, 2025 included the first two quarterly debt service payments on our 2024 Term Loan, fixed dividend payments, and shares withheld for payment of taxes on equity awards. Cash used for the six months ended June 30, 2024 included payments for the fixed and variable dividends, shares withheld for payment of taxes on equity awards and debt issuance costs, offset by borrowings on our credit facility.

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**Balance Sheet Analysis**

The changes in our balance sheet from December 31, 2024 to June 30, 2025 are discussed below.

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| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| | **(in thousands)** | **(in thousands)** |
| Cash and cash equivalents | $19728 | $15336 |
| Restricted cash | $250 | $14700 |
| Accounts receivable, net | $70850 | $77630 |
| Derivative instruments assets - current and long-term | $69383 | $16223 |
| Other current assets | $27161 | $37451 |
| Property, plant & equipment, net | $1176078 | $1320380 |
| Deferred income taxes asset - long-term | $54793 | $26779 |
| Other noncurrent assets | $9872 | $9187 |
| Accounts payable and accrued expenses | $145393 | $133809 |
| Derivative instruments liabilities - current and long-term | $— | $7703 |
| Current portion of long-term debt, net | $45000 | $45000 |
| Income taxes payable | $534 | $1368 |
| Long-term debt, net | $364602 | $384633 |
| Deferred income taxes liability - long-term | $— | $1612 |
| Asset retirement obligations - long-term | $179976 | $185283 |
| Other noncurrent liabilities | $27669 | $27642 |
| Stockholders' equity | $664941 | $730636 |

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See "—Liquidity and Capital Resources" for discussions about the changes in cash and cash equivalents.

The $14 million decrease in restricted cash was due to the return of cash collateral for letters of credit which were replaced during the first quarter of 2025.

The $7 million decrease in accounts receivable was primarily due to decreased oil and gas sales between the two ending periods.

The $61 million increase in net derivative assets, which includes the derivative liability, is due to changes in the derivative values and positions at the end of each period. Changes to mark-to-market derivative values at the end of each period result from differences in the forward curve prices relative to the contract fixed prices, changes in positions held and settlements received and paid throughout the periods.

The $10 million decrease in other current assets was primarily due to amortization of prepaid expenses and the return of deposits.

The $144 million decrease in property, plant and equipment was primarily due to the $158 million first quarter 2025 impairment and year-to-date DD&A expense of $70 million, offset by $83 million in capital investments.

The $30 million increase in net deferred income taxes assets - long term, which includes the deferred tax liability, was primarily due to the tax effect of the year-to-date book loss partially offset by the utilization of tax credit carryforwards.

The $12 million increase in accounts payable and accrued expenses includes $28 million of higher capital expenditures accrual offset by an annual royalty payment of $9 million and an $8 million settlement of short-term GHG liabilities.

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The $1 million decrease in income taxes payable was primarily due to the tax effect of the year-to-date taxable income for federal and state purposes, as well as payments made.

The $20 million decrease in long-term debt, net largely reflects the payment of $22 million on our 2024 term loan offset by $2 million in amortization of the debt issuance costs.

The $5 million decrease in the long-term portion of the asset retirement obligations from $185 million at December 31, 2024 to $180 million at June 30, 2025 was due to $12 million of liabilities settled during the period offset by $6 million of accretion expense and $1 million of liabilities incurred.

The $66 million decrease in stockholders' equity was due to a net loss of $63 million, $6 million of common stock dividends, and $1 million of shares withheld for payment of taxes on equity awards, offset by $5 million of stock-based compensation.

**Lawsuits, Claims, Commitments, and Contingencies**

In the normal course of business, we, or our subsidiaries, are the subject of, or party to, pending or threatened legal proceedings, contingencies and commitments involving a variety of matters that seek, or may seek, among other things, compensation for alleged personal injury, breach of contract, false claims, property damage or other losses, punitive damages, fines and penalties, remediation costs, or injunctive or declaratory relief.

We accrue reserves for currently outstanding lawsuits, claims and proceedings when it is probable that a liability has been incurred and the liability can be reasonably estimated. Reserve balances for these items at June 30, 2025 and December 31, 2024 were not material to our consolidated financial position or results of operations as of such dates. We also evaluate the amount of reasonably possible losses that we could incur as a result of these matters. We believe that reasonably possible losses that we could incur in excess of accruals on our balance sheet would not be material to our consolidated financial position or results of operations.

We, or our subsidiaries, or both, have indemnified various parties against specific liabilities those parties might incur in the future in connection with transactions that they have entered into with us. As of June 30, 2025, we are not aware of material indemnity claims pending or threatened against us.

*Securities Litigation Matters*

There have been no material updates to the securities litigation matters described in our Annual Report. See "Note 5, Commitments and Contingencies" in the notes to the consolidated financial statements in Part II—Item 8. "Financial Statements and Supplementary Data" in our Annual Report for details. As of June 30, 2025, we are currently unable to estimate the probability of the outcome of these matters or the range of reasonably possible loss that may be related to these matters.

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*Contractual Obligations* 

The following is a summary of our commitments and contractual obligations as of June 30, 2025:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Payments Due** | **Payments Due** | **Payments Due** | **Payments Due** | **Payments Due** |
| | **Total** | **Less Than 1 Year** | **1-3 <br>Years** | **3-5 <br>Years** | **Thereafter** |
| | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** | **(in thousands)** |
| **Debt obligations:** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;2024 Revolver | $— | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;2024 Term Loan<sup>(1)</sup> | 427500 | 45000 | 382500 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;2024 Term Loan Interest<sup>(2)</sup> | 129667 | 47877 | 81790 |  |  |
| **Other:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Leases | 4869 | 2141 | 2517 | 211 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asset retirement obligations<sup>(3)</sup> | 196976 | 17000 |  |  | 179976 |
| **Off-Balance Sheet arrangements:**<sup>(4)</sup> |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transportation and processing contracts<sup>(5)</sup> | 73200 | 11656 | 21193 | 17003 | 23348 |
| &nbsp;&nbsp;&nbsp;&nbsp;GHG compliance purchase contracts<sup>(6)</sup> | 10707 | 10707 |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other purchase obligations<sup>(7)</sup>  | 17100 | 8400 | 8700 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total contractual obligations | $860019 | $142781 | $496700 | $17214 | $203324 |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Represents principal repayments on the 2024 Term Loan.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Represents estimated interest related to the 2024 Term Loan, assuming the same interest rate as of June 30, 2025 and expected outstanding balance throughout the term.

(3)&nbsp;&nbsp;&nbsp;&nbsp;Represents the estimated future asset retirement obligations on a discounted basis. We do not show the long-term asset retirement obligations by year as we are not able to precisely predict the timing of these amounts. Because these costs typically extend many years into the future, estimating these future costs requires management to make estimates and judgements that are subject to revisions based on numerous factors, including the rate of inflation, changing technology, and changes to federal, state and local laws and regulations. See "Note 1—Basis of Presentation" in the notes to consolidated financial statements in Part II—Item 8. "Financial Statements and Supplementary Data" in our Annual Report for more information.

(4)&nbsp;&nbsp;&nbsp;&nbsp;These commitments and contractual obligations are expected to be funded by our cash flow from operations.

(5)&nbsp;&nbsp;&nbsp;&nbsp;Amounts include payments which will become due under long-term agreements to purchase goods and services used in the normal course of business to secure pipeline transportation of natural gas to market and between markets. Processing contracts consist of $1.1 million due over the course of the next year.

(6)&nbsp;&nbsp;&nbsp;&nbsp;We have entered into contracts to purchase GHG compliance instruments totaling $11 million.

(7)&nbsp;&nbsp;&nbsp;&nbsp;As of June 30, 2025, we have a total drilling commitment in California of $17.1 million. We are required to drill 57 wells consisting of 28 wells by December 2025 and the remaining 29 wells by December 2026.

**Critical Accounting Policies and Estimates**

There have been no significant changes to our critical accounting policies and estimates from those disclosed in our Annual Report. See Part II, Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates" in our Annual Report.

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**Cautionary Note Regarding Forward-Looking Statements**

The information in this Quarterly Report includes forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. You can typically identify forward-looking statements by words such as "aim," "anticipate," "achievable," "believe," "budget," "continue," "could," "effort," "estimate," "expect," "forecast," "goal," "guidance," "intend," "likely," "may," "outlook," "plan," "potential," "predict," "project," "seek," "should," "target," "will" and similar words that reflect the prospective nature of events or outcomes. All statements other than statements of historical fact included in this Quarterly Report that address plans, activities, events, objectives, goals, strategies or developments that we expect, believe or anticipate will or may occur in the future, such as those regarding our financial position, liquidity, cash flows, financial and operating results, capital program and development and production plans, operations and business strategy, potential acquisition and other strategic opportunities, reserves, hedging activities, capital expenditures, return of capital, future repurchases of stock or debt, capital investments, our ESG strategy and the initiation of new projects or business in connection therewith, recovery factors and other guidance, are forward-looking statements. Actual results may differ from anticipated results, sometimes materially, and reported results should not be considered an indication of future performance. For any such forward-looking statement that includes a statement of the assumptions or bases underlying such forward-looking statement, we caution that, while we believe such assumptions or bases to be reasonable and make them in good faith, assumed facts or bases almost always vary from actual results, sometimes materially. Material risks that may affect us are discussed in Part I, Item 1A. "Risk Factors" in our Annual Report and other filings with the Securities and Exchange Commission.

Factors that could cause actual results to differ from those expressed or implied in our forward-looking statements include, among others:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the regulatory environment, including availability or timing of, and conditions imposed on, obtaining and/or maintaining permits and approvals, including those necessary for drilling and/or development projects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of current, pending and/or future laws and regulations, and of legislative and regulatory changes and other government activities, including those related to permitting, drilling, completion, well stimulation, operation, maintenance or abandonment of wells or facilities, managing energy, water, land, GHGs or other emissions, protection of health, safety and the environment, or transportation, marketing and sale of our products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• volatility of oil, natural gas and NGL prices, including as a result of global tariffs, political instability, armed conflicts or economic sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inflation levels and government efforts to reduce inflation, including related interest rate determinations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overall domestic and global political and economic trends, geopolitical risks and general economic and industry conditions, such as inflation, high interest rates, increased volatility in financial and credit markets, global supply chain disruptions, government interventions into the financial markets and economy and volatility related to recent and upcoming elections in the United States and other major economies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the imposition of tariffs or trade or other economic sanctions, political instability or armed conflict in oil and gas producing regions, including the ongoing conflict in Ukraine, the ongoing conflict in the Middle East, or a prolonged recession, among other factors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• asset impairments from commodity price declines, regulatory changes, permitting delays or other factors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• supply of and demand for oil, natural gas and NGLs, including due to the actions of foreign producers, importantly including OPEC+ and change in OPEC+'s production levels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the California and global energy future, including the factors and trends that are expected to shape it, such as concerns about climate change and other air quality issues, the transition to a low-emission economy and the expected role of different energy sources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• concerns about climate change and air quality issues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• price fluctuations and availability of natural gas and electricity and the cost of steam;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• disruptions to, capacity constraints in, or other limitations on the pipeline systems that deliver our oil and natural gas and other processing and transportation considerations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to recruit and/or retain key members of our senior management and key technical employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• competition and consolidation in the oil and gas E&P industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to replace our reserves through exploration and development activities or acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to make acquisitions and successfully integrate any acquired businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• information technology failures or cyberattacks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inability to generate sufficient cash flow from operations or to obtain adequate financing to fund capital expenditures, meet our working capital requirements or fund planned investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to satisfy our debt obligations and comply with all covenants, agreements and conditions under our 2024 Term Loan and our 2024 Revolver;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to use derivative instruments to manage commodity price risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the creditworthiness and performance of our counterparties with respect to our hedges;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to meet our planned drilling schedule, including due to our ability to obtain permits on a timely basis or at all, and to successfully drill wells that produce oil and natural gas in commercially viable quantities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncertainties associated with estimating proved reserves and related future cash flows;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• drilling and production results, including higher–than–expected decline rates, or lower–than–expected production, reserves or resources, whether due to operating risks, drilling risks, or the inherent uncertainties in predicting reserve and reservoir performance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to obtain timely and available drilling and completion equipment and crew availability and access to necessary resources for drilling, completing and operating wells;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in tax laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncertainties and liabilities associated with acquired or divested assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to acquisitions, including the risk that we may fail to successfully integrate the assets into our operations, identify risks or liabilities associated with the acquired entity, its operations or assets, or realize any anticipated benefits or growth;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• large or multiple customer defaults on contractual obligations, including defaults resulting from actual or potential insolvencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• geographical concentration of our operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• impact of derivatives legislation affecting our ability to hedge;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• failure of risk management and ineffectiveness of internal controls;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• catastrophic events, including wildfires, earthquakes, floods, and epidemics or pandemics, including the effects of related public health concerns and the impact of actions that may be taken by governmental authorities and other third parties in response to a pandemic;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental risks and liabilities under federal, state, tribal and local laws and regulations (including remedial actions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential liability resulting from pending or future litigation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• governmental actions and political conditions, as well as actions by other third parties that are beyond our control.

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Any forward-looking statement speaks only as of the date on which such statement is made. Except as required by law, we undertake no responsibility to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise except as required by applicable law.

All forward-looking statements, expressed or implied, included in this Quarterly Report are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that we or persons acting on our behalf may issue.

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**Item 3. Quantitative and Qualitative Disclosures About Market Risk**

As of June 30, 2025, there have been no material changes in the information required to be provided under Item 305 of Regulation S-K included in Part II, Item 7A. *"Quantitative and Qualitative Disclosures About Market Risk"* in our Annual Report, except as discussed below.

***Price Risk***

Our most significant market risk relates to prices for oil, natural gas, and NGLs. Management expects energy prices to remain unpredictable and potentially volatile. As energy prices decline or rise significantly, revenues, certain costs such as fuel gas, and cash flows are likewise affected. Additional non-cash impairment charges for our oil and gas properties may be required if commodity prices experience significant decline.

We have historically hedged a large portion of our expected crude oil and our natural gas production, as well as our natural gas purchase requirements to reduce exposure to fluctuations in commodity prices. We use derivatives such as swaps, calls, puts and collars to hedge. We do not enter into derivative contracts for speculative trading purposes and we have not accounted for our derivatives as cash-flow or fair-value hedges. We continuously consider the level of our oil production and gas purchases that is appropriate to hedge based on a variety of factors, including, among other things, current and future expected commodity prices, our expected capital and operating costs, our overall risk profile, including leverage, size and scale, as well as any requirements for, or restrictions on, levels of hedging contained in any credit facility or other debt instrument applicable at the time.

We determine the fair value of our oil and gas sales and natural gas purchase derivatives and emission allowances required by California's cap-and-trade program using valuation techniques which utilize market quotes and pricing analysis. Inputs include publicly available prices and forward price curves generated from a compilation of data gathered from third parties. We validate data provided by third parties by understanding the valuation inputs used, obtaining market values from other pricing sources, analyzing pricing data in certain situations and confirming that those instruments trade in active markets.

At June 30, 2025, the fair value of our hedge positions was a net asset of approximately $69 million. A 10% increase in the oil and natural gas index prices above the June 30, 2025 prices would result in a net liability of approximately $8 million; conversely, a 10% decrease in the oil and natural gas index prices below the June 30, 2025 prices would result in a net asset of approximately $147 million. For additional information about derivative activity, see "Note 3—Derivatives" in the notes to the condensed consolidated financial statements in Part I, Item 1. "Financial Statements" of this Quarterly Report.

At June 30, 2025, the fair value of our emission allowances required by California's cap-and-trade program was $8 million. A 10% increase or decrease in the market price would result in a change in expense by less than $1 million.

Actual gains or losses recognized related to our derivative contracts depend exclusively on the price of the underlying commodities on the specified settlement dates provided by the derivative contracts. Additionally, we cannot be assured that our counterparties will be able to perform under our derivative contracts. If a counterparty fails to perform and the derivative arrangement is terminated, our cash flows could be negatively impacted.

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**Item 4. Controls and Procedures** 

Our Chief Executive Officer and our Vice President, Chief Financial Officer supervised and participated in our evaluation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of the end of the period covered by this report. Based upon that evaluation, they each concluded that our disclosure controls and procedures were effective as of June 30, 2025.

The Company's disclosure controls and procedures are designed to ensure that information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the rules and forms of the SEC. The Company's disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the Company's management, including the Chief Executive Officer and the Vice President, Chief Financial Officer as appropriate, to allow timely decisions regarding required disclosure.

There were no changes in the Company's internal control over financial reporting during the second quarter of 2025 that materially affected, or were reasonably likely to materially affect, the Company's internal control over financial reporting.

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**Part II – Other Information**

**Item 1. Legal Proceedings**

We are involved in various legal and administrative proceedings in the normal course of business, the ultimate resolutions of which, in the opinion of management, are not anticipated to have a material effect on our results of operations, liquidity or financial condition.

***<u>Previously Reported Legal Proceedings</u>***

There have been no material changes to the matters previously reported by the Company pursuant to the requirements of Item 103 of Regulation S-K.

***New Matter***

On April 4, 2025, CalGEM notified the Company that CalGEM's records indicated that the Company had not completed mechanical integrity testing on certain of its injection wells by April 1, 2024, which was required in order to maintain uninterrupted approval for injection. The Company has engaged with CalGEM and has confirmed that all of the subject injection wells have either undergone mechanical integrity testing and are now in compliance or have been disconnected. Resolution of this matter may result in the assessment of a civil penalty that is immaterial to our results of operations, liquidity and financial condition.

For additional information regarding legal proceedings, see "Note 4—Commitments and Contingencies" in the notes to condensed consolidated financial statements in Part I, Item 1. "Financial Statements" in this Quarterly Report and "Note 5—Commitments and Contingencies" in the notes to consolidated financial statements in Part II, Item 8. "Financial Statements and Supplementary Data" in our Annual Report.

**Item 1A. Risk Factors**

We are subject to various risks and uncertainties in the course of our business. A discussion of such risks and uncertainties may be found under the heading "Item 1A. Risk Factors" in our Annual Report.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds** 

***Stock Repurchase Program***

The Company did not repurchase any shares during the six months ended June 30, 2025. As of June 30, 2025, the Company had repurchased a total of 11.9 million shares, cumulatively, under the stock repurchase program for approximately $114 million in aggregate, which is 15% of outstanding shares as of June 30, 2025.

As of June 30, 2025, the Company's remaining total share repurchase authority approved by the Board of Directors was $190 million. The Board of Directors' authorization permits the Company to make purchases of its common stock from time to time in the open market and in privately negotiated transactions or by other means, subject to market conditions and other factors, up to the aggregate amount authorized by the Board of Directors. The Board of Directors authorization has no expiration date.

The manner, timing and amount of any purchases will be determined based on our evaluation of market conditions, stock price, compliance with outstanding agreements and other factors. Purchases may be commenced or suspended at any time without notice and the share repurchase program does not obligate the Company to purchase shares during any period or at all. Any shares repurchased are reflected as treasury stock and any shares acquired will be available for general corporate purposes.

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**Item 5. Other Information**

During the quarter ended June 30, 2025, no director or Section 16 officer adopted, modified or terminated any "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" (in each case, as defined in Item 408(a) of Regulation S-K).

Effective August 5, 2025, the Board of Directors approved an amendment and restatement of the Key Employee Agreement by and between the Company and Jeffrey Magids (as amended and restated, the "Key Employee Agreement") to reflect the following: (i) a one-year initial term commencing on the effective date, followed by automatic renewal terms for successive one-year periods, provided that neither party gives notice of non-renewal and (ii) additional confidential information, return of property, non-solicitation, non-disparagement, and assignment of developments restrictive covenants. In addition, the Key Employee Agreement provides that in the event Mr. Magids's employment is terminated without Cause (as defined in the Key Employee Agreement) (a "Qualifying Termination"), Mr. Magids will be entitled to receive: (a) the Accrued Rights (as defined in the Key Employee Agreement), (b) any earned but unpaid annual incentive bonus for the calendar year ending prior to the termination date, (c) a prorated annual incentive bonus for the calendar year in which the termination date occurs, and (d) a severance payment in the amount of Mr. Magids's base salary (the "Severance Payment"). In the event Mr. Magids's employment is terminated without Cause or for Good Reason (each such term as defined in the Key Employee Agreement), in each case, where the termination date occurs during the twelve-month period that follows the consummation of the Sale of the Company (as defined in the Key Employee Agreement), Mr. Magids will be entitled to receive all of the benefits he would have otherwise been entitled to receive upon a Qualifying Termination, except that the Severance Payment will be equal to two times the sum of (i) his base salary and (ii) the target amount of his annual incentive bonus. In addition, he will be entitled to reimbursement for monthly COBRA premiums for himself and his dependents until the earliest of (x) the twelve-month anniversary of his termination date, (y) the date he is no longer eligible to receive COBRA continuation coverage, or (z) the date on which he becomes eligible to receive substantially similar coverage from another employer. If Mr. Magids's employment terminates for any reason other than those described in the previous sentences, Mr. Magids will only be entitled to the Accrued Rights.

A copy of the Key Employee Agreement is filed herewith as Exhibit 10.3 and is incorporated herein by reference. The description of the material terms of such agreement is qualified in its entirety by reference to the full text of such agreement.

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**Item 6.&nbsp;&nbsp;&nbsp;&nbsp;Exhibits**

---

| | |
|:---|:---|
| **Exhibit Number** | **Description** |
| 3.1 | <u>[Second Amended and Restated Certificate of Incorporation of Berry Petroleum Corporation (incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed February 19, 2020)](https://www.sec.gov/Archives/edgar/data/1705873/000170587320000005/a202002188-kexh31.htm)</u> |
| 3.2 | <u>[Fourth Amended and Restated Bylaws of Berry Corporation (bry) (incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed January 31, 2023)](https://www.sec.gov/Archives/edgar/data/1705873/000170587323000011/ex31-fourtharbylawsamended.htm)</u> |
| 10.1\* | <u>[Second](exhibit101-secondamendment.htm)[Amendment to Senior Secured](exhibit101-secondamendment.htm)[Rev](exhibit101-secondamendment.htm)[olving](exhibit101-secondamendment.htm)[Credit Agreement, dated as of July](exhibit101-secondamendment.htm)[18](exhibit101-secondamendment.htm)[, 2025, among Berry Corporation (Bry), the guarantors party thereto, the lenders party thereto, and](exhibit101-secondamendment.htm)[Texas Capital Bank](exhibit101-secondamendment.htm)[, as administrative agent for the lenders.](exhibit101-secondamendment.htm)</u> |
| 10.2\* | <u>[Third Amendment to](exhibit102-thirdamendmentt.htm)[Seni](exhibit102-thirdamendmentt.htm)[or Secured Term Loan](exhibit102-thirdamendmentt.htm)[Credit Agreement, dated as of July](exhibit102-thirdamendmentt.htm)[18](exhibit102-thirdamendmentt.htm)[, 2025, by and among Berry Corporation (bry), each of the guarantors party thereto, each of the lenders that is a signatory thereto and Breakwall Credit Management LLC, as administrative agent.](exhibit102-thirdamendmentt.htm)</u> |
| 10.3†\* | <u>[Amended and Restated](exhibit103magids-employmen.htm)[Key Employee Agreement by and between Berry](exhibit103magids-employmen.htm)[Petrole](exhibit103magids-employmen.htm)[um](exhibit103magids-employmen.htm)[Company, LLC](exhibit103magids-employmen.htm)[and Jeff Magids, effective](exhibit103magids-employmen.htm)[August](exhibit103magids-employmen.htm)[5](exhibit103magids-employmen.htm)[, 2025](exhibit103magids-employmen.htm)[.](exhibit103magids-employmen.htm)</u> |
| 10.4†\* | <u>[Key Employee Agreement by and between Berry Petroleum Company, LLC and Jenarae Garland, effective April 14, 2025](exhibit104garland-employee.htm)[, and Amendment 1 thereto](exhibit104garland-employee.htm)[effective](exhibit104garland-employee.htm)[August 5, 2025.](exhibit104garland-employee.htm)</u> |
| 10.5†\* | <u>[Form of](exhibit105formoftime-based.htm)[Time-Ba](exhibit105formoftime-based.htm)[sed](exhibit105formoftime-based.htm)[Cash Award](exhibit105formoftime-based.htm)[Agreement](exhibit105formoftime-based.htm)[.](exhibit105formoftime-based.htm)</u> |
| 10.6\* | <u>[Second](exhibit106-secondamendment.htm)[Amendment to](exhibit106-secondamendment.htm)[Senior Secur](exhibit106-secondamendment.htm)[ed Term Loan](exhibit106-secondamendment.htm)[Credit Agreement, dated as of](exhibit106-secondamendment.htm)[April 4](exhibit106-secondamendment.htm)[, 2025, by and among Berry Corporation (bry), each of the guarantors party thereto, each of the lenders that is a signatory thereto and Breakwall Credit Management LLC, as administrative agent.](exhibit106-secondamendment.htm)</u> |
| 31.1\* | <u>[Section 302 Certification of Chief Executive Officer](ex311q22025-ceo302certific.htm)</u> |
| 31.2\* | <u>[Section 302 Certification of Chief Financial Officer](ex312q22025-cfo302certific.htm)</u> |
| 32.1\*\* | <u>[Section 906 Certification of Chief Executive Officer and Chief Financial Officer](ex321q22025-906certificati.htm)</u> |
| 101.INS\* | Inline XBRL Instance Document (the Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document) |
| 101.SCH\* | Inline XBRL Taxonomy Extension Schema Document |
| 101.CAL\* | Inline XBRL Taxonomy Extension Calculation Linkbase Document |
| 101.DEF\* | Inline XBRL Taxonomy Extension Definition Linkbase Document |
| 101.LAB\* | Inline XBRL Taxonomy Extension Label Linkbase Data Document |
| 101.PRE\* | Inline XBRL Taxonomy Extension Presentation Linkbase Document |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |

---

__________

(\*)&nbsp;&nbsp;&nbsp;&nbsp;Filed herewith.

(\*\*)&nbsp;&nbsp;&nbsp;&nbsp;Furnished herewith.

(†)&nbsp;&nbsp;&nbsp;&nbsp;Indicates a management contract or compensatory plan or arrangement.

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**GLOSSARY OF COMMONLY USED TERMS**

The following are abbreviations and definitions of certain terms that may be used in this report, which are commonly used in the oil and natural gas industry:

"*Adjusted EBITDA*" is a non-GAAP financial measure defined as earnings before interest expense; income taxes; depreciation, depletion, and amortization; derivative gains or losses net of cash received or paid for scheduled derivative settlements; impairments; stock compensation expense; and unusual and infrequent items.

"*Adjusted General and Administrative Expenses*" is a non-GAAP financial measure defined as general and administrative expenses adjusted for non-cash stock compensation expense and unusual and infrequent costs.

"*Adjusted Net Income (Loss)*" is a non-GAAP financial measure defined as net income (loss) adjusted for derivative gains or losses net of cash received or paid for scheduled derivative settlements, unusual and infrequent items, and the income tax expense or benefit of these adjustments using our effective tax rate.

*"AROs"* means asset retirement obligations.

"*basin*" means a large area with a relatively thick accumulation of sedimentary rocks.

"*bbl*" means one stock tank barrel, or 42 U.S. gallons liquid volume, used in reference to oil or other liquid hydrocarbons.

"*bcf*" means one billion cubic feet, which is a unit of measurement of volume for natural gas.

"*BLM*" means for the U.S. Bureau of Land Management.

"*boe*" means barrel of oil equivalent, determined using the ratio of one bbl of oil, condensate or natural gas liquids to six mcf of natural gas.

"*boe/d*" means boe per day.

"*Brent*" means the reference price paid in U.S. dollars for a barrel of light sweet crude oil produced from the Brent field in the UK sector of the North Sea.

"*btu*" means one British thermal unit—a measure of the amount of energy required to raise the temperature of a one-pound mass of water one degree Fahrenheit at sea level.

"CalGEM" is an abbreviation for the California Geologic Energy Management Division.

