Form 4: Civitas Resources Director Deborah Byers Receives Significant Deferred Stock Unit Grant

Civitas Resources, Inc. Director Deborah L. Byers was granted 10,512 Deferred Stock Units (DSUs) as part of the company's 2024 Long Term Incentive Plan, increasing her total beneficial ownership to 20,286 shares.

Summary

• Deborah L. Byers, a Director of Civitas Resources, Inc. (CIVI), acquired 10,512 shares of Common Stock on June 4, 2025.
• The acquisition was a grant of Deferred Stock Units (DSUs) under the Civitas Resources, Inc. 2024 Long Term Incentive Plan, with a transaction price of $0.
• Following this transaction, Ms. Byers' beneficial ownership of Common Stock increased to 20,286 shares.
• The DSUs will vest annually and become fully vested on the earlier of the day immediately preceding the first annual meeting of stockholders following the grant date or the first anniversary of the grant date.
• Vesting is contingent upon Ms. Byers' continued service on the Board of Directors of Civitas Resources, Inc. through the applicable vesting date.

Sentiment

Score: 6

Explanation: The document reports a routine equity grant to a director, which is a positive for aligning interests but does not indicate significant new financial performance or strategic shifts. It's a standard compensation event.

Positives

• The grant of Deferred Stock Units aligns the interests of Director Deborah L. Byers with those of shareholders, as her compensation is tied to the company's long-term performance.
• Participation in the 2024 Long Term Incentive Plan indicates a structured approach to executive and director compensation, promoting retention and performance.

Future Outlook

The Deferred Stock Units granted to Director Deborah L. Byers are subject to a vesting schedule, becoming fully vested on the earlier of the day preceding the first annual stockholders meeting following the grant date or the first anniversary of the grant date, contingent on her continued service.

Industry Context

The granting of Deferred Stock Units (DSUs) to directors is a common practice in publicly traded companies across various industries, including the energy sector where Civitas Resources operates. This form of equity compensation is designed to align the interests of board members with long-term shareholder value creation and to incentivize continued service.

Comparison to Industry Standards

• The use of Deferred Stock Units (DSUs) as a component of director compensation is a standard practice across many industries, including the oil and gas sector, aligning director incentives with long-term company performance.
• The vesting schedule, tied to continued service and annual milestones, is typical for such equity grants, comparable to practices at companies like EOG Resources, Pioneer Natural Resources, or Diamondback Energy, which also utilize equity-based compensation plans for their directors and executives.

Corporate Governance

Related Party Transactions

• The grant of 10,512 Deferred Stock Units to Deborah L. Byers, a Director of Civitas Resources, Inc., constitutes a related party transaction as it involves compensation to a member of the company's board.

Stakeholder Impact

• Shareholders: The equity grant aligns the director's financial interests with the long-term performance of the company, potentially benefiting shareholders through improved governance and strategic decisions.

Next Steps

• The Deferred Stock Units granted to Deborah L. Byers will vest annually, with full vesting occurring on the earlier of the day preceding the first annual stockholders meeting following the grant date or the first anniversary of the grant date.

Key Dates

Keywords

SEC Form 4, Insider Transaction, Deferred Stock Units, DSU Grant, Executive Compensation, Director Compensation, Long Term Incentive Plan, CIVITAS RESOURCES, CIVI, Equity Grant, Beneficial Ownership