Matador Resources Acquires Paloma Permian in $1.27 Billion Deal
Matador Resources has agreed to acquire Paloma Permian from EnCap Investments for $1.27 billion, adding approximately 16,235 net undeveloped acres and an estimated Q3 production of 11,100 boepd in the Delaware Basin. The acquisition is expected to close by Q4 2026 and will expand Matador's total acreage in the region to around 240,000 acres. In a related move, Matador also plans to acquire additional Woodford formation acreage from Ridge Runner Resources II, another EnCap portfolio company. This acquisition is part of an ongoing strategy that aims to build nearly 50,000 contiguous net undeveloped acres in the area. The combined transactions are expected to enhance production efficiency and cash flow generation. Matador's CEO Joseph Wm. Foran highlighted the strategic importance of these acquisitions for expanding Matador’s asset base and improving operational performance. Initial results from a Woodford exploratory well showed strong output, with initial rates exceeding 2,200 boepd.
Tickers: $MTDR
Topics: acquisitions oil and gas Permian Basin