Amplify Energy Corp. (AMPY): Business Model Canvas [Dec-2025 Updated]

You're looking at Amplify Energy Corp. (AMPY) not just as an oil producer, but as a company executing a sharp strategic pivot that demands a closer look. My two decades analyzing energy plays tells me this simplification is key: they are aggressively shedding non-core assets, like the recent $220.0 million Oklahoma/East Texas sale, to zero in on high-return plays like the Beta Field, where well internal rates of return (IRR) top 90% at $60/bbl oil. To manage the inevitable volatility, they've locked in a huge chunk of 2025 production-think 75% to 80% of PDP crude hedged-which helps stabilize that $64.2 million Q3 revenue base before derivatives. If you want to see exactly how this focused asset base, in-sourced services via Magnify Energy Services, and disciplined capital deployment (with 2025 guidance between $55M - $70M for development) fit together across all nine building blocks, dive into the canvas below.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that keep Amplify Energy Corp. running, especially as they simplify their portfolio and focus on Beta and Bairoil.

Financial institutions for revolving credit are critical for liquidity management. As of September 30, 2025, Amplify Energy Corp. had total debt of $123.0 million outstanding under its revolving credit facility. This facility's borrowing base was reaffirmed at $145.0 million on May 29, 2025, before being reduced to $135.0 million following an asset divestiture announcement. The credit agreement mandates hedging, requiring the company to hedge 50% of its forecasted Proved Developed Producing (PDP) production volumes for the 12-month period starting August 2025.

The company engages in commodity trading counterparties for hedging programs to protect cash flow. As of November 5, 2025, Amplify Energy Corp. had executed crude oil swaps covering portions of 2026 and 2027 at a weighted average price of $62.29. Furthermore, natural gas swaps added around August 2025 covered portions of 2027 and 2028 at an average price of $3.86 per MMBtu, with associated costless collars having floors of $3.50 per MMBtu and ceilings of $4.52 per MMBtu for those same periods.

Joint venture partners for non-operated development and exploration are active, particularly in East Texas. Amplify Energy Corp. is in the process of divesting its Oklahoma and East Texas assets for total consideration of $220.0 million, with one transaction closing in October 2025 and the remainder expected in the fourth quarter of 2025. In a separate arrangement established in January 2025, an Area of Mutual Interest (AMI) was formed covering 10,000 gross acres, where Amplify retained a 10% working interest. Partners brought online four completions (two Haynesville and two Cotton Valley) in Q2 2025, which netted 13 Mmcfe/d to Amplify's interest.

Amplify Energy Corp. uses an in-sourced model for certain services, which acts as a key operational partnership. Its wholly owned subsidiary, Magnify Energy Services, projected $5 million in Adjusted EBITDA for 2025, targeting an annualized run rate of $6 million by year-end. Since its start, Magnify has generated $3.7 million of Adjusted EBITDA on a capital investment of only $1.7 million.

The combination with Juniper Capital, which closed in the second quarter of 2025, involved assuming approximately $133 million in net debt and issuing approximately 26.7 million shares of common stock, resulting in Juniper shareholders owning approximately 39% of the combined entity pro forma.

Key Partnership Details

Amplify Energy Corp.'s operations are focused in federal waters offshore Southern California (Beta) and the Rockies (Bairoil).

• Required hedge percentage of forecasted PDP production starting August 2025: 50%.
• Net production share from new East Texas JV wells: 13 Mmcfe/d.
• Juniper Capital merger assumed debt: $133 million.

Midstream companies for gathering, processing, and transportation are essential for moving production from Beta and Bairoil to market.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Key Activities

You're looking at the core actions Amplify Energy Corp. takes to run its business as of late 2025, right after major portfolio shifts. These activities are all about getting the most value out of their remaining, focused assets.

The primary activity is the crude oil and natural gas production and exploitation from their core holdings, which are federal waters offshore Southern California (Beta) and the Rockies (Bairoil). For the third quarter of 2025, the Company achieved an average total production of 19.7 MBoepd. The product mix for that quarter showed a clear focus on oil, with production being:

A major ongoing activity is the development drilling and facility projects, primarily at the Beta Field. Amplify is developing the stacked sandstone reservoirs with horizontal wells. They drilled and completed two wells from the Eureka platform in the D-Sand reservoir in Q3 and early Q4 2025: the C08 well, which achieved an IP30 rate of approximately 550 Bopd and was producing approximately 520 Bopd currently, and the C61 well, which came online in late October. This development success has grown Beta production by approximately 40% since the beginning of 2024. Capital investment during the third quarter of 2025 was approximately $17.5 million, with about 89% directed toward development drilling, recompletions, and facility projects at Beta.

The Company is actively engaged in strategic asset rationalization to simplify its portfolio. This involved entering definitive purchase agreements to divest all its interests in the Oklahoma and East Texas assets for total consideration of $220.0 million. This divestiture is being executed in stages, with one transaction closing in October 2025 and the remaining two expected to close in the fourth quarter of 2025. The total consideration breaks down into the sale of Oklahoma assets for $92.5 million and East Texas assets for $127.5 million.

To manage revenue volatility, Amplify focuses on managing commodity price exposure through a robust hedging program. As of November 5, 2025, the Company had executed crude oil swaps covering portions of 2026 and 2027 at a weighted average price of $62.29. Furthermore, they added natural gas swaps for portions of 2027 and 2028 at an average price of $3.86 per MMBtu, along with costless collars for those years with weighted average floors of $3.50 per MMBtu and ceilings of $4.52 per MMBtu.

Finally, a key operational activity is implementing CO2 enhanced oil recovery (EOR) initiatives at Bairoil. Amplify completed the CO2 gas plant facility project, which, combined with a new CO2 purchase contract, resulted in a projected annualized lease operating expense savings of approximately $10 million per year. Specifically, the facility project reduces electricity usage at Bairoil by approximately 30%.

Here's a snapshot of the capital allocation and key financial metrics supporting these activities in Q3 2025:

• Net debt to LTM Adjusted EBITDA was 1.5x as of September 30, 2025.
• Net cash provided by operating activities was $13.4 million in Q3 2025.
• Lease operating expenses were approximately $35.6 million in Q3 2025.
• Cash capital investment for Q3 2025 was approximately $17.5 million.
• The Company realized a net gain on commodity derivatives of $4.8 million during the third quarter of 2025.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Key Resources

You're looking at the hard assets and capabilities that power Amplify Energy Corp.'s business right now, late in 2025. These aren't abstract concepts; they are the physical and contractual foundations supporting their current operations, especially after recent portfolio streamlining.

Core Oil-Weighted Assets

Amplify Energy Corp.'s primary value resides in its two core, oil-weighted asset areas. The focus has clearly shifted to development and operational efficiency within these two regions following divestitures of other properties.

• Beta Field (Offshore CA): This is the primary development focus, utilizing modern horizontal drilling and gravel packing techniques on stacked sandstone reservoirs.
• Bairoil (Rockies): This asset is seeing significant operational cost reduction efforts, particularly around CO2 management.

Proved Developed Producing (PDP) Reserves and Asset Metrics

The reserve base, as of the end of 2024, provides the starting point for current production and cash flow. You can see the split between what's producing now (PDP) and what's planned for future development (PUD).

The Beta development program is showing strong initial results; for example, the C08 well brought online in early September 2025 achieved an IP30 rate of approximately 550 Bopd.

Midstream Infrastructure and Operational Support

Operating these assets requires specific infrastructure, much of which Amplify Energy Corp. owns or controls to manage transport and processing.

• At Beta, a subsea flowline upgrade connecting Platform Eureka to Platform Elly was scheduled for completion in the fourth quarter of 2025.
• At Bairoil, a CO2 gas plant facility project was finalized to reduce electricity consumption, projecting an annualized lease operating expense savings of approximately $10 million per year.

Commodity Derivative Contracts

Amplify Energy Corp. uses hedging to lock in cash flow certainty, a requirement tied to its credit facility. While the exact percentage of 2025 PDP hedged isn't explicitly stated as a final number, the requirement is clear, and actual executed swaps provide price certainty.

The credit facility agreement required hedging 75+% of forecasted PDP production volumes (oil and natural gas) for the first 24 months starting August 2023. For the second half of 2025, Amplify executed crude oil swaps at a weighted average price of $68.10 per barrel. During the third quarter of 2025, the company realized a net gain on commodity derivatives of $4.8 million.

Wholly Owned Subsidiary: Magnify Energy Services

Magnify Energy Services is in-sourced to improve service reliability and reduce operating expenses for Amplify Energy Corp. Its financial contribution is tracked separately.

Since its inception, Magnify Energy Services generated $3.7 million of Adjusted EBITDA with a capital investment of only $1.7 million.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Value Propositions

You're looking at how Amplify Energy Corp. delivers distinct value to its stakeholders as of late 2025. It boils down to reliable supply, financial discipline through hedging, high-return drilling, and streamlining the asset base.

The core offering is a reliable, domestic supply of energy commodities. For the third quarter of 2025, Amplify reported average daily production was approximately 19.7 Mboepd (thousand barrels of oil equivalent per day). This production mix was weighted toward oil, with crude oil making up 41% of the total volume, while NGLs accounted for 16% and natural gas for 43%.

To shield the business from the inevitable swings in the market, Amplify maintains a strong cash flow protection via hedging. In the third quarter of 2025, the Company realized a net gain on commodity derivatives totaling $4.8 million, directly offsetting commodity price weakness for that period. Furthermore, Amplify has proactively locked in future prices; as of November 5, 2025, they executed crude oil swaps covering portions of 2026 and 2027 at a weighted average price of $62.29.

The development economics at the Beta oilfield represent a significant source of value. Specifically, the three wells completed in the D-Sand formation are all projected to deliver an Internal Rate of Return (IRR) greater than 90% when oil is priced at $60/bbl. The C54 well, completed in mid-April 2025, showed the strongest initial performance in the program, with an IP20 (20-day initial production rate) of approximately 800 Bopd. The success here allows Amplify to focus capital on the highest-return areas.

The ongoing operational focus on cost efficiency and asset simplification is key to maximizing returns from these core assets. Lease operating expenses (LOE) in the third quarter of 2025 were approximately $35.6 million, which contributed to Adjusted EBITDA of $20.3 million, a figure that was 7% higher than the prior quarter despite lower commodity prices. To simplify the portfolio, Amplify entered into definitive purchase agreements to divest its Oklahoma and East Texas assets for total consideration of $220.0 million, expecting this move to materially reduce future General and Administrative (G&A) costs.

Here's a quick look at how these key metrics support the value propositions as of the third quarter of 2025:

The value proposition is further supported by specific operational achievements and strategic financial moves:

• The C54 Beta well is projected to pay out in approximately eight months at current pricing.
• The Company expects the asset divestitures to enable a reduction in future G&A costs.
• Total oil, natural gas, and NGL revenues for Q3 2025 were approximately $64.2 million before derivatives.
• The Q3 2025 Adjusted EBITDA of $20.3 million demonstrated resilience.
• The product mix is becoming more oil-weighted, moving from 41% oil in Q2 2024 to 48% in Q2 2025.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Customer Relationships

Transactional sales with large, established commodity buyers.

Amplify Energy Corp. reported average total production of 19.7 MBoepd (Million Barrels of Oil Equivalent per Day) for the third quarter of 2025. Total oil, natural gas and NGL revenues for the third quarter of 2025 were approximately $64.2 million, before the impact of derivatives. The company is actively simplifying its portfolio, evidenced by entering into definitive purchase agreements to divest all its interests in the Oklahoma and East Texas assets for total consideration of $220.0 million. One of these asset transactions closed in October of 2025, with the remaining two expected to close in the fourth quarter of 2025.

The product mix for the second quarter of 2025 showed a clear focus, with crude oil making up 48% of total production, NGLs at 16%, and natural gas at 36%. This reflects a steady increase in oil weighting consistent with the go-forward strategy.

Direct, long-term contracts with refiners and marketers.

Relationship management with commodity purchasers is partially secured through derivative contracts to manage price exposure. Amplify Energy Corp. executed crude oil swaps covering portions of 2026 and 2027 at a weighted average price of $62.29. Furthermore, the company added natural gas swaps for portions of 2027 and 2028 at an average price of $3.86 per MMBtu, along with costless collars for those same periods with weighted average floors of $3.50 per MMBtu and weighted average ceilings of $4.52 per MMBtu. The asset divestitures themselves establish new relationships, as seen in the Q1 2025 transaction that established an area of mutual interest (AMI) covering 10,000 gross acres with the counterparty.

Investor relations and transparent communication with shareholders.

Amplify Energy Corp. maintains open communication regarding its financial performance and strategic direction. For the third quarter of 2025, the company reported a net loss of approximately $21.0 million, which was primarily due to an impairment charge. However, the Adjusted EBITDA for the same period was $20.3 million. As of September 30, 2025, total debt outstanding under the revolving credit facility was $123.0 million, resulting in a Net debt to LTM Adjusted EBITDA ratio of 1.5x. The company intends to use proceeds from asset sales to pay down this outstanding debt. The most recent analyst rating on AMPY stock is a Buy with a $11.00 price target.

Here's a quick look at key financial metrics from Q3 2025:

The company believes the Asset Transactions will also enable it to materially reduce future G&A costs.

Regulatory compliance and stakeholder engagement for offshore operations.

Operations in federal waters offshore Southern California, specifically the Beta field, require ongoing facility management and regulatory adherence. Amplify Energy Corp. is upgrading a subsea flowline connecting Platform Eureka to Platform Elly, which is scheduled for completion in the fourth quarter of 2025. This project is necessary to accommodate expected production growth. The success of the Beta development program has grown its production by approximately 40% since the beginning of 2024. The company reported successfully completing five D-Sand wells at Beta with an average capital cost of approximately $6.5 million per well, with expected IRRs greater than 100% assuming $65 WTI oil prices.

