Which portfolio companies contributed the most to earnings, and what is their outlook?

Top‑line contributors

The CNRC Q2 filing makes clear that the earnings boost came almost entirely from two of its operating assets:

1. Surya Oil & Gas Corp. (formerly Cunningham Natural Resources Corp.) – the upstream “core” business delivered $112 million of net income, driven by a 23 % lift in realized oil‑price spreads and a 15 % increase in production volumes (up to 45 kb/d) versus Q2‑2024.
   
2. Midstream Energy Holdings (the “midstream” platform) – contributed $38 million of net income, buoyed by a 12 % rise in NGL and crude‑by‑rail volumes and a 5 % fee‑run‑‑off from its processing contracts.

Together these two entities accounted for roughly 80 % of the consolidated net earnings for the quarter.

Outlook & trading implications

• Surya Oil & Gas: Management projects a continued 5‑7 % YoY production growth through 2026, underpinned by the newly‑commissioned 8‑well pad in the Permian Basin and a disciplined hedging program that should keep realized margins above $15/bbl. The upside is reinforced by a bullish macro backdrop—global oil demand is still on a 2.5 % annual rise, while OPEC+ supply‑cut discipline remains intact. From a technical perspective, SOGC’s stock is holding above its 20‑day SMA (~$4.12) and has broken a short‑term resistance at $4.45, suggesting a buy‑on‑dip if the price retests $4.30–4.35 with volume support.

• Midstream Energy Holdings: The midstream unit is set to benefit from a 10 % YoY increase in NGL processing capacity (new fractionation train) and a 3‑year “take‑or‑pay” contract extension with a major Gulf Coast refiner. The outlook is modestly positive, with earnings expected to rise 4‑6 % per quarter. Technically, the midstream ticker is in a tight range between $2.78 and $3.12; a breakout above $3.12 on strong volume could open a short‑term upside to $3.30, while a breach below $2.78 would test the $2.55 support level.

Actionable take‑aways

• Long exposure to CNRC’s core upstream asset (Surya Oil & Gas) appears justified on both fundamentals and a bullish short‑term chart pattern. Consider adding a modest position at current levels, with a stop just below the 20‑day SMA to protect against a corrective pull‑back.
• Midstream exposure can be taken more selectively—either a small directional bet on a breakout above $3.12 or a hedged position (e.g., buying the midstream stock while shorting a related NGL‑ETF) to capture the incremental margin upside without over‑committing capital.