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INCOME TAXES (Tables) | 12 Months Ended
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Dec. 31, 2025
Income Tax Disclosure [Abstract] |
Schedule of Components of Income Tax Expense (Benefit) | The provision (benefit) for income taxes included the following components:
(in thousands) |  | 2025 |  | 2024 |  | 2023
Current: |  |  |  |  |  |
Federal |  | $ | — |  |  | $ | — |  |  | $ | — |
State |  | 200 |  |  | (135) |  |  | 322 |
|  | $ | 200 |  |  | $ | (135) |  |  | $ | 322 |
Deferred: |  |  |  |  |  |
Federal |  | $ | (245) |  |  | $ | 124,330 |  |  | $ | — |
State |  | (456) |  |  | 22,483 |  |  | — |
|  | $ | (701) |  |  | $ | 146,813 |  |  | $ | — |
Provision (benefit) for income taxes |  | $ | (501) |  |  | $ | 146,678 |  |  | $ | 322 |
Schedule of Effective Income Tax Rate Reconciliation | The following reconciles the provision for income taxes included in the consolidated statements of operations with the provision which would result from application of the statutory federal tax rate to pre-tax financial income for the year ended December 31, 2025 in accordance with ASU 2023-09:
(in thousands) |  | 2025 |  | %
Pretax Income |  | $ | (2,407) |  |
US Federal Statutory Tax Rate |  | (505) |  | 21%
State and Local Income Taxes, Net of Federal Benefit |  | (144) |  | 6%
Nontaxable/Nondeductible Items |  |  |  |
Limitation on Executive Compensation |  | 2,271 |  | (94)%
Share-Based Compensation |  | (691) |  | 29%
Noncontrolling Interest |  | (847) |  | 35%
Other Adjustments |  |  |  |
Deferred Tax Adjustment |  | (611) |  | 25%
Change in Outside Basis |  | 28 |  | (1)%
Other Tax Expense |  | (2) |  | —%
Total Tax Expense (Benefit) |  | $ | (501) |  | 21%
The Company’s state and local income tax benefit consists of operations in Colorado, North Dakota, New Mexico, Oklahoma, and Texas. The following reconciles the provision for income taxes included in the consolidated statement of operations with the provision which would result from application of the statutory federal tax rate to pre-tax financial income for the years ended December 31, 2024 and 2023, prior to the adoption of ASU 2023-09:
(in thousands) |  | 2024 |  | 2023
Income (loss) before income taxes |  | $ | 33,503 |  | $ | (38,625)
Increase (decrease) resulting from: |  |  |  |
Pretax income at federal statutory rates |  | 7,036 |  | (8,111)
State income taxes, net of federal income tax effect |  | (804) |  | 322
Corporate reorganization |  | 152,992 |  | —
Transaction costs |  | 1,086 |  | —
Minority interests in Summit Midstream Partners, LP |  | 1,222 |  | —
Removal of noncontrolling interests |  | (3,304) |  | —
Removal of nontaxable income |  | (11,550) |  | 8,111
Provision (benefit) for income taxes |  | $ | 146,678 |  | $ | 322
Effective Tax Rate |  | 438 | % |  | (1) | %
Schedule of Deferred Tax Assets and Liabilities | The components of the Company’s deferred tax balances as of December 31, 2025 and 2024 were as follows:
(in thousands) |  | 2025 |  | 2024 |  |
Deferred tax liabilities: |  |  |  |  |  |
Investment in Partnership |  | $ | (117,043) |  |  | $ | (86,227) |  |  |
Total deferred tax liabilities |  | $ | (117,043) |  |  | $ | (86,227) |  |  |
Deferred tax assets: |  |  |  |  |  |
Interest expense |  | 9,830 |  |  | 6,001 |  |  |
Net operating loss carryforward |  | 33,321 |  |  | 15,683 |  |  |
Other |  | 257 |  |  | 1,217 |  |  |
Subtotal |  | $ | 43,408 |  |  | $ | 22,901 |  |  |
Valuation allowance |  | — |  |  | — |  |  |
Total deferred tax assets |  | $ | 43,408 |  |  | $ | 22,901 |  |  |
Net deferred tax liability |  | $ | (73,635) |  |  | $ | (63,326) |  |  |

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