Business Wire·May 21, 2026, 4:40 PM ET

Matador Resources Company Announces Successful Acquisitions in Federal Lease Sale

Matador Resources Company completed a $1.1 billion acquisition of 5,154 net undeveloped acres in the core of the Delaware Basin through a BLM lease sale.
The newly acquired acreage is located in the "core-of-the-core" of the Delaware Basin with nine or more discrete prospective formations.
The purchase price implies approximately $7.3 million per location after accounting for anticipated midstream value.
Funding for the transaction will come from cash on hand & the company's existing credit facility.
Matador has fully repaid its reserve-based lending (RBL) facility to ensure ample liquidity for the deal.
The company anticipates full-year 2026 adjusted free cash flow to approach $1.2 billion based on early May 2026 pricing strips.
The acquisition adds over 141 net operated locations normalized to 2-mile laterals, including opportunities for extended reach laterals & U-Turn well designs.
Lease terms include an 87.5% net revenue interest with a 10-year term across all depths.
New assets are strategically adjacent to existing operated units, offering potential cost advantages 10-20% below the corporate average.
Matador expects to substantially pay down the acquisition by year-end 2026 & fully retire the RBL in the first half of 2027.
The company plans to host its Annual Meeting on June 11, 2026, in Dallas to share further operational & financial updates.