Matador Resources Company (NYSE: MTDR) ("Matador" or the "Company"), an independent energy company currently focused on the oil and liquids rich portion of the Eagle Ford shale play in South Texas, today reported financial and operating results for the three and six months ended June 30, 2012. Headlines include the following:
- Record oil production of 285,000 Bbl, a sequential quarterly increase of 43% from 200,000 Bbl produced in the first quarter of 2012 and a year-over-year increase of almost six-fold from 51,000 Bbl produced in the second quarter of 2011.
- Record average daily oil equivalent production of 8,740 BOE per day, including 3,130 Bbl of oil per day and 33.6 MMcf of natural gas per day.
- Record total realized revenues of $40.8 million including $4.7 million in realized gain on derivatives, a year-over-year increase of 87% from total realized revenues of $21.8 million including $1.0 million in realized gain on derivatives reported for the second quarter of 2011.
- Record oil and natural gas revenues of $36.1 million, a year-over-year increase of 73% from $20.9 million reported for the second quarter of 2011.
- Record Adjusted EBITDA of $27.9 million, a year-over-year increase of 82% from $15.3 million reported for the second quarter of 2011.
- Revised 2012 annual oil production guidance downward to 1.2 to 1.4 million barrels from 1.4 to 1.5 million barrels, effective as of the date of this release, but otherwise reaffirmed previous guidance.
- Acquired approximately 2,800 gross and net acres prospective for the Eagle Ford shale play and other targets near existing leasehold in LaSalle, Gonzales and Wilson Counties.
- Acquired approximately 4,900 gross and 2,900 net acres prospective for the Wolfbone play in the Delaware Basin in Loving County, Texas on August 10, 2012.
Second Quarter 2012 Financial Results
Joseph Wm. Foran, Matador’s Chairman, President and CEO, commented, “We continued to achieve solid growth during the second quarter of 2012. Our average total daily production and average daily oil production for the quarter were again the best in our Company’s history. We produced approximately 8,740 BOE per day, including 3,130 Bbl of oil per day and 33.6 MMcf of natural gas per day, and reported record revenues and Adjusted EBITDA. For the six months ended June 30, 2012, our oil and natural gas revenues of $65.2 million and Adjusted EBITDA of $49.3 million are 97% and 99%, respectively, of the amounts reported for all of 2011. Although the second quarter also had its share of the usual challenges, including a non-cash net impairment charge of $21.3 million resulting from low natural gas prices, our fundamentals are sound. We are making steady progress with our Eagle Ford shale drilling program. Oil production is increasing, drilling and completion costs have decreased and our gains from technology and production efficiencies are on the rise. During the second quarter, we acquired approximately 2,800 net acres prospective for the Eagle Ford shale and other targets in South Texas near our existing leasehold acreage, and we just closed the acquisition of almost 2,900 net acres in the heart of the Wolfbone play in the Delaware Basin in West Texas. We are also in the process of improving our liquidity position through the expansion of our bank group and an increase in our borrowing capacity.”
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV