Matador Doubles Down on Delaware Basin with $1.48B Acquisition Spree

Matador Resources Company (NYSE: MTDR) has made two strategic bolt-on acquisitions in the Delaware Basin, totaling approximately $1.475, $1.48 billion. The larger deal involves the purchase of Paloma Permian LLC for $1.275 billion in cash. This acquisition expands Matador's position in the emerging Woodford formation and adds more than 156 net drilling locations.

The Ridge Runner transaction adds primarily undeveloped acreage, creating a contiguous ~50,000-net-acre Woodford position concentrated in New Mexico and West Texas. The combined transactions lift Matador's total Delaware Basin acreage to approximately 240,000 net acres.

Matador's Founder, Chairman and CEO, Joseph Wm. Foran, stated: 'Matador is excited to announce this catalyst and the expansion of our Delaware Basin asset base with these assets from Paloma… we anticipate this acquisition will be integrated efficiently into Matador’s operating plan, contribute to Matador’s cash flow generation and deliver significant efficiency gains, increases in oil and natural gas production, and reserve growth.'

The company expects roughly $1 billion in adjusted free cash flow for full-year 2026, which should support rapid debt repayment and a return of leverage toward 1.0x within 12-18 months of closing.