Mach Natural Resources LP (NYSE: MNR) has announced its financial and operational results for the second quarter of 2024, showcasing a robust performance despite market challenges. The company reported total revenue of $240 million, net income of $40 million, and Adjusted EBITDA of $136 million. In line with its commitment to returning value to unitholders, Mach has declared a quarterly cash distribution of $0.90 per unit, reflecting its strong cash flow management and disciplined operational strategy.
In the second quarter of 2024, Mach Natural Resources LP reported the following regarding its drilling activities:
- The company spud 12 gross (10 net) operated wells and brought online 14 gross (12 net) operated wells.
- As of June 30, 2024, the company had 5 gross (4 net) operated wells in various stages of drilling and completion.
Additionally, Mach reduced its operated rig count in the Oswego from two rigs to one during the quarter. This decision was made as part of their strategic framework, prioritizing a disciplined reinvestment rate. This reduction in the rig count also led to a 15% reduction in the midpoint of full-year capital expenditure guidance.
The report you provided outlines the second-quarter 2024 results for Mach Natural Resources LP. Here are the key highlights:
- Financial Performance:
- Revenue: $240 million.
- Net Income: $40 million.
- Adjusted EBITDA: $136 million.
- Net Cash Provided by Operating Activities: $117 million.
- Production and Operations:
- Average Production: 89.3 thousand barrels of oil equivalent per day (Mboe/d), which includes 23% oil, 53% natural gas, and 24% natural gas liquids (NGLs).
- Production Revenues: $232 million, with 65% from oil, 15% from natural gas, and 20% from NGLs.
- Lease Operating Expense: $5.72 per barrel of oil equivalent (Boe).
- The company spud 12 gross operated wells and brought online 14 gross operated wells.
- Distributions:
- Declared a quarterly cash distribution of $0.90 per unit, to be paid on September 10, 2024, to common unitholders of record as of August 27, 2024.
- Operational Adjustments:
- Reduced the operated rig count in the Oswego from two rigs to one.
- Updated full-year 2024 guidance reflects operational efficiencies, with an expected full-year oil volume range between 82.2 Mboe/d to 87.2 Mboe/d.
- Capital Expenditures:
- Total capital expenditures (excluding acquisitions) were $46 million, including $41 million for upstream capital and $5 million for other capital.
Mach Natural Resources LP continues to demonstrate its resilience and commitment to delivering value to its unitholders through disciplined financial management and strategic operational decisions. The company’s strong second-quarter performance and the declared cash distribution underscore its ability to navigate market challenges while maintaining a focus on long-term growth. As Mach looks ahead, it remains well-positioned to capitalize on operational efficiencies and sustain its distribution-focused strategy, ensuring continued value creation for its stakeholders.
