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• ConocoPhillips, but focused exclusively on deepwater oil and gas production in the U.S. Gulf of Mexico.
• The offshore equivalent of a large Permian Basin producer like Occidental Petroleum, exploring and developing oil and gas in the Gulf of Mexico.

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• Crude Oil: Extraction and sale of crude oil from offshore assets, primarily in the U.S. Gulf of Mexico.
• Natural Gas: Extraction and sale of natural gas from offshore assets, primarily in the U.S. Gulf of Mexico.
• Carbon Capture and Storage (CCS) Services: Development and operation of projects designed to capture and permanently sequester carbon dioxide emissions for industrial clients.

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Talos Energy (TALO) is an independent energy company focused on oil and gas exploration and production. As such, it sells its crude oil and natural gas primarily to other companies rather than individuals.

According to their Form 10-K for the fiscal year ended December 31, 2023, Talos Energy sells its crude oil and natural gas production to a variety of purchasers, including:

• Refiners
• Marketers (energy trading companies)
• Pipeline companies

Talos Energy's 10-K further states that no single customer accounted for 10% or more of their total revenues for the years ended December 31, 2023, 2022, or 2021. Therefore, while their customer base consists of companies in the energy sector, no specific major customer names are disclosed due to this diversification.

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• Valaris PLC (VAL)
• Transocean Ltd. (RIG)
• Schlumberger Limited (SLB)
• Halliburton Company (HAL)

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Paul Goodfellow, President and Chief Executive Officer

Mr. Goodfellow was appointed Chief Executive Officer and President of Talos Energy Inc. in March 2025. He brings over 34 years of domestic and international experience in the oil and gas industry, having spent his career at Shell plc. At Shell, he held various senior executive roles, including leading Shell's global deepwater business across multiple international areas. Prior to joining Talos, he served as Shell's Executive Vice President and Group Chief Internal Auditor from August 2023 to February 2025, and Executive Vice President, Deep Water, Shell Upstream from April 2019 to August 2023. He also served as the Chairman of the Board of Shell Midstream Partners GP LP.

Zachary B. Dailey, Executive Vice President and Chief Financial Officer

Mr. Dailey joined Talos Energy Inc. in August 2025 as Executive Vice President and Chief Financial Officer. He has over 17 years of experience in the oil and gas industry, including nearly 10 years at Marathon Oil Corporation. Most recently, he served as Marathon Oil’s Vice President, Controller and Chief Accounting Officer until November 2024, in connection with ConocoPhillips’ acquisition of Marathon Oil. Before joining Marathon Oil, Mr. Dailey held various finance roles at LINN Energy, Berry Petroleum Company, and Morgan Keegan & Company.

William S. Moss III, Executive Vice President and General Counsel

Mr. Moss is the Executive Vice President and General Counsel of Talos Energy. Before joining Talos in May 2013, he was a partner at Mayer Brown LLP in Houston, where he headed the Houston Corporate Practice and focused on mergers and acquisitions, securities offerings, and general corporate matters. He represented Talos as outside counsel during its initial formation and its subsequent acquisition of Energy Resource Technology, LLC. Mr. Moss also represented Phoenix Exploration Company LP in its formation, acquisitions, and eventual sale to a group of buyers led by Apache Corporation.

John B. Spath, Executive Vice President and Head of Operations

Mr. Spath has served as Talos's Executive Vice President and Head of Operations since December 2023, and joined Talos Energy as a Drilling Manager in 2013. He brings over 28 years of experience in the energy industry. His career began at McDermott as a Process Engineer, followed by over eight years at Marathon Oil Corporation, where he led offshore projects as a Facilities Engineer, Production Foreman, and Deepwater Drilling Engineer. Prior to Talos, he also served as an international and independent deepwater consultant for companies like Mariner Energy, Stone Energy, Deep Gulf Energy, and Helix Energy Solutions Group.

Robin H. Fielder, Executive Vice President – Low Carbon Strategy and Chief Sustainability Officer

Ms. Fielder is the Executive Vice President – Low Carbon Strategy and Chief Sustainability Officer at Talos Energy, where she leads the company's carbon capture and sequestration (CCS) business and oversees ESG initiatives. Prior to Talos, Ms. Fielder served as President, CEO, and a board member of Noble Midstream Partners, a Chevron Corporation company. She also held the roles of CEO, President, and Director for Western Midstream Partners (formerly Western Gas, WES), guiding it through the Occidental acquisition of Anadarko. She spent nearly 20 years at Anadarko Petroleum Corporation, serving in various roles including Vice President of Investor Relations and General Manager of assets.

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The key risks to Talos Energy (TALO) are primarily associated with the inherent volatility of the oil and natural gas industry, its operational concentration, and its financial leverage.

