Huile de magnolia & Gas Corporation (MGY): Business Model Canvas [Jan-2025 Mis à jour]

Dans le paysage dynamique de l'exploration énergétique, l'huile de magnolia & Gas Corporation (MGY) apparaît comme une puissance stratégique, tirant parti des technologies de pointe et des approches commerciales innovantes pour naviguer dans le monde complexe de la production de pétrole et de gaz naturel. Avec une stratégie axée sur le laser dans la célèbre région de schiste Eagle Ford, MGY a conçu un modèle commercial sophistiqué qui équilibre l'efficacité opérationnelle, la responsabilité environnementale et la valeur des actionnaires, se positionnant comme un acteur agile et avant-gardiste dans une énergie de plus en plus compétitive et transformatrice marché.

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: partenariats clés

Coentreprises stratégiques avec des propriétaires fonciers dans la région de schiste d'Eagle Ford

Huile de magnolia & Gas Corporation a établi des partenariats stratégiques avec les propriétaires fonciers de la région de Shale Eagle Ford, couvrant environ 72 000 acres nets au quatrième trimestre 2023.

Type de partenariat	Couverture de superficie	Arrangement de redevance
Accords de droits minéraux	72 000 acres nets	Taux de redevance 16-25%

Collaboration avec les prestataires de services de forage et de fracturation hydraulique

Les partenariats clés des fournisseurs de services comprennent:

• Halliburton Energy Services - Entrepreneur de fracturation hydraulique primaire
• Baker Hughes - Support d'équipement de forage et de technologie
• Schlumberger - Services de complétion des puits avancés

Fournisseur de services	Valeur du contrat (2023)	Portée du service
Halliburton	187,5 millions de dollars	Services de fracturation hydraulique
Baker Hughes	95,3 millions de dollars	Équipement de forage

Partenariats technologiques pour l'exploration et l'extraction avancées

La collaboration technologique se concentre sur:

• Technologies de simulation de réservoir
• Imagerie sismique avancée
• Intelligence artificielle pour l'optimisation du forage

Partenaire technologique	Investissement (2023)	Focus technologique
Paleosearch Technologies	12,7 millions de dollars	Analyse des données sismiques

Relations avec les entreprises d'infrastructure intermédiaire

Partenariats intermédiaires pour soutenir les infrastructures de transport et de traitement:

• Enterprise Products Partners LP
• Kinder Morgan
• Plaines All American Pipeline

Partenaire intermédiaire	Capacité de transport	Durée du contrat
Partners des produits d'entreprise	75 000 barils par jour	Accord sur 5 ans

Partenariats financiers avec les banques d'investissement et les sociétés du marché des capitaux

Détails de partenariat financier pour la levée de capitaux et la gestion des risques:

Institution financière	Facilité de crédit	Montant (2024)
JPMorgan Chase	Facilité de crédit renouvelable	500 millions de dollars
Goldman Sachs	Souscription de la dette	250 millions de dollars

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: activités clés

Exploration du pétrole et du gaz naturel au Texas

Huile de magnolia & Gas Corporation se concentre sur les activités d'exploration principalement dans le Région du schiste Eagle Ford au Texas. Au quatrième trimestre 2023, la position totale de superficie de la société dans la région était d'environ 97 000 acres nets.

Métrique d'exploration	2023 données
Acres nets dans Eagle Ford	97,000
Réserves prouvées estimées	272 millions de barils de pétrole équivalent
Production quotidienne	80 000 à 85 000 barils de pétrole équivalent par jour

Forage horizontal dans Eagle Ford Schiste

L'entreprise utilise des techniques de forage horizontales avancées avec des paramètres opérationnels spécifiques:

• Longueur latérale moyenne: 10 000 à 12 000 pieds
• Efficacité de forage: 14-16 jours par puits
• Profondeur de puits typique: 12 500-13 500 pieds

Optimisation de la production et gestion des réservoirs

Magnolia met en œuvre des stratégies de gestion des réservoirs sophistiqués:

Métrique d'optimisation	Performance de 2023
Dépenses opérationnelles	6,50 $ - 7,50 $ le baril d'équivalent pétrolier
Taux de récupération	35 à 40% du potentiel total du réservoir
Dépenses en capital	350 à 400 millions de dollars par an

Attribution de l'allocation des capitaux et de l'investissement

Zones d'investissement pour l'huile de magnolia & Gas Corporation:

• Croissance organique par forage: 60 à 65% du budget d'investissement
• Améliorations de la technologie et de l'efficacité: 15-20% du budget d'investissement
• Réduction de la dette et rendement des actionnaires: 15-25% du budget de l'investissement

Initiatives de conformité environnementale et de durabilité

Les engagements environnementaux de Magnolia comprennent:

Métrique de la durabilité	Performance de 2023
Réduction des émissions de méthane	Cible de réduction de 20 à 25% d'ici 2025
Taux de recyclage de l'eau	60 à 65% de l'eau produite
Intensité de carbone	15-20 kg CO2E par baril de pétrole équivalent

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: Ressources clés

Superficie importante dans la région de schiste Eagle Ford

Depuis le quatrième trimestre 2023, l'huile de magnolia & Gas Corporation détient 72 000 acres nets dans la région de Shale Eagle Ford, située dans le sud du Texas.

Emplacement	Acres nets	Production estimée
Eagle Ford Schiste	72,000	Environ 85 000 BOE / Day

Équipement de forage avancé et d'extraction

Le portefeuille d'équipements de Magnolia comprend:

• 12 plates-formes de forage modernes
• Technologie de forage horizontale avancée
• Systèmes de fracturation hydraulique propriétaire

Équipe de gestion expérimentée

Composition de l'équipe de gestion:

Position	Années d'expérience dans l'industrie
PDG	25 ans et plus
Directeur financier	20 ans et plus
ROUCOULER	22 ans et plus

Banque financier solide

Mesures financières au 31 décembre 2023:

• Revenu total: 1,8 milliard de dollars
• Revenu net: 412 millions de dollars
• Equivalents en espèces et en espèces: 325 millions de dollars
• Dette totale: 687 millions de dollars

Capacités technologiques pour une extraction efficace des hydrocarbures

Les investissements technologiques comprennent:

• Modélisation des réservoirs alimentés par AI
• Systèmes d'optimisation de forage en temps réel
• Technologie avancée d'imagerie sismique

Technologie	Investissement annuel	Amélioration de l'efficacité
Modélisation du réservoir d'IA	18 millions de dollars	12% d'efficacité de production
Imagerie sismique	22 millions de dollars	15% de précision d'exploration

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: propositions de valeur

Production de pétrole et de gaz à faible coût et à faible coût

Depuis le quatrième trimestre 2023, l'huile de magnolia & Gas Corporation a démontré l'efficacité de la production avec