Company Announcements

DALLAS--(BUSINESS WIRE)--Jan. 27, 2026-- Matador Resources Company (NYSE: MTDR) (“Matador”) today provided an update on its hedging position, its 2025 A&D activity and certain Lea County, New Mexico development results. Together, these updates reflect Matador’s disciplined and opportunistic approach to the management of commodity price volatility, growth of its Delaware Basin portfolio and execution on operational efficiencies that continue to improve well performance.

Hedging Update – Opportunistic Additions

Matador opportunistically added hedges during recent commodity price increases and has now hedged approximately 35% to 40% of its 2026 oil production with costless collars at a weighted average floor price of $51.72 per barrel and a weighted average ceiling price of $65.05 per barrel. Consistent with its disciplined, value-driven approach, Matador’s hedging program is designed to provide downside protection and greater cash flow visibility while preserving meaningful exposure to stronger commodity prices. These additional hedges are expected to add to the protection of Matador’s balance sheet and postion it to return value to its shareholders at a wide range of commodity prices.

2025 A&D Update – “Brick-by-Brick” Approach Continues to Deliver

In 2025, Matador continued its long-standing “brick-by-brick” acquisition strategy, adding high-quality acreage throughout its core asset areas in the Delaware Basin. Matador completed over 690 separate transactions for approximately 17,500 net acres in acquisitions in 2025, bringing Matador’s Delaware Basin acreage total to 212,500 net acres as of December 31, 2025.

The total consideration for these acquisitions was approximately $245 million, or $14,000 per net acre, excluding capitalized general and administrative expenses. Many of these transactions involved the addition of interests in Matador-operated units that were drilled in 2025 or that are planned to be drilled in 2026. These acquisitions enhanced the immediate value of the assets and further improved the economics on the wells drilled at these locations.

Notably, Matador’s “brick-by-brick” approach resulted in the addition of 100 net locations in 2025, along with 23 upside locations, essentially replacing the locations drilled by Matador in 2025.

Improved Well Performance and Increased Efficiencies in Lea County Development

In 2025, Matador also continued to realize improved well performance and cost efficiencies through large-scale batch developments. For example, during the second half of 2025, Matador turned-to-sales a 17-well batch development—one of the largest developments in Matador’s history—on its John Callahan unit in Matador’s Antelope Ridge asset area in Lea County, New Mexico targeting multiple horizons in the Bone Springs and Wolfcamp formations. Early production results for this project show recoveries approximately 8% higher than Matador’s company-wide average normalized oil production for wells turned-to-sales in 2024 and 2025. These better-than-expected results are primarily attributable to improved well targeting, completion design and chemical optimization. Average lateral lengths of 10,300 feet, combined with full trimul-frac and simul-frac completion operations, reduced total well cost by 10% compared to Matador’s 2024 Lea County, New Mexico averages, further strengthening well economics even in stressed commodity environments. The John Callahan unit also reflects the benefits of Matador’s “brick-by-brick” land strategy discussed above, as Matador incrementally increased its working interest through the acquisition of additional interests in the unit, enhancing overall returns from the development.

About Matador Resources Company

Matador is an independent energy company that, together with its predecessor companies, has operated for over 40 years after being founded with investments from friends and family. Matador is 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 Wolfcamp and Bone Spring plays in the Delaware Basin in Southeast New Mexico and West Texas. Matador also operates in the Haynesville shale and Cotton Valley plays in Northwest Louisiana. Additionally, Matador owns and operates midstream assets in support of its exploration, development and production operations and provides natural gas processing, oil transportation services, natural gas, oil and produced water gathering services and produced water disposal services to third parties. Presently, the assets owned and operated by Matador and its midstream joint venture, San Mateo, include over 900 miles of pipelines, 19 saltwater disposal wells and processing plants with 720 MMcf per day of natural gas processing capacity. These assets provide flow assurance to Matador and to third-party customers.

For more information, visit Matador Resources Company at www.matadorresources.com.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. “Forward-looking statements” are statements related to future, not past, events. Forward-looking statements are based on current expectations and include any statement that does not directly relate to a current or historical fact. In this context, forward-looking statements often address expected future business and financial performance, and often contain words such as “could,” “believe,” “would,” “anticipate,” “intend,” “estimate,” “expect,” “may,” “should,” “continue,” “plan,” “predict,” “potential,” “project,” “hypothetical,” “forecasted” and similar expressions that are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Such forward-looking statements include, but are not limited to, statements about Matador’s hedging program and its expected benefits, financial and operational plans and results, the operational benefits of San Mateo’s midstream system and other statements that are not historical facts. Actual results and future events could differ materially from those anticipated in such statements, and such forward-looking statements may not prove to be accurate. These forward-looking statements involve certain risks and uncertainties, including, but not limited to, disruption from Matador’s acquisitions or dispositions making it more difficult to maintain business and operational relationships; significant transaction costs associated with Matador’s acquisitions or dispositions; the risk of litigation and/or regulatory actions related to Matador’s acquisitions or dispositions, as well as the following risks related to financial and operational performance: general economic conditions; Matador’s ability to execute its business plan, including whether its drilling program is successful; changes in oil, natural gas and natural gas liquids prices and the demand for oil, natural gas and natural gas liquids; its ability to replace reserves and efficiently develop current reserves; the operating results of Matador’s midstream oil, natural gas and water gathering and transportation systems, pipelines and facilities, the acquiring of third-party business and the drilling of any additional salt water disposal wells; costs of operations; delays and other difficulties related to producing oil, natural gas and natural gas liquids; delays and other difficulties related to regulatory and governmental approvals and restrictions; impact on Matador’s operations due to seismic events; its ability to make acquisitions on economically acceptable terms; its ability to integrate acquisitions; availability of sufficient capital to execute its business plan, including from future cash flows, capital markets, available borrowing capacity under its revolving credit facilities and otherwise; the operating results of and the availability of any potential distributions from our joint ventures; weather and environmental conditions; and the other factors that could cause actual results to differ materially from those anticipated or implied in the forward-looking statements. For further discussions of risks and uncertainties, you should refer to Matador’s filings with the Securities and Exchange Commission (“SEC”), including the “Risk Factors” section of Matador’s most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. Matador undertakes no obligation to update these forward-looking statements to reflect events or circumstances occurring after the date of this press release, except as required by law, including the securities laws of the United States and the rules and regulations of the SEC. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260127987606/en/

Mac Schmitz
Senior Vice President - Investor Relations
(972) 371-5225
investors@matadorresources.com

Source: Matador Resources Company