Unit Corporation (OTCQX: UNTC), a Tulsa, Oklahoma based company that operates at the intersection of oil and gas production and contract drilling, offering investors a unique blend of stability and growth in the energy sector. The company has announced a second quarter cash dividend of $1.25 per share on its common stock, payable on June 27, 2025, to shareholders of record as of June 17, 2025, reinforcing its commitment to shareholder returns.
Unit Corporation stands out through its diversified business model, which includes oil and gas exploration and production (E&P) as well as contract drilling services. Its E&P segment focuses on developing and extracting oil and natural gas reserves, primarily in the resource-rich mid-continent region of the United States. Meanwhile, the contract drilling division provides specialized services to both independent and major producers, leveraging a versatile fleet of rigs designed for a range of operational environments.
This integrated approach not only allows Unit to generate revenue from its own assets but also from service contracts with other industry players. The company’s operational footprint spans key basins such as the Anadarko, Permian, and Rocky Mountains, which helps minimize risk and supports resilience amid fluctuating market conditions.
Funding its dividend from existing cash reserves rather than new debt or external financing highlights Unit’s strong liquidity and prudent financial management, qualities that are particularly valuable in a sector known for volatility. Consistent dividend payments signal financial stability and a clear focus on delivering value to shareholders.
Unit Corporation’s regional concentration in the mid-continent provides operational efficiencies and deep market expertise, while its contract drilling business offers a buffer against the cyclical nature of commodity prices by serving a diverse client base. Although this regional focus exposes the company to localized risks, its track record demonstrates effective risk management and steady performance.