"*Cap-and-trade*" is a statewide program in California established by the Global Warming Solutions Act of 2006 which outlined an enforceable compliance obligation beginning with 2013 GHG emissions and currently extended through 2030.

"CEQA" is an abbreviation for the California Environmental Quality Act which, among other things, requires certain governmental agencies to conduct environmental review of projects for which the agency is issuing a permit.

"CJWS" refers to C&J Well Services, LLC and CJ Berry Well Services Management, LLC, the two entities that

constitute our upstream well servicing and abandonment services business segment in California.

"*Completion*" means the installation of permanent equipment for the production of oil or natural gas.

"*Condensate*" means a mixture of hydrocarbons that exists in the gaseous phase at original reservoir temperature and pressure, but that, when produced, is in the liquid phase at surface pressure and temperature.

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"*CPUC*" is an abbreviation for the California Public Utilities Commission.

"*DD&A*" means depreciation, depletion & amortization.

"*Development well*" means a well drilled to a known producing formation in a previously discovered field, usually offsetting a producing well on the same or an adjacent oil and natural gas lease.

"*Diatomite*" means a sedimentary rock composed primarily of siliceous, diatom shells.

"*Differential*" means an adjustment to the price of oil or natural gas from an established spot market price to reflect differences in the quality and/or location of oil or natural gas.

"*Downspacing*" means additional wells drilled between known producing wells to better develop the reservoir.

"HSE" is an abbreviation for Health, Safety, and Environmental.

"*EPA*" is an abbreviation for the United States Environmental Protection Agency.

"*EPS*" is an abbreviation for earnings per share.

"*Exploration activities*" means the initial phase of oil and natural gas operations that includes the generation of a prospect or play and the drilling of an exploration well.

"*FASB*" is an abbreviation for the Financial Accounting Standards Board.

"*Field*" means an area consisting of a single reservoir or multiple reservoirs all grouped on or related to the same individual geological structural feature or stratigraphic condition.

"*Formation*" means a layer of rock which has distinct characteristics that differ from those of nearby rock.

"*Fracturing*" means mechanically inducing a crack or surface of breakage within rock not related to foliation or cleavage in metamorphic rock in order to enhance the permeability of rocks by connecting pores together.

"*Free Cash Flow*" is a non-GAAP financial measure which is defined as cash flow from operations, less capital expenditures.

"*GAAP*" is an abbreviation for U.S. generally accepted accounting principles.

"*Gas*" or "*Natural gas*" means the lighter hydrocarbons and associated non-hydrocarbon substances occurring naturally in an underground reservoir, which under atmospheric conditions are essentially gases but which may contain liquids.

"*GHG*" or "*GHGs*" is an abbreviation for greenhouse gases.

"*Gross Acres*" or "*Gross Wells*" means the total acres or wells, as the case may be, in which we have a working interest.

"*Held by production*" means acreage covered by a mineral lease that perpetuates a company's right to operate a property as long as the property produces a minimum paying quantity of oil or natural gas.

"*Henry Hub*" is a distribution hub on the natural gas pipeline system in Erath, Louisiana.

"*Horizontal drilling*" means a wellbore that is drilled laterally.

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"*Hydraulic fracturing*" means a procedure to stimulate production by forcing a mixture of fluid and proppant (usually sand) into the formation under high pressure. This creates artificial fractures in the reservoir rock, which increases permeability.

"*Infill drilling*" means drilling of an additional well or wells at less than existing spacing to more adequately drain a reservoir.

"*Injection Well*" means a well in which water, gas or steam is injected, the primary objective typically being to maintain reservoir pressure and/or improve hydrocarbon recovery.

"*IOR*" means improved oil recovery.

"*IPO*" is an abbreviation for initial public offering.

"*LCFS*" is an abbreviation for low carbon fuel standard.

"*Leases*" means full or partial interests in oil or gas properties authorizing the owner of the lease to drill for, produce and sell oil and natural gas in exchange for any or all of rental, bonus and royalty payments. Leases are generally acquired from private landowners (fee leases) and from federal and state governments on acreage held by them.

"mb*bl*" means one thousand barrels of oil, condensate or NGLs.

"mb*bl/d*" means mbbl per day.

"mboe" means one thousand barrels of oil equivalent.

"mboe*/d*" means mboe per day.

"m*cf*" means one thousand cubic feet, which is a unit of measurement of volume for natural gas.

"mmb*bl*" means one million barrels of oil, condensate or NGLs.

"mmboe" means one million barrels of oil equivalent.

"mmb*tu*" means one million btus.

"mmb*tu/d*" means mmbtu per day.

"mm*cf*" means one million cubic feet, which is a unit of measurement of volume for natural gas.

"mm*cf/d*" means mmcf per day.

"*MW*" means megawatt.

"*MWHs*" means megawatt hours.

"*NASDAQ*" means Nasdaq Global Select Market.

"*NEPA*" is an abbreviation for the National Environmental Policy Act, which requires careful evaluation of the environmental impacts of oil and natural gas production activities on federal lands.

"*Net Acres*" or "*Net Wells*" is the sum of the fractional working interests owned in gross acres or wells, as the case may be, expressed as whole numbers and fractions thereof.

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"*Net revenue interest*" means all of the working interests, less all royalties, overriding royalties, non-participating royalties, net profits interest or similar burdens on or measured by production from oil and natural gas.

"*NGA*" is an abbreviation for the Natural Gas Act.

"*NGL*" or "*NGLs*" means natural gas liquids, which are the hydrocarbon liquids contained within natural gas.

"*NRI*" is an abbreviation for net revenue interest.

"*NYMEX*" means New York Mercantile Exchange.

"*Oil*" means crude oil or condensate.

"*OPEC*" is an abbreviation for the Organization of the Petroleum Exporting Countries.

"*Operator*" means the individual or company responsible to the working interest owners for the exploration, development and production of an oil or natural gas well or lease.

"*OTC*" means over-the-counter

"*PALs*" is an abbreviation for project approval letters.

"*PCAOB*" is an abbreviation for the Public Company Accounting Oversight Board.

"*PDNP*" is an abbreviation for proved developed non-producing.

"*PDP*" is an abbreviation for proved developed producing.

"*Permeability*" means the ability, or measurement of a rock's ability, to transmit fluids.

"*Play*" means a regionally distributed oil and natural gas accumulation. Resource plays are characterized by continuous, aerially extensive hydrocarbon accumulations.

"*PPA*" is an abbreviation for power purchase agreement.

"*Production costs*" means costs incurred to operate and maintain wells and related equipment and facilities, including depreciation and applicable operating costs of support equipment and facilities and other costs of operating and maintaining those wells and related equipment and facilities. For a complete definition of production costs, refer to the SEC's Regulation S-X, Rule 4-10(a)(20).

"*Productive well*" means a well that is producing oil, natural gas or NGLs or that is capable of production.

"*Proppant*" means sized particles mixed with fracturing fluid to hold fractures open after a hydraulic fracturing treatment.

"*Prospect*" means a specific geographic area which, based on supporting geological, geophysical or other data and also preliminary economic analysis using reasonably anticipated prices and costs, is deemed to have potential for the discovery of commercial hydrocarbons.

"*Proved developed reserves*" means reserves that can be expected to be recovered through existing wells with existing equipment and operating methods.

"*Proved developed producing reserves*" means reserves that are being recovered through existing wells with existing equipment and operating methods.

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"*Proved reserves*" means the estimated quantities of oil, gas and gas liquids, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible from a given date forward, from known reservoirs, and under existing economic conditions, operating methods, and government regulations prior to the time at which contracts providing the right to operate expire, unless evidence indicates that renewal is reasonably certain, regardless of whether deterministic or probabilistic methods are used for the estimation. The project to extract the hydrocarbons must have commenced or the operator must be reasonably certain that it will commence the project within a reasonable time.

"*Proved undeveloped drilling location*" means a site on which a development well can be drilled consistent with spacing rules for purposes of recovering proved undeveloped reserves.

"*Proved undeveloped reserves*" or "*PUDs*" means proved reserves that are expected to be recovered from new wells on undrilled acreage, or from existing wells where a relatively major expenditure is required for recompletion. Reserves on undrilled acreage are limited to those directly offsetting development spacing areas that are reasonably certain of production when drilled, unless evidence using reliable technology exists that establishes reasonable certainty of economic producibility at greater distances. Undrilled locations can be classified as having proved undeveloped reserves only if a development plan has been adopted indicating that they are scheduled to be drilled within five years, unless the specific circumstances justify a longer time. Estimates for proved undeveloped reserves are not attributed to any acreage for which an application of fluid injection or other improved recovery technique is contemplated, unless such techniques have been proved effective by actual projects in the same reservoir or an analogous reservoir, or by other evidence using reliable technology establishing reasonable certainty.

"*PSUs*" means performance-based restricted stock units

"*PV-10*" is a non-GAAP financial measure and represents the present value of estimated future cash inflows from proved oil and gas reserves, less future development and production costs, discounted at 10% per annum to reflect the timing of future cash flows and using SEC-prescribed pricing assumptions for the period. While this measure does not include the effect of income taxes as it would in the use of the standardized measure calculation, it does provide an indicative representation of the relative value of the company on a comparative basis to other companies and from period to period.

"*QF*" means qualifying facility.

"*Realized price*" means the cash market price less all expected quality, transportation and demand adjustments.

"*Reasonable certainty*" means a high degree of confidence. For a complete definition of reasonable certainty, refer to the SEC's Regulation S-X, Rule 4-10(a)(24).

"*Recompletion*" means the completion for production from an existing wellbore in a formation other than that in which the well has previously been completed.

"*Relative TSR*" means relative total stockholder return.

"*Reserves*" means estimated remaining quantities of oil and natural gas and related substances anticipated to be economically producible, as of a given date, by application of development projects to known accumulations. In addition, there must exist, or there must be a reasonable expectation that there will exist, the legal right to produce or a revenue interest in the production, installed means of delivering oil and natural gas or related substances to market and all permits and financing required to implement the project. Reserves should not be assigned to adjacent reservoirs isolated by major, potentially sealing, faults until those reservoirs are penetrated and evaluated as economically producible. Reserves should not be assigned to areas that are clearly separated from a known accumulation by a non-productive reservoir (i.e., absence of reservoir, structurally low reservoir or negative test results). Such areas may contain prospective resources (i.e., potentially recoverable resources from undiscovered accumulations).

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"*Reservoir*" means a porous and permeable underground formation containing a natural accumulation of producible natural gas and/or oil that is confined by impermeable rock or water barriers and is individual and separate from other reservoirs.

"*Resources*" means quantities of oil and natural gas estimated to exist in naturally occurring accumulations. A portion of the resources may be estimated to be recoverable and another portion may be considered to be unrecoverable. Resources include both discovered and undiscovered accumulations.

"*Royalty*" means the share paid to the owner of mineral rights, expressed as a percentage of gross income from oil and natural gas produced and sold unencumbered by expenses relating to the drilling, completing and operating of the affected well.

"*Royalty interest*" means an interest in an oil and natural gas property entitling the owner to shares of oil and natural gas production, free of costs of exploration, development and production operations.

"*RSUs*" is an abbreviation for restricted stock units.

"*SEC Pricing*" means pricing calculated using oil and natural gas price parameters established by current guidelines of the SEC and accounting rules based on the unweighted arithmetic average of oil and natural gas prices as of the first day of each of the 12 months ended on the given date.

"*Seismic Data*" means data produced by an exploration method of sending energy waves into the earth and recording the wave reflections to indicate the type, size, shape and depth of a subsurface rock formation. 2-D seismic provides two-dimensional information and 3-D seismic provides three-dimensional views.

"*SOFR*" is an abbreviation for Secured Overnight Financing Rate.

"*Spacing*" means the distance between wells producing from the same reservoir. Spacing is often expressed in terms of acres, e.g., 40-acre spacing, and is often established by regulatory agencies.

"*Steamflood*" means cyclic or continuous steam injection.

"*Standardized measure*" means discounted future net cash flows estimated by applying year-end prices to the estimated future production of proved reserves. Future cash inflows are reduced by estimated future production and development costs based on period-end costs to determine pre-tax cash inflows. Future income taxes, if applicable, are computed by applying the statutory tax rate to the excess of pre-tax cash inflows over our tax basis in the oil and natural gas properties. Future net cash inflows after income taxes are discounted using a 10% annual discount rate.

"*Stimulating*" means mechanically inducing a crack or surface of breakage within rock not related to foliation or cleavage in metamorphic rock in order to enhance the permeability of rocks by connecting pores together.

"*Strip Pricing*" means pricing calculated using oil and natural gas price parameters established by current guidelines of the SEC and accounting rules with the exception of pricing that is based on average annual forward-month ICE (Brent) oil and NYMEX Henry Hub natural gas contract pricing in effect on a given date to reflect the market expectations as of that date.

"*Superfund*" is a commonly known term for CERCLA.

"*UIC*" is an abbreviation for the Underground Injection Control program.

"*Unconventional resource plays*" means a resource play that uses methods other than traditional vertical well extraction. Unconventional resources are trapped in reservoirs with low permeability, meaning little to no ability for the oil or natural gas to flow through the rock and into a wellbore. Examples of unconventional oil resources include oil shales, oil sands, extra-heavy oil, gas-to-liquids and coal-to-liquids.

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"*Undeveloped acreage*" means lease acres on which wells have not been drilled or completed to a point that would permit the production of commercial quantities of oil and gas regardless of whether or not such acreage contains proved reserves.

"*Unit*" means the joining of all or substantially all interests in a reservoir or field, rather than a single tract, to provide for development and operation without regard to separate property interests. Also, the area covered by a unitization agreement.

"*Unproved reserves*" means reserves that are considered less certain to be recovered than proved reserves. Unproved reserves may be further sub-classified to denote progressively increasing uncertainty of recoverability and include probable reserves and possible reserves.

"*Wellbore*" means the hole drilled by the bit that is equipped for natural resource production on a completed well. Also called well or borehole.

"*Working interest*" means an interest in an oil and natural gas lease entitling the holder at its expense to conduct drilling and production operations on the leased property and to receive the net revenues attributable to such interest, after deducting the landowner's royalty, any overriding royalties, production costs, taxes and other costs.

"*Workover*" means maintenance on a producing well to restore or increase production.

"*WST*" is an abbreviation for well stimulation treatment.

"*WTI*" means West Texas Intermediate.

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**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

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| | | |
|:---|:---|:---|
| | | **Berry Corporation (bry)** |
| | | (Registrant) |
| Date: | August 7, 2025 | */s/* Michael S. Helm |
| | | Michael S. Helm |
| | | Vice President, Chief Accounting Officer |
| | | (Principal Accounting Officer) |

---

## Exhibit 10.1

***Execution Version***

***Exhibit 10.1***

**SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT** 

**THIS SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT** (this "<u>Amendment</u>"), dated as of July 18, 2025 (the "<u>Second Amendment Effective Date</u>"), is by and among Berry Corporation (bry), a Delaware corporation (the "<u>Borrower</u>"), each of the Guarantors, each of the Lenders that is a signatory hereto and Texas Capital Bank, a Texas state bank, as administrative agent for the Lenders (in such capacity, together with its successors in such capacity, the "<u>Administrative</u> <u>Agent</u>").

**<u>RECITALS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;The Borrower, the Guarantors, the Lenders party thereto from time to time, the Administrative Agent and the L/C Issuer are parties to that certain Senior Secured Revolving Credit Agreement dated as of December 24, 2024 (as in effect immediately prior to the execution hereof, including as previously amended by that certain First Amendment to Senior Secured Revolving Credit Agreement, dated as of April 4, 2025, the "<u>Existing Credit Agreement</u>"; and the Existing Credit Agreement, as amended, restated, amended and restated, supplemented or otherwise modified from time to time, including, without limitation, as amended by this Amendment, the "<u>Credit Agreement</u>"), pursuant to which the Lenders have agreed, subject to the terms and conditions set forth therein, to make certain credit available to and on behalf of the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;The parties hereto desire to enter into this Amendment to, among other things, amend the Existing Credit Agreement as set forth herein effective as of the Second Amendment Effective Date.

NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

Section 1. <u>Defined Terms</u>. Each capitalized term which is defined in the Credit Agreement, but which is not defined in this Amendment, shall have the meaning ascribed to such term in the Credit Agreement. Unless otherwise indicated, all section references in this Amendment refer to this Amendment. Section 1.04 of the Credit Agreement is incorporated herein by reference *mutatis mutandis* as if fully set forth herein, except to the extent directly conflicting with the immediately preceding sentence.

Section 2. <u>Amendments</u>. In reliance on the representations, warranties, covenants and agreements contained in this Amendment, and subject to the satisfaction of the conditions precedent set forth in <u>Section</u> 3, Section 6.19 of the Existing Credit Agreement is hereby amended and restated to read as follows:

Section 6.19 **<u>Maintenance of Ratings</u>**. The Borrower will maintain a private corporate rating (but not any specific rating) from S&P and a private corporate family rating (but not any specific rating) from Moody's.

For the avoidance of doubt, nothing in this Amendment amends or modifies the Annex, Exhibits or Schedules to the Existing Credit Agreement.

Section 3. <u>Conditions Precedent</u>. The effectiveness of this Amendment is subject to the satisfaction or the waiver of the following conditions precedent:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. The Administrative Agent shall have received counterparts of this Amendment from the Administrative Agent, the Credit Parties, and each of the Lenders constituting at least the Majority Lenders signed on behalf of such persons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2&nbsp;&nbsp;&nbsp;&nbsp;<u>Fees, Expenses etc</u>. The Borrower shall have paid (i) all accrued and unpaid fees owing under the Existing Credit Agreement in connection with this Amendment and payable on or prior to the Second Amendment Effective Date and (ii) all reasonable and documented out-of-pocket fees and expenses of the Administrative Agent associated with the Amendment contemplated herein, incurred on or before the effectiveness of this Amendment and that have been invoiced to the Borrower at least one (1) Business Day prior to the Second Amendment Effective Date and not previously paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3&nbsp;&nbsp;&nbsp;&nbsp;<u>No Default</u>. No Default or Event of Default shall have occurred and be continuing at the time of and immediately after giving effect to this Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Representations and Warranties</u>. All of the representations and warranties made by the Credit Parties under the Loan Documents shall be true and correct in all material respects on and as of the Second Amendment Effective Date, except to the extent that (i) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Second Amendment Effective Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date, and (ii) any such representations and warranties are already qualified by materiality, Material Adverse Effect or other similar qualification, in which case, such representations and warranties are true and correct in all respects.

Without limiting the generality of the provisions of Section 9.04 of the Existing Credit Agreement, for purposes of determining compliance with the conditions specified in this <u>Section 3</u>, each Lender that has signed this Amendment shall be deemed to have consented to, approved or accepted or be satisfied with, each document or other matter required under this <u>Section 3</u> to be consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the Second Amendment Effective Date specifying its objection thereto. The Administrative Agent shall notify the Borrower and the Lenders of the Second Amendment Effective Date, and such notice shall be conclusive and binding.

Section 4.&nbsp;&nbsp;&nbsp;&nbsp;<u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1&nbsp;&nbsp;&nbsp;&nbsp;<u>C</u>onfirmation and Effect. The provisions of the Existing Credit Agreement (as amended by this Amendment) shall remain in full force and effect in accordance with their terms following the effectiveness of this Amendment, and this Amendment shall not constitute a waiver of any provision of the Existing Credit Agreement or any other Loan Document. Each reference in the Credit Agreement to "this Agreement", "hereunder", "hereof", "herein", or words of like import shall mean and be a reference to the Existing Credit Agreement as amended hereby, and each reference to the Credit Agreement in any other document, instrument or agreement executed and/or delivered in connection with the Credit Agreement shall mean and be a reference to the Existing Credit Agreement as amended hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2&nbsp;&nbsp;&nbsp;&nbsp;<u>Ratification and Affirmation of Credit Parties</u>. Each of the Credit Parties hereby expressly

&nbsp;&nbsp;&nbsp;&nbsp;(i) acknowledges the terms of this Amendment, (ii) ratifies and affirms its obligations under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iii) acknowledges, renews and continues its liability under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iv) agrees that the Security Agreement and the other Loan Documents to which it is a

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party remain in full force and effect with respect to the Guaranteed Obligations, (v) represents and warrants to the Lenders and the Administrative Agent that all of the representations and warranties of such Credit Party under the Loan Documents are true and correct in all material respects on and as of the Second Amendment Effective Date and after giving effect to the amendments set forth in <u>Section 2</u>, except to the extent that (A) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Second Amendment Effective Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date and (B) any such representations and warranties are already qualified by materiality, Material Adverse Effect or other similar qualification, in which case, such representations and warranties are true and correct in all respects, (vi) represents and warrants to the Lenders and the Administrative Agent that the execution, delivery and performance by such Credit Party of this Amendment are within such Credit Party's corporate, limited partnership or limited liability company powers (as applicable), have been duly authorized by all necessary action and that this Amendment constitutes the valid and binding obligation of such Credit Party enforceable in accordance with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting creditors' rights generally (including Debtor Relief Laws) and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law, and (vii) represents and warrants to the Lenders and the Administrative Agent that, after giving effect to this Amendment, no Default or Event of Default exists.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. This Amendment may be executed in counterparts (and by different parties hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. The words "execution," "execute," "signed," "signature," and words of like import in or related to any document to be signed in connection with this Amendment and the transactions contemplated hereby shall be deemed to include electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms approved by the Administrative Agent, or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act; provided that notwithstanding anything contained herein to the contrary, the Administrative Agent is under no obligation to agree to accept electronic signatures in any form or in any format unless expressly agreed to by the Administrative Agent pursuant to procedures approved by it. Delivery of an executed counterpart of a signature page of this Amendment, as an attachment to an email or other similar electronic means shall be effective as delivery of a manually executed counterpart of this Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Final Agreement</u>. This Amendment, the Credit Agreement and the other Loan Documents and any separate letter agreements with respect to fees payable to the Administrative Agent constitute the entire contract among the parties relating to the subject matter hereof and thereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof and thereof. **THIS AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES HERETO AND THERETO AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5&nbsp;&nbsp;&nbsp;&nbsp;<u>Governing Law; Jurisdiction; Waiver of Venue; Service of Process; Waiver of Jury Trial</u>. **THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK.** Sections 10.09(b), 10.09(c), and 10.09(d) of the Credit Agreement are incorporated herein by reference, mutatis mutandis.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6&nbsp;&nbsp;&nbsp;&nbsp;<u>Payment of Expenses</u>. The Borrower agrees to pay or reimburse the Administrative Agent for all of its reasonable and documented out-of-pocket costs and expenses incurred in connection with this Amendment, any other documents prepared in connection herewith and the transactions contemplated hereby, including, without limitation, the reasonable and documented fees, charges and disbursements of counsel to the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7&nbsp;&nbsp;&nbsp;&nbsp;<u>Indemnity; Damage Waiver</u>. Section 10.03 of the Credit Agreement is incorporated herein by reference, *mutatis mutandis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8&nbsp;&nbsp;&nbsp;&nbsp;<u>Titles of Sections</u>. All titles or headings to the sections or other divisions of this Amendment are only for the convenience of the parties and shall not be construed to have any effect or meaning with respect to the other content of such sections, subsections or other divisions, such other content being controlling as to the agreement between the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9&nbsp;&nbsp;&nbsp;&nbsp;<u>Severability</u>. Any provision of this Amendment held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof or thereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10&nbsp;&nbsp;&nbsp;&nbsp;<u>Successors and Assigns</u>. This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11&nbsp;&nbsp;&nbsp;&nbsp;<u>Loan Document</u>. This Amendment constitutes a Loan Document under and as defined in the Credit Agreement.

[*Signature Pages Follow.*]

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The parties hereto have caused this Amendment to be duly executed as of the day and year first above written.

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| | |
|:---|:---|
| **BORROWER:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY CORPORATION (BRY)**,<br>![image_0a.jpg](image_0a.jpg)a Delaware corporation<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer |
| **GUARANTORS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY PETROLEUM COMPANY, LLC**,<br>a Delaware limited liability company<br>![image_1a.jpg](image_1a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer |

---

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACPHERSON ENERGY, LLC**,<br>a Delaware limited liability company<br>![image_1a.jpg](image_1a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON OIL COMPANY LLC**,<br>a California limited liability company<br>![image_1a.jpg](image_1a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON ROUND MOUNTAIN HOLDINGS,**<br>**LLC**, a California limited liability company<br>![image_1a.jpg](image_1a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer<br>

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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**MACPHERSON POWER COMPANY, LLC**,

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON POWER COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON POWER COMPANY, LLC, its general

![image_9.jpg](image_9.jpg)partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, LLC**,

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON OPERATING COMPANY, LLC, its

![image_9.jpg](image_9.jpg)general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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**MACPHERSON POWER COMMERCIAL SERVICES,**

![image_9.jpg](image_9.jpg)**LLC**, a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON POWER COMMERCIAL SERVICES, L.P.**, a California limited partnership

By: MACPHERSON POWER COMMERCIAL SERVICES,

![image_9.jpg](image_9.jpg)LLC, its general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON LAND COMPANY, LLC**,

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON LAND COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON LAND COMPANY, LLC, its general

![image_9.jpg](image_9.jpg)partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**MACPHERSON GREEN POWER COMPANY, LLC**,

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**CJ BERRY WELL SERVICES MANAGEMENT, LLC**,

![image_14a.jpg](image_14a.jpg)a Delaware limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**C&J WELL SERVICES, LLC**,

![image_9.jpg](image_9.jpg)a Delaware limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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**ADMINISTRATIVE AGENT:&nbsp;&nbsp;&nbsp;&nbsp;TEXAS CAPITAL BANK,** as Administrative

Agent

By:![marcgrahamsiga.jpg](marcgrahamsiga.jpg)

Name: Marc Graham

Title:&nbsp;&nbsp;&nbsp;&nbsp;Managing Director

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)J

------

**LENDERS:&nbsp;&nbsp;&nbsp;&nbsp;TEXAS CAPITAL BANK,** as a Lender

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By:

![image_16a.jpg](image_16a.jpg)

Name: Marc Graham Title:&nbsp;&nbsp;&nbsp;&nbsp;Managing Director

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)J

------

---

| | |
|:---|:---|
| **LENDERS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACQUARIE FUNDING LLC**, as a Lender |

---

![image_17b.jpg](image_17b.jpg)By:

Name: David Schmidt

Title: Division Director

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

Title:

<br>Division Director

![image_18a.jpg](image_18a.jpg)By:

Name: James Jordan

Title:

Executive Director - CGM Legal

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**LENDERS:&nbsp;&nbsp;&nbsp;&nbsp;Cargill, Incorporated**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;as a Lender

By:

![image_20a.jpg](image_20a.jpg)Name: Adam Blumhardt Title: Authorized Signer

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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---

| | |
|:---|:---|
| **LENDERS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Goldman Sachs Lending Partners LLC&nbsp;&nbsp;&nbsp;&nbsp;</u>,<br>as a Lender |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>![image_21a.jpg](image_21a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: Priyankush Goswami |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Authorized Signatory |

---

[SIGNATURE PAGE TO SECOND AMENDMENT TO SENIOR SECURED REVOLVING CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

## Exhibit 10.2

***Execution Version***

***Exhibit 10.2***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**THIRD AMENDMENT TO CREDIT AGREEMENT**

**THIS THIRD AMENDMENT TO CREDIT AGREEMENT** (this "<u>Amendment</u>"), dated as of July 18, 2025 (the "<u>Third Amendment Effective Date</u>"), is by and among Berry Corporation (bry), a Delaware corporation (the "<u>Borrower</u>"), each of the Guarantors, each of the Lenders that is a signatory hereto and Breakwall Credit Management LLC, as administrative agent for the Lenders (in such capacity, together with its successors in such capacity, the "<u>Administrative Agent</u>").

