Matador Resources closes 13,600-acre Woodford acquisition

Dallas - Matador Resources Company (MTDR) finalized the purchase of roughly 13,600 acres of land in the Woodford play, bringing its stake in the region to around 50,000 net acres. The acquisition, completed with a portfolio company of EnCap Investments, was executed at an average cost of $4,000 per acre. Matador targeted 150 operational Woodford locations at an average price of $1.3 million each.

The Rae's Creek Woodford well has already generated over 1,000 barrels of oil per day in its first 100 days, with cumulative production exceeding 100,000 barrels. The company anticipates surpassing initial recovery estimates of 800,000 barrels. Matador aims to drill an additional 15 wells by the end of 2027, employing multi-well batch drilling and co-development strategies.

CEO Joseph Wm. Foran emphasized that this transaction fortifies Matador's position in the Woodford play and its overall inventory base spanning over 15 years. The firm anticipates debt repayments totaling between $350 million and $400 million by year-end. Matador Resources is an independent energy firm concentrating on oil and natural gas exploration and production in the Delaware Basin of Southeast New Mexico and West Texas.