Key Points

- Diamondback (FANG) raises its Q3 production forecast to 565,000-569,000 barrels of oil equivalent per day.
- The company also increases its CapEx guidance to $675-$700 million for the third quarter.
- The adjustments come after Diamondback's recent acquisition.

Diamondback Energy Inc. (FANG) has announced an upward revision to its third-quarter production and capital expenditure (CapEx) guidance following a recent acquisition. The energy company now projects its Q3 production to be in the range of 565,000-569,000 barrels of oil equivalent per day, reflecting an increase from previous estimates.

In addition to boosting its production forecast, Diamondback has also elevated its CapEx guidance for the third quarter. The company now anticipates capital expenditures to be in the range of $675-$700 million, signaling a significant increase compared to earlier projections.

These adjustments come in the wake of Diamondback's recent acquisition, which appears to have prompted the company to revise its Q3 production and CapEx guidance. By raising both production and capital expenditure projections, Diamondback is positioning itself for growth and expansion in the current market environment.

The decision to boost the Q3 production forecast and CapEx guidance underscores Diamondback's commitment to maximizing its operational capabilities and capitalizing on strategic opportunities in the energy sector. With the acquisition playing a pivotal role in shaping these developments, the company is poised to leverage its expanded portfolio and resources for sustained growth.

In response to the acquisition and evolving market conditions, Diamondback's decision to increase its production and CapEx projections highlights the company's proactive approach to enhancing its operational performance and seizing growth opportunities in the energy industry. By aligning its forecasts with its strategic objectives, Diamondback is well-positioned to capitalize on emerging trends and drive value for its stakeholders.

Diamondback's decision to raise its Q3 production and CapEx guidance following the recent acquisition reflects the company's confidence in its growth prospects and its commitment to delivering strong results for investors. With an eye towards maximizing operational efficiency and capitalizing on new opportunities, Diamondback is well-equipped to navigate the evolving energy landscape and drive sustainable value creation.

About FANG

Diamondback Energy, Inc., an independent oil and natural gas company, focuses on the acquisition, development, exploration, and exploitation of unconventional and onshore oil and natural gas reserves in the Permian Basin in West Texas. It focuses on the development of the Spraberry and Wolfcamp formations of the Midland basin; and the Wolfcamp and Bone Spring formations of the Delaware basin, which are part of the Permian Basin in West Texas and New Mexico. As of December 31, 2021, the company's total acreage position was approximately 524,700 gross acres in the Permian Basin; and estimated proved oil and natural gas reserves were 1,788,991 thousand barrels of crude oil equivalent. It also held working interests in 5,289 gross producing wells, as well as royalty interests in 6,455 additional wells. In addition, the company owns mineral interests approximately 930,871 gross acres and 27,027 net royalty acres in the Permian Basin and Eagle Ford Shale; and owns, operates, develops, and acquires midstream infrastructure assets, including 866 miles of crude oil gathering pipelines, natural gas gathering pipelines, and an integrated water system in the Midland and Delaware Basins of the Permian Basin. Diamondback Energy, Inc. was founded in 2007 and is headquartered in Midland, Texas.

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