**<u>RECITALS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;The Borrower, the Guarantors, the Administrative Agent and the Lenders are parties to that certain Credit Agreement dated as of November 6, 2024 (as in effect immediately prior to the execution hereof, including as previously amended by that certain First Amendment to Credit Agreement, dated as of December 24, 2024, and that certain Second Amendment to Credit Agreement, dated as of April 4, 2025, the "<u>Existing Credit Agreement</u>"; and the Existing Credit Agreement, as amended, restated, amended and restated, supplemented or otherwise modified from time to time, including, without limitation, as amended by this Amendment, the "<u>Credit Agreement</u>"), pursuant to which the Lenders have agreed, subject to the terms and conditions set forth therein, to make certain credit available to and on behalf of the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;The parties hereto desire to enter into this Amendment to, among other things, amend the Existing Credit Agreement as set forth herein effective as of the Third Amendment Effective Date.

NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

Section 1. <u>Defined Terms</u>. Each capitalized term which is defined in the Credit Agreement, but which is not defined in this Amendment, shall have the meaning ascribed such term in the Credit Agreement. Unless otherwise indicated, all section references in this Amendment refer to this Amendment. Section 1.04 of the Credit Agreement is incorporated herein by reference *mutatis mutandis* as if fully set forth herein, except to the extent directly conflicting with the immediately preceding sentence.

Section 2. <u>Amendments</u>. In reliance on the representations, warranties, covenants and agreements contained in this Amendment, and subject to the satisfaction of the conditions precedent set forth in <u>Section</u> 3, Section 8.19 of the Existing Credit Agreement is hereby amended and restated to read as follows:

The Borrower will maintain a private corporate rating (but not any specific rating) from S&P and a private corporate family rating (but not any specific rating) from Moody's.

For the avoidance of doubt, nothing in this Amendment amends or modifies the Annexes, Exhibits or Schedules to the Existing Credit Agreement.

Section 3. <u>Conditions Precedent</u>. The effectiveness of this Amendment is subject to the satisfaction or the waiver of the following conditions precedent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. The Administrative Agent shall have received counterparts of this Amendment from the Administrative Agent, the Credit Parties, and each of the Lenders constituting at least the Majority Lenders signed on behalf of such persons.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2&nbsp;&nbsp;&nbsp;&nbsp;<u>Fees, Expenses etc</u>. The Borrower shall have paid (i) all accrued and unpaid fees owing under the Existing Credit Agreement in connection with this Amendment and payable on or prior to the Third Amendment Effective Date and (ii) all reasonable and documented out-of-pocket fees and expenses of the Administrative Agent associated with the Amendment contemplated herein, incurred on or before the effectiveness of this Amendment and that have been invoiced to the Borrower at least one (1) Business Day prior to the Third Amendment Effective Date and not previously paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3&nbsp;&nbsp;&nbsp;&nbsp;<u>No Default</u>. No Default or Event of Default shall have occurred and be continuing at the time of and immediately after giving effect to this Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Representations and Warranties</u>. All of the representations and warranties made by the Credit Parties under the Loan Documents shall be true and correct in all material respects on and as of the Third Amendment Effective Date, except to the extent that (i) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Third Amendment Effective Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date, and (ii) any such representations and warranties are already qualified by materiality, Material Adverse Effect or a similar qualification, in which case, such representations and warranties are true and correct in all respects.

Without limiting the generality of the provisions of Section 11.04 of the Existing Credit Agreement, for purposes of determining compliance with the conditions specified in this <u>Section 3</u>, each Lender that has signed this Amendment shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required under this <u>Section 3</u> to be consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the Third Amendment Effective Date specifying its objection thereto. The Administrative Agent shall notify the Borrower and the Lenders of the Third Amendment Effective Date, and such notice shall be conclusive and binding.

Section 4.&nbsp;&nbsp;&nbsp;&nbsp;<u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1&nbsp;&nbsp;&nbsp;&nbsp;<u>Confirmation and Effect</u>. The provisions of the Existing Credit Agreement (as amended by this Amendment) shall remain in full force and effect in accordance with their terms following the effectiveness of this Amendment, and this Amendment shall not constitute a waiver of any provision of the Existing Credit Agreement or any other Loan Document. Each reference in the Credit Agreement to "this Agreement", "hereunder", "hereof", "herein", or words of like import shall mean and be a reference to the Existing Credit Agreement as amended hereby, and each reference to the Credit Agreement in any other document, instrument or agreement executed and/or delivered in connection with the Credit Agreement shall mean and be a reference to the Existing Credit Agreement as amended hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2&nbsp;&nbsp;&nbsp;&nbsp;<u>Ratification and Affirmation of Credit Parties</u>. Each of the Credit Parties hereby expressly

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) acknowledges the terms of this Amendment, (ii) ratifies and affirms its obligations under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iii) acknowledges, renews and continues its liability under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iv) agrees that the Security Agreement and the other Loan Documents to which it is a party remains in full force and effect with respect to the Guaranteed Obligations, (v) represents and warrants to the Lenders and the Administrative Agent that all of the representations and warranties of such Credit Party under the Loan Documents are true and correct in all material respects on and as of the Third Amendment Effective Date and after giving effect to the amendments set forth in Section 2, except

2

------

to the extent that (A) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Third Amendment Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date and (B) any such representations and warranties are already qualified by materiality, Material Adverse Effect or a similar qualification, in which case, such representations and warranties are true and correct in all respects, (vi) represents and warrants to the Lenders and the Administrative Agent that the execution, delivery and performance by such Credit Party of this Amendment are within such Credit Party's corporate, limited partnership or limited liability company powers (as applicable), have been duly authorized by all necessary action and that this Amendment constitutes the valid and binding obligation of such Credit Party enforceable in accordance with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting creditor's rights generally (including Debtor Relief Laws) and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law, and (vii) represents and warrants to the Lenders and the Administrative Agent that, after giving effect to this Amendment, no Default or Event of Default exists.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. This Amendment may be executed in counterparts (and by different parties hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. The words "execution," "execute," "signed," "signature," and words of like import in or related to any document to be signed in connection with this Amendment and the transactions contemplated hereby shall be deemed to include electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms approved by the Administrative Agent, or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act; *provided* that notwithstanding anything contained herein to the contrary the Administrative Agent is under no obligation to agree to accept electronic signatures in any form or in any format unless expressly agreed to by the Administrative Agent pursuant to procedures approved by it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Final Agreement</u>. This Amendment, the Credit Agreement and the other Loan Documents and any separate letter agreements with respect to fees payable to the Administrative Agent constitute the entire contract among the parties relating to the subject matter hereof and thereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof and thereof. **THIS AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES HERETO AND THERETO AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5&nbsp;&nbsp;&nbsp;&nbsp;<u>Governing Law; Jurisdiction; Waiver of Venue; Service of Process; Waiver of Jury Trial</u>. **THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK.** Sections 12.09(b), 12.09(c), and 12.09(d) of the

Credit Agreement are incorporated herein by reference, *mutatis mutandis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6&nbsp;&nbsp;&nbsp;&nbsp;<u>Payment of Expenses</u>. The Borrower agrees to pay or reimburse the Administrative Agent for all of its reasonable and documented out-of-pocket costs and expenses incurred in connection with this Amendment, any other documents prepared in connection herewith and the transactions contemplated hereby, including, without limitation, the reasonable fees and disbursements of counsel to the Administrative Agent.

3

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7&nbsp;&nbsp;&nbsp;&nbsp;<u>Indemnity; Damage Waiver</u>. Section 12.03 of the Credit Agreement is incorporated herein by reference, mutatis mutandis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8&nbsp;&nbsp;&nbsp;&nbsp;<u>Titles of Sections</u>. All titles or headings to the sections or other divisions of this Amendment are only for the convenience of the parties and shall not be construed to have any effect or meaning with respect to the other content of such sections, subsections or other divisions, such other content being controlling as to the agreement between the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9&nbsp;&nbsp;&nbsp;&nbsp;<u>Severability</u>. Any provision of this Amendment held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof or thereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10&nbsp;&nbsp;&nbsp;&nbsp;<u>Successors and Assigns</u>. This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11&nbsp;&nbsp;&nbsp;&nbsp;<u>Loan Document</u>. This Amendment constitutes a Loan Document under and as defined in the Credit Agreement.

[*Signature Pages Follow.*]

4

------

The parties hereto have caused this Amendment to be duly executed as of the day and year first above written.

---

| | |
|:---|:---|
| **BORROWER:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY CORPORATION (BRY)**,<br>a Delaware corporation<br>![image_4a.jpg](image_4a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer |
| **GUARANTORS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY PETROLEUM COMPANY, LLC**,<br>a Delaware limited liability company<br>![image_4a.jpg](image_4a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACPHERSON ENERGY, LLC**,<br>![image_2b.jpg](image_2b.jpg)a Delaware limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON OIL COMPANY LLC**,<br>a California limited liability company<br>![image_2b.jpg](image_2b.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON ROUND MOUNTAIN HOLDINGS,**<br>**LLC**, a California limited liability company<br>![image_4a.jpg](image_4a.jpg)By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids<br>Title: Vice President, Chief Financial Officer |

---

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**MACPHERSON POWER COMPANY, LLC**,

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON POWER COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON POWER COMPANY, LLC, its general

![image_9.jpg](image_9.jpg)partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, LLC**,

![image_8a.jpg](image_8a.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON OPERATING COMPANY, LLC, its

![image_8a.jpg](image_8a.jpg)general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**MACPHERSON POWER COMMERCIAL SERVICES,**

![image_9.jpg](image_9.jpg)**LLC**, a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer**MACPHERSON POWER COMMERCIAL SERVICES, L.P.**, a California limited partnership

By: MACPHERSON POWER COMMERCIAL SERVICES,

![image_8a.jpg](image_8a.jpg)LLC, its general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON LAND COMPANY, LLC**,

![image_8a.jpg](image_8a.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON LAND COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON LAND COMPANY, LLC, its general

![image_8a.jpg](image_8a.jpg)partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**MACPHERSON GREEN POWER COMPANY, LLC**,

![image_8a.jpg](image_8a.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**CJ BERRY WELL SERVICES MANAGEMENT, LLC**,

![image_9.jpg](image_9.jpg)a Delaware limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

**C&J WELL SERVICES, LLC**,

![image_9.jpg](image_9.jpg)a Delaware limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeff Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

---

| | |
|:---|:---|
| **ADMINISTRATIVE AGENT:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BREAKWALL CREDIT MANAGEMENT**<br>**LLC**, as Administrative Agent |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;![image_16a.jpg](image_16a.jpg)Name: David Walters Hughes |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Managing Director |

---

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

---

| | |
|:---|:---|
| **LENDERS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**VALOR UPSTREAM CREDIT PARTNERS,**<br>**L.P.**, as a Lender<br>Pursuant to power of attorney granted to Breakwall Investment Advisor LLC<br>By: Breakwall Investment Advisor LLC, as attorney-in-fact for Valor Upstream Credit Partners, L.P.<br>![image_17b.jpg](image_17b.jpg)By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: David Walters Hughes<br>Title: Managing Director |

---

[SIGNATURE PAGE TO THIRD AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

## Exhibit 10.3

***Execution Version***

***Exhibit 10.3***

**AMENDED AND RESTATED KEY EMPLOYEE AGREEMENT**

This Amended and Restated Key Employee Agreement ("**<u>Agreement</u>**") is made and entered into by and between Berry Petroleum Company, LLC, a Delaware limited liability company (the "**<u>Company</u>**"), and Jeffrey Magids ("**<u>Employee</u>**") effective as of August 5, 2025 (the "**<u>Effective Date</u>**").

WHEREAS, the Company and Employee entered into that certain Key Employee Agreement dated effective as of January 21, 2025 (the "**<u>Prior Agreement</u>**");

WHEREAS, the Company and Employee desire to amend and restate the Prior Agreement and enter into this Agreement, which supersedes and replaces the Prior Agreement in its entirety; and

WHEREAS, the board of directors (the "**<u>Board</u>**") of Berry Corporation (bry), a Delaware corporation ("**<u>Berry Corporation</u>**"), along with the Company, acknowledge that Employee possesses skills and knowledge that are valuable to the Company Group (as defined below) and the Company wishes to enter this Agreement in order to better ensure itself of access to the continued services of Employee and in order to protect the legitimate business interests of the Company Group.

NOW, THEREFORE, for and in consideration of the premises and the mutual covenants and agreements herein contained, and for other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.**<u>Definitions</u>**. The following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)"**<u>Annual Incentive Bonus</u>**" shall mean the Employee's annual cash short-term incentive bonus under the Company's Annual Incentive Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)"**<u>Base Salary</u>**" shall mean, as of any given date, Employee's annualized base salary on such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)"**<u>Business Opportunities</u>**" shall mean all business ideas, prospects, proposals or other opportunities pertaining to the lease, acquisition, exploration, production, gathering or marketing of hydrocarbons and related products and the exploration potential of geographical areas on which hydrocarbon exploration prospects are located, which are developed by Employee during the Term, or originated by any third party and brought to the attention of Employee during the Term, together with information relating thereto (including, without limitation, geological and seismic data and interpretations thereof, whether in the form of maps, charts, logs, seismographs, calculations, summaries, memoranda, opinions or other written or charted means).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)"**<u>Cause</u>**" shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Employee's repeated failure to fulfill substantially Employee's material obligations with respect to Employee's employment (which failure, if able to be cured, remains uncured or continues or recurs thirty (30) days after written notice from

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the executive officer to whom the Employee directly reports (or any officer of the Company senior to such officer, collectively the "**<u>Reporting Officer</u>**") or the Board);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Employee's conviction of or plea of guilty or *nolo contendere* to a felony or to a crime involving moral turpitude resulting in material financial or reputational harm to the Company, Berry Corporation, or any of their subsidiaries or affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Employee's engaging in conduct that constitutes gross negligence or gross misconduct in carrying out Employee's duties with respect to Employee's employment hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a material violation by Employee of any non-competition or non-solicitation provision, or of any confidentiality provision, contained in an employment agreement or any agreement between Employee and the Company, Berry Corporation, or any of their subsidiaries or affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)any act by Employee involving dishonesty relating to the business of the Company, Berry Corporation, or any of their subsidiaries or affiliates that adversely and materially affects the business of the Company, Berry Corporation, or any of their subsidiaries or affiliates; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a material breach by Employee of the Company's written code of ethics or any other material written policy or regulation of the Company, Berry Corporation, or any of their subsidiaries or affiliates governing the conduct of its employees or contractors (which breach, if able to be cured, remains uncured or continues or recurs 30 days after written notice from the Reporting Officer or the Board).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "**<u>Change in Control Qualifying Termination</u>**" shall mean a termination of Employee's employment with the Company (and all members of the Company Group) by the Company or any member of the Company Group without Cause (and not as a result of Employee's death or Disability) or by the Employee with Good Reason, in each case, where Employee's Termination Date occurs during the period that begins on the date of the consummation of the Sale of the Company and ends on the twelve (12) month anniversary of such Sale of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)"**<u>Company Group</u>**" shall mean, collectively, Berry Corporation and its direct and indirect subsidiaries as may exist from time to time, including the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)"**<u>Disability</u>**" shall mean the earlier of (i) written determination by a physician selected by the Company and reasonably agreed to by Employee that Employee has been unable to perform substantially Employee's usual and customary duties under this Agreement for a period of at least one hundred twenty (120) consecutive days or a non-consecutive period of one hundred eighty (180) days during any twelve (12) month period as a result of incapacity due to mental or physical illness or disease; and (ii) "disability" as such term is defined in the Company's long-term disability insurance plan, or the long-term disability insurance plan of any successor to the Company, as applicable. At any time and from time to time, upon reasonable request therefor by the Company, Employee will submit to reasonable medical examination for the purpose of determining the existence, nature and extent of any such disability. Any physician selected by the Company will be Board Certified in the appropriate field, will have no actual or potential conflict of interest, and may not be a physician who has been retained by the Company for any purpose within the prior three years.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)"**<u>Good Reason</u>**" shall mean means the occurrence of any of the following without Employee's written consent: (a) a material reduction in Employee's Base Salary; provided, however, that the Company may decrease Employee's Base Salary at any time and from time to time so long as such decreases do not exceed, in the aggregate, more than ten percent (10%) of Employee's Base Salary and such decreases are part of similar reductions applicable to the Company's similarly situated executive officers and, for the avoidance of doubt, such decrease shall not constitute Good Reason; (b) a permanent relocation of Employee's principal place of employment that results in an increase of more than thirty (30) miles in the distance between Employee's principal residence at the time of such relocation and Employee's principal place of employment; (c) any material breach by the Company of any material provision of this Agreement; (d) the Company's failure to obtain an agreement from any successor to the Company to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform if no succession had taken place, except where such assumption occurs by operation of law; or (e) a material diminution in the nature or scope of the Employee's authority or responsibilities from those applicable to Employee as of the Effective Date (or as modified thereafter consistent with this Agreement). Employee cannot terminate Employee's employment for "Good Reason" unless Employee has provided written notice to the Company of the existence of the circumstances providing grounds for termination for Good Reason within ninety (90) days of the initial existence of such grounds and the Company has had at least thirty (30) days from the date on which such notice is provided to cure such circumstances. If Employee does not deliver a notice of termination for "Good Reason" within thirty (30) days after such cure period, then Employee will be deemed to have waived Employee's right to terminate for "Good Reason."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)"**<u>Intellectual Property</u>**" will mean all ideas, inventions, discoveries, processes, designs, methods, substances, articles, computer programs and improvements (including, without limitation, enhancements to, or further interpretation or processing of, information that was in the possession of Employee prior to the date of this Agreement), whether or not patentable or copyrightable, which do not fall within the definition of Business Opportunities, which Employee discovers, conceives, invents, creates or develops, alone or with others, during the Term, if such discovery, conception, invention, creation or development (a) occurs in the course of Employee's employment with the Company, or (b) occurs with the use of any of the time, materials or facilities of the Company or its direct or indirect subsidiaries, or (c) in the good faith judgment of a Reporting Officer, relates or pertains in any material way to the purposes, activities or affairs of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)"**<u>Qualifying Termination</u>**" shall mean a termination of Employee's employment with the Company (and all members of the Company Group) by the Company or any member of the Company Group without Cause (and not as a result of Employee's death or Disability).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)<u>"</u>**<u>Sale of the Company</u>**<u>" means the first to occur of:</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the "**<u>Exchange Act</u>**")) (a "**<u>Person</u>**") of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 50% or more of either (i) the then-outstanding equity interests of Berry Corporation (the "**<u>Outstanding Company Equity</u>**<u>")</u> or (ii) the combined voting power of the then-outstanding voting securities of Berry Corporation entitled to vote generally in the election of directors (the "**<u>Outstanding Company Voting Securities</u>**"); provided, however, that, for purposes of this Agreement, the following acquisitions will not constitute a Sale of the Company: (A) any acquisition directly from Berry Corporation, (B) any acquisition by Berry Corporation, (C) any acquisition by any employee benefit plan (or related trust)

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sponsored or maintained by the Company or any affiliated company, or (4) any acquisition by any corporation or other entity pursuant to a transaction that complies with the provisions of section (iii)(c) below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Any time at which individuals who, as of the date hereof, constitute the Board (the "**<u>Incumbent Board</u>**") cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the date hereof whose election, or nomination for election by Berry Corporation's stockholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board will be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Incumbent Board; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Consummation of (a) a reorganization, merger, statutory share exchange or consolidation or similar corporate transaction involving Berry Corporation or any of its subsidiaries, (b) a sale or other disposition of assets of Berry Corporation that have a total gross fair market value (i.e., determined without regard to any liabilities associated with such assets) equal to or more than 75% of the total gross fair market value of all of the assets of Berry Corporation immediately prior to such sale or other disposition, or (c) the acquisition of assets or equity interests of another entity by Berry Corporation or any of its subsidiaries (each, a "**<u>Business Combination</u>**"), in each case unless, following such Business Combination, (A) all or substantially all of the individuals and entities that were the beneficial owners of the Outstanding Company Equity and the Outstanding Company Voting Securities immediately prior to such Business Combination beneficially own, directly or indirectly, more than 50% of the then-outstanding equity interests and the combined voting power of the then-outstanding voting securities entitled to vote generally in the election of directors, or equivalent body, of the entity resulting from such Business Combination (including, without limitation, a corporation or other entity that, as a result of such transaction, owns Berry Corporation or all or substantially all of Berry Corporation's assets either directly or through one or more subsidiaries) in substantially the same proportions as their ownership immediately prior to such Business Combination of the Outstanding Company Equity and the Outstanding Company Voting Securities, (B) no Person (excluding any entity resulting from such Business Combination or any employee benefit plan (or related trust) of Berry Corporation or such other entity resulting from such Business Combination) beneficially owns, directly or indirectly, 50% or more of, respectively, the then-outstanding equity interests of the entity resulting from such Business Combination or the combined voting power of the then-outstanding voting securities of such entity, except to the extent that such ownership existed prior to the Business Combination, and (C) at least a majority of the members of the board of directors of the corporation or equivalent body of any other entity resulting from such Business Combination were members of the Incumbent Board at the time of the execution of the initial agreement or of the action of the Board providing for such Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)"**<u>Termination Date</u>**" shall mean the date Employee's employment with the Company terminates such that, as a result of such termination, Employee is no longer employed by any member of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.**<u>Term of Agreement</u>**. The term of this Agreement will be for a period of one (1) year (the "**<u>Initial Term</u>**"), commencing on the Effective Date. On each anniversary of the Effective Date (each a "**<u>Term Extension Date</u>**"), the term of this Agreement will automatically,

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without further action by Employee or the Company, be extended for one (1) year; provided, however, that either Employee or the Company may, by written notice to the other given not less than sixty (60) days prior to the then-applicable Term Extension Date, cause the term of this Agreement to cease to extend automatically, in which case the term of this Agreement shall automatically terminate upon the next Term Extension Date. The term of this Agreement is hereafter referred to as the "**<u>Term</u>**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.**<u>Compensation Upon Termination</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Termination Generally</u>. If Employee's employment hereunder terminates for any reason other than as described in <u>Section 3(b)</u> below, then all compensation and all benefits to Employee hereunder will terminate contemporaneously with such termination of employment, except that Employee will be entitled to entitled to (the following clauses (i) through (iii), collectively, the "**<u>Accrued Rights</u>**"): (i) payment of all accrued and unpaid Base Salary to the Termination Date, (ii) reimbursement for all incurred but unreimbursed expenses for which Employee is entitled to reimbursement pursuant to the Company's expense reimbursement policy, and (iii) payment for all then-existing accrued, unused vacation and other benefits to which Employee is entitled under the terms of any applicable benefit plan or program of the Company or an affiliate. The Accrued Rights shall be paid to Employee on the Company's first regularly scheduled pay date that is on or after the Termination Date. Any other amounts or benefits that may become due or owing to Employee upon a termination of employment pursuant to the Company's compensation or benefit plans shall be paid pursuant to the governing documents for such payments or benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Qualifying Termination and Change in Control Qualifying Termination</u>. In the event of Employee's Qualifying Termination or Change in Control Qualifying Termination, then all compensation and all benefits to Employee will terminate contemporaneously with such termination of employment, except that Employee will be entitled to receive the Accrued Rights, which will be paid or provided (as applicable) to Employee at such time as provided in <u>Section 3(a)</u>, and, subject to <u>Section 3(c)</u>, the severance benefits (the "**<u>Severance Benefits</u>**") set forth in clauses <u>(i)</u> through <u>(iv)</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Unpaid Prior Year Annual Incentive Bonus*. The Company will pay Employee any earned but unpaid Annual Incentive Bonus for the calendar year ending prior to the Termination Date. This amount will be payable to Employee (assuming the applicable performance goals were achieved and all other terms were satisfied for the amount to become due and payable) in a lump sum on or before the later to occur of (i) the date such annual bonuses are paid to employees who have continued employment with the Company, or (ii) the date that is 60 days following the Termination Date (or, if earlier, March 15th of the calendar year following the calendar year in which the Termination Date occurs).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*Prorated Current Year Annual Incentive Bonus*. The Company will pay Employee a bonus for the calendar year in which the Termination Date occurs in an amount measured by reference to the Annual Incentive Bonus that would have become payable to Employee for such year and based on the Company's actual performance for such year, and prorated through and including the Termination Date (based on the ratio of the number of days Employee was employed by the Company during such year to the number of days in such year). This amount will be payable to Employee in a lump sum on or before the later to occur of (i) the date such annual bonuses are paid to employees who have continued employment with the Company, or (ii) the date that is sixty (60) days following the Termination Date (or, if earlier, March 15th of the calendar year following the calendar year in which the Termination Date occurs).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)*Severance Payment*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)In the event of Employee's Qualifying Termination, Employee will be entitled to receive an amount equal to Employee's Base Salary as of the date immediately preceding the Termination Date. Such amount shall be paid by the Company to Employee in twelve (12) substantially equal monthly installments beginning on the Company's first regularly scheduled pay date that is on or after the date that the Release (as defined below) becomes effective and irrevocable (the "**<u>Payment Date</u>**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)In the event of a Change in Control Qualifying Termination, Employee will be entitled to receive an amount equal to two (2) times the sum of (i) the amount equal to Employee's Base Salary as of the date immediately preceding the Termination Date (or, if Employee terminates for Good Reason, the amount equal to Employee's Base Salary before the reduction giving rise to Good Reason) and (ii) the target amount of Employee's Annual Incentive Bonus (at the higher of the rates in effect immediately prior to the Sale of the Company) for the year in which such termination occurs. Such amount shall be paid by the Company to Employee in a lump sum on the Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)*COBRA Reimbursement*. In the event of a Change in Control Qualifying Termination, if Employee timely and properly elects continuation coverage under the Consolidated Omnibus Reconciliation Act of 1985 ("**<u>COBRA</u>**"), the Company shall reimburse Employee for the monthly COBRA premium paid by Employee for Employee and Employee's dependents. Any such reimbursement for the period prior to the Payment Date shall be paid to Employee in a lump sum on the Payment Date and any reimbursement for any month (or portion thereof) on and after the Payment Date shall be paid to Employee on the tenth (10th) day of the month immediately following the month in which Employee timely remits the premium payment and provides evidence of such payment to the Company. Employee shall be eligible to receive such reimbursement until the earliest of: (i) the 12- month anniversary of the Termination Date; (ii) the date Employee is no longer eligible to receive COBRA continuation coverage; and (iii) the date on which Employee becomes eligible to receive substantially similar coverage from another employer (which date shall be promptly reported to the Company by Employee); provided, however, that the election of COBRA continuation coverage and the payment of any premiums due with respect to such COBRA continuation coverage shall remain Employee's sole responsibility, and the Company shall not assume any obligation for payment of any such premiums. Notwithstanding the foregoing, if the provision of the benefits described in this paragraph cannot be provided in the manner described above without penalty, tax or other adverse impact on the Company or any other member of the Company Group, then the Company and Employee agree to reform this <u>Section 3(b)(iv)</u> in a manner as is necessary to avoid such adverse impact on the Company or any other member of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)*Release Requirement; Continuing Obligations*. Any obligation of the Company to pay any amount set forth in <u>Section 3(b)(ii) or (iii)</u> is conditioned upon, and the timing of which such amounts (if any) are and become payable is subject to, Employee: (i) signing and returning to the Company (and not revoking within any time provided by the Company to do so), in the time provided by the Company to do so, a release of claims in favor of the Company, its affiliates and their respective officers and directors in a form substantially similar to that attached as Exhibit A to this Agreement (the "**<u>Release</u>**"), which Release shall be delivered to Employee by the Company no later than five (5) business days following the Termination Date, and (ii) Employee's continued compliance with the terms of this Agreement that survive termination of Employee's employment, including, without limitation, the

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provisions of <u>Section 4</u> below. If, following a termination of employment that gives Employee a right to Severance Benefits under <u>Section 3(b)(ii) or (iii)</u>, Employee violates any provision of <u>Section 4</u> of this Agreement, Employee will have no further right or claim to any payments or other benefits to which Employee may otherwise be entitled under <u>Section 3(b)(ii) or (iii)</u> from and after the date on which Employee engages in such activities and the Company will have no further obligations with respect to such payments or benefits, and <u>Section 4</u> of this Agreement will nevertheless continue in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.**<u>Restrictive Covenants.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Confidential Information.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Confidentiality*. Employee hereby acknowledges that in connection with Employee's employment by the Company Employee will be exposed to and will obtain certain Confidential Information (as defined below) (including, without limitation, procedures, memoranda, notes, records and customer and supplier lists whether such information has been or is made, developed or compiled by Employee or otherwise has been or is made available to Employee) regarding the business and operations of the Company or any other member of the Company Group. Employee further acknowledges that such Confidential Information is unique, valuable, considered trade secrets and deemed proprietary by the Company Group. For purposes of this Agreement, "**<u>Confidential Information</u>**" includes, without limitation, any information heretofore or hereafter acquired, developed or used by any member of the Company Group relating to Business Opportunities or Intellectual Property or other geological, geophysical, economic, financial or management aspects of the business, operations, properties or prospects of the members of the Company Group, whether oral or in written form Employee agrees that all Confidential Information is and will remain the property of the Company Group. Employee further agrees, except for disclosures occurring in the good faith performance of Employee's duties for the Company, Employee will, for the duration of the Term, hold in the strictest confidence all Confidential Information, and will not, during the Term and for a period of five years after the Termination Date, directly or indirectly, duplicate, sell, use, lease, commercialize, disclose or otherwise divulge to any person or entity any portion of the Confidential Information or use any Confidential Information, directly or indirectly, for Employee's own benefit or profit or allow any person, entity or third party, other than the Company or other member of the Company Group and authorized employees of the same, to use or otherwise gain access to any Confidential Information. Employee will have no obligation under this Agreement with respect to any information that becomes generally available to the public other than as a result of a disclosure by Employee or Employee's agent or other representative or becomes available to Employee on a non-confidential basis from a source other than a member of the Company Group. Further, Employee will have no obligation under this Agreement to keep confidential any of the Confidential Information to the extent that a disclosure of it is required by law or is consented to by the Company, provided, however, that if and when such a disclosure is required by law, Employee promptly will provide the Company with notice of such requirement, so that the Company may seek an appropriate protective order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*SEC Provisions*. Employee understands that nothing contained in this Agreement limits Employee's ability to: (i) file a charge or complaint with the Securities and Exchange Commission ("**<u>SEC</u>**"), (ii) initiate communications with, cooperate with, provide information to, cause information to be provided to, or otherwise assist in any investigation by the SEC or any other governmental agency (including the Department of Justice, Department of Labor, any Inspector General, and any other governmental agency, commission or regulatory authority) regarding a possible violation

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of any law, or (iii) make any other disclosures that are protected under the whistleblower provisions of any applicable law. Employee further understands that this Agreement does not limit Employee's ability to communicate with the SEC or other governmental agency or otherwise participate in any investigation or proceeding that may be conducted by the SEC or other governmental agency, including providing documents or other information, without notice to the Company or any other member of the Company Group. This Agreement does not limit Employee's right to receive an award for information provided to the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)*Trade Secrets.* The parties specifically acknowledge that 18 U.S.C. § 1833(b) provides "An individual will not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that is made—(A) in confidence to a Federal, State, or local government official, either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation of law; or is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal." Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create liability for disclosures of trade secrets that arc expressly allowed by 18 U.S.C. § 1833(b). Accordingly, notwithstanding anything to the contrary in the foregoing, the parties to this Agreement have the right to disclose in confidence trade secrets to federal, state, and local government officials, or to an attorney, for the sole purpose of reporting or investigating a suspected violation of law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Return of Property</u>. Employee agrees to deliver promptly to the Company, upon termination of Employee's employment, or at any other time when the Company so requests, all documents in Employee's possession relating to the business of the Company Group, including without limitation, all geological and geophysical reports and related data such as maps, charts, logs, seismographs, seismic records and other reports and related data, calculations, summaries, memoranda and opinions relating to the foregoing, production records, electric logs, core data, pressure data, lease files, well files and records, land files, abstracts, title opinions, title or curative matters, contract files, notes, records, drawings, manuals correspondence, financial and accounting information, customer lists, statistical data and compilations, patents, copyrights, trademarks, trade names, inventions, formulae, methods, processes, agreements, contracts, manuals or any documents relating to the business of the Company Group and all copies thereof and therefrom; provided, however, that Employee will be permitted to retain copies of any documents or materials of a personal nature or otherwise related to Employee's rights under this Agreement, copies of this Agreement and any attendant or ancillary documents specifically including any documents referenced in this Agreement and copies of any documents related to Employee's equity-based incentive awards or other compensation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)<u>Non-Competition</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Non-Compete Obligations During the Term*. Employee agrees that, during the Term:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)Employee will not, other than through the Company or Berry Corporation, engage or participate in any manner, whether directly or indirectly as an employee, employer, consultant, agent, principal, partner, more than 1% shareholder, officer, director, licensor, lender, lessor or in any other individual or representative capacity, in any business or activity which is engaged in direct competition anywhere in the United States with the Company, Berry Corporation, or any of their direct or indirect subsidiaries, in leasing, acquiring, exploring, producing, gathering or marketing hydrocarbons and related products; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)Employee will not (directly or indirectly through any family members or other persons) knowingly permit any of Employee's controlled affiliates to invest or otherwise participate alongside the Company, Berry Corporation, or their direct or indirect subsidiaries, in any Business Opportunity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)Notwithstanding the foregoing, nothing in this <u>Section 4(c)(i)</u> will be deemed to prohibit Employee from owning, or otherwise having an interest in, less than 3% of any publicly owned entity or 3% or less of any private equity fund or similar investment fund that invests in any business or activity engaged in any of the activities set forth above, provided that Employee has no active role with respect to any investment by such fund in any entity

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*Non-Compete Obligations After Termination Date*. Employee agrees that some restrictions on Employee's activities after Employee's employment are necessary to protect the goodwill, Confidential Information, and other legitimate interests of the Company, Berry Corporation, and their direct and indirect subsidiaries. The Company has provided and following the Effective Date the Company will provide Employee with access to and knowledge of Confidential Information and will place Employee in a position of trust and confidence with the Company, and Employee will benefit from (and help develop) the Company's goodwill. The restrictive covenants below are necessary to protect the Company's and Berry Corporation's legitimate business interests in their Confidential Information, trade secrets and goodwill. Employee further understands and acknowledges that the Company's and Berry Corporation's ability to reserve these for the exclusive knowledge and use of the Company and Berry Corporation is of great competitive importance and commercial value to the Company and Berry Corporation and that the Company and Berry Corporation would be irreparably harmed if Employee violates the restrictive covenants herein. As a condition of Employee's continued employment hereunder and the continued imparting to Employee of Confidential Information, Employee hereby agrees that Employee will not engage or participate in any manner, whether directly or indirectly as an employee, employer, consultant, agent principal, partner, more than 1% shareholder, officer, director, licensor, lender, lessor, or in any other individual or representative capacity during the two-year period following the Termination Date, in any business or activity which is in direct competition with the business of the Company, Berry Corporation, or their direct or indirect subsidiaries, in each case in the leasing, acquiring, exploring, producing, gathering or marketing of hydrocarbons and related products within the boundaries of, or within a ten-mile radius of the boundaries of, any mineral property interest of any of the Company, Berry Corporation, or their direct or indirect subsidiaries (including, without limitation, a mineral lease, overriding royalty interest, production payment, net profits interest, mineral fee interest or option or right to acquire any of the foregoing, or an area of mutual interest as designated pursuant to contractual agreements between the Company or any direct or indirect subsidiary, and any third party) or any other property on which any of the Company, Berry Corporation, or their direct or indirect subsidiaries has an option, right, license or authority to conduct or direct exploratory activities, such as three-dimensional seismic acquisition or other seismic, geophysical and geochemical activities (but not including any preliminary geological mapping), as of the Termination Date or as of the end of the six-month period following such Termination Date; provided, that, nothing in this this <u>Section 4(c)(ii)</u> will be deemed to prohibit Employee from (x) engaging in any business activities within the State of California, or (y) owning, or otherwise having an interest in, less than 3% of any publicly owned entity or 3% or less of any private equity fund or similar investment fund that invests in any business or

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activity engaged in any of the activities set forth above, provided that Employee has no active role with respect to any investment by such fund in any entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)*Board Permission*. Without limiting this <u>Section 4(c)</u>, Employee may, in Employee's sole discretion, bring proposed activities of a Covered Entity to the attention of the Board and request that the Board review the proposed activities upon full disclosure to the Board of all material facts concerning the proposed activity, and inform the Employee in writing as to whether such proposed activities violate this <u>Section 4(c)</u>. The Board's written determination in this matter shall not be unreasonably withheld and it shall conclusively bind the parties hereto

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)<u>Non-Solicitation</u>. During the Term and for a period of twelve (12) months after the Termination Date, Employee agrees and covenants that Employee will not, whether for Employee's own account or for the account of any other person (other than a member of the Company Group), intentionally: (i) solicit, hire, recruit, attempt to hire or recruit, or induce the termination of employment or service of any employee or other service provider of Company Group (including any independent sales representatives), in each case with the intent to cause such employee or other service provider to cease or lessen such employee's or service provider's employment or engagement with any member of the Company Group, or (ii) solicit contact (including but not limited to e-mail, regular mail, express mail, telephone, fax, and instant message), attempt to contact, or meet with the Company's current, former or prospective clients, vendors or customers for purposes of offering or accepting goods at services similar to or competitive with those offered by the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)<u>Non-Disparagement</u>. Employee represents covenants and agrees that Employee will not at any time during the Term or after the Termination Date, through any medium, either orally or in writing, including, but not limited to, electronic mail, television or radio, computer networks or internet bulletin boards, blogs, social media, such as Facebook, LinkedIn, or Twitter, or any other form of communication, disparage, defame, impugn, damage or assail the reputation, or cause or lend to cause the recipient of a communication to question the business condition, integrity, competence, good character, professionalism, or business practices of any member of the Company Group or any of their respective stockholders, directors, officers, employees, as applicable, except as required by law re pursuant to a court order. Notwithstanding the foregoing, nothing in this Section 4(e) shall prevent Employee from making any truthful statements required by law or legal process or making any statements or engaging in any activity permitted by Section 4(a)(ii) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)<u>Assignment of Developments</u>. Employee agrees to assign and hereby assigns without further compensation to the Company and its successors, assigns or designees, all of Employee's right, title and interest in and to all Business Opportunities and Intellectual Property, and further acknowledges, and agrees that all Business Opportunities and Intellectual Property constitute the exclusive property of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.**<u>Withholdings; Deductions</u>**. The Company may withhold and deduct from any benefits and payments made or to be made pursuant to this Agreement (a) all federal, state, local and other taxes as may be required pursuant to any law or governmental regulation or ruling and (b) any deductions consented to in writing by Employee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.**<u>Title and Headings; Construction</u>**. Titles and headings to Sections hereof are for the purpose of reference only and shall in no way limit, define or otherwise affect the provisions hereof. Any and all Exhibits or Attachments referred to in this Agreement are, by such reference, incorporated herein and made a part hereof for all purposes. Unless the context requires otherwise, all references to laws, regulations, contracts, agreements and instruments refer to such laws, regulations, contracts, agreements and instruments as they may be amended

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from time to time, and references to particular provisions of laws or regulations include a reference to the corresponding provisions of any succeeding law or regulation. All references to "dollars" or "$" in this Agreement refer to United States dollars. The word "or" is not exclusive. The words "herein", "hereof", "hereunder" and other compounds of the word "here" shall refer to the entire Agreement, including all Exhibits attached hereto, and not to any particular provision hereof. Wherever the context so requires, the masculine gender includes the feminine or neuter, and the singular number includes the plural and conversely. All references to "including" shall be construed as meaning "including without limitation." Neither this Agreement nor any uncertainty or ambiguity herein shall be construed or resolved against any party hereto, whether under any rule of construction or otherwise. On the contrary, this Agreement has been reviewed by each of the parties hereto and shall be construed and interpreted according to the ordinary meaning of the words used so as to fairly accomplish the purposes and intentions of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.**<u>At-Will Employment</u>**. This Agreement is not an employment contract for any particular term and nothing herein alters the at-will nature of Employee's employment with the Company, as Employee or the Company (and, if Employee becomes employed by any other member of the Company Group, any other member of the Company Group) may terminate the employment relationship at any time and for any reason not prohibited by applicable law or no reason at all.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.**<u>Applicable Law; Submission to Jurisdiction</u>**. This Agreement shall in all respects be construed according to the laws of the State of Texas without regard to its conflict of laws principles that would result in the application of the laws of another jurisdiction. With respect to any claim or dispute related to or arising under this Agreement, the parties hereby consent to the exclusive jurisdiction, forum and venue of the state and federal courts (as applicable) located in Dallas County, Texas.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.**<u>Entire Agreement and Amendment</u>**. This Agreement contains the entire agreement of the parties with respect to the matters covered herein and supersedes all prior and contemporaneous agreements and understandings, oral or written, between the parties hereto concerning the subject matter hereof. This Agreement may be amended only by a written instrument executed by both parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.**<u>Waiver of Breach</u>**. Any waiver of this Agreement must be executed by the party to be bound by such waiver. No waiver by either party hereto of a breach of any provision of this Agreement by the other party, or of compliance with any condition or provision of this Agreement to be performed by such other party, will operate or be construed as a waiver of any subsequent breach by such other party or any similar or dissimilar provision or condition at the same or any subsequent time. The failure of either party hereto to take any action by reason of any breach will not deprive such party of the right to take action at any time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.**<u>Assignment</u>**. This Agreement and the rights and obligations hereunder, may not be assigned by the Company, Berry Corporation or the Employee without a written consent signed by all other parties, which consent shall not be unreasonably withheld, delayed or conditioned; *provided*, *however*, that (a) the Company and Berry Corporation may assign this Agreement without Employee's consent to any member of the Company Group so long as, following such assignment, either the Company or Berry Corporation remains a guarantor of the Company's obligations under this Agreement and (b) the Company shall cause this Agreement to be assumed by any successor that continues the business of the Company, including any person or entity that acquires all or substantially all of the assets of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.**<u>Notices</u>**. Notices provided for in this Agreement shall be in writing and shall be deemed to have been duly received (a) when delivered in person, (b) on the first business day

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after such notice is sent by express overnight courier service, or (c) on the second business day following deposit with an internationally-recognized second-day courier service with proof of receipt maintained, in each case, to the following address, as applicable:

**If to the Company, addressed to:**

Berry Petroleum Company, LLC<br>16000 N. Dallas Pkwy, Suite 500

Dallas, Texas 75248<br>Attn: General Counsel

&nbsp;&nbsp;&nbsp;&nbsp;**If to Berry Corporation, addressed to:** 

**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

Berry Corporation (bry) <br>16000 N. Dallas Pkwy, Suite 500

Dallas, Texas 75248<br>Attn: General Counsel

**If to Employee,** addressed to Employee's last known address on file with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.**<u>Counterparts</u>**. This Agreement may be executed in any number of counterparts, including by electronic mail or facsimile, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute one and the same instrument. Each counterpart may consist of a copy hereof containing multiple signature pages, each signed by one party, but together signed by both parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.**<u>Deemed Resignations</u>**. Except as otherwise determined by the Board or as otherwise agreed to in writing by Employee and any member of the Company Group prior to the termination of Employee's employment with the Company or any member of the Company Group, any termination of Employee's employment shall constitute, as applicable, an automatic resignation of Employee: (a) as an officer of the Company and each member of the Company Group; (b) from the Board; and (c) from the board of directors or board of managers (or similar governing body) of any member of the Company Group and from the board of directors or board of managers (or similar governing body) of any corporation, limited liability entity, unlimited liability entity or other entity in which any member of the Company Group holds an equity interest and with respect to which board of directors or board of managers (or similar governing body) Employee serves as such Company Group member's designee or other representative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.**<u>Section 409A</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Notwithstanding any provision of this Agreement to the contrary, all provisions of this Agreement are intended to comply with Section 409A of the Internal Revenue Code of 1986, as amended (the "**<u>Code</u>**"), and the applicable Treasury regulations and administrative guidance issued thereunder (collectively, "**<u>Section 409A</u>**") or an exemption therefrom and shall be construed and administered in accordance with such intent. Any payments under this Agreement that may be excluded from Section 409A either as separation pay due to an involuntary separation from service or as a short-term deferral shall be excluded from Section 409A to the maximum extent possible. For purposes of Section 409A, each installment payment provided under this Agreement shall be treated as a separate payment. Any payments to be made

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under this Agreement upon a termination of Employee's employment shall only be made if such termination of employment constitutes a "separation from service" under Section 409A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)To the extent that any right to reimbursement of expenses or payment of any benefit in-kind under this Agreement constitutes nonqualified deferred compensation (within the meaning of Section 409A), (i) any such expense reimbursement shall be made by the Company no later than the last day of Employee's taxable year following the taxable year in which such expense was incurred by Employee, (ii) the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, and (iii) the amount of expenses eligible for reimbursement or in-kind benefits provided during any taxable year shall not affect the expenses eligible for reimbursement or in-kind benefits to be provided in any other taxable year; *provided*, that the foregoing clause shall not be violated with regard to expenses reimbursed under any arrangement covered by Section 105(b) of the Code solely because such expenses are subject to a limit related to the period in which the arrangement is in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Notwithstanding any provision in this Agreement to the contrary, if any payment or benefit provided for herein would be subject to additional taxes and interest under Section 409A if Employee's receipt of such payment or benefit is not delayed until the earlier of (i) the date of Employee's death or (ii) the date that is six months after the Termination Date (such date, the "**<u>Section 409A Payment Date</u>**"), then such payment or benefit shall not be provided to Employee (or Employee's estate, if applicable) until the Section 409A Payment Date. Notwithstanding the foregoing, the Company makes no representations that the payments and benefits provided under this Agreement are exempt from, or compliant with, Section 409A and in no event shall any member of the Company Group be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by Employee on account of non-compliance with Section 409A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.**<u>Clawback</u>**. To the extent required by applicable law or any applicable securities exchange listing standards, or as otherwise determined by the Board (or a committee thereof), amounts paid or payable under this Agreement shall be subject to the provisions of any applicable clawback policies or procedures adopted by the Company, which clawback policies or procedures may provide for forfeiture and/or recoupment of amounts paid or payable under this Agreement. Notwithstanding any provision of this Agreement to the contrary, the Company reserves the right, without the consent of Employee, to adopt any such clawback policies and procedures, including such policies and procedures applicable to this Agreement with retroactive effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.**<u>Severability</u>**. If an arbitrator or court of competent jurisdiction determines that any provision of this Agreement (or portion thereof) is invalid or unenforceable, then the invalidity or unenforceability of that provision (or portion thereof) shall not affect the validity or enforceability of any other provision of this Agreement, and all other provisions shall remain in full force and effect.

[Remainder of Page Intentionally Blank;<br>Signature Page Follows]

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**IN WITNESS WHEREOF,** Employee and the Company each have caused this Agreement to be executed and effective as of the Effective Date.

**EMPLOYEE**

<u>/s/ Jeffrey D. Magids&nbsp;&nbsp;&nbsp;&nbsp;</u>

Jeffrey D. Magids

**BERRY PETROLEUM COMPANY, LLC**

&nbsp;&nbsp;&nbsp;&nbsp;By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Danielle Hunter_______________</u><br> Name:&nbsp;&nbsp;&nbsp;&nbsp;Danielle Hunter

&nbsp;&nbsp;&nbsp;&nbsp;Title:&nbsp;&nbsp;&nbsp;&nbsp;President

Signature Page to

Key Employee Agreement

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**EXHIBIT A**

**FORM OF RELEASE AGREEMENT**

THIS RELEASE AGREEMENT (this "**<u>Agreement</u>**") is made by and between Jeffrey Magdis (the "**<u>Employee</u>**") and Berry Petroleum Company, LLC, a Delaware limited liability company (the "**<u>Company</u>**"). This Agreement will become effective, enforceable and irrevocable on the eighth day after the date on which it is executed by the Employee (the "**<u>Effective Date</u>**"). This Agreement is that Release referenced in that certain Amended and Restated Key Employee Agreement, dated [●], 2025, by and among the Company, Berry Corporation (bry) ("**<u>Berry Corporation</u>**") and the Employee (the "**<u>Key Employee Agreement</u>**"). Capitalized terms used but not defined herein shall have the meaning provided to such terms in the Key Employee Agreement.

WHEREAS, the Company employed the Employee as [TITLE] and the Employee and the Employee's employment relationship with the Company terminated effective as of [TERMINATION DATE] (the "**<u>Termination Date</u>**"); and

WHEREAS, the parties desire to set forth each of their rights and obligations regarding the termination of the Employee's employment with the Company in this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants and conditions in the Agreement and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties, intending to be legally bound hereby, agree as follows:

1.**<u>Termination of Employment</u>**. Subject to the provisions of <u>Section 2</u>, the parties hereby agree that the Employee's employment with the Company terminated on the Termination Date and, as of the Termination Date, the Employee was no longer employed or engaged by the Company or any of its subsidiaries or other affiliates. The Employee acknowledges and agrees that, as of the Termination Date, the Employee is deemed to have automatically resigned as, to the extent applicable: (a) as an officer of the Company and each member of the Company Group; (b) from the Board; and (c) from the board of directors or board of managers (or similar governing body) of any member of the Company Group and from the board of directors or board of managers (or similar governing body) of any corporation, limited liability entity, unlimited liability entity or other entity in which any member of the Company Group holds an equity interest and with respect to which board of directors or board of managers (or similar governing body) the Employee serves as such Company Group member's designee or other representative.

2.**<u>Severance Benefits</u>**. Subject to Employee's fulfillment of the obligations in this Agreement, the Company will pay or provide the Employee with the Severance Benefits, in the manner and as defined under the Key Employee Agreement. The Severance Benefits will not be treated as compensation under the Company's 401(k) Plan or any other benefit or retirement plan. The Employee shall not be entitled to any additional or future salary or other compensation or severance benefits under any plan or program established by the Company or any of its affiliates, other than the Severance Benefits. The Employee expressly acknowledges and agrees that the Employee has received all leaves (paid and unpaid) to which the Employee has been

Exhibit A

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entitled during the Employee's employment with the Company or any other Released Party, and the Employee has received all wages, bonuses and other compensation, been provided all benefits, and been afforded all rights and been paid all sums, that the Employee has been owed by the Company or any other Released Party as of the date that the Employee signs this Agreement, other than the Severance Benefits.

3.**<u>Outstanding Liabilities</u>**. Any liabilities the Employee may have to the Company or its affiliates, including, without limitation, any outstanding loans or advances by the Company and any liabilities to reimburse the Company for any personal expenses that the Employee has charged to the Company, must be paid in full before payment of any Severance Benefits. Further, the Employee expressly authorizes the Company to deduct any such amounts from any payment to be made to the Employee under this Agreement, to the extent permitted by applicable law.

4.**<u>General Release and Waiver</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;In consideration of receipt of the payments and other consideration provided for in this Agreement and the Key Employee Agreement, that being good and valuable consideration, the receipt, adequacy and sufficiency of which are acknowledged by the Employee, the Employee, on the Employee's own behalf and on behalf of the Employee's agents, administrators, representatives, executors, successors, heirs, dependents, devisees and assigns (collectively, the "**<u>Releasing Parties</u>**") hereby fully releases, holds harmless, remises, acquits and forever discharges the Company, Berry Corporation and all of their respective affiliates, and each of the foregoing entities' respective past, present and future officers, directors, shareholders, members, managers, partners, agents, employees, consultants, independent contractors, attorneys, advisers, successors and assigns (collectively, the "**<u>Released Parties</u>**"), jointly and severally, from any and all claims, rights, demands, debts, obligations, losses, causes of action, suits, controversies, setoffs, counterclaims, third party actions, damages, penalties, costs, expenses, attorneys' fees, liabilities and indemnities of any kind or nature whatsoever (collectively, the "**<u>Claims</u>**"), whether known or unknown, suspected or unsuspected, accrued or unaccrued, whether at law, equity, administrative, statutory or otherwise, and whether for injunctive relief, back pay, fringe benefits, reinstatement, reemployment, or compensatory, punitive or any other kind of damages, which any of the Releasing Parties have ever had in the past or presently have against any of the Released Parties, and each of them, up to and including the date that the Employee signs this Agreement, including all such Claims arising from or relating to the Employee's employment with the Company or its affiliates or the termination of that employment or any circumstances related thereto, or any other matter, cause or thing whatsoever, including all claims arising under or relating to employment, employment contracts (including any employment agreements), employee benefits or purported employment discrimination (of any kind) or harassment or violations of civil rights of whatever kind or nature, including: (i) all Claims arising under the Age Discrimination in Employment Act ("**<u>ADEA</u>**"), the Americans with Disabilities Act of 1990, the Family and Medical Leave Act of 1993, the Equal Pay Act of 1963, the Rehabilitation Act of 1973, Title VII of the United States Civil Rights Act of 1964, 42 U.S.C. § 1981, the Civil Rights Act of 1991, the Civil Rights Acts of 1866 and/or 1871, the Employee Retirement Income Security Act of 1974 ("**<u>ERISA</u>**"), the

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WARN Act and state equivalents, the Sarbanes-Oxley Act of 2002, under federal, state, municipal or local anti-discrimination or anti-retaliation law, any federal, state, municipal or local wage and hour law, or any other local, municipal, state, or federal law, regulation or ordinance, (ii) all Claims arising under any public policy, or any contract, tort, or common law Claim, including Claims for breach of fiduciary duty, fraud, breach of implied or express contract, breach of implied covenant of good faith and fair dealing, wrongful discharge or termination, promissory estoppel, infliction of emotional distress, or tortious interference; (iii) any allegation for costs, fees, or other expenses including attorneys' fees incurred in, or with respect to, any Claim; or (iv) any Claim, whether direct or derivative, arising from, or relating to, the Employee's status as a member or holder of any equity or other interests in the Company, the Berry Corporation, or any other Released Party. The Employee further agrees that the Employee will not file or permit to be filed on the Employee's behalf any such Claim. Notwithstanding the preceding sentence or any other provision of this Agreement, this release is not intended to interfere with the Employee's right to file a charge with government agencies such as the Equal Employment Opportunity Commission (the "**<u>EEOC</u>**"), the National Labor Relations Board or the Securities and Exchange Commission in connection with any claim the Employee believes it may have against the Company or its affiliates. However, by executing this Agreement, the Employee hereby waives the right to recover from any Released Party in any proceeding the Employee may bring before such agency, including the EEOC or any state human rights commission or in any proceeding brought by the EEOC or any state human rights commission on the Employee's behalf. Nothing herein prevents the Employee from receiving an award for information provided to a governmental agency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;This Agreement is not intended to or shall prevent, impede or interfere with Employee's non-waivable right, without prior notice to the Company, to provide information to the government, participate in investigations, file a complaint, testify in proceedings regarding the Company's past or future conduct, or to receive or fully retain a monetary award from a government administered whistleblower program for providing information directly to a government agency. Further, the Claims released herein do not include (i) any rights or claims that may first arise after the time that the Employee executes this Agreement; or (ii) any claim to vested benefits under an employee benefit plan that is subject to ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &nbsp;&nbsp;&nbsp;&nbsp;This release shall not apply to any obligation of the Company or its affiliates pursuant to this Agreement, or any vested benefit to which the Employee is entitled under any tax qualified pension plan of the Company or its affiliates, COBRA continuation coverage benefits or any other similar benefits required to be provided by statute.

5.**<u>Certain Forfeitures in Event of Breach</u>**. The Employee acknowledges and agrees that, notwithstanding any other provision of this Agreement, in the event the Employee breaches any of the Employee's obligations under this Agreement or if the Employee breaches the restrictive covenants set forth in Section 4 of the Key Employee Agreement, the Employee forfeits the right to receive the payments and benefits described in <u>Section 2</u> of this Agreement to the extent not theretofore paid to the Employee as of the date of such breach or ruling and, if already made as of the time of such breach or ruling, the Employee agrees to reimburse the Company, promptly, for the amount of such payments and benefits.

