The deal adds 55 million barrels of oil equivalent to Matador’s proved reserves, alongside 16,235 net undeveloped acres in Eddy and Lea Counties. Current production from these assets sits at approximately 11,100 barrels of oil equivalent per day, with oil accounting for 57% of the output. The acquisition is scheduled to close in the fourth quarter of 2026.

Chairman and CEO Joseph Foran stated that the assets will be integrated into the company’s broader operating plan, with an eye toward driving cash flow and production efficiency. This expansion arrives as Matador reports strong performance from its first Woodford exploration well in New Mexico, which yielded 2,200 barrels of oil equivalent per day during a late-June test. With these developments, the company projects $1 billion in adjusted free cash flow for full-year 2026.