Northern Oil and Gas(NOG) - 2025 Q3 - Quarterly Results

Acquisition and Production - NOG closed a bolt-on acquisition of royalty and mineral interests for $98.3 million, adding approximately 1,000 net royalty acres and over 400 gross locations[5][7]. - Average production for the acquired properties is expected to be around 900 boe per day, with over 85% being oil, and steady production growth anticipated over multiple years[6]. - Ground game transactions in Q3 included $59.8 million in acquisition costs, adding over 2,500 net acres and 5.8 net wells across four basins[9][11]. - Well performance has exceeded expectations across all active basins, contributing to increased production guidance and low-breakeven momentum[12][13]. - NOG is increasing annual production guidance to 75,000 – 76,500 Bopd for oil and 132,500 – 134,000 Boepd for total volumes[16]. Financial Performance - NOG recorded unrealized mark-to-market gains on derivatives of approximately $15.4 million and realized hedge gains of about $55.4 million in Q3[17]. - The acquisition is expected to be accretive to key financial metrics, including earnings per share and free cash flow over a multi-year period[7]. - The company expects total capital expenditures of approximately $272 million for Q3, tightening annual capital expenditure guidance to $950 – $1,025 million[15][16]. - NOG expects to record a non-cash impairment charge of $310 to $330 million in Q3 2025 due to lower average oil prices[29]. Future Outlook and Risks - The company has hedged over 50,000 barrels per day of oil for Q4 2025 and over 48,000 barrels per day for Q1 2026, ensuring price protection for future production[18]. - Forward-looking statements regarding NOG's financial position and business strategy are subject to risks and uncertainties, including changes in crude oil and natural gas prices[33]. - NOG does not undertake any duty to update or revise forward-looking statements except as required by federal securities laws[34]. - The company faces risks related to the pace of drilling and completions activity on its properties and those pending acquisition[33]. - NOG's actual results may differ materially from estimates due to final adjustments and other developments after the release date[31]. - The company is subject to various factors that could affect its operations, including economic conditions and regulatory requirements[33]. - NOG's management considers its expectations and assumptions about future events to be reasonable, but they are inherently subject to significant risks[34]. Investor Relations - The company has a Vice President of Investor Relations, Evelyn Leon Infurna, for investor inquiries[34].