Stakeholder engagement also involves operational efficiency projects at the Bairoil asset, where the company negotiated a new CO2 supply contract leveraging potential 45Q credits to lower CO2 costs.

• Operations focus areas include federal waters offshore Southern California (Beta) and the Rockies (Bairoil).
• The company expects to shut in production for approximately 10 days in the fourth quarter due to the flowline upgrade.
• The Beta development program is a focus, with two additional wells drilled in Q3 2025 showing promising initial results.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Channels

You're looking at how Amplify Energy Corp. gets its molecules-oil, gas, and NGLs-to market as of late 2025. This is all about the physical and financial pathways they use to realize revenue from their production, which was averaging about 19.7 Mboepd in the third quarter of 2025.

Direct sales to major crude oil refiners and pipelines form a core part of the physical delivery channel. Given the strategic shift to become more oil-weighted, this channel is key. The company's Q3 2025 production mix shows crude oil accounted for 41% of the total output, with NGLs at 16%, and natural gas at 43%. Total oil, natural gas, and NGL revenues for that quarter were approximately $64.2 million before derivatives.

Here's a quick look at the revenue drivers and product split leading into the end of 2025:

The sales of natural gas and NGLs are managed through a combination of pipeline access and processing agreements. These agreements dictate the delivery points and the pricing mechanisms applied to the non-crude components of their production stream. The company incurred approximately $5.2 million, or $2.89 per Boe, in gathering, processing, and transportation expenses in the third quarter of 2025, which reflects the cost of using these midstream channels.

The product mix channeled through these agreements looks like this:

• Crude Oil: 41% of production.
• Natural Gas: 43% of production.
• NGLs: 16% of production.

For price realization and risk management, Amplify Energy Corp. actively uses commodity exchanges and over-the-counter markets for sales, primarily through hedging instruments. This isn't about selling the physical product there, but locking in future prices for volumes committed to physical sales channels. As of their Q2 2025 update, they had executed crude oil swaps covering portions of 2026 and 2027 at a weighted average price of $62.29. They also established natural gas hedges:

• Natural Gas Swaps: Covering portions of 2027 and 2028 at an average price of $3.86 per MMBtu.
• Natural Gas Collars: Covering portions of 2027 and 2028 with weighted average floors of $3.50 per MMBtu and weighted average ceilings of $4.52 per MMBtu.

Finally, the channel for financial transparency to the investment community is through the investor relations website and SEC filings. Amplify Energy Corp. filed its Quarterly Report on Form 10-Q for the quarter ended September 30, 2025, on November 5, 2025. As of August 1, 2025, the company reported 40,466,053 outstanding shares of common stock. You can also track their strategic moves, like the definitive purchase agreements with three counterparties to divest Oklahoma and East Texas assets for total consideration of $220.0 million, through these public disclosures.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Customer Segments

You're looking at the core buyers for Amplify Energy Corp.'s production mix as of late 2025, which is heavily influenced by their ongoing portfolio simplification strategy.

The primary customer base for Amplify Energy Corp.'s output is segmented by the commodity type, reflecting who purchases their oil, natural gas, and NGLs.

• Crude oil refiners and purchasers, especially on the West Coast.
• Natural gas and NGL marketers and industrial end-users.
• Institutional commodity buyers and traders.
• Non-operated joint venture partners in certain fields.

The composition of the sales volume gives you a clear picture of the main commodity purchasers. For the third quarter of 2025, the product mix sold was:

• 41% crude oil.
• 16% NGLs (Natural Gas Liquids).
• 43% natural gas.

Total oil, natural gas and NGL revenues for the third quarter of 2025 were approximately $64.2 million, before the impact of derivatives. The total revenue for the quarter ending September 30, 2025, was reported at $66.40M.

For the natural gas and NGL marketers and industrial end-users, the 43% natural gas and 16% NGL volumes represent their primary purchase points from Amplify Energy Corp. The company's strategy is shifting to become more oil-weighted, which will change the split for these segments going forward.

Institutional commodity buyers and traders interact with Amplify Energy Corp. through the sale of their produced commodities, evidenced by the total quarterly revenue. The company realized a net gain on commodity derivatives of $4.8 million during the third quarter of 2025.

