Exhibit 2.01
COTERRA ENERGY INC.
Disclosure of Payments by Resource Extraction Issuer
For the fiscal year ended December 31, 2023
Resource Extraction Payment Report
Coterra Energy Inc. (the “Company”) has prepared the following consolidated report (the “Report”) on payments for the purpose of commercial development of oil, natural gas and natural gas liquids (“NGLs”) in accordance with Rule 13q-1 (17 CFR 240.13q-1) under the Securities Exchange Act of 1934, as amended, and Form SD (the “Rule”).
Payments
In accordance with the Rule, payments are reported on a cash basis according to the year in which the payment was made (rather than on an accrual basis). Any refunds are also reported according to the year in which they were received by the Company. Payments made as a single payment or as part of a series of related payments within the fiscal year exceeding $100,000 are included in this Report.
Payments made to the U.S. Government (as defined below) in connection with joint ventures are included in this Report, to the extent that the Company made the relevant payment. Such payments are reported in full, whether made in the Company’s sole capacity or in the Company’s capacity as the operator of a joint venture. Where the Company is a partner in a joint venture and the role of operator is performed by a joint venture partner, meaning the Company has the role of non-operator, payments made to the U.S. Government by the partner entity are not included in this Report.
Currency
All payments are reported in U.S. dollars.
Government-level payments
As used herein, the term “U.S. Government” means the Federal Government of the Unites States of America, and includes all departments and agencies that are subsidiary undertakings which are controlled by such authority, such as interstate entities. For the purposes of this Report, the Company has disclosed payments to the U.S. Government by each agency or department paid.
Project-level payments
For the purposes of this Report, the Company has disclosed payments to the U.S. Government by state jurisdiction, which includes New Mexico, Oklahoma, Pennsylvania, and Wyoming. The resources being extracted are oil, natural gas and NGLs, all with the extraction method by well. Obligations levied at the entity level rather than on a particular project, such as corporate income taxes, are disclosed as entity level (United States - Corporate) payments.
Other considerations
The payments shown in this Report are reported in thousands of dollars. Due to rounding, some totals in the following tables may not agree exactly with the sum of their component parts.
Payment Overview
The tables below show the relevant payments made by the Company to the U.S. Government during the fiscal year ended December 31, 2023, by payment type.
Of the eight payment types required by the Rule, relevant payments include taxes, royalties, and fees. The Company did not pay any relevant production entitlements, bonuses, dividends, payments for infrastructure improvements, or community and social responsibility payments that were required by law or contract.
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2023 GOVERNMENT-LEVEL PAYMENTS
United States
| (In thousands) | ||||||||||||||
| AGENCY/DEPARTMENT | Taxes | Royalties | Fees | Total | ||||||||||
| Bureau of Land Management | $ | — | $ | — | $ | 759 | $ | 759 | ||||||
| Susquehanna River Basin Commission | — | — | 636 | 636 | ||||||||||
| U.S. Department of the Interior - Office of Natural Resources Revenue | — | 172,489 | 149,810 | 322,299 | ||||||||||
| U.S. Department of the Treasury - Internal Revenue Service | 347,987 | — | — | 347,987 | ||||||||||
| Total | $ | 347,987 | $ | 172,489 | $ | 151,205 | $ | 671,681 | ||||||
2023 PROJECT-LEVEL PAYMENTS
United States
| (In thousands) | ||||||||||||||
| PROJECT | Taxes | Royalties | Fees | Total | ||||||||||
| New Mexico | $ | — | $ | 167,567 | $ | 3,538 | $ | 171,105 | ||||||
| Oklahoma | — | 4,921 | 147,017 | 151,938 | ||||||||||
| Pennsylvania | — | — | 636 | 636 | ||||||||||
| Wyoming | — | 1 | 14 | 15 | ||||||||||
| United States (Corporate) | 347,987 | — | — | 347,987 | ||||||||||
| Total | $ | 347,987 | $ | 172,489 | $ | 151,205 | $ | 671,681 | ||||||
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2023 PAYMENT DETAILS DISCLOSURE
United States
| (In thousands) | ||||||||||||||||||||
| Payment | Agency/Department | Project | Resource | Extraction Method | Type | Amount | ||||||||||||||
| 1 | Bureau of Land Management | New Mexico | Oil, natural gas and NGLs | Well | Fees | $ | 579 | |||||||||||||
| 2 | Bureau of Land Management | Oklahoma | Oil, natural gas and NGLs | Well | Fees | 180 | ||||||||||||||
| 3 | Susquehanna River Basin Commission | Pennsylvania | Natural gas | Well | Fees | 636 | ||||||||||||||
| 4 | U.S. Department of the Interior - Office of Natural Resources Revenue | New Mexico | Oil, natural gas and NGLs | Well | Fees | 2,960 | ||||||||||||||
| 5 | U.S. Department of the Interior - Office of Natural Resources Revenue | Oklahoma | Oil, natural gas and NGLs | Well | Fees | 146,837 | ||||||||||||||
| 6 | U.S. Department of the Interior - Office of Natural Resources Revenue | Wyoming | Oil, natural gas and NGLs | Well | Fees | 14 | ||||||||||||||
| 7 | U.S. Department of the Interior - Office of Natural Resources Revenue | New Mexico | Oil, natural gas and NGLs | Well | Royalties | 167,566 | ||||||||||||||
| 8 | U.S. Department of the Interior - Office of Natural Resources Revenue | Oklahoma | Oil, natural gas and NGLs | Well | Royalties | 4,921 | ||||||||||||||
| 9 | U.S. Department of the Interior - Office of Natural Resources Revenue | Wyoming | Oil, natural gas and NGLs | Well | Royalties | 1 | ||||||||||||||
| 10 | U.S. Department of the Treasury - Internal Revenue Service | United States (Corporate) | Oil, natural gas and NGLs | Well | Taxes | 347,987 | ||||||||||||||
| Total | $ | 671,681 | ||||||||||||||||||
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