We are a growth-oriented, independent oil and natural gas company focused on rapidly growing our reserves, production and cash flow through the acquisition, exploration, development and production of oil, natural gas, and natural gas liquids, or NGLs, reserves in the Permian Basin. This basin, which is one of the major producing basins in the United States, is characterized by an extensive production history, a favorable operating environment, established infrastructure, long reserve life, multiple producing horizons, significant oil in place and a large number of operators. Our activities are primarily focused on the San Andres Formation, a shelf margin deposit on the Central Basin Platform and Northwest Shelf, which accounts for approximately 24% of the nearly 30 billion barrels of oil historically produced from the Permian Basin and where horizontal production has increased by more than 425% since January 2014.