Pending such uses, Matador repaid $180.0 million of outstanding borrowings under its revolving credit facility, which amounts may be reborrowed in accordance with the terms of that facility. As of June 5, 2014, the Company had $150.0 million of outstanding borrowings and approximately $0.6 million in outstanding letters of credit with a borrowing base of $385.0 million under its revolving credit facility. The Company intends to seek an increase of the borrowing base under its revolving credit facility in connection with the determination of its June 30, 2014 reserves.As previously announced, Matador added approximately 16,100 gross (11,400 net) acres primarily in Loving County, Texas and Lea and Eddy Counties, New Mexico between January 1 and May 6, 2014, bringing the Company’s total acreage position in the Permian Basin to approximately 87,000 gross (56,200 net) acres as of May 6, 2014. Matador is currently operating two “walking” drilling rigs on its acreage in the Eagle Ford Basin in South Texas and two drilling rigs on its acreage in the Delaware portion of the Permian Basin in Southeast New Mexico and West Texas. One of Matador’s drilling rigs operating in the Permian Basin is drilling two wells (the Pickard 20-18-24 #2H, a Wolfcamp “D” test, and the Pickard 20-18-24 #1H, a Second Bone Spring test) from a single surface pad in the northern portion of Matador’s Ranger/Querecho Plains prospect area in Lea County, New Mexico. The other drilling rig operating in the Permian Basin is being used to drill the next two wells on Matador’s Wolf prospect in Loving County, Texas — the Norton Schaub #1H and the Arno #1H, both testing the Wolfcamp “A” formation. The Pickard 20-18-24 #2H and the Norton Schaub #1H have been drilled to total depth and are awaiting completion. Matador has been encouraged by the well logs and drilling shows seen on the Norton Schaub and both Pickard wells and anticipates announcing results from all three of these wells early in the third quarter of 2014. Matador plans to continue operating two drilling rigs in the Eagle Ford and two drilling rigs in the Permian Basin throughout the remainder of 2014 and is considering further acceleration of its Permian Basin drilling program in 2015.
About Matador Resources CompanyMatador is an independent energy company engaged in the exploration, development, production and acquisition of oil and natural gas resources in the United States, with an emphasis on oil and natural gas shale and other unconventional plays. Its current operations are focused primarily on the oil and liquids-rich portion of the Eagle Ford shale play in South Texas and the Wolfcamp and Bone Spring plays in the Permian Basin in Southeast New Mexico and West Texas. Matador also operates in the Haynesville shale and Cotton Valley plays in Northwest Louisiana and East Texas. In addition, Matador has a large exploratory leasehold position in Southwest Wyoming and adjacent areas of Utah and Idaho where it is testing the Meade Peak shale. For more information, visit Matador Resources Company at www.matadorresources.com.