Equus Total Return Reports Q2 2025 Net Asset Value, Decline in Oil Prices Affects Morgan E&P Holding

Equus Total Return Inc reported Q2 2025 net asset value of $34.1 million and a decrease in net asset value per share from $2.52 to $2.51. The company experienced an increase in the fair value of General Enterprise Ventures and a decrease in Morgan E&P due to a decline in oil prices. Morgan E&P secured a $3 million loan facility and hired a key strategy executive for asset strategy optimization in the Bakken and Three Forks formations.

Equus Total Return Inc. (NYSE: EQS) has reported its net asset value for the second quarter of 2025, which stands at $34.1 million. The company's net asset value per share decreased from $2.52 at the end of the first quarter to $2.51 as of June 30, 2025 [1].

The report highlights several key developments. The fair value of the company's holdings in General Enterprise Ventures (OTC Markets: GEVI) increased during the second quarter, contributing positively to the overall portfolio. Specifically, the value of the GEVI Note and GEVI Warrant held by Equus collectively increased to $10.6 million, up from $1.5 million at the time of purchase in February 2025 [1].

However, the fair value of the company's equity holding in Morgan E&P, LLC decreased by $1.65 million due to a decline in oil prices. Morgan E&P holds development rights to approximately 6,707 net acres in the Bakken/Three Forks formation in the Williston Basin of North Dakota. The decrease in the fair value of Morgan's equity holding was determined by a third-party valuation firm [1].

Post the end of the second quarter, Morgan E&P has secured a significant development with the hiring of Michael Reger as a key strategy executive. Reger will lead Morgan's asset strategy across the prolific Bakken and Three Forks formations, targeting value optimization and long-term development potential [1]. Additionally, Morgan has secured a $3 million loan facility to fund near-term drilling and work-over operations in the Bakken Shale formation of North Dakota’s Williston Basin. This funding is expected to accelerate targeted development opportunities and enhance cash flow commencing in the second half of 2025 [3].

These developments indicate a strategic focus on optimizing Morgan's operational program and strengthening its presence in the Bakken Shale formation, which is recognized for its high-quality crude oil production and long-lived reserves.

References:
[1] https://www.morningstar.com/news/globe-newswire/9513831/equus-announces-second-quarter-net-asset-value
[2] https://seekingalpha.com/news/4486502-equus-total-return-reports-q2-net-assets-of-34_1m
[3] https://www.globenewswire.com/news-release/2025/08/14/3133399/0/en/Equus-Subsidiary-Morgan-E-P-Secures-3-Million-Term-Loan-to-Advance-Drilling-and-Work-Over-Program-in-North-Dakota-s-Williston-Basin.html