Core Viewpoint - Matador Resources Company is actively managing commodity price volatility through a disciplined hedging strategy, expanding its Delaware Basin portfolio, and improving operational efficiencies to enhance well performance [1]. Hedging Update - Matador has hedged approximately 35% to 40% of its 2026 oil production using costless collars with a weighted average floor price of $51.72 per barrel and a ceiling price of $65.05 per barrel, aiming to provide downside protection and cash flow visibility while maintaining exposure to higher commodity prices [2]. 2025 A&D Update - In 2025, Matador executed its "brick-by-brick" acquisition strategy, completing over 690 transactions for approximately 17,500 net acres, increasing its total Delaware Basin acreage to 212,500 net acres as of December 31, 2025 [3][4]. - The total consideration for these acquisitions was around $245 million, or $14,000 per net acre, enhancing the immediate value of the assets and improving well economics [4]. - This strategy resulted in the addition of 100 net locations and 23 upside locations, effectively replacing the locations drilled in 2025 [5]. Improved Well Performance and Increased Efficiencies - Matador achieved improved well performance and cost efficiencies through large-scale batch developments, notably a 17-well batch development on the John Callahan unit, which showed recoveries approximately 8% higher than the company-wide average for wells turned-to-sales in 2024 and 2025 [6]. - The average lateral lengths of 10,300 feet and optimized completion operations reduced total well costs by 10% compared to 2024 averages, enhancing well economics even in challenging commodity environments [6].