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6.**<u>Cooperation with Proceedings</u>**. The Employee agrees to reasonably cooperate (including attending meetings) with respect to any claim, arbitral hearing, lawsuit, action or governmental, regulatory or internal investigation relating to the business of the Company or its affiliates. The Employee agrees to provide prompt disclosure to the Company in response to any inquiry in connection with any such matters. The Company shall reimburse Employee for all reasonable out-of-pocket expenses incurred by Employee in connection with this <u>Section 6</u>.

7.**<u>Entire Agreement</u>**. This Agreement contains the entire agreement between the parties with respect to the Employee's employment with the Company and the termination thereof effective as of the Effective Date and supersedes any and all prior understandings, agreements or correspondence between the parties regarding the Employee's employment with the Company and the termination thereof, except the Key Employee Agreement, which shall expressly survive this Agreement and continue in full force and effect.

8.**<u>Knowing and Voluntary Waiver</u>**. Subject to the provisions of <u>Section 10</u> below, the Employee, by the Employee's free and voluntary act of signing below, acknowledges that (a) the Employee has been given an opportunity to consider whether to agree to the terms contained herein, (b) acknowledges that the Employee understands that this Agreement specifically releases and waives all claims the Employee may have against the Company and the Released Parties (except as otherwise expressly set forth herein), (c) represents that that the Employee has no impairment of any kind which would prevent the Employee from understanding the terms of this Agreement; and (d) agrees to all of the terms of this Agreement and intends to be legally bound thereby.

9.**<u>Return of Property</u>**. The Employee has, to the best of the Employee's knowledge, returned to the Company's Human Resources Department ("**<u>Company HR</u>**"), or will return within seven (7) days of the date on which the Employee signs this Agreement, all equipment and/or property, including all confidential information, computer software, computer access codes, company credit cards, keys, and all original and copies of notes, documents, files or programs stored electronically or otherwise that relate or refer to the business, customers, financial statements, business contacts or sales of the Company, Berry Corporation, or any of their affiliates. The Employee also agrees to return promptly to Company HR any such equipment and/or property subsequently discovered by the Employee.

10.**<u>Right To Consult Attorney And Voluntary Nature Of Agreement</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;[The Employee, by the Employee's free and voluntary act of signing below, (i) acknowledges that the Employee has been given a period of [twenty-one (21)] \| [forty-five (45)] days to consider whether to agree to the terms contained herein, (ii) acknowledges that the Employee has been advised, and is hereby advised in writing, to consult with an attorney prior to executing this Agreement, (iii) acknowledges that the Employee understands that this Agreement specifically releases and waives all rights and claims it may have under the ADEA prior to the date on which the Employee signs this Agreement, and (iv) agrees to all of the terms of this Agreement and intends to be legally bound thereby. The Employee acknowledges that, if the Employee chooses to sign this Agreement prior to the expiration of this [twenty-one (21)] \|

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[forty-five (45)] day period of consideration, the Employee does so voluntarily and waives Employee's right to the remainder of that period.]<sup>1</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;The parties hereto acknowledge and agree that each party has reviewed and negotiated the terms and provisions of this Agreement and has contributed to its preparation and had the opportunity to consult counsel. Accordingly, the rule of construction to the effect that ambiguities are resolved against the drafting party shall not be employed in the interpretation of this Agreement. Rather, the terms of this Agreement shall be construed fairly as to both parties hereto and not in favor of or against either party, regardless of which party generally was responsible for the preparation of this Agreement.

11.**<u>Revocation</u>**. This Agreement will become effective, enforceable and irrevocable on the Effective Date. During the seven-day period prior to the Effective Date, the Employee may revoke the Employee's acceptance of the Agreement by providing written notice to [NAME] at [ADDRESS] personally delivered or deposited in the U.S. Mail before the expiration of the seven-day period. If the Employee exercises the right to revoke hereunder, the Employee shall forfeit the right to receive any of the payments or benefits provided for herein, and to the extent such payments or benefits have already been made, the Employee agrees that the Employee will immediately reimburse the Company for the amounts of such payments and benefits.

12.**<u>Key Employee Agreement</u>**. This Agreement shall be subject to the provisions of Sections 4-6, 8, 10-13 and 15-17 of the Key Employee Agreement, which provisions are hereby incorporated by reference as part of this Agreement.

IN WITNESS WHEREOF, the Company has caused this Agreement to be signed by its duly authorized representative and the Employee has signed this Agreement effective as of the day and year first above written.

**PLEASE READ CAREFULLY AS THIS DOCUMENT INCLUDES A RELEASE OF ALL CLAIMS. THE EMPLOYEE EXPRESSLY ACKNOWLEDGES AND AGREES THAT THIS RELEASE IS INTENDED TO INCLUDE NOT ONLY CLAIMS THAT THE EMPLOYEE KNOWS ABOUT, BUT ALSO THOSE THAT THE EMPLOYEE DOES NOT KNOW OR SUSPECT TO EXIST AS OF THE EFFECTIVE DATE OF THIS AGREEMENT.**

<sup>1</sup> This provision will be removed or modified if Employee is under 40 years old at time of release. Language to be customized at the time of separation depending on the applicable consideration period and disclosures required by the Age Discrimination in Employment Act.

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**EMPLOYEE:**

______________________________&nbsp;&nbsp;&nbsp;&nbsp;Date:&nbsp;&nbsp;&nbsp;&nbsp;__________________

**Berry Petroleum Company, LLC:**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>&nbsp;&nbsp;&nbsp;&nbsp;Date:&nbsp;&nbsp;&nbsp;&nbsp;__________________

Name: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

Title: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 

## Exhibit 10.4

**Exhibit 10.4**

**KEY EMPLOYEE AGREEMENT**

This Key Employee Agreement ("**<u>Agreement</u>**") is made and entered into by and between Berry Petroleum Company, LLC, a Delaware limited liability company (the "**<u>Company</u>**"), and Jenarae Garland ("**<u>Employee</u>**") effective as of April 14, 2025 (the "**<u>Effective Date</u>**").

WHEREAS, the board of directors (the "**<u>Board</u>**") of Berry Corporation (bry), a Delaware corporation ("**<u>Berry Corporation</u>**"), along with the Company, acknowledge that Employee possesses skills and knowledge that are valuable to the Company Group (as defined below) and the Company wishes to enter this Agreement in order to better ensure itself of access to the continued services of Employee and in order to protect the legitimate business interests of the Company Group.

NOW, THEREFORE, for and in consideration of the premises and the mutual covenants and agreements herein contained, and for other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.**<u>Definitions</u>**. The following terms shall have the following meanings:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)"**<u>Annual Incentive Bonus</u>**" shall mean the Employee's annual cash short-term incentive bonus under the Company's Annual Incentive Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)"**<u>Base Salary</u>**" shall mean, as of any given date, Employee's annualized base salary on such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)"**<u>Business Opportunities</u>**" shall mean all business ideas, prospects, proposals or other opportunities pertaining to the lease, acquisition, exploration, production, gathering or marketing of hydrocarbons and related products and the exploration potential of geographical areas on which hydrocarbon exploration prospects are located, which are developed by Employee during the Term, or originated by any third party and brought to the attention of Employee during the Term, together with information relating thereto (including, without limitation, geological and seismic data and interpretations thereof, whether in the form of maps, charts, logs, seismographs, calculations, summaries, memoranda, opinions or other written or charted means).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)"**<u>Cause</u>**" shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Employee's repeated failure to fulfill substantially Employee's material obligations with respect to Employee's employment (which failure, if able to be cured, remains uncured or continues or recurs thirty (30) days after written notice from the executive officer to whom the Employee directly reports (or any officer of the Company senior to such officer, collectively the "**<u>Reporting Officer</u>**") or the Board);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Employee's conviction of or plea of guilty or *nolo contendere* to a felony or to a crime involving moral turpitude resulting in material financial or reputational harm to the Company, Berry Corporation, or any of their subsidiaries or affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Employee's engaging in conduct that constitutes gross negligence or gross misconduct in carrying out Employee's duties with respect to Employee's employment hereunder;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a material violation by Employee of any non-competition or non-solicitation provision, or of any confidentiality provision, contained in an employment agreement or any agreement between Employee and the Company, Berry Corporation, or any of their subsidiaries or affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)any act by Employee involving dishonesty relating to the business of the Company, Berry Corporation, or any of their subsidiaries or affiliates that adversely and materially affects the business of the Company, Berry Corporation, or any of their subsidiaries or affiliates; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a material breach by Employee of the Company's written code of ethics or any other material written policy or regulation of the Company, Berry Corporation, or any of their subsidiaries or affiliates governing the conduct of its employees or contractors (which breach, if able to be cured, remains uncured or continues or recurs 30 days after written notice from the Reporting Officer or the Board).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)"**<u>Change in Control Qualifying Termination</u>**" shall mean a termination of Employee's employment with the Company (and all members of the Company Group) by the Company or any member of the Company Group without Cause (and not as a result of Employee's death or Disability) or by the Employee with Good Reason, in each case, where Employee's Termination Date occurs during the period that begins on the date of the consummation of the Sale of the Company and ends on the twelve (12) month anniversary of such Sale of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) "**<u>Company Group</u>**" shall mean, collectively, Berry Corporation and its direct and indirect subsidiaries as may exist from time to time, including the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)"**<u>Disability</u>**" shall mean the earlier of (i) written determination by a physician selected by the Company and reasonably agreed to by Employee that Employee has been unable to perform substantially Employee's usual and customary duties under this Agreement for a period of at least one hundred twenty (120) consecutive days or a non-consecutive period of one hundred eighty (180) days during any twelve (12) month period as a result of incapacity due to mental or physical illness or disease; and (ii) "disability" as such term is defined in the Company's long-term disability insurance plan, or the long-term disability insurance plan of any successor to the Company, as applicable. At any time and from time to time, upon reasonable request therefor by the Company, Employee will submit to reasonable medical examination for the purpose of determining the existence, nature and extent of any such disability. Any physician selected by the Company will be Board Certified in the appropriate field, will have no actual or potential conflict of interest, and may not be a physician who has been retained by the Company for any purpose within the prior three years.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)"**<u>Good Reason</u>**" shall mean means the occurrence of any of the following without Employee's written consent: (a) a material reduction in Employee's Base Salary; provided, however, that the Company may decrease Employee's Base Salary at any time and from time to time so long as such decreases do not exceed, in the aggregate, more than ten percent (10%) of Employee's Base Salary and such decreases are part of similar reductions applicable to the Company's similarly situated executive officers and, for the avoidance of doubt, such decrease shall not constitute Good Reason; (b) a permanent relocation of Employee's principal place of employment that results in an increase of more than thirty (30) miles in the distance between Employee's principal residence at the time of such relocation and Employee's principal place of employment; (c) any material breach by the Company of any material provision of this Agreement; (d) the Company's failure to obtain an agreement from any successor to the Company to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform if no succession had

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taken place, except where such assumption occurs by operation of law; or (e) a material diminution in the nature or scope of the Employee's authority or responsibilities from those applicable to Employee as of the Effective Date (or as modified thereafter consistent with this Agreement). Employee cannot terminate Employee's employment for "Good Reason" unless Employee has provided written notice to the Company of the existence of the circumstances providing grounds for termination for Good Reason within ninety (90) days of the initial existence of such grounds and the Company has had at least thirty (30) days from the date on which such notice is provided to cure such circumstances. If Employee does not deliver a notice of termination for "Good Reason" within thirty (30) days after such cure period, then Employee will be deemed to have waived Employee's right to terminate for "Good Reason."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)"**<u>Intellectual Property</u>**" will mean all ideas, inventions, discoveries, processes, designs, methods, substances, articles, computer programs and improvements (including, without limitation, enhancements to, or further interpretation or processing of, information that was in the possession of Employee prior to the date of this Agreement), whether or not patentable or copyrightable, which do not fall within the definition of Business Opportunities, which Employee discovers, conceives, invents, creates or develops, alone or with others, during the Term, if such discovery, conception, invention, creation or development (a) occurs in the course of Employee's employment with the Company, or (b) occurs with the use of any of the time, materials or facilities of the Company or its direct or indirect subsidiaries, or (c) in the good faith judgment of the President or Chief Executive Officer, relates or pertains in any material way to the purposes, activities or affairs of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)"**<u>Qualifying Termination</u>**" shall mean a termination of Employee's employment with the Company (and all members of the Company Group) by the Company or any member of the Company Group without Cause (and not as a result of Employee's death or Disability).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)<u>"</u>**<u>Sale of the Company</u>**<u>" means the first to occur of:</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the "**<u>Exchange Act</u>**")) (a "**<u>Person</u>**") of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 50% or more of either (i) the then-outstanding equity interests of Berry Corporation (the "**<u>Outstanding Company Equity</u>**<u>")</u> or (ii) the combined voting power of the then-outstanding voting securities of Berry Corporation entitled to vote generally in the election of directors (the "**<u>Outstanding Company Voting Securities</u>**"); provided, however, that, for purposes of this Agreement, the following acquisitions will not constitute a Sale of the Company: (A) any acquisition directly from Berry Corporation, (B) any acquisition by Berry Corporation, (C) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any affiliated company, or (4) any acquisition by any corporation or other entity pursuant to a transaction that complies with the provisions of section (iii)(c) below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Any time at which individuals who, as of the date hereof, constitute the Board (the "**<u>Incumbent Board</u>**") cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the date hereof whose election, or nomination for election by Berry Corporation's stockholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board will be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened

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solicitation of proxies or consents by or on behalf of a Person other than the Incumbent Board; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Consummation of (a) a reorganization, merger, statutory share exchange or consolidation or similar corporate transaction involving Berry Corporation or any of its subsidiaries, (b) a sale or other disposition of assets of Berry Corporation that have a total gross fair market value (i.e., determined without regard to any liabilities associated with such assets) equal to or more than 75% of the total gross fair market value of all of the assets of Berry Corporation immediately prior to such sale or other disposition, or (c) the acquisition of assets or equity interests of another entity by Berry Corporation or any of its subsidiaries (each, a "**<u>Business Combination</u>**"), in each case unless, following such Business Combination, (A) all or substantially all of the individuals and entities that were the beneficial owners of the Outstanding Company Equity and the Outstanding Company Voting Securities immediately prior to such Business Combination beneficially own, directly or indirectly, more than 50% of the then-outstanding equity interests and the combined voting power of the then-outstanding voting securities entitled to vote generally in the election of directors, or equivalent body, of the entity resulting from such Business Combination (including, without limitation, a corporation or other entity that, as a result of such transaction, owns Berry Corporation or all or substantially all of Berry Corporation's assets either directly or through one or more subsidiaries) in substantially the same proportions as their ownership immediately prior to such Business Combination of the Outstanding Company Equity and the Outstanding Company Voting Securities, (B) no Person (excluding any entity resulting from such Business Combination or any employee benefit plan (or related trust) of Berry Corporation or such other entity resulting from such Business Combination) beneficially owns, directly or indirectly, 50% or more of, respectively, the then-outstanding equity interests of the entity resulting from such Business Combination or the combined voting power of the then-outstanding voting securities of such entity, except to the extent that such ownership existed prior to the Business Combination, and (C) at least a majority of the members of the board of directors of the corporation or equivalent body of any other entity resulting from such Business Combination were members of the Incumbent Board at the time of the execution of the initial agreement or of the action of the Board providing for such Business Combination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)"**<u>Termination Date</u>**" shall mean the date Employee's employment with the Company terminates such that, as a result of such termination, Employee is no longer employed by any member of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.**<u>Term of Agreement</u>**. The term of this Agreement will be for a period of one (1) year (the "**<u>Initial Term</u>**"), commencing on the Effective Date. On each anniversary of the Effective Date (each a "**<u>Term Extension Date</u>**"), the term of this Agreement will automatically, without further action by Employee or the Company, be extended for one (1) year; provided, however, that either Employee or the Company may, by written notice to the other given not less than sixty (60) days prior to the then-applicable Term Extension Date, cause the term of this Agreement to cease to extend automatically, in which case the term of this Agreement shall automatically terminate upon the next Term Extension Date. The term of this Agreement is hereafter referred to as the "**<u>Term</u>**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.**<u>Compensation Upon Termination</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Termination Generally</u>. If Employee's employment hereunder terminates for any reason other than as described in <u>Section 3(b)</u> below, then all compensation and all benefits to Employee hereunder will terminate contemporaneously with such termination of employment, except that Employee will be entitled to entitled to (the following clauses (i)

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through (iii), collectively, the "**<u>Accrued Rights</u>**"): (i) payment of all accrued and unpaid Base Salary to the Termination Date, (ii) reimbursement for all incurred but unreimbursed expenses for which Employee is entitled to reimbursement pursuant to the Company's expense reimbursement policy, and (iii) payment for all then-existing accrued, unused vacation and other benefits to which Employee is entitled under the terms of any applicable benefit plan or program of the Company or an affiliate. The Accrued Rights shall be paid to Employee on the Company's first regularly scheduled pay date that is on or after the Termination Date. Any other amounts or benefits that may become due or owing to Employee upon a termination of employment pursuant to the Company's compensation or benefit plans shall be paid pursuant to the governing documents for such payments or benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Qualifying Termination and Change in Control Qualifying Termination</u>. In the event of Employee's Qualifying Termination or Change in Control Qualifying Termination, then all compensation and all benefits to Employee will terminate contemporaneously with such termination of employment, except that Employee will be entitled to receive the Accrued Rights, which will be paid or provided (as applicable) to Employee at such time as provided in <u>Section 3(a)</u>, and, subject to <u>Section 3(c)</u>, the severance benefits (the "**<u>Severance Benefits</u>**") set forth in clauses <u>(i)</u> through <u>(iv)</u> below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Unpaid Prior Year Annual Incentive Bonus*. The Company will pay Employee any earned but unpaid Annual Incentive Bonus for the calendar year ending prior to the Termination Date. This amount will be payable to Employee (assuming the applicable performance goals were achieved and all other terms were satisfied for the amount to become due and payable) in a lump sum on or before the later to occur of (i) the date such annual bonuses are paid to employees who have continued employment with the Company, or (ii) the date that is 60 days following the Termination Date (or, if earlier, March 15th of the calendar year following the calendar year in which the Termination Date occurs).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*Prorated Current Year Annual Incentive Bonus*. The Company will pay Employee a bonus for the calendar year in which the Termination Date occurs in an amount measured by reference to the Annual Incentive Bonus that would have become payable to Employee for such year and based on the Company's actual performance for such year, and prorated through and including the Termination Date (based on the ratio of the number of days Employee was employed by the Company during such year to the number of days in such year). This amount will be payable to Employee in a lump sum on or before the later to occur of (i) the date such annual bonuses are paid to employees who have continued employment with the Company, or (ii) the date that is sixty (60) days following the Termination Date (or, if earlier, March 15th of the calendar year following the calendar year in which the Termination Date occurs).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)*Severance Payment*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)In the event of Employee's Qualifying Termination, Employee will be entitled to receive an amount equal to Employee's Base Salary as of the date immediately preceding the Termination Date. Such amount shall be paid by the Company to Employee in twelve (12) substantially equal monthly installments beginning on the Company's first regularly scheduled pay date that is on or after the date that the Release (as defined below) becomes effective and irrevocable (the "**<u>Payment Date</u>**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)In the event of a Change in Control Qualifying Termination, Employee will be entitled to receive an amount equal to two (2) times the sum of (i) the amount equal to Employee's Base Salary as of the date

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immediately preceding the Termination Date (or, if Employee terminates for Good Reason, the amount equal to Employee's Base Salary before the reduction giving rise to Good Reason) and (ii) the target amount of Employee's Annual Incentive Bonus (at the higher of the rates in effect immediately prior to the Sale of the Company) for the year in which such termination occurs. Such amount shall be paid by the Company to Employee in a lump sum on the Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)*COBRA Reimbursement*. In the event of a Change in Control Qualifying Termination, if Employee timely and properly elects continuation coverage under the Consolidated Omnibus Reconciliation Act of 1985 ("**<u>COBRA</u>**"), the Company shall reimburse Employee for the monthly COBRA premium paid by Employee for Employee and Employee's dependents. Any such reimbursement for the period prior to the Payment Date shall be paid to Employee in a lump sum on the Payment Date and any reimbursement for any month (or portion thereof) on and after the Payment Date shall be paid to Employee on the tenth (10th) day of the month immediately following the month in which Employee timely remits the premium payment and provides evidence of such payment to the Company. Employee shall be eligible to receive such reimbursement until the earliest of: (i) the 12- month anniversary of the Termination Date; (ii) the date Employee is no longer eligible to receive COBRA continuation coverage; and (iii) the date on which Employee becomes eligible to receive substantially similar coverage from another employer (which date shall be promptly reported to the Company by Employee); provided, however, that the election of COBRA continuation coverage and the payment of any premiums due with respect to such COBRA continuation coverage shall remain Employee's sole responsibility, and the Company shall not assume any obligation for payment of any such premiums. Notwithstanding the foregoing, if the provision of the benefits described in this paragraph cannot be provided in the manner described above without penalty, tax or other adverse impact on the Company or any other member of the Company Group, then the Company and Employee agree to reform this <u>Section 3(b)(iv)</u> in a manner as is necessary to avoid such adverse impact on the Company or any other member of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)*Release Requirement; Continuing Obligations*. Any obligation of the Company to pay any amount set forth in <u>Section 3(b)(ii) or (iii)</u> is conditioned upon, and the timing of which such amounts (if any) are and become payable is subject to, Employee: (i) timely signing and returning to the Company (and not revoking within any time provided by the Company to do so), in the time provided by the Company to do so, a release of claims in favor of the Company, its affiliates and their respective officers and directors in a form substantially similar to that attached as Exhibit A to this Agreement (the "**<u>Release</u>**"), that is delivered to Employee no later than five (5) business days following the Termination Date, and (ii) Employee's continued compliance with the terms of this Agreement that survive termination of Employee's employment, including, without limitation, the provisions of <u>Section 4</u> below. If, following a termination of employment that gives Employee a right to Severance Benefits under <u>Section 3(b)(ii) or (iii)</u>, Employee violates in any provision of <u>Section 4</u> of this Agreement or otherwise violates terms of the Release, Employee will have no further right or claim to any payments or other benefits to which Employee may otherwise be entitled under <u>Section 3(b)(ii) or (iii)</u> from and after the date on which Employee engages in such activities and the Company will have no further obligations with respect to such payments or benefits, and <u>Section 4</u> of this Agreement will nevertheless continue in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.**<u>Restrictive Covenants.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Confidential Information.</u> 

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Confidentiality*. Employee hereby acknowledges that in connection with Employee's employment by the Company he will be exposed to and may obtain certain Confidential Information (as defined below) (including, without limitation, procedures, memoranda, notes, records and customer and supplier lists whether such information has been or is made, developed or compiled by Employee or otherwise has been or is made available to Employee) regarding the business and operations of the Company or any other member of the Company Group. Employee further acknowledges that such Confidential Information is unique, valuable, considered trade secrets and deemed proprietary by the Company Group. For purposes of this Agreement, "**<u>Confidential Information</u>**" includes, without limitation, any information heretofore or hereafter acquired, developed or used by any member of the Company Group relating to Business Opportunities or Intellectual Property or other geological, geophysical, economic, financial or management aspects of the business, operations, properties or prospects of the members of the Company Group, whether oral or in written form Employee agrees that all Confidential Information is and will remain the property of the Company Group. Employee further agrees, except for disclosures occurring in the good faith performance of Employee's duties for the Company, Employee will, for the duration of the Term, hold in the strictest confidence all Confidential Information, and will not, during the Term and for a period of five years after the Termination Date, directly or indirectly, duplicate, sell, use, lease, commercialize, disclose or otherwise divulge to any person or entity any portion of the Confidential Information or use any Confidential Information, directly or indirectly, for Employee's own benefit or profit or allow any person, entity or third party, other than the Company or other member of the Company Group and authorized employees of the same, to use or otherwise gain access to any Confidential Information. Employee will have no obligation under this Agreement with respect to any information that becomes generally available to the public other than as a result of a disclosure by Employee or Employee's agent or other representative or becomes available to Employee on a non-confidential basis from a source other than a member of the Company Group. Further, Employee will have no obligation under this Agreement to keep confidential any of the Confidential Information to the extent that a disclosure of it is required by law or is consented to by the Company, provided, however, that if and when such a disclosure is required by law, Employee promptly will provide the Company with notice of such requirement, so that the Company may seek an appropriate protective order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*SEC Provisions*. Employee understands that nothing contained in this Agreement limits Employee's ability to file a charge or complaint with the Securities and Exchange Commission ("**<u>SEC</u>**"). Employee further understands that this Agreement does not limit Employee's ability to communicate with the SEC or otherwise participate in any investigation or proceeding that may be conducted by the SEC, including providing documents or other information, without notice to the Company. This Agreement does not limit Employee's right to receive an award for information provided to the SEC. This Section 4(a)(ii) applies only for the period of time that the Company is subject to the Dodd-Frank Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)*Trade Secrets.* The parties specifically acknowledge that 18 U.S.C. § 1833(b) provides "An individual will not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that is made—(A) in confidence to a Federal, State, or local government official, either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation of law; or is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal." Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create liability for disclosures of trade secrets that arc expressly allowed by 18 U.S.C. § 1833(b). Accordingly, notwithstanding anything to

