Risks for SRC ENERGY INC (SRCI)

A decline in oil and natural gas prices may adversely affect our business, financial condition, or results of operations and our ability to meet our financial commitments.

Our actual production, revenues, and expenditures related to our reserves are likely to differ from those underlying our estimates of proved reserves. We may experience production that is less than estimated, and drilling costs that are greater than estimated, in our reserve report. These differences may be material.

Our future success depends upon our ability to find, develop, produce, and acquire additional oil and natural gas reserves that are economically recoverable. Drilling activities may be unsuccessful or may be less successful than anticipated.

Acquisitions we pursue may not achieve their intended results and may result in us assuming unanticipated liabilities. These risks are heightened in the case of the GCII Acquisition due to its size relative to our prior acreage position.

We may not be able to obtain adequate financing when the need arises to execute our long-term operating strategy.