MGY - Magnolia Oil & Gas sets quarterly production record sees higher Q4 output

Magnolia Oil & Gas ( NYSE: MGY ) +2.7% in early trading Wednesday after reporting better than expected Q3 earnings and revenues, with Q4 production expected to rise at least 11% from a year ago.

Magnolia ( MGY ) said it set a quarterly record for production in Q3, rising 21% Y/Y and 10% Q/Q to 81.5K boe/day, and estimates Q4 production at 77K-79K boe/day, as most of the wells in the company's operating program are expected to come online toward the latter part of the quarter.

"As a result, we expect our total production to exit the year at a level that exceeds the record production achieved during the third quarter and further benefit production volumes during the first half of 2023," the  company said.

For Q3, Magnolia ( MGY ) said production topped the high end of company guidance despite spending just 30% of adjusted EBITDAX on drilling and completing wells.

Magnolia ( MGY ) said it continues to drive operating efficiencies; when comparing the 2022 total cost per stimulated foot for its development wells to the wells drilled in 2019, well costs per stimulated foot YTD have declined 26%, despite the inflationary environment seen in oilfield service costs.

Magnolia Oil & Gas' ( MGY ) stock price return shows a 32% YTD gain and a 27% increase during the past year .

For further details see: