Houston, Texas, Sept. 08, 2026 (GLOBE NEWSWIRE) -- Battalion Oil Corporation (NYSE:BATL, ", Battalion", or the ", Company", )) today announced an equity investment in Collide Industrial Technologies Inc. ("Collide") and "Strategic Partner" designation. Collide provides an AI-native operations system purpose-built for oil and gas that automates high-value engineering and operational workflows across upstream, midstream, and oilfield services sectors. The system is designed to reduce operating costs, compress cycle times, and unlock critical data trapped in legacy systems.

Key Highlights

In conjunction with its equity investment in Collide, Battalion was designated a Strategic Partner, with priority access to the Collide Operations System and product advisory rights
Purpose-built for oil and gas, Collide understands the industry's data, language and workflows in ways general-purpose AI tools do not
Proven client results: Demonstrated results across a range of upstream processes that once took operators hours or days to complete are now completed in minutes, with the client keeping full review and control
Partnership expected to aid in M&A, reduce LOE, improve capital efficiency, and accelerate Battalion's multi-year drilling program; financed from balance sheet cash
As part of its broader AI strategy, Battalion is exploring development of a large-scale data center on Company-owned surface acreage in West Texas, leveraging existing power, water, and natural gas infrastructure

Management Comments

Battalion has entered into a strategic partnership with Collide, investing in Collide and assuming the role of Strategic Partner. Collide is building Riggs, the AI work environment designed specifically for oil and gas to automate the workflows that run the industry, targeting a $20 billion addressable market inside a $3 trillion annual global capital expenditure industry.

Riggs is powered by the Collide Operations System. Most AI tools answer from a general model that has never seen clients’ wells, leases, or history. Riggs is designed to answer from Battalion's own data, gathered from the PDFs, spreadsheets, and legacy systems where it's been stuck for decades, and connected into one live model for the business. Purpose-built agents work on that model, applying petroleum-engineering domain logic, and are designed to deliver analysis, mapping, and reporting to Battalion's teams in minutes rather than days. And because everyone works from the same model, the land team will be able to see real-time production from the wells they administer, while a completions engineer can see the lease obligations that shape the next drilling decision.

The Collide Operations System also captures the hard-won knowledge that has historically lived only in the heads of veteran engineers and operators, preserving it before it walks out the door when a 30-year operator retires. As Collide puts it: stop renting expertise, start owning it.

As a Strategic Partner, Battalion will join Collide's product advisory council and deploy the Collide Operations System across its upstream operations under an executed subscription agreement. The deployment begins by unifying more than 100 terabytes of well files, land records, contracts and production history into a single queryable model of the business. On that foundation, Battalion and Collide plan to build applications targeting the largest cost and revenue lines in the field: gas marketing reconciliation, field invoice review, power usage and hedging, and well failure diagnostics. Riggs, Collide's AI work environment, is expected to reach Battalion's production engineers at approximately day 90. Battalion sees Riggs as a natural fit for its Monument Draw cube development program in Ward County, Texas and in the continued efforts to consolidate accretive assets in and out of the basin.

The investment will be financed from balance sheet cash and is consistent with the Company's ongoing effort to improve its financial and operating position while pursuing measured, accretive growth, and high ROI initiatives. The financial terms of the investment were not disclosed.

"Collide has solved a problem that has stumped the industry for a decade: building AI that actually speaks petroleum engineering," said Matt Steele, Chief Executive Officer of Battalion. "Oil and gas skipped the SaaS era, but it will not skip AI, and we intend to be at the front of that adoption curve. As a Strategic Partner and investor, we gain both a seat at the table as the Collide Operations System evolves and early access to tools that we believe will significantly reduce our operating costs and improve capital efficiency across our asset base. This is exactly the kind of forward-looking investment that fits our strategy of moving from defense to offense."

"Battalion's partnership is a strong endorsement of what we're building," said Collin McLelland, Co-Founder and Chief Executive Officer of Collide. "Having an operator with Battalion's Permian Basin expertise as a Strategic Partner means we build the Operations System even closer to the real problems engineers face every day — and that collaboration compounds directly into a smarter, more capable product for the entire industry."

Forward Looking Statements

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements that are not strictly historical statements constitute forward-looking statements. These include, among others, statements regarding the Collide partnership and investment, anticipated operational and financial benefits, capital deployment, and future guidance. Forward-looking statements may often, but not always, be identified by the use of such words such as "expects", "believes", "intends", "anticipates", "plans", "estimates", "projects," "potential", "possible", or "probable" or statements that certain actions, events or results "may", "will", "should", or "could" be taken, occur or be achieved. These statements are based on current beliefs and expectations and involve certain assumptions or estimates and are subject to risks and uncertainties, including, but are not limited to, those described in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and other filings submitted by the Company to the SEC, copies of which may be obtained from the SEC's website at www.sec.gov or through the Company's website at www.battalionoil.com. Collide is an early-stage company, and there is no assurance that its products will perform as expected, will be adopted by the Company's personnel, or will integrate successfully with the Company's existing systems and data. Any anticipated reductions in operating costs or cycle times are estimates that depend on data quality, workflow adoption and factors outside the Company's control, and may not be realized. Readers are cautioned not to place undue reliance on forward-looking statements, which are made only as of the date hereof. Except as required by law the Company has no duty, and assumes no obligation, to update forward-looking statements as a result of new information, future events or changes in the Company's expectations.

About Battalion

Battalion Oil Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States.

About Collide Industrial Technologies

Collide builds AI infrastructure for the energy industry. Focused on upstream oil and gas, Collide develops domain-specific AI systems that preserve institutional expertise, activate underutilized operational data, and integrate into complex engineering and commercial workflows. As global energy demand increases and the industry undergoes workforce transition, Collide enables operators to improve efficiency, accelerate decision-making, and reduce operational costs. Learn more at collide.io.

BATTALION OIL CORPORATION
Matthew B. Steele
Chief Executive Officer
832-538-0300 | www.battalionoil.com