1. Commodity Price Volatility: Talos Energy's financial condition, results of operations, and cash flows are highly dependent on the prices of oil and natural gas. These prices are subject to significant fluctuations due to global supply and demand dynamics, geopolitical events, economic conditions, and actions by major oil-producing organizations like OPEC Plus. Low or volatile prices can adversely affect revenue, profitability, cash flow, and access to capital markets, and may lead to write-downs of oil and natural gas properties.
2. Operational Risks and Concentration in the U.S. Gulf of Mexico: A significant portion of Talos Energy's assets and operations are concentrated in the U.S. Gulf of Mexico and offshore Mexico. This geographic concentration exposes the company to specific regional risks, including severe weather events such as hurricanes and tropical storms, which can cause significant operational disruptions, damage to infrastructure, and increased operating costs. Additionally, operating in this region may present challenges in replacing reserves due to the relatively short reserve lives of properties, potentially requiring substantial capital expenditures. Regulatory changes specific to the Gulf of Mexico can also impact operations and costs.
3. Debt Levels and Financial Health: Talos Energy utilizes debt in its business, and its debt levels are a notable risk. High debt can make the company vulnerable to financial distress, especially during periods of low commodity prices or operational setbacks. The company's ability to service its debt obligations is tied to its cash flow generation, which is directly impacted by commodity prices and operational performance.

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The accelerated development and deployment of offshore wind energy projects in the U.S. Gulf of Mexico. This emerging industry directly competes with Talos Energy's core offshore oil and gas exploration and production business for critical resources, including valuable seabed lease acreage, specialized infrastructure (such as port facilities and supply chains), and a skilled workforce. As government policies and private investment increasingly favor offshore wind development in this region, it poses a clear emerging threat by potentially constraining future opportunities for Talos' traditional operations and contributing to a long-term shift away from fossil fuel reliance in its primary operating environment.

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Talos Energy (TALO) operates in two primary addressable markets: offshore oil and natural gas exploration and production, and carbon capture and storage (CCS).

Offshore Oil and Natural Gas Exploration and Production

Talos Energy's core business is the exploration, development, and production of oil and natural gas, with a primary focus on offshore assets in the United States Gulf of Mexico and offshore Mexico. The global market for oil and gas exploration and production demonstrates significant scale, although estimates vary across different reports.

• In 2024, the global oil and gas exploration and production market was estimated to be between approximately USD 3.59 trillion and USD 5.83 trillion.
• Projections suggest continued growth, with the global market potentially reaching between USD 5.12 trillion by 2031 and USD 18.99 trillion by 2035, at a Compound Annual Growth Rate (CAGR) ranging from 1.4% to 11.8% over the forecast periods.
• While specific market sizing for the U.S. Gulf of Mexico and offshore Mexico E&P market was not consistently identified as a separate total, Talos Energy is recognized as one of the largest independent companies in the Gulf of America.

Carbon Capture and Storage (CCS)

Talos Energy has diversified its operations to include carbon capture and storage projects, particularly in the Gulf Coast region.

• The global carbon capture and storage market was valued between approximately USD 2.97 billion and USD 8.6 billion in 2024.
• This market is projected for substantial growth, with estimates ranging from USD 5.37 billion by 2030 to USD 50.70 billion by 2034, exhibiting CAGRs between 7.0% and 25.0%.
• North America is a dominant region in the CCS market, holding between 36.83% and 51.24% of the global market share in 2024.
• More specifically, the U.S. carbon capture and storage market was valued between USD 1.87 billion and USD 3.16 billion in 2024. It is forecasted to significantly expand, potentially exceeding USD 11 billion by 2034. The U.S. Gulf Coast is particularly noted for its potential in offshore carbon capture and storage due to its geology, existing infrastructure, and proximity to major emitters.

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Here are 3-5 expected drivers of future revenue growth for Talos Energy (TALO) over the next 2-3 years:

1. Production Growth from High-Margin Organic Projects: Talos Energy is focused on bringing new wells and projects online to boost its production volumes. Key organic projects expected to contribute to future revenue include the Sunspear well, which is projected to begin production by mid-2025 with a gross production rate of 8,000 to 10,000 barrels of oil equivalent per day, and the Katmai West #2 well, which also started production by mid-2025 and significantly increased proved estimated ultimate recovery. Additionally, the Daenerys exploration is planned for Q1 2025 with a gross resource potential of 100 to 300 million barrels of oil equivalent, and first production from the Monument discovery is anticipated by late 2026.
2. Accretive Bolt-on Acquisitions in Deepwater Basins: A core part of Talos Energy's growth strategy involves disciplined and accretive bolt-on acquisitions in deepwater basins. The company's acquisition of QuarterNorth Energy in January 2024 is a prime example, adding approximately 30 MBoe/d to its production and increasing proved reserves by about 69 MMBoe. This strategy aims to enhance production and profitability by integrating assets that complement Talos's existing operations, primarily in the Gulf of Mexico.
3. Operational Efficiencies and Enhanced Cash Flow: Talos Energy is targeting approximately $100 million in increased annualized cash flow by 2026. This improvement is expected to be achieved through greater capital efficiency, enhanced margins, new commercial opportunities, and streamlined organizational processes. While not a direct revenue driver, increased cash flow can be reinvested into high-margin projects and acquisitions, indirectly fueling future revenue growth.
4. Strategic Focus and Expansion within Offshore Basins: The company has outlined an enhanced corporate strategy to position itself as a leading pure-play offshore exploration and production company, with a sharpened focus on the U.S. Gulf (referred to as the Gulf of America) and other conventional offshore basins. This strategic emphasis is designed to capitalize on the anticipated increasing role of offshore basins in global oil production and build a scaled portfolio that provides significant production growth potential and consistent long-term free cash flow.

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