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the contrary in the foregoing, the parties to this Agreement have the right to disclose in confidence trade secrets to federal, state, and local government officials, or to an attorney, for the sole purpose of reporting or investigating a suspected violation of law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Return of Property</u>. Employee agrees to deliver promptly to the Company, upon termination of Employee's employment, or at any other time when the Company so requests, all documents in Employee's possession relating to the business of the Company Group, including without limitation, all geological and geophysical reports and related data such as maps, charts, logs, seismographs, seismic records and other reports and related data, calculations, summaries, memoranda and opinions relating to the foregoing, production records, electric logs, core data, pressure data, lease files, well files and records, land files, abstracts, title opinions, title or curative matters, contract files, notes, records, drawings, manuals correspondence, financial and accounting information, customer lists, statistical data and compilations, patents, copyrights, trademarks, trade names, inventions, formulae, methods, processes, agreements, contracts, manuals or any documents relating to the business of the Company Group and all copies thereof and therefrom; provided, however, that Employee will be permitted to retain copies of any documents or materials of a personal nature or otherwise related to Employee's rights under this Agreement, copies of this Agreement and any attendant or ancillary documents specifically including any documents referenced in this Agreement and copies of any documents related to Employee's equity-based incentive awards or other compensation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)<u>Non-Solicitation</u>. During the Term and for a period of twelve (12) months after the Termination Date, Employee agrees and covenants that Employee will not, whether for Employee's own account or for the account of any other person (other than a member of the Company Group), intentionally solicit, hire, recruit, attempt to hire or recruit, or induce the termination of employment or service of any employee or other service provider of Company Group (including any independent sales representatives), or solicit contact (including but not limited to e-mail, regular mail, express mail, telephone, fax, and instant message), attempt to contact, or meet with the Company's current, former or prospective clients, vendors or customers for purposes of offering or accepting goods at services similar to or competitive with those offered by the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)<u>Non-Disparagement</u>. Employee represents covenants and agrees that Employee will not at any time during the Term or after the Termination Date, through any medium, either orally or in writing, including, but not limited to, electronic mail, television or radio, computer networks or internet bulletin boards, blogs, social media, such as Facebook, LinkedIn, or Twitter, or any other form of communication, disparage, defame, impugn, damage or assail the reputation, or cause or lend to cause the recipient of a communication to question the business condition, integrity, competence, good character, professionalism, or business practices of any member of the Company Group or any of their respective stockholders, directors, officers, employees, as applicable, except as required by law re pursuant to a court order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)<u>Assignment of Developments</u>. Employee assigns and agrees to assign without further compensation to the Company and its successors, assigns or designees, all of Employee's right, title and interest in and to all Business Opportunities and Intellectual Property, and further acknowledges, and agrees that all Business Opportunities and Intellectual Property constitute the exclusive property of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.**<u>Withholdings; Deductions</u>**. The Company may withhold and deduct from any benefits and payments made or to be made pursuant to this Agreement (a) all federal, state, local and other taxes as may be required pursuant to any law or governmental regulation or ruling and (b) any deductions consented to in writing by Employee.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.**<u>Title and Headings; Construction</u>**. Titles and headings to Sections hereof are for the purpose of reference only and shall in no way limit, define or otherwise affect the provisions hereof. Any and all Exhibits or Attachments referred to in this Agreement are, by such reference, incorporated herein and made a part hereof for all purposes. Unless the context requires otherwise, all references to laws, regulations, contracts, agreements and instruments refer to such laws, regulations, contracts, agreements and instruments as they may be amended from time to time, and references to particular provisions of laws or regulations include a reference to the corresponding provisions of any succeeding law or regulation. All references to "dollars" or "$" in this Agreement refer to United States dollars. The word "or" is not exclusive. The words "herein", "hereof", "hereunder" and other compounds of the word "here" shall refer to the entire Agreement, including all Exhibits attached hereto, and not to any particular provision hereof. Wherever the context so requires, the masculine gender includes the feminine or neuter, and the singular number includes the plural and conversely. All references to "including" shall be construed as meaning "including without limitation." Neither this Agreement nor any uncertainty or ambiguity herein shall be construed or resolved against any party hereto, whether under any rule of construction or otherwise. On the contrary, this Agreement has been reviewed by each of the parties hereto and shall be construed and interpreted according to the ordinary meaning of the words used so as to fairly accomplish the purposes and intentions of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.**<u>At-Will Employment</u>**. This Agreement is not an employment contract for any particular term and nothing herein alters the at-will nature of Employee's employment with the Company, as Employee or the Company (and, if Employee becomes employed by any other member of the Company Group, any other member of the Company Group) may terminate the employment relationship at any time and for any reason not prohibited by applicable law or no reason at all.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.**<u>Applicable Law; Submission to Jurisdiction</u>**. This Agreement shall in all respects be construed according to the laws of the State of Texas without regard to its conflict of laws principles that would result in the application of the laws of another jurisdiction. With respect to any claim or dispute related to or arising under this Agreement, the parties hereby consent to the exclusive jurisdiction, forum and venue of the state and federal courts (as applicable) located in Dallas County, Texas.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.**<u>Entire Agreement and Amendment</u>**. This Agreement contains the entire agreement of the parties with respect to the matters covered herein and supersedes all prior and contemporaneous agreements and understandings, oral or written, between the parties hereto concerning the subject matter hereof. This Agreement may be amended only by a written instrument executed by both parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.**<u>Waiver of Breach</u>**. Any waiver of this Agreement must be executed by the party to be bound by such waiver. No waiver by either party hereto of a breach of any provision of this Agreement by the other party, or of compliance with any condition or provision of this Agreement to be performed by such other party, will operate or be construed as a waiver of any subsequent breach by such other party or any similar or dissimilar provision or condition at the same or any subsequent time. The failure of either party hereto to take any action by reason of any breach will not deprive such party of the right to take action at any time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.**<u>Assignment</u>**. This Agreement and the rights and obligations hereunder, may not be assigned by the Company, Berry Corporation or the Employee without a written consent signed by all other parties, which consent shall not be unreasonably withheld, delayed or conditioned; *provided*, *however*, that (a) the Company and Berry Corporation may assign this Agreement without Employee's consent to any member of the Company Group so long as, following such assignment, either the Company or Berry Corporation remains a guarantor of the

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Company's obligations under this Agreement and (b) the Company shall cause this Agreement to be assumed by any successor that continues the business of the Company, including any person or entity that acquires all or substantially all of the assets of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.**<u>Notices</u>**. Notices provided for in this Agreement shall be in writing and shall be deemed to have been duly received (a) when delivered in person, (b) on the first business day after such notice is sent by express overnight courier service, or (c) on the second business day following deposit with an internationally-recognized second-day courier service with proof of receipt maintained, in each case, to the following address, as applicable:

**If to the Company, addressed to:**

&nbsp;&nbsp;&nbsp;&nbsp;Berry Petroleum Company, LLC<br>&nbsp;&nbsp;&nbsp;&nbsp;16000 N. Dallas Pkwy, Suite 500

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dallas, Texas 75248<br> Attn: Human Resources

&nbsp;&nbsp;&nbsp;&nbsp;**If to Berry Corporation, addressed to:** 

**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Berry Corporation (bry) <br>&nbsp;&nbsp;&nbsp;&nbsp; 16000 N. Dallas Pkwy, Suite 500

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dallas, Texas 75248<br> Attn: Human Resources

**If to Employee,** addressed to Employee's last known address on file with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.**<u>Counterparts</u>**. This Agreement may be executed in any number of counterparts, including by electronic mail or facsimile, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute one and the same instrument. Each counterpart may consist of a copy hereof containing multiple signature pages, each signed by one party, but together signed by both parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.**<u>Deemed Resignations</u>**. Except as otherwise determined by the Board or as otherwise agreed to in writing by Employee and any member of the Company Group prior to the termination of Employee's employment with the Company or any member of the Company Group, any termination of Employee's employment shall constitute, as applicable, an automatic resignation of Employee: (a) as an officer of the Company and each member of the Company Group; (b) from the Board; and (c) from the board of directors or board of managers (or similar governing body) of any member of the Company Group and from the board of directors or board of managers (or similar governing body) of any corporation, limited liability entity, unlimited liability entity or other entity in which any member of the Company Group holds an equity interest and with respect to which board of directors or board of managers (or similar governing body) Employee serves as such Company Group member's designee or other representative.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.**<u>Section 409A</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Notwithstanding any provision of this Agreement to the contrary, all provisions of this Agreement are intended to comply with Section 409A of the Internal Revenue Code of 1986, as amended (the "***Code***"), and the applicable Treasury regulations and administrative guidance issued thereunder (collectively, "**<u>Section 409A</u>**") or an exemption therefrom and shall be construed and administered in accordance with such intent. Any payments

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under this Agreement that may be excluded from Section 409A either as separation pay due to an involuntary separation from service or as a short-term deferral shall be excluded from Section 409A to the maximum extent possible. For purposes of Section 409A, each installment payment provided under this Agreement shall be treated as a separate payment. Any payments to be made under this Agreement upon a termination of Employee's employment shall only be made if such termination of employment constitutes a "separation from service" under Section 409A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)To the extent that any right to reimbursement of expenses or payment of any benefit in-kind under this Agreement constitutes nonqualified deferred compensation (within the meaning of Section 409A), (i) any such expense reimbursement shall be made by the Company no later than the last day of Employee's taxable year following the taxable year in which such expense was incurred by Employee, (ii) the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, and (iii) the amount of expenses eligible for reimbursement or in-kind benefits provided during any taxable year shall not affect the expenses eligible for reimbursement or in-kind benefits to be provided in any other taxable year; *provided*, that the foregoing clause shall not be violated with regard to expenses reimbursed under any arrangement covered by Section 105(b) of the Code solely because such expenses are subject to a limit related to the period in which the arrangement is in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Notwithstanding any provision in this Agreement to the contrary, if any payment or benefit provided for herein would be subject to additional taxes and interest under Section 409A if Employee's receipt of such payment or benefit is not delayed until the earlier of (i) the date of Employee's death or (ii) the date that is six months after the Termination Date (such date, the "**<u>Section 409A Payment Date</u>**"), then such payment or benefit shall not be provided to Employee (or Employee's estate, if applicable) until the Section 409A Payment Date. Notwithstanding the foregoing, the Company makes no representations that the payments and benefits provided under this Agreement are exempt from, or compliant with, Section 409A and in no event shall any member of the Company Group be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by Employee on account of non-compliance with Section 409A.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.**<u>Clawback</u>**. To the extent required by applicable law or any applicable securities exchange listing standards, or as otherwise determined by the Board (or a committee thereof), amounts paid or payable under this Agreement shall be subject to the provisions of any applicable clawback policies or procedures adopted by the Company, which clawback policies or procedures may provide for forfeiture and/or recoupment of amounts paid or payable under this Agreement. Notwithstanding any provision of this Agreement to the contrary, the Company reserves the right, without the consent of Employee, to adopt any such clawback policies and procedures, including such policies and procedures applicable to this Agreement with retroactive effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.**<u>Severability</u>**. If an arbitrator or court of competent jurisdiction determines that any provision of this Agreement (or portion thereof) is invalid or unenforceable, then the invalidity or unenforceability of that provision (or portion thereof) shall not affect the validity or enforceability of any other provision of this Agreement, and all other provisions shall remain in full force and effect.

[Remainder of Page Intentionally Blank;<br>Signature Page Follows]

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**IN WITNESS WHEREOF,** Employee and the Company each have caused this Agreement to be executed and effective as of the Effective Date.

**EMPLOYEE**

/s/ Jenarae Garland

<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

Jenarae Garland

**BERRY PETROLEUM COMPANY, LLC**

&nbsp;&nbsp;&nbsp;&nbsp;By:&nbsp;&nbsp;&nbsp;&nbsp;![dhsig.jpg](dhsig.jpg)<br> Name:&nbsp;&nbsp;&nbsp;&nbsp;Danielle Hunter

&nbsp;&nbsp;&nbsp;&nbsp;Title:&nbsp;&nbsp;&nbsp;&nbsp;President

Signature Page to

Key Employee Agreement

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**EXHIBIT A**

**FORM OF RELEASE AGREEMENT**

THIS RELEASE AGREEMENT (this "**<u>Agreement</u>**") is made by and between Jenarae Garland (the "**<u>Employee</u>**") and Berry Petroleum Company, LLC, a Delaware limited liability company (the "**<u>Company</u>**"). This Agreement will become effective, enforceable and irrevocable on the eighth day after the date on which it is executed by the Employee (the "**<u>Effective Date</u>**"). This Agreement is that Release referenced in that certain Key Employee Agreement, dated [●], 2025, by and among the Company, Berry Corporation (bry) ("**<u>Berry Corporation</u>**") and the Employee (the "**<u>Key Employee Agreement</u>**"). Capitalized terms used but not defined herein shall have the meaning provided to such terms in the Key Employee Agreement.

WHEREAS, the Company employed the Employee as [TITLE] and the Employee and the Employee's employment relationship with the Company terminated effective as of [TERMINATION DATE] the "**<u>Termination Date</u>**"; and

WHEREAS, the parties desire to set forth each of their rights and obligations regarding the termination of the Employee's employment with the Company in this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants and conditions in the Agreement and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties, intending to be legally bound hereby, agree as follows:

1.**<u>Termination of Employment</u>**. Subject to the provisions of <u>Section 2</u>, the parties hereby agree that the Employee's employment with the Company terminated on the Termination Date and, as of the Termination Date, the Employee was no longer employed or engaged by the Company or any of its subsidiaries or other affiliates. The Employee acknowledges and agrees that, as of the Termination Date, the Employee is deemed to have automatically resigned as, to the extent applicable: (a) as an officer of the Company and each member of the Company Group; (b) from the Board; and (c) from the board of directors or board of managers (or similar governing body) of any member of the Company Group and from the board of directors or board of managers (or similar governing body) of any corporation, limited liability entity, unlimited liability entity or other entity in which any member of the Company Group holds an equity interest and with respect to which board of directors or board of managers (or similar governing body) the Employee serves as such Company Group member's designee or other representative.

2.**<u>Severance Benefits</u>**. Subject to Employee's fulfillment of the obligations in this Agreement, the Company will pay or provide the Employee with the Severance Benefits, in the manner and as defined under the Key Employee Agreement. The Severance Benefits will not be treated as compensation under the Company's 401(k) Plan or any other benefit or retirement plan. The Employee shall not be entitled to any additional or future salary or other compensation or severance benefits under any plan or program established by the Company or any of its affiliates, other than the Severance Benefits. The Employee expressly acknowledges and agrees that the Employee has received all leaves (paid and unpaid) to which the Employee has been entitled during the Employee's employment with the Company or any other Released Party, and

Exhibit A

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the Employee has received all wages, bonuses and other compensation, been provided all benefits, and been afforded all rights and been paid all sums, that the Employee has been owed by the Company or any other Released Party as of the date that the Employee signs this Agreement, other than the Severance Benefits.

3.**<u>Outstanding Liabilities</u>**. Any liabilities the Employee may have to the Company or its affiliates, including, without limitation, any outstanding loans or advances by the Company and any liabilities to reimburse the Company for any personal expenses that the Employee has charged to the Company, must be paid in full before payment of any Severance Benefits. Further, the Employee expressly authorizes the Company to deduct any such amounts from any payment to be made to the Employee under this Agreement, to the extent permitted by applicable law.

4.**<u>General Release and Waiver</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;In consideration of receipt of the payments and other consideration provided for in this Agreement and the Key Employee Agreement, that being good and valuable consideration, the receipt, adequacy and sufficiency of which are acknowledged by the Employee, the Employee, on the Employee's own behalf and on behalf of the Employee's agents, administrators, representatives, executors, successors, heirs, dependents, devisees and assigns (collectively, the "**<u>Releasing Parties</u>**") hereby fully releases, holds harmless, remises, acquits and forever discharges the Company, Berry Corporation and all of their respective affiliates, and each of the foregoing entities' respective past, present and future officers, directors, shareholders, members, managers, partners, agents, employees, consultants, independent contractors, attorneys, advisers, successors and assigns (collectively, the "**<u>Released Parties</u>**"), jointly and severally, from any and all claims, rights, demands, debts, obligations, losses, causes of action, suits, controversies, setoffs, counterclaims, third party actions, damages, penalties, costs, expenses, attorneys' fees, liabilities and indemnities of any kind or nature whatsoever (collectively, the "**<u>Claims</u>**"), whether known or unknown, suspected or unsuspected, accrued or unaccrued, whether at law, equity, administrative, statutory or otherwise, and whether for injunctive relief, back pay, fringe benefits, reinstatement, reemployment, or compensatory, punitive or any other kind of damages, which any of the Releasing Parties have ever had in the past or presently have against any of the Released Parties, and each of them, up to and including the date that the Employee signs this Agreement, including all such Claims arising from or relating to the Employee's employment with the Company or its affiliates or the termination of that employment or any circumstances related thereto, or any other matter, cause or thing whatsoever, including all claims arising under or relating to employment, employment contracts (including any employment agreements), employee benefits or purported employment discrimination (of any kind) or harassment or violations of civil rights of whatever kind or nature, including: (i) all Claims arising under the Age Discrimination in Employment Act ("**<u>ADEA</u>**"), the Americans with Disabilities Act of 1990, the Family and Medical Leave Act of 1993, the Equal Pay Act of 1963, the Rehabilitation Act of 1973, Title VII of the United States Civil Rights Act of 1964, 42 U.S.C. § 1981, the Civil Rights Act of 1991, the Civil Rights Acts of 1866 and/or 1871, the Employee Retirement Income Security Act of 1974 ("**<u>ERISA</u>**"), the WARN Act and state equivalents, the Sarbanes-Oxley Act of 2002, under federal, state,

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municipal or local anti-discrimination or anti-retaliation law, any federal, state, municipal or local wage and hour law, or any other local, municipal, state, or federal law, regulation or ordinance, (ii) all Claims arising under any public policy, or any contract, tort, or common law Claim, including Claims for breach of fiduciary duty, fraud, breach of implied or express contract, breach of implied covenant of good faith and fair dealing, wrongful discharge or termination, promissory estoppel, infliction of emotional distress, or tortious interference; (iii) any allegation for costs, fees, or other expenses including attorneys' fees incurred in, or with respect to, any Claim; or (iv) any Claim, whether direct or derivative, arising from, or relating to, the Employee's status as a member or holder of any equity or other interests in the Company, the Berry Corporation, or any other Released Party. The Employee further agrees that the Employee will not file or permit to be filed on the Employee's behalf any such Claim. Notwithstanding the preceding sentence or any other provision of this Agreement, this release is not intended to interfere with the Employee's right to file a charge with government agencies such as the Equal Employment Opportunity Commission (the "**<u>EEOC</u>**"), the National Labor Relations Board, or the Securities and Exchange Commission in connection with any claim the Employee believes it may have against the Company or its affiliates. However, by executing this Agreement, the Employee hereby waives the right to recover from any Released Party in any proceeding the Employee may bring before such agency, including the EEOC or any state human rights commission or in any proceeding brought by the EEOC or any state human rights commission on the Employee's behalf. Nothing herein prevents the Employee from receiving an award for information provided to a governmental agency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;This Agreement is not intended to or shall prevent, impede or interfere with Employee's non-waivable right, without prior notice to the Company, to provide information to the government, participate in investigations, file a complaint, testify in proceedings regarding the Company's past or future conduct, or to receive or fully retain a monetary award from a government administered whistleblower program for providing information directly to a government agency. Further, the Claims released herein do not include (i) any rights or claims that may first arise after the time that the Employee executes this Agreement; or (ii) any claim to vested benefits under an employee benefit plan that is subject to ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &nbsp;&nbsp;&nbsp;&nbsp;This release shall not apply to any obligation of the Company or its affiliates pursuant to this Agreement, or any vested benefit to which the Employee is entitled under any tax qualified pension plan of the Company or its affiliates, COBRA continuation coverage benefits or any other similar benefits required to be provided by statute.

5.**<u>Certain Forfeitures in Event of Breach</u>**. The Employee acknowledges and agrees that, notwithstanding any other provision of this Agreement, in the event the Employee breaches any of the Employee's obligations under this Agreement or if the Employee breaches the Restrictive Covenants set forth in Section 4 of the Key Employee Agreement, the Employee forfeits the right to receive the payments and benefits described in <u>Section 2</u> of this Agreement to the extent not theretofore paid to the Employee as of the date of such breach or ruling and, if already made as of the time of such breach or ruling, the Employee agrees to reimburse the Company, promptly, for the amount of such payments and benefits.

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6.**<u>Cooperation with Proceedings</u>**. The Employee agrees to reasonably cooperate (including attending meetings) with respect to any claim, arbitral hearing, lawsuit, action or governmental, regulatory or internal investigation relating to the business of the Company or its affiliates. The Employee agrees to provide prompt disclosure to the Company in response to any inquiry in connection with any such matters. The Company shall reimburse Employee for all reasonable out-of-pocket expenses incurred by Employee in connection with this <u>Section 6</u>.

7.**<u>Entire Agreement</u>**. This Agreement contains the entire agreement between the parties with respect to the Employee's employment with the Company and the termination thereof effective as of the Effective Date and supersedes any and all prior understandings, agreements or correspondence between the parties regarding the Employee's employment with the Company and the termination thereof, except the Key Employee Agreement, which shall expressly survive this Agreement and continue in full force and effect.

8.**<u>Knowing and Voluntary Waiver</u>**. Subject to the provisions of <u>Section 9</u> below, the Employee, by the Employee's free and voluntary act of signing below, acknowledges that (a) the Employee has been given an opportunity to consider whether to agree to the terms contained herein, (b) acknowledges that the Employee understands that this Agreement specifically releases and waives all claims the Employee may have against the Company and the Released Parties (except as otherwise expressly set forth herein), (c) represents that that the Employee has no impairment of any kind which would prevent the Employee from understanding the terms of this Agreement; and (d) agrees to all of the terms of this Agreement and intends to be legally bound thereby.

9.**<u>Return of Property</u>**. The Employee has, to the best of the Employee's knowledge, returned to the Company's Human Resources Department ("**<u>Company HR</u>**"), or will return within seven (7) days of the date on which the Employee signs this Agreement, all equipment and/or property, including all confidential information, computer software, computer access codes, company credit cards, keys, and all original and copies of notes, documents, files or programs stored electronically or otherwise that relate or refer to the business, customers, financial statements, business contacts or sales of the Company, Berry Corporation, or any of their affiliates. The Employee also agrees to return promptly to Company HR any such equipment and/or property subsequently discovered by the Employee.

10.**<u>Right To Consult Attorney And Voluntary Nature Of Agreement</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;[The Employee, by the Employee's free and voluntary act of signing below, (i) acknowledges that the Employee has been given a period of [twenty-one (21)] \| [forty-five (45)] days to consider whether to agree to the terms contained herein, (ii) acknowledges that the Employee has been advised, and is hereby advised in writing, to consult with an attorney prior to executing this Agreement, (iii) acknowledges that the Employee understands that this Agreement specifically releases and waives all rights and claims it may have under the ADEA prior to the date on which the Employee signs this Agreement, and (iv) agrees to all of the terms of this Agreement and intends to be legally bound thereby. The Employee acknowledges that, if the Employee chooses to sign this Agreement prior to the expiration of this [twenty-one (21)] \|

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[forty-five (45)] day period of consideration, the Employee does so voluntarily and waives Employee's right to the remainder of that period.]<sup>1</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;The parties hereto acknowledge and agree that each party has reviewed and negotiated the terms and provisions of this Agreement and has contributed to its preparation and had the opportunity to consult counsel. Accordingly, the rule of construction to the effect that ambiguities are resolved against the drafting party shall not be employed in the interpretation of this Agreement. Rather, the terms of this Agreement shall be construed fairly as to both parties hereto and not in favor of or against either party, regardless of which party generally was responsible for the preparation of this Agreement.

11.**<u>Revocation</u>**. This Agreement will become effective, enforceable and irrevocable on the Effective Date. During the seven-day period prior to the Effective Date, the Employee may revoke the Employee's acceptance of the Agreement by providing written notice to [NAME] at [ADDRESS] personally delivered or deposited in the U.S. Mail before the expiration of the seven-day period. If the Employee exercises the right to revoke hereunder, the Employee shall forfeit the right to receive any of the payments or benefits provided for herein, and to the extent such payments or benefits have already been made, the Employee agrees that the Employee will immediately reimburse the Company for the amounts of such payments and benefits.

12.**<u>Key Employee Agreement</u>**. This Agreement shall be subject to the provisions of Sections 4-6, 8, 10-13 and 15-17 of the Key Employee Agreement, which provisions are hereby incorporated by reference as part of this Agreement.

IN WITNESS WHEREOF, the Company has caused this Agreement to be signed by its duly authorized representative and the Employee has signed this Agreement effective as of the day and year first above written.

**PLEASE READ CAREFULLY AS THIS DOCUMENT INCLUDES A RELEASE OF ALL CLAIMS. THE EMPLOYEE EXPRESSLY ACKNOWLEDGES AND AGREES THAT THIS RELEASE IS INTENDED TO INCLUDE NOT ONLY CLAIMS THAT THE EMPLOYEE KNOWS ABOUT, BUT ALSO THOSE THAT THE EMPLOYEE DOES NOT KNOW OR SUSPECT TO EXIST AS OF THE EFFECTIVE DATE OF THIS AGREEMENT.**

<sup>1</sup> This provision will be removed or modified if Employee is under 40 years old at time of release. Language to be customized at the time of separation depending on the applicable consideration period and disclosures required by the Age Discrimination in Employment Act.

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**EMPLOYEE:**

______________________________&nbsp;&nbsp;&nbsp;&nbsp;Date:&nbsp;&nbsp;&nbsp;&nbsp;__________________

**Berry Petroleum Company, LLC:**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>&nbsp;&nbsp;&nbsp;&nbsp;Date:&nbsp;&nbsp;&nbsp;&nbsp;__________________

Name: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

Title: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 

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**FIRST AMENDMENT TO KEY EMPLOYEE AGREEMENT**

This First Amendment to Key Employee Agreement (this "**<u>Amendment</u>**") is entered into as of August 5, 2025 (the "**<u>Effective Date</u>**") by and between Berry Petroleum Company, LLC, a Delaware limited liability company (the "**<u>Company</u>**"), and Jenarae Garland ("**<u>Employee</u>**"), for the purpose of amending that certain Key Employee Agreement entered into by and between the Company and Employee as of April 14, 2025 (the "**<u>Agreement</u>**"). The Company and Employee are collectively referred to as the "**Parties**." Capitalized terms used but not defined herein shall have the meaning given to them in the Agreement.

**WHEREAS**, pursuant to Section 8 of the Agreement, the Agreement may be amended by a written instrument executed by the Company and Employee; and

**WHEREAS**, consistent with the terms hereof, the Parties desire to amend the Agreement to add certain restrictive covenants and to modify the conditions governing Employee's entitlement to severance.

**NOW, THEREFORE**, in consideration of the foregoing, of the mutual promises herein contained and of other good and valuable consideration, the Parties hereby amend the Agreement as of the Effective Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.Following the Effective Date, the Company will provide Employee with new Confidential Information (as defined below). In consideration of Employee's receipt and access to such Confidential Information, and as a condition of Employee's continued employment following the Effective Date, and in order to protect the Company's legitimate interests, including the preservation of its Confidential Information and goodwill, Employee agrees to the amendment to the Agreement described below. A new Section 4 is hereby inserted immediately after the existing Section 3 as set forth below, and each section, subsection, cross-reference and defined term appearing thereafter in the Agreement is automatically renumbered or conformed, as applicable, to give full effect to this Amendment:

**<u>Restrictive Covenants</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;<u>Confidential Information.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;&nbsp;&nbsp;&nbsp;*Confidentiality*. Employee hereby acknowledges that, in connection with Employee's employment by the Company, Employee will be exposed to and will obtain certain Confidential Information (as defined below) (including, without limitation, procedures, memoranda, notes, records and customer and supplier lists whether such information has been or is made, developed or compiled by Employee or otherwise has been or is made available to Employee) regarding the business and operations of the Company or any other member of the Company Group. Employee further acknowledges that such Confidential Information is unique, valuable, considered

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trade secrets and deemed proprietary by the Company Group. For purposes of this Agreement, "**<u>Confidential Information</u>**" includes, without limitation, any information heretofore or hereafter acquired, developed or used by any member of the Company Group relating to Business Opportunities or Intellectual Property or other geological, geophysical, economic, financial or management aspects of the business, operations, properties or prospects of the members of the Company Group, whether oral or in written form. Employee agrees that all Confidential Information is and will remain the property of the Company Group. Employee further agrees, except for disclosures occurring in the good faith performance of Employee's duties for the Company, Employee will, for the duration of the Term, hold in the strictest confidence all Confidential Information, and will not, during the Term and for a period of five years after the Termination Date, directly or indirectly, duplicate, sell, use, lease, commercialize, disclose or otherwise divulge to any person or entity any portion of the Confidential Information or use any Confidential Information, directly or indirectly, for Employee's own benefit or profit or allow any person, entity or third party, other than the Company or other member of the Company Group and authorized employees of the same, to use or otherwise gain access to any Confidential Information. Employee will have no obligation under this Agreement with respect to any information that becomes generally available to the public other than as a result of a disclosure by Employee or Employee's agent or other representative or becomes available to Employee on a non-confidential basis from a source other than a member of the Company Group. Further, Employee will have no obligation under this Agreement to keep confidential any of the Confidential Information to the extent that a disclosure of it is required by law or is consented to by the Company, provided, however, that if and when such a disclosure is required by law, Employee promptly will provide the Company with notice of such requirement, so that the Company may seek an appropriate protective order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;&nbsp;&nbsp;&nbsp;*SEC Provisions*. Employee understands that nothing contained in this Agreement limits Employee's ability to: (i) file a charge or complaint with the Securities and Exchange Commission ("**<u>SEC</u>**"), (ii) initiate communications with, cooperate with, provide information to, cause information to be provided to, or otherwise assist in any investigation by the SEC or any other governmental agency (including the Department of Justice, Department of Labor, any Inspector General, and any other governmental agency, commission or regulatory authority) regarding a possible violation of any law, or (iii) make any other disclosures that are protected under the whistleblower provisions of any applicable law. Employee further understands that this Agreement does not limit Employee's ability to communicate with the SEC or other governmental agency or otherwise participate in any investigation or proceeding that may be conducted by the SEC or other governmental agency, including providing documents or other information, without notice to the Company or any other member of the Company Group. This Agreement does not limit Employee's right to receive an award for information provided to the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;&nbsp;&nbsp;&nbsp;*Trade Secrets.* The parties specifically acknowledge that 18 U.S.C. § 1833(b) provides "An individual will not be held criminally or civilly liable under any

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Federal or State trade secret law for the disclosure of a trade secret that is made—(A) in confidence to a Federal, State, or local government official, either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation of law; or is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal." Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create liability for disclosures of trade secrets that arc expressly allowed by 18 U.S.C. § 1833(b). Accordingly, notwithstanding anything to the contrary in the foregoing, the parties to this Agreement have the right to disclose in confidence trade secrets to federal, state, and local government officials, or to an attorney, for the sole purpose of reporting or investigating a suspected violation of law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;<u>Return of Property</u>. Employee agrees to deliver promptly to the Company, upon termination of Employee's employment, or at any other time when the Company so requests, all documents in Employee's possession relating to the business of the Company Group, including without limitation, all geological and geophysical reports and related data such as maps, charts, logs, seismographs, seismic records and other reports and related data, calculations, summaries, memoranda and opinions relating to the foregoing, production records, electric logs, core data, pressure data, lease files, well files and records, land files, abstracts, title opinions, title or curative matters, contract files, notes, records, drawings, manuals correspondence, financial and accounting information, customer lists, statistical data and compilations, patents, copyrights, trademarks, trade names, inventions, formulae, methods, processes, agreements, contracts, manuals or any documents relating to the business of the Company Group and all copies thereof and therefrom; provided, however, that Employee will be permitted to retain copies of any documents or materials of a personal nature or otherwise related to Employee's rights under this Agreement, copies of this Agreement and any attendant or ancillary documents specifically including any documents referenced in this Agreement and copies of any documents related to Employee's equity-based incentive awards or other compensation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;<u>Non-Competition</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;&nbsp;&nbsp;&nbsp;*Non-Compete Obligations During the Term*. Employee agrees that, during the Term:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)&nbsp;&nbsp;&nbsp;&nbsp;Employee will not, other than through the Company or Berry Corporation, engage or participate in any manner, whether directly or indirectly as an employee, employer, consultant, agent, principal, partner, more than 1% shareholder, officer, director, licensor, lender, lessor or in any other individual or representative capacity, in any business or activity which is engaged in direct competition anywhere in the United States with the Company, Berry Corporation, or any of their direct or indirect subsidiaries, in leasing, acquiring, exploring, producing, gathering or marketing hydrocarbons and related products; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)&nbsp;&nbsp;&nbsp;&nbsp;Employee will not (directly or indirectly through any family members or other persons) knowingly permit any of Employee's

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controlled affiliates to invest or otherwise participate alongside the Company, Berry Corporation, or their direct or indirect subsidiaries, in any Business Opportunity.

Notwithstanding the foregoing, nothing in this <u>Section 4(c)(i)</u> will be deemed to prohibit Employee from owning, or otherwise having an interest in, less than 3% of any publicly owned entity or 3% or less of any private equity fund or similar investment fund that invests in any business or activity engaged in any of the activities set forth above, provided that Employee has no active role with respect to any investment by such fund in any entity

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;&nbsp;&nbsp;&nbsp;*Non-Compete Obligations After Termination Date*. Employee agrees that some restrictions on Employee's activities after Employee's employment are necessary to protect the goodwill, Confidential Information, and other legitimate interests of the Company, Berry Corporation, and their direct and indirect subsidiaries. The Company has provided and following the Effective Date the Company will provide Employee with access to and knowledge of Confidential Information and will place Employee in a position of trust and confidence with the Company, and Employee will benefit from (and help develop) the Company's goodwill. The restrictive covenants below are necessary to protect the Company's and Berry Corporation's legitimate business interests in their Confidential Information, trade secrets and goodwill. Employee further understands and acknowledges that the Company's and Berry Corporation's ability to reserve these for the exclusive knowledge and use of the Company and Berry Corporation is of great competitive importance and commercial value to the Company and Berry Corporation and that the Company and Berry Corporation would be irreparably harmed if Employee violates the restrictive covenants herein. As a condition of Employee's continued employment hereunder and the continued imparting to Employee of Confidential Information, Employee hereby agrees that Employee will not engage or participate in any manner, whether directly or indirectly as an employee, employer, consultant, agent principal, partner, more than 1% shareholder, officer, director, licensor, lender, lessor, or in any other individual or representative capacity during the two-year period following the Termination Date, in any business or activity which is in direct competition with the business of the Company, Berry Corporation, or their direct or indirect subsidiaries, in each case in the leasing, acquiring, exploring, producing, gathering or marketing of hydrocarbons and related products within the boundaries of, or within a ten-mile radius of the boundaries of, any mineral property interest of any of the Company, Berry Corporation, or their direct or indirect subsidiaries (including, without limitation, a mineral lease, overriding royalty interest, production payment, net profits interest, mineral fee interest or option or right to acquire any of the foregoing, or an area of mutual interest as designated pursuant to contractual agreements between the Company or any direct or indirect subsidiary, and any third party) or any other property on which any of the Company, Berry Corporation, or their direct or indirect subsidiaries has an option, right, license or authority to conduct or direct exploratory activities, such as three-dimensional seismic acquisition or other seismic, geophysical and geochemical activities (but not including any preliminary geological mapping), as of the Termination

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Date or as of the end of the six-month period following such Termination Date; provided, that, nothing in this this <u>Section 4(c)(ii)</u> will be deemed to prohibit Employee from (x) engaging in any business activities within the State of California, or (y) owning, or otherwise having an interest in, less than 3% of any publicly owned entity or 3% or less of any private equity fund or similar investment fund that invests in any business or activity engaged in any of the activities set forth above, provided that Employee has no active role with respect to any investment by such fund in any entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;&nbsp;&nbsp;&nbsp;*Board Permission*. Without limiting this <u>Section 4(c)</u>, Employee may, in Employee's sole discretion, bring proposed activities of a Covered Entity to the attention of the Board and request that the Board review the proposed activities upon full disclosure to the Board of all material facts concerning the proposed activity, and inform the Employee in writing as to whether such proposed activities violate this <u>Section 4(c)</u>. The Board's written determination in this matter shall not be unreasonably withheld and it shall conclusively bind the parties hereto

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;<u>Non-Solicitation</u>. During the Term and for a period of twelve (12) months after the Termination Date, Employee agrees and covenants that Employee will not, whether for Employee's own account or for the account of any other person (other than a member of the Company Group), intentionally: (i) solicit, hire, recruit, attempt to hire or recruit, or induce the termination of employment or service of any employee or other service provider of Company Group (including any independent sales representatives), in each case with the intent to cause such employee or other service provider to cease or lessen such employee's or service provider's employment or engagement with any member of the Company Group, or (ii) solicit contact (including but not limited to e-mail, regular mail, express mail, telephone, fax, and instant message), attempt to contact, or meet with the Company's current, former or prospective clients, vendors or customers for purposes of offering or accepting goods at services similar to or competitive with those offered by the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;&nbsp;&nbsp;&nbsp;<u>Non-Disparagement</u>. Employee represents covenants and agrees that Employee will not at any time during the Term or after the Termination Date, through any medium, either orally or in writing, including, but not limited to, electronic mail, television or radio, computer networks or internet bulletin boards, blogs, social media, such as Facebook, LinkedIn, or Twitter, or any other form of communication, disparage, defame, impugn, damage or assail the reputation, or cause or lend to cause the recipient of a communication to question the business condition, integrity, competence, good character, professionalism, or business practices of any member of the Company Group or any of their respective stockholders, directors, officers, employees, as applicable, except as required by law re pursuant to a court order. Notwithstanding the foregoing, nothing in this Section 4(e) shall prevent Employee from making any truthful statements required by law or legal process or making any statements or engaging in any activity permitted by Section 4(a)(ii) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;&nbsp;&nbsp;&nbsp;<u>Assignment of Developments</u>. Employee agrees to assign and hereby assigns without further compensation to the Company and its successors, assigns or designees, all of Employee's right, title and interest in and to all Business Opportunities and Intellectual

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Property, and further acknowledges, and agrees that all Business Opportunities and Intellectual Property constitute the exclusive property of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;&nbsp;&nbsp;&nbsp;<u>Practice of Law</u>. Notwithstanding the foregoing, nothing in this Section 4 shall be construed or applied in a manner to prevent or restrict Employee from practicing law, as it is the intent of this Section 4 to create certain limitations on Employee's business activities only, and not to create limitations that would restrict Employee from practicing law. Employee acknowledges and agrees that, both before and after the Termination Date, Employee shall be bound by all ethical and professional obligations (including those with respect to conflicts and confidentiality) that arise from Employee's provision of legal services to, and acting as legal counsel for, the Company and (as applicable) the other members of the Company Group.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Section 3(c) of the Agreement is hereby amended and restated in its entirety as set forth below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &nbsp;&nbsp;&nbsp;&nbsp;**<u>Release Requirement; Continuing Obligations</u>**. Any obligation of the Company to pay any amount set forth in <u>Section 3(b)(ii) or (iii)</u> is conditioned upon, and the timing of which such amounts (if any) are and become payable is subject to, Employee: (i) signing and returning to the Company (and not revoking within any time provided by the Company to do so), in the time provided by the Company to do so, a release of claims in favor of the Company, its affiliates and their respective officers and directors in a form substantially similar to that attached as Exhibit A to this Agreement (the "**<u>Release</u>**"), which Release shall be delivered to Employee by the Company no later than five (5) business days following the Termination Date, and (ii) Employee's continued compliance with the terms of this Agreement that survive termination of Employee's employment, including, without limitation, the provisions of <u>Section 4</u> below. If, following a termination of employment that gives Employee a right to Severance Benefits under <u>Section 3(b)(ii) or (iii)</u>, Employee violates any provision of <u>Section 4</u> of this Agreement, Employee will have no further right or claim to any payments or other benefits to which Employee may otherwise be entitled under <u>Section 3(b)(ii) or (iii)</u> from and after the date on which Employee engages in such activities and the Company will have no further obligations with respect to such payments or benefits, and <u>Section 4</u> of this Agreement will nevertheless continue in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.The Parties acknowledge and agree that except as expressly amended by this Amendment, the Agreement shall continue in full force and effect in accordance with the provisions thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The Parties further acknowledge and agree that this Amendment does not alter the at-will employment relationship between the Parties and that Employee's decision to enter into this Amendment is voluntary and knowingly made.

**IN WITNESS WHEREOF,** Employee and the Company each have caused this Agreement to be executed and effective as of the Effective Date.

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**EMPLOYEE**

/s/ Jenarae Garland

<u>__________________________________________</u>

Jenarae Garland

**BERRY PETROLEUM COMPANY, LLC**

&nbsp;&nbsp;&nbsp;&nbsp;By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Danielle Hunter_____________</u><br> Name:&nbsp;&nbsp;&nbsp;&nbsp;Danielle Hunter

&nbsp;&nbsp;&nbsp;&nbsp;Title:&nbsp;&nbsp;&nbsp;&nbsp;President

## Exhibit 10.5

**Exhibit 10.5**

**BERRY CORPORATION** 

**TIME-BASED CASH AWARD AGREEMENT**

<br> \* \* \* \* \*

**Participant**:&nbsp;&nbsp;&nbsp;&nbsp;[ ]

**Grant Date**:&nbsp;&nbsp;&nbsp;&nbsp;[ ]

**Award Amount**:&nbsp;&nbsp;&nbsp;&nbsp;$[ ]

**Vesting Schedule**:&nbsp;&nbsp;&nbsp;&nbsp;See <u>Exhibit A</u>

\* \* \* \* \*

**THIS TIME-BASED CASH AWARD AGREEMENT** (this "<u>Agreement</u>"), dated as of the Grant Date specified above ("Grant Date"), is entered into by and between Berry Corporation (bry), a corporation organized in the State of Delaware (the "<u>Company</u>"), and the Participant specified above.

**WHEREAS**, the Compensation Committee of the Board has determined that it would be in the best interests of the Company and its stockholders to grant this award (this "<u>Award</u>") of cash to the Participant.

**NOW, THEREFORE**, in consideration of the mutual covenants and promises hereinafter set forth and for other good and valuable consideration, the parties hereto hereby mutually covenant and agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.**<u>Definitions. For purposes of this Agreement, the following terms shall be defined as set forth below:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)"***Affiliate***" means any corporation, partnership, limited liability company, limited liability partnership, association, trust or other organization that, directly or indirectly, controls, is controlled by, or is under common control with, the Company. For purposes of the preceding sentence, "control" (including, with correlative meanings, the terms "controlled by" and "under common control with"), as used with respect to any entity or organization, shall mean the possession, directly or indirectly, of the power (i) to vote more than 50% of the securities having ordinary voting power for the election of directors of the controlled entity or organization or (ii) to direct or cause the direction of the management and policies of the controlled entity or organization, whether through the ownership of voting securities, by contract, or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)"***Board***" means the Board of Directors of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)"***Compensation Committee***" means the Human Capital and Compensation Committee of the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)"***Code***" means the Internal Revenue Code of 1986, as amended from time to time, including the guidance and regulations promulgated thereunder and successor provisions, guidance and regulations thereto.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)"***Nonqualified Deferred Compensation Rules***" means the limitations and requirements of Section 409A of the Code, as amended from time to time, including the guidance and regulations promulgated thereunder and successor provisions, guidance and regulations thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.**<u>Grant of Cash Award</u>**. The Company hereby grants to the Participant this Award in the aggregate amount equal to the Award Amount set forth above on the terms and conditions set forth in this Agreement. This Award represents the right to receive a cash payment equal to the vested portion of the Award Amount, subject to the terms and conditions set forth in this Agreement. Unless and until the Award Amount (or a portion thereof) has vested in accordance with the vesting schedule set forth on <u>Exhibit A</u> hereto (the "<u>Vesting Schedule</u>"), the Participant will have no right to receive any payments in respect of this Award. Prior to payment of this Award, this Award represents an unsecured obligation of the Company, payable only from the general assets of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.**<u>Vesting; Forfeiture</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Vesting Generally</u>. Except as otherwise provided in this <u>Section 3</u>, this Award shall become vested in accordance with the Vesting Schedule.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Death or Disability</u>. In the event of a termination of the Participant's employment by reason of death or a permanent and total disability as defined in Section 22(e)(3) of the Code ("<u>Disability</u>"), one hundred percent (100%) of the Award Amount shall immediately become vested as of the date of such termination and shall be settled in accordance with <u>Section 4</u> within thirty (30) days following the date of such termination. A Disability shall only be deemed to occur at the time of the determination by the Committee of the Disability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)<u>Termination of Employment</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)In the event of a termination of the Participant's employment (x) by the Company for "Cause" (as such term is defined in the Key Employee Agreement by and between the Participant, the Company, and/or Berry Petroleum Company, LLC or other employing Affiliate (as in effect as of the Grant Date, the "<u>Employment Agreement</u>")) or (y) by the Participant for any reason, any Award Amount that is unvested as of the date of such termination shall be immediately forfeited without consideration to the Participant. For the avoidance of doubt, the continuous employment or service of the Participant shall not be deemed interrupted, and the Participant shall not be deemed to have incurred a termination of employment, by reason of the transfer of the Participant's employment or service among the Company and/or its subsidiaries and/or Affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)In the event of a termination of the Participant's employment by the Company or other employing Affiliate for "Cause" (as such term is defined in the Employment Agreement) or by the Participant for any reason, in each case, before first anniversary of the Grant Date, the Participant (x) will be required, and hereby agrees, to repay within thirty (30) days following such termination to the Company any amount that the Company has paid to the Participant with respect to any Award Amount that has vested and (y) will immediately forfeit, without consideration, any Award Amount that has vested by not yet been paid by the Company to the Participant as of the date of such termination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)<u>Discretion to Accelerate Vesting</u>. In addition to the foregoing, the Committee may, in its sole discretion, accelerate vesting of this Award at any time and for any reason.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)<u>Sale of the Company</u>. Upon a "Sale of the Company" (as such term is defined in the Employment Agreement), any Award Amount that is unvested as of the date of such sale will be accelerated in full and such Award Amount will be settled in accordance with <u>Section 4</u> within 30 days following the vesting of such Award Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.**<u>Payment of this Award</u>**. On the Company's first payroll date following the date on which the Award Amount vests, the Company shall pay to the Participant an amount in cash equal to the Award Amount that vested pursuant to <u>Section 3</u> on such vesting date (less withholding taxes in accordance with <u>Section 7</u>). Neither this <u>Section 4</u> nor any action taken pursuant to or in accordance with this Agreement shall be construed to create a trust or a funded or secured obligation of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.**<u>Non-Transferability</u>**. No portion of this Award may be sold, assigned, transferred, encumbered, hypothecated or pledged by the Participant, other than to the Company as a result of forfeiture of this Award as provided herein or pursuant to a domestic relations order entered into by a court of competent jurisdiction upon delivery to the Company of a written request for such transfer and a certified copy of such order.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.**<u>Governing Law</u>**. All questions concerning the construction, validity and interpretation of this Agreement shall be governed by, and construed in accordance with, the laws of the State of Texas, without regard to the choice of law principles thereof. With respect to any claim or dispute related to or arising under this Agreement, the Company and the Participant consent to the exclusive jurisdiction, forum and venue in the state and federal courts located in Dallas County, Texas. BY ACCEPTING THIS AWARD, PARTICIPANT IRREVOCABLY WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY SUIT, ACTION, OR OTHER PROCEEDING INSTITUTED BY OR AGAINST THE PARTICIPANT IN RESPECT OF THE PARTICIPANT'S RIGHTS OR OBLIGATIONS HEREUNDER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.**<u>Withholding of Tax</u>**. The Participant agrees and acknowledges that the Company shall have the power and the right to deduct or withhold, or require the Participant to remit to the Company, an amount sufficient to satisfy any federal, state, local and foreign taxes of any kind which the Company, in its good faith discretion, deems necessary to be withheld or remitted to comply with the Code and/or any other applicable law, rule or regulation with respect to this Award.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.**<u>No Waiver</u>**. No waiver or non-action by either party hereto with respect to any breach by the other party of any provision of this Agreement shall be deemed or construed to be a waiver of any succeeding breach of such provision, or as a waiver of the provision itself.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.**<u>Entire Agreement; Amendment</u>**. This Agreement and the Employment Agreement contains the entire agreement between the parties hereto with respect to the subject matter contained herein, and supersedes all prior agreements or prior understandings, whether written or oral, between the parties relating to such subject matter. The Committee shall have the right, in its sole discretion, to modify or amend this Agreement from time to time; <u>provided</u>, that without the consent of an affected Participant, no such Committee action may materially and adversely affect the rights of such Participant under this Agreement. This Agreement may also be modified or amended by a writing signed by both the Company and the Participant. The Company shall give written notice to the Participant of any such modification or amendment of this Agreement as soon as practicable after the adoption thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.**<u>Administration</u>**. The Committee shall have the sole and complete discretion with respect to the administration of this Award and this Agreement, including, without limitation, the right to (a) interpret the meaning of any provision of this Agreement, (b) to correct any

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inconsistencies or deficiencies or supply any omissions, or (c) delegate administerial acts and responsibilities as the Committee deems appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.**<u>Notices</u>**. Any notice hereunder by the Participant shall be given to the Company in writing and such notice shall be deemed duly given only upon receipt thereof by the Secretary of the Company. Any notice hereunder by the Company shall be given to the Participant in writing and such notice shall be deemed duly given only upon receipt thereof at such address as the Participant may have on file with the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.**<u>No Right to Employment or Service</u>**. Nothing in this Agreement shall interfere with or limit in any way the right of the Company, its subsidiaries or its Affiliates to terminate the Participant's employment or service at any time, for any reason and with or without "Cause" (as such term is defined in the Employment Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.**<u>Transfer of Personal Data</u>**. The Participant authorizes, agrees and unambiguously consents to the transmission by the Company (or any Affiliate) of any personal data information related to this Award for legitimate business purposes. This authorization and consent is freely given by the Participant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.**<u>Binding Agreement; Assignment</u>**. This Agreement shall inure to the benefit of, be binding upon, and be enforceable by the Company and its successors and assigns. Subject to the restrictions on transfer set forth herein, this Agreement will be binding upon the Participant and the Participant's beneficiaries, executors, administrators and the person(s) to whom this Award may be transferred by will or the laws of descent or distribution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.**<u>Headings</u>**. The titles and headings of the various sections of this Agreement have been inserted for convenience of reference only and shall not be deemed to be a part of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.**<u>Counterparts</u>**. This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original, but all of which shall constitute one and the same instrument. Electronic acceptance and signatures shall have the same force and effect as original signatures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.**<u>Further Assurances</u>**. Each party hereto shall do and perform (or shall cause to be done and performed) all such further acts and shall execute and deliver all such other agreements, certificates, instruments and documents as either party hereto reasonably may request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated thereunder; *provided* that no such additional documents shall contain terms or conditions inconsistent with the terms and conditions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.**<u>Severability</u>**. The invalidity or unenforceability of any provision of this Agreement (or any portion thereof) in any jurisdiction shall not affect the validity, legality or enforceability of the remainder of this Agreement in such jurisdiction or the validity, legality or enforceability of any provision of this Agreement (or any portion thereof) in any other jurisdiction, it being intended that all rights and obligations of the parties hereunder shall be enforceable to the fullest extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.**<u>No Acquired Rights</u>**. The Participant acknowledges and agrees that: (a) this Award is completely independent of any other award or grant and is made at the sole discretion of the Company; (b) no past grants or awards (including, without limitation, this Award) give the Participant any right to any grants or awards in the future whatsoever; and (c) any benefits

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granted under this Agreement are not part of the Participant's ordinary salary, and shall not be considered as part of such salary in the event of severance, redundancy or resignation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20.**<u>Section 409A</u>**. Notwithstanding anything herein to the contrary, this Award is intended to be exempt from the applicable requirements of the Nonqualified Deferred Compensation Rules and shall be limited, construed and interpreted in accordance with such intent. Nevertheless, to the extent that the Committee determines that this Award may not be exempt from the Nonqualified Deferred Compensation Rules, then, if the Participant is deemed to be a "specified employee" within the meaning of the Nonqualified Deferred Compensation Rules, as determined by the Committee at a time when the Participant becomes eligible for settlement of this Award upon his or her "separation from service" within the meaning of the Nonqualified Deferred Compensation Rules, then to the extent necessary to prevent any accelerated or additional tax under the Nonqualified Deferred Compensation Rules, such settlement will be delayed until the earlier of: (a) the date that is six (6) months following the Participant's separation from service and (b) the Participant's death. Notwithstanding the foregoing, the Company and its Affiliates make no representations that this Award provided under this Agreement is exempt from or compliant with the Nonqualified Deferred Compensation Rules and in no event shall the Company or any Affiliate be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by the Participant on account of non-compliance with the Nonqualified Deferred Compensation Rules.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21.**<u>Clawback</u>.** This Award is subject to any written clawback policies that the Company, with the approval of the Board, or an authorized committee thereof, may adopt either prior to or following the Grant Date, including any policy adopted to conform to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and rules promulgated thereunder by the Securities and Exchange Commission and that the Company determines should apply to Awards. Any such policy may subject the Participant's Award and amounts paid or realized with respect to the Award to reduction, cancelation, forfeiture or recoupment if certain specified events or wrongful conduct occur, including an accounting restatement due to the Company's material noncompliance with financial reporting regulations or other events or wrongful conduct specified in any such clawback policy.

[Remainder of Page Intentionally Blank;<br>Signature Page Follows]

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***Time-Based Cash Award Agreement (2025)***

**IN WITNESS WHEREOF,** Participant and the Company each have caused this Agreement to be executed and effective as of the Grant Date.

**PARTICIPANT**

<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

**BERRY PETROLEUM COMPANY, LLC**

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> <br> Name:&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;

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***Time-Based Cash Award Agreement (2025)***

**EXHIBIT A**

**VESTING SCHEDULE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.$[ ] of the Award Amount will vest on [ ];

subject to the Participant's continuous employment with the Company or an Affiliate through the vesting date, and further subject to Participant's repayment of such amount in the event of Participant's termination of employment with the Company prior to [ ] as set forth in Section 3(c) of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. <br>

## Exhibit 10.6

***Execution Version***

***Exhibit 10.6***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**SECOND AMENDMENT TO CREDIT AGREEMENT**

**THIS SECOND AMENDMENT TO CREDIT AGREEMENT** (this "<u>Amendment</u>"), dated as of April 4, 2025 (the "<u>Second Amendment Effective Date</u>"), is by and among Berry Corporation (bry), a Delaware corporation (the "<u>Borrower</u>"), each of the Guarantors, each of the Lenders that is a signatory hereto and Breakwall Credit Management LLC, as administrative agent for the Lenders (in such capacity, together with its successors in such capacity, the "<u>Administrative Agent</u>").

**<u>RECITALS</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;The Borrower, the Guarantors, the Administrative Agent and the Lenders are parties to that certain Credit Agreement dated as of November 6, 2024 (as in effect immediately prior to the execution hereof, including as previously amended by that certain First Amendment to Credit Agreement, dated as of December 24, 2024, the "<u>Existing Credit Agreement</u>"; and the Existing Credit Agreement, as amended, restated, amended and restated, supplemented or otherwise modified from time to time, including, without limitation, as amended by this Amendment, the "<u>Credit Agreement</u>"), pursuant to which the Lenders have agreed, subject to the terms and conditions set forth therein, to make certain credit available to and on behalf of the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;The parties hereto desire to enter into this Amendment to, among other things, amend the Existing Credit Agreement as set forth herein effective as of the Second Amendment Effective Date.

NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

Section 1. <u>Defined Terms</u>. Each capitalized term which is defined in the Credit Agreement, but which is not defined in this Amendment, shall have the meaning ascribed such term in the Credit Agreement. Unless otherwise indicated, all section references in this Amendment refer to this Amendment. Section 1.04 of the Credit Agreement is incorporated herein by reference *mutatis mutandis* as if fully set forth herein, except to the extent directly conflicting with the immediately preceding sentence.

Section 2. <u>Amendments</u>. In reliance on the representations, warranties, covenants and agreements contained in this Amendment, and subject to the satisfaction of the conditions precedent set forth in <u>Section</u> 3:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;the Existing Credit Agreement is hereby amended by adding a new <u>Schedule 8.20</u> to the Existing Credit Agreement, which shall read as set forth on <u>Schedule 8.20</u> hereto and the "Annexes, Exhibits and Schedules" section of the table of contents is hereby amended to add an entry for "Schedule

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.20 Specified Titled Collateral" in the appropriate numerical order;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Section 1.02 of the Existing Credit Agreement is hereby amended by adding the following definitions in the appropriate alphabetical order:

"<u>Designated Specified Material Titled Collateral</u>" means the Specified Material Titled Collateral described on Part A of Schedule 8.20.

"<u>Second Amendment Effective Date</u>" means April 4, 2025.

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"<u>Second Amendment Excluded Titled Collateral</u>" means Titled Collateral that is owned by a Credit Party on the Second Amendment Effective Date constituting well service rigs that are not described on <u>Schedule 8.20</u>.

"<u>Specified Material Titled Collateral</u>" means Titled Collateral that is owned by a Credit Party constituting well service rigs and further described on <u>Schedule 8.20</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;Section 8.20 of the Existing Credit Agreement is hereby amended by amending and restating the section in its entirety as follows:

Section 8.20&nbsp;&nbsp;&nbsp;&nbsp;**<u>Titled Collateral</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;Within 20 days after the Second Amendment Effective Date (or such later date in the Administrative Agent's sole discretion), the Credit Parties shall (i) deliver each certificate of title of the Specified Material Titled Collateral not constituting Designated Specified Material Titled Collateral to the Collateral Agent and (ii) (A) deliver each certificate of title of the Designated Specified Material Titled Collateral to the Collateral Agent (or the designee thereof), (B) deliver executed powers of attorney (in the form previously provided to counsel to the Credit Parties by counsel to the Collateral Agent) on behalf of each Credit Party that is the owner of record of any Designated Specified Material Titled Collateral to the Collateral Agent (or the designee thereof), (C) pay the Collateral Agent's designee for all reasonable costs and expenses incurred in connection with rendering services in connection with perfecting Liens on Designated Specified Material Titled Collateral (to the extent invoiced within 15 days after the Second Amendment Effective Date) and (D) effect other arrangements (if any) requested by the Administrative Agent which are strictly necessary to perfect Liens in favor of the Collateral Agent on Designated Specified Material Titled Collateral (other than filing with the registrar of motor vehicles or other appropriate authority on the applicable certificate of title an application or other applicable document requesting a notation or other indication of the security interest), it being understood that, notwithstanding anything to the contrary herein, this clause (ii) shall not be applicable with respect to any Specified Material Titled Collateral not constituting Designated Specified Material Titled Collateral, and the only obligation that the Credit Parties have with respect to Specified Material Titled Collateral not constituting Designated Specified Material Titled Collateral shall be to deliver the certificates of title of such Material Titled Collateral to the Collateral Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;At any time after the Second Amendment Effective Date, in the event any Credit Party acquires Material Titled Collateral (other than the Second Amendment Excluded Titled Collateral), or any Person owning any Material Titled Collateral (other than the Second Amendment Excluded Titled Collateral) becomes a Credit Party, the Credit Parties shall effect arrangements reasonably necessary (as determined by the Administrative Agent in its reasonable discretion) to perfect Liens in favor of the Collateral Agent on such Material Titled Collateral (including, to the extent required for such perfection, by executing and filing with the registrar of motor vehicles or other appropriate authority on the applicable certificate of title an application or other applicable document requesting a notation or other indication of the security interest) within sixty (60) days of acquisition thereof (or such later date as the Administrative Agent may agree in its sole discretion).

2

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For the avoidance of doubt, nothing in this Amendment amends or modifies the Annexes, Exhibits or Schedules to the Existing Credit Agreement, other than as set forth in <u>Section 2(a)</u>.

Section 3. <u>Conditions Precedent</u>. The effectiveness of this Amendment is subject to the satisfaction or the waiver of the following conditions precedent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. The Administrative Agent shall have received counterparts of this Amendment from the Administrative Agent, the Credit Parties, and each of the Lenders constituting at least the Majority Lenders signed on behalf of such persons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2&nbsp;&nbsp;&nbsp;&nbsp;<u>Fees, Expenses etc</u>. The Borrower shall have paid (i) all accrued and unpaid fees owing under the Existing Credit Agreement in connection with this Amendment and payable on or prior to the Second Amendment Effective Date and (ii) all reasonable and documented out-of-pocket fees and expenses of the Administrative Agent associated with the Amendment contemplated herein, incurred on or before the effectiveness of this Amendment and that have been invoiced to the Borrower at least one (1) Business Day prior to the Second Amendment Effective Date and not previously paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3&nbsp;&nbsp;&nbsp;&nbsp;<u>No Default</u>. No Default or Event of Default shall have occurred and be continuing at the time of and immediately after giving effect to this Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Representations and Warranties</u>. All of the representations and warranties made by the Credit Parties under the Loan Documents shall be true and correct in all material respects on and as of the Second Amendment Effective Date, except to the extent that (i) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Second Amendment Effective Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date, and (ii) any such representations and warranties are already qualified by materiality, Material Adverse Effect or a similar qualification, in which case, such representations and warranties are true and correct in all respects.

Without limiting the generality of the provisions of Section 11.04 of the Existing Credit Agreement, for purposes of determining compliance with the conditions specified in this <u>Section 3</u>, each Lender that has signed this Amendment shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required under this <u>Section 3</u> to be consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the Second Amendment Effective Date specifying its objection thereto. The Administrative Agent shall notify the Borrower and the Lenders of the Second Amendment Effective Date, and such notice shall be conclusive and binding.

Section 4.&nbsp;&nbsp;&nbsp;&nbsp;<u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1&nbsp;&nbsp;&nbsp;&nbsp;<u>Confirmation and Effect</u>. The provisions of the Existing Credit Agreement (as amended by this Amendment) shall remain in full force and effect in accordance with their terms following the effectiveness of this Amendment, and this Amendment shall not constitute a waiver of any provision of the Existing Credit Agreement or any other Loan Document. Each reference in the Credit Agreement to "this Agreement", "hereunder", "hereof", "herein", or words of like import shall mean and be a reference to the Existing Credit Agreement as amended hereby, and each reference to the Credit Agreement in any other document, instrument or agreement executed and/or delivered in connection with the Credit Agreement shall mean and be a reference to the Existing Credit Agreement as amended hereby.

3

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 &nbsp;&nbsp;&nbsp;&nbsp;<u>Ratification and Affirmation of Credit Parties.</u> Each of the Credit Parties hereby expressly (i) acknowledges the terms of this Amendment, (ii) ratifies and affirms its obligations under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iii) acknowledges, renews and continues its liability under the Existing Credit Agreement, as amended hereby (including, without limitation, the Guaranty and all Liens granted pursuant to the Security Agreement and the other Loan Documents) and the other Loan Documents to which it is a party, (iv) agrees that the Security Agreement and the other Loan Documents to which it is a party remains in full force and effect with respect to the Guaranteed Obligations as amended hereby, (v) represents and warrants to the Lenders and the Administrative Agent that all of the representations and warranties of such Credit Party under the Loan Documents are true and correct in all material respects on and as of the Second Amendment Effective Date and after giving effect to the amendments set forth in <u>Section 2</u>, except to the extent that (A) any such representations and warranties are expressly limited to an earlier date, in which case, on and as of the Second Amendment Date, such representations and warranties shall continue to be true and correct in all material respects as of such specified earlier date and (B) any such representations and warranties are already qualified by materiality, Material Adverse Effect or a similar qualification, in which case, such representations and warranties are true and correct in all respects, (vi) represents and warrants to the Lenders and the Administrative Agent that the execution, delivery and performance by such Credit Party of this Amendment are within such Credit Party's corporate, limited partnership or limited liability company powers (as applicable), have been duly authorized by all necessary action and that this Amendment constitutes the valid and binding obligation of such Credit Party enforceable in accordance with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting creditor's rights generally (including Debtor Relief Laws) and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law, and (vii) represents and warrants to the Lenders and the Administrative Agent that, after giving effect to this Amendment, no Default or Event of Default exists.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. This Amendment may be executed in counterparts (and by different parties hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. The words "execution," "execute," "signed," "signature," and words of like import in or related to any document to be signed in connection with this Amendment and the transactions contemplated hereby shall be deemed to include electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms approved by the Administrative Agent, or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act; *provided* that notwithstanding anything contained herein to the contrary the Administrative Agent is under no obligation to agree to accept electronic signatures in any form or in any format unless expressly agreed to by the Administrative Agent pursuant to procedures approved by it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4&nbsp;&nbsp;&nbsp;&nbsp;<u>Final Agreement</u>. This Amendment, the Credit Agreement and the other Loan Documents and any separate letter agreements with respect to fees payable to the Administrative Agent constitute the entire contract among the parties relating to the subject matter hereof and thereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof and thereof. **THIS AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES HERETO AND THERETO AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR,** 

4

------

**CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5&nbsp;&nbsp;&nbsp;&nbsp;<u>Governing Law; Jurisdiction; Waiver of Venue; Service of Process; Waiver of Jury Trial.</u> **THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW YORK.** Sections 12.09(b), 12.09(c), and 12.09(d) of the

Credit Agreement are incorporated herein by reference, *mutatis mutandis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6&nbsp;&nbsp;&nbsp;&nbsp;<u>Payment of Expenses</u>. The Borrower agrees to pay or reimburse the Administrative Agent for all of its reasonable and documented out-of-pocket costs and expenses incurred in connection with this Amendment, any other documents prepared in connection herewith and the transactions contemplated hereby, including, without limitation, the reasonable fees and disbursements of counsel to the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7&nbsp;&nbsp;&nbsp;&nbsp;<u>Indemnity; Damage Waiver</u>. Section 12.03 of the Credit Agreement is incorporated herein by reference, *mutatis mutandis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8&nbsp;&nbsp;&nbsp;&nbsp;<u>Titles of Sections</u>. All titles or headings to the sections or other divisions of this Amendment are only for the convenience of the parties and shall not be construed to have any effect or meaning with respect to the other content of such sections, subsections or other divisions, such other content being controlling as to the agreement between the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9&nbsp;&nbsp;&nbsp;&nbsp;<u>Severability</u>. Any provision of this Amendment held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof or thereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10&nbsp;&nbsp;&nbsp;&nbsp;<u>Successors and Assigns</u>. This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11&nbsp;&nbsp;&nbsp;&nbsp;<u>Loan Document</u>. This Amendment constitutes a Loan Document under and as defined in the Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[*Signature Pages Follow.*]

5

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The parties hereto have caused this Amendment to be duly executed as of the day and year first above written.

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| | |
|:---|:---|
| **BORROWER:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY CORPORATION (BRY)**<br>![image_0a.jpg](image_0a.jpg)a Delaware corporation<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer |
| **GUARANTORS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BERRY PETROLEUM COMPANY, LLC**,<br>![image_0a.jpg](image_0a.jpg)a Delaware limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACPHERSON ENERGY, LLC**<br>![image_0a.jpg](image_0a.jpg)a Delaware limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON OIL COMPANY LLC**<br>![image_0a.jpg](image_0a.jpg)a California limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON ROUND MOUNTAIN HOLDINGS, LLC**<br>![image_0a.jpg](image_0a.jpg)a California limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON POWER COMPANY, LLC**<br>![image_0a.jpg](image_0a.jpg)a California limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer |

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[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACPHERSON POWER COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON POWER COMPANY, LLC, its general

![image_9.jpg](image_9.jpg)partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, LLC**

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON OPERATING COMPANY, L.P.**,

a California limited partnership

By: MACPHERSON OPERATING COMPANY, LLC, its

![image_9.jpg](image_9.jpg)general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids

Title: Vice President, Chief Financial Officer

**MACPHERSON POWER COMMERCIAL SERVICES, LLC**

![image_9.jpg](image_9.jpg)a California limited liability company

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

------

**MACPHERSON POWER COMMERCIAL SERVICES, L.P.**,

a California limited partnership

By: MACPHERSON POWER COMMERCIAL SERVICES,

![image_9.jpg](image_9.jpg)LLC, its general partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids

Title: Vice President, Chief Financial Officer

[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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| |
|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**MACPHERSON LAND COMPANY, LLC**,<br>![image_0a.jpg](image_0a.jpg)a California limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON LAND COMPANY, L.P.**,<br>a California limited partnership<br>By: MACPHERSON LAND COMPANY, LLC, its general<br>![image_0a.jpg](image_0a.jpg)partner<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**MACPHERSON GREEN POWER COMPANY, LLC**<br>![image_0a.jpg](image_0a.jpg)a California limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer<br>**CJ BERRY WELL SERVICES MANAGEMENT, LLC**,<br>![image_0a.jpg](image_0a.jpg)a Delaware limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**C&J WELL SERVICES, LLC**,<br>![image_0a.jpg](image_0a.jpg)a Delaware limited liability company<br>By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: Jeffrey D. Magids<br>Title: Vice President, Chief Financial Officer |

---

[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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| | |
|:---|:---|
| **ADMINISTRATIVE AGENT:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**BREAKWALL CREDIT MANAGEMENT**<br>![image_17b.jpg](image_17b.jpg)**LLC**, as Administrative Agent |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By:&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;</u> |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: David Walters Hughes |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Managing Director |

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[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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| | |
|:---|:---|
| **LENDERS:** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**VALOR UPSTREAM CREDIT PARTNERS,**<br>**L.P.**, as a Lender<br>Pursuant to power of attorney granted to Breakwall Investment Advisor LLC<br>![image_17b.jpg](image_17b.jpg)By: Breakwall Investment Advisor LLC, as attorney-in-fact for Valor Upstream Credit Partners, L.P.<br>By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: David Walters Hughes<br>Title: Managing Director |

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[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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**SCHEDULE 8.20**

[Attached]

[SIGNATURE PAGE TO SECOND AMENDMENT TO CREDIT AGREEMENT - BERRY CORPORATION (BRY)]

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Part A

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Equipment ID** | **Registered Owner** | **Serial Number** | **Model Year** | **Manufacturer** |
| &nbsp;&nbsp;1 | &nbsp;&nbsp;R356 | C&J WELL SERVICES LLC | &nbsp;&nbsp;197 | &nbsp;&nbsp;1981 | HOPPER |
| &nbsp;&nbsp;2 | &nbsp;&nbsp;R374 | C&J WELL SERVICES LLC | ALRR1098 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;3 | &nbsp;&nbsp;R378 | C&J WELL SERVICES LLC | ALRR1105 | &nbsp;&nbsp;1982 | IDECO |
| &nbsp;&nbsp;4 | &nbsp;&nbsp;R383 | C&J WELL SERVICES LLC | ALRR1282 | &nbsp;&nbsp;1982 | IDECO |
| &nbsp;&nbsp;5 | &nbsp;&nbsp;R386 | C&J WELL SERVICES LLC | &nbsp;&nbsp;1592 | &nbsp;&nbsp;1980 | COOPER |
| &nbsp;&nbsp;6 | &nbsp;&nbsp;R389 | C&J WELL SERVICES LLC | ALRR974 | &nbsp;&nbsp;1980 | IDECO |
| &nbsp;&nbsp;7 | &nbsp;&nbsp;R451 | C&J WELL SERVICES LLC | &nbsp;&nbsp;2018L | &nbsp;&nbsp;1981 | COOPER |
| &nbsp;&nbsp;8 | &nbsp;&nbsp;R487 | C&J WELL SERVICES LLC | ALRR1066 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;9 | &nbsp;&nbsp;R576 | C&J WELL SERVICES LLC | IGXTA205 | &nbsp;&nbsp;1982 | HOPPER |
| &nbsp;&nbsp;10 | &nbsp;&nbsp;R765 | C&J WELL SERVICES LLC | 1GXTA149 | &nbsp;&nbsp;1966 | HOPPER |
| &nbsp;&nbsp;11 | &nbsp;&nbsp;R1005 | C&J WELL SERVICES LLC | AL44790 | &nbsp;&nbsp;1978 | IDECO |
| &nbsp;&nbsp;12 | &nbsp;&nbsp;R1020 | C&J WELL SERVICES LLC | GXTA163 | &nbsp;&nbsp;1963 | HOPPER |
| &nbsp;&nbsp;13 | &nbsp;&nbsp;R1024 | C&J WELL SERVICES LLC | GXTA199 | &nbsp;&nbsp;1965 | HOPPER |
| &nbsp;&nbsp;14 | &nbsp;&nbsp;R1037 | C&J WELL SERVICES LLC | ALRR922 | &nbsp;&nbsp;1980 | IDECO |
| &nbsp;&nbsp;15 | &nbsp;&nbsp;R1059 | C&J WELL SERVICES LLC | ALRR921 | &nbsp;&nbsp;1980 | IDECO |
| &nbsp;&nbsp;16 | &nbsp;&nbsp;R1068 | C&J WELL SERVICES LLC | ALRR1085 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;17 | &nbsp;&nbsp;R1073 | C&J WELL SERVICES LLC | ALRR1143 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;18 | &nbsp;&nbsp;R1077 | C&J WELL SERVICES LLC | 1GTA124 | &nbsp;&nbsp;1962 | HOPPER |
| &nbsp;&nbsp;19 | &nbsp;&nbsp;R1078 | C&J WELL SERVICES LLC | IGTA147 | &nbsp;&nbsp;1966 | HOPPER |
| &nbsp;&nbsp;20 | &nbsp;&nbsp;R1083 | C&J WELL SERVICES LLC | IGTA187 | &nbsp;&nbsp;1980 | HOPPER |
| &nbsp;&nbsp;21 | &nbsp;&nbsp;R1086 | C&J WELL SERVICES LLC | &nbsp;&nbsp;8468 | &nbsp;&nbsp;1982 | WILSON |
| &nbsp;&nbsp;22 | &nbsp;&nbsp;R1087 | C&J WELL SERVICES LLC | LT01222 | &nbsp;&nbsp;1978 | COOPER |
| &nbsp;&nbsp;23 | &nbsp;&nbsp;R1114 | C&J WELL SERVICES LLC | IGTA126 | &nbsp;&nbsp;1963 | HOPPER |
| &nbsp;&nbsp;24 | &nbsp;&nbsp;R1115 | C&J WELL SERVICES LLC | IGTA127 | &nbsp;&nbsp;1963 | HOPPER |
| &nbsp;&nbsp;25 | &nbsp;&nbsp;R1118 | C&J WELL SERVICES LLC | IGTA140 | &nbsp;&nbsp;1965 | HOPPER |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Equipment ID** | **Registered Owner** | **Serial Number** | **Model Year** | **Manufacturer** |
| 26. | &nbsp;&nbsp;R1119 | C&J WELL SERVICES LLC | 1GXTA148 | &nbsp;&nbsp;1966 | HOPPER |
| 27. | &nbsp;&nbsp;R1125 | C&J WELL SERVICES LLC | 1GTA193 | &nbsp;&nbsp;1980 | HOPPER |
| 28. | &nbsp;&nbsp;R1143 | C&J WELL SERVICES LLC | 1GTA186 | &nbsp;&nbsp;1979 | HOPPER |
| 29. | &nbsp;&nbsp;R1144 | C&J WELL SERVICES LLC | 1GFA200 | &nbsp;&nbsp;1956 | HOPPER |
| 30. | &nbsp;&nbsp;R1146 | C&J WELL SERVICES LLC | IGTA174 | &nbsp;&nbsp;1970 | HOPPER |
| 31. | &nbsp;&nbsp;R1147 | C&J WELL SERVICES LLC | IGTA175 | &nbsp;&nbsp;1970 | HOPPER |
| 32. | &nbsp;&nbsp;R1148 | C&J WELL SERVICES LLC | IGTA181 | &nbsp;&nbsp;1975 | HOPPER |
| 33. | &nbsp;&nbsp;R1149 | C&J WELL SERVICES LLC | IGTA166 | &nbsp;&nbsp;1968 | HOPPER |
| 34. | &nbsp;&nbsp;R1150 | C&J WELL SERVICES LLC | 1GTA179 | &nbsp;&nbsp;1972 | HOPPER |
| 35. | &nbsp;&nbsp;R1151 | C&J WELL SERVICES LLC | IGTA188 | &nbsp;&nbsp;1980 | HOPPER |
| 36. | &nbsp;&nbsp;R1152 | C&J WELL SERVICES LLC | IGTA189 | &nbsp;&nbsp;1980 | HOPPER |
| 37. | &nbsp;&nbsp;R1153 | C&J WELL SERVICES LLC | &nbsp;&nbsp;13752 | &nbsp;&nbsp;1980 | HALL MACHINE |
| 38. | &nbsp;&nbsp;R1154 | C&J WELL SERVICES LLC | &nbsp;&nbsp;15742 | &nbsp;&nbsp;1982 | HALL MACHINE |
| 39. | &nbsp;&nbsp;R1165 | C&J WELL SERVICES LLC | IGTA151 | &nbsp;&nbsp;1966 | HOPPER |
| 40. | &nbsp;&nbsp;R1166 | C&J WELL SERVICES LLC | 1GTA152 | &nbsp;&nbsp;1966 | HOPPER |
| 41. | &nbsp;&nbsp;R1167 | C&J WELL SERVICES LLC | IGTA167 | &nbsp;&nbsp;1966 | HOPPER |
| 42. | &nbsp;&nbsp;R1169 | C&J WELL SERVICES LLC | 1GTA155 | &nbsp;&nbsp;1967 | HOPPER |
| 43. | &nbsp;&nbsp;R1171 | C&J WELL SERVICES LLC | 1GTA171 | &nbsp;&nbsp;1970 | HOPPER |
| 44. | &nbsp;&nbsp;R1172 | C&J WELL SERVICES LLC | 1GTA172 | &nbsp;&nbsp;1970 | HOPPER |
| 45. | &nbsp;&nbsp;R1173 | C&J WELL SERVICES LLC | IGTA173 | &nbsp;&nbsp;1970 | HOPPER |
| 46. | &nbsp;&nbsp;R1174 | C&J WELL SERVICES LLC | 1GTA176 | &nbsp;&nbsp;1971 | HOPPER |
| 47. | &nbsp;&nbsp;R1176 | C&J WELL SERVICES LLC | 1GTA178 | &nbsp;&nbsp;1972 | HOPPER |
| 48. | &nbsp;&nbsp;R1178 | C&J WELL SERVICES LLC | &nbsp;&nbsp;15128 | &nbsp;&nbsp;1981 | HALL MACHINE |
| 49. | &nbsp;&nbsp;R1179 | C&J WELL SERVICES LLC | &nbsp;&nbsp;2026260 | &nbsp;&nbsp;1981 | HALL MACHINE |
| 50. | &nbsp;&nbsp;R1185 | C&J WELL SERVICES LLC | &nbsp;&nbsp;1024 | &nbsp;&nbsp;1982 | HOPPER |
| 51. | &nbsp;&nbsp;R1186 | C&J WELL SERVICES LLC | GXXTA482 | &nbsp;&nbsp;1981 | HOPPER |

---

------

Part B

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Equipment ID** | **Registered Owner** | **Serial Number** | **Model Year** | **Manufacturer** |
| &nbsp;&nbsp;1 | &nbsp;&nbsp;R87 | C&J WELL SERVICES INC | &nbsp;&nbsp;265 | &nbsp;&nbsp;1969 | HOPPER |
| &nbsp;&nbsp;2 | &nbsp;&nbsp;R342 | C&J WELL SERVICES INC | ACRR911 | &nbsp;&nbsp;1980 | IDECO |
| &nbsp;&nbsp;3 | &nbsp;&nbsp;R350 | C&J WELL SERVICES INC | ALRR1076 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;4 | &nbsp;&nbsp;R384 | C&J WELL SERVICES INC | ALRR1283 | &nbsp;&nbsp;1982 | IDECO |
| &nbsp;&nbsp;5 | &nbsp;&nbsp;R440 | C&J WELL SERVICES INC | &nbsp;&nbsp;1779 | &nbsp;&nbsp;1981 | COOPER |
| &nbsp;&nbsp;6 | &nbsp;&nbsp;R486 | C&J WELL SERVICES INC | ALRR1065 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;7 | &nbsp;&nbsp;R747 | C&J WELL SERVICES INC | ALRR1281 | &nbsp;&nbsp;1982 | IDECO |
| &nbsp;&nbsp;8 | &nbsp;&nbsp;R1058 | C&J WELL SERVICES INC | ALRR919 | &nbsp;&nbsp;1980 | IDECO |
| &nbsp;&nbsp;9 | &nbsp;&nbsp;R1070 | C&J WELL SERVICES INC | ALRR1141 | &nbsp;&nbsp;1981 | IDECO |
| &nbsp;&nbsp;10 | &nbsp;&nbsp;R1079 | C&J WELL SERVICES INC | IGTA130 | &nbsp;&nbsp;1964 | HOPPER |
| &nbsp;&nbsp;11 | &nbsp;&nbsp;R1084 | C&J WELL SERVICES INC | IGTA199 | &nbsp;&nbsp;1981 | HOPPER |
| &nbsp;&nbsp;12 | &nbsp;&nbsp;R1126 | C&J WELL SERVICES INC | &nbsp;&nbsp;15176 | &nbsp;&nbsp;1981 | HALL MACHINE |
| &nbsp;&nbsp;13 | &nbsp;&nbsp;R1128 | C&J WELL SERVICES INC | &nbsp;&nbsp;15739 | &nbsp;&nbsp;1982 | HALL MACHINE |
| &nbsp;&nbsp;14 | &nbsp;&nbsp;R1175 | C&J WELL SERVICES INC | 1GTA177 | &nbsp;&nbsp;1972 | HOPPER |
| &nbsp;&nbsp;15 | &nbsp;&nbsp;R1187 | C&J WELL SERVICES INC | 1GTA145 | &nbsp;&nbsp;1965 | HOPPER |
| <br>16. | &nbsp;&nbsp;R1506 | C&J WELL SERVICES INC | 2R9SB854X6267<br>8044 | &nbsp;&nbsp;2006 | CROWN |
| <br>17. | &nbsp;&nbsp;R1508 | C&J WELL SERVICES INC | 2R9SB854362678<br>046 | &nbsp;&nbsp;2006 | CROWN |
| <br>18. | &nbsp;&nbsp;R1512 | C&J WELL SERVICES INC | 2R9SB854262678<br>104 | &nbsp;&nbsp;2006 | CROWN |
| <br>19. | &nbsp;&nbsp;R1513 | C&J WELL SERVICES INC | 2R9SB854462678<br>105 | &nbsp;&nbsp;2006 | CROWN |
| <br>20. | &nbsp;&nbsp;R1514 | C&J WELL SERVICES INC | 2R9SB854X7267<br>8014 | &nbsp;&nbsp;2006 | CROWN |

---

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Equipment ID** | **Registered Owner** | **Serial Number** | **Model Year** | **Manufacturer** |
| <br>21. | &nbsp;&nbsp;R1515 | C&J WELL SERVICES INC | 2R9SB854172678<br>015 | &nbsp;&nbsp;2006 | CROWN |
| <br>22. | &nbsp;&nbsp;R1516 | C&J WELL SERVICES INC | 2R9SB854372678<br>016 | &nbsp;&nbsp;2006 | CROWN |
| <br>23. | &nbsp;&nbsp;R1518 | C&J WELL SERVICES INC | 2R9SB854772678<br>018 | &nbsp;&nbsp;2006 | CROWN |
| <br>24. | &nbsp;&nbsp;R1519 | C&J WELL SERVICES INC | 2R9SB854972678<br>019 | &nbsp;&nbsp;2006 | CROWN |
| <br>25. | &nbsp;&nbsp;R1817 | BASIC ENERGY SERVICES | 1C9SX15417A97<br>8009 | &nbsp;&nbsp;2007 | CROWN |
| 26. | &nbsp;&nbsp;R1055 | C&J WELL SERVICES INC | ALPR909 | &nbsp;&nbsp;1980 | IDECO |
| 27. | &nbsp;&nbsp;R1182 | C&J WELL SERVICES INC | ALRR969 | &nbsp;&nbsp;1980 | IDECO |

---

## Exhibit 31.1

**EXHIBIT 31.1** 

**RULE 13a – 14(a) / 15d – 14(a)** 

**CERTIFICATION**

**PURSUANT TO §302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Fernando Araujo, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of Berry Corporation (bry) (the "registrant");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent function):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ Fernando Araujo |
| | Fernando Araujo |
| | Chief Executive Officer |

---

## Exhibit 31.2

**EXHIBIT 31.2** 

**RULE 13a – 14(a) / 15d – 14(a)** 

**CERTIFICATION**

**PURSUANT TO §302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Jeffrey D. Magids, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of Berry Corporation (bry) (the "registrant");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent function):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ Jeffrey D. Magids |
| | Jeffrey D. Magids |
| | Vice President, Chief Financial Officer |

---

## Exhibit 32.1

**EXHIBIT 32.1** 

**CERTIFICATION OF CEO AND CFO PURSUANT TO**

**18 U.S.C. § 1350, AS ADOPTED PURSUANT TO**

**§ 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the quarterly report on Form 10-Q of Berry Corporation (bry) (the "Company") for the fiscal period ended June 30, 2025, as filed with the Securities and Exchange Commission on August 7, 2025 (the "Report"), Fernando Araujo, as Chief Executive Officer of the Company, and Jeffrey D. Magids, as Vice President, Chief Financial Officer of the Company, each hereby certifies, pursuant to 18 U.S.C. Section § 1350, as adopted pursuant to Section § 906 of the Sarbanes-Oxley Act of 2002, to the best of our knowledge that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| | | |
|:---|:---|:---|
| Date: | August 7, 2025 | /s/ Fernando Araujo |
| | | Fernando Araujo |
| | | Chief Executive Officer |
| Date: | August 7, 2025 | /s/ Jeffrey D. Magids |
| | | Jeffrey D. Magids |
| | | Vice President, Chief Financial Officer |

---

A signed original of this written statement required by Section 906 has been provided to Berry Corporation (bry) and will be retained by Berry Corporation (bry) and furnished to the Securities and Exchange Commission or its staff upon request.

This certification accompanies the Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.

<br>