Magnolia Oil & Gas provides interim update after closing Wildfire Energy acquisition
MGY•Magnolia Oil & Gas said it expects at least one-third of more than $100 million in synergies by year-end 2026. It estimated third-quarter 2026 production of 116,000-118,000 barrels of oil equivalent per day and 2027 production growth of 4%-5%.
1. Outlook and spending
After closing its acquisition of Wildfire Energy, Magnolia estimated third-quarter 2026 drilling and completion capital spending of $155 million-$165 million and fourth-quarter spending of about $235 million. It estimates 2027 spending of $900 million-$950 million and expects $65 million-$75 million in one-time deal and integration costs in the third quarter of 2026.
2. Production and hedges
Magnolia estimated third-quarter 2026 production at 116,000-118,000 barrels of oil equivalent per day, about 42% oil, and forecast 4%-5% growth in oil and total production in 2027. The company said it implemented oil hedges during the third quarter, supplementing hedges inherited in the Wildfire acquisition, and put costless collars in place covering more than half its oil production through the second quarter of 2027.