Non-operated joint venture partners are a distinct group, as Amplify participates in their drilling and development activities. In the third quarter of 2025, capital allocation was approximately 6% for non-operated development projects in East Texas. Earlier in the third quarter of 2025, partners brought online two Haynesville and two Cotton Valley completions in East Texas, which were producing 13 Mmcfe/d net to Amplify's interest. This segment is being streamlined, as Amplify announced the sale of its non-operated Eagle Ford assets for $23 million, effective June 15, 2025. Furthermore, Amplify is divesting its Oklahoma and East Texas assets for $220 million, which will impact future non-operated participation.

Here's a quick look at the production and revenue scale for Q3 2025:

Finance: draft 13-week cash view by Friday.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Cost Structure

You're looking at the core expenses Amplify Energy Corp. faces to keep the lights on and drill new wells as of late 2025. Honestly, managing these costs is central to their strategy, especially with the recent asset sales designed to simplify the portfolio and strengthen the balance sheet.

The operating costs, which are the day-to-day expenses of keeping existing wells running, are a major component. Lease Operating Expenses (LOE) were approximately \$35.6 million in the third quarter of 2025. This figure actually represented a decrease of $3.0 million compared to the prior quarter, showing some early success in their cost-saving focus, particularly at the Bairoil asset.

Capital expenditures are another significant drain, though they are focused on high-upside areas like the Beta development program. While the initial 2025 guidance was in the range of \$55M - \$70M, the company had already invested approximately 85% of its 2025 capital by the end of the third quarter. For Q3 2025 alone, cash capital investment was about \$17.5 million, with about 89% allocated to development drilling, recompletions, and facility projects at Beta. Looking ahead to Q4 2025, the capital spend is guided to be between \$8.0 million and \$12.0 million.

Financing costs are also present. Net interest expense on their debt was \$3.9 million in Q3 2025, which was slightly up from the $3.6 million in the second quarter.

The company is definitely focused on controlling overhead and midstream costs. They aim to defintely reduce General and Administrative (G&A) expenses, a goal supported by the recent asset divestitures. Here's a quick look at how some key costs trended through the first three quarters of 2025:

The structure of these costs reflects the strategic pivot. They are shifting capital toward development drilling at Beta while actively trying to shrink the fixed cost base. This focus on controllable costs is key.

• Lease Operating Expenses (LOE) in Q3 2025 were \$35.6 million.
• Cash G&A expenses were \$6.7 million in Q3 2025, showing a downward trend from Q1 2025's $7.3 million.
• GPT expenses for Q3 2025 totaled \$5.2 million, or $2.89 per Boe.
• Net interest expense for Q3 2025 was \$3.9 million.
• Total cash capital investment for Q3 2025 was \$17.5 million.

The company believes the Asset Transactions will enable them to materially reduce future G&A costs, so you should watch that line item closely as the divestitures close in Q4 2025. Finance: draft 13-week cash view by Friday.

Amplify Energy Corp. (AMPY) - Canvas Business Model: Revenue Streams

You're looking at how Amplify Energy Corp. (AMPY) brings in cash as of late 2025, and it's heavily weighted toward the core business of selling hydrocarbons, even as they reshape the portfolio. The primary, recurring revenue comes directly from the ground, specifically from the sales of crude oil, which remains the strategic focus, alongside natural gas and natural gas liquids (NGLs). For the third quarter of 2025, the total revenue generated from these commodity sales, before accounting for hedges, landed at approximately $64.2 million. This revenue is built on a specific production profile that guides their sales strategy.

Here's a quick look at the production mix that drove that Q3 2025 revenue figure:

To manage the inherent price volatility in this business, Amplify Energy uses commodity derivatives, which provided a helpful boost in the third quarter. You can see they realized a net gain from these derivative settlements totaling $4.8 million during Q3 2025. That's cash flow generated by managing price risk rather than by selling more physical product.

Beyond the day-to-day production sales, a significant, non-recurring revenue stream is flowing from strategic portfolio simplification. Amplify Energy entered into definitive purchase agreements to divest all its interests in the Oklahoma and East Texas assets for total consideration of $220.0 million. This figure is the sum of the individual asset sales, which included the sale of Oklahoma assets for a total contract price of $92.5 million and the East Texas assets for a total consideration of $127.5 million. One of these transactions closed in October of 2025, with the remaining parts expected to close in the fourth quarter of 2025. The intent here is clear: use those proceeds to strengthen the balance sheet and fund core development.

The strategic use of these divestiture proceeds directly informs the forward-looking revenue strategy, which centers on a focused asset base:

• Use proceeds to pay down outstanding debt under the revolving credit facility.
• Accelerate the development drilling program specifically at Beta.
• Materially reduce future General & Administrative (G&A) costs.
• Focus resources on assets with the highest potential upside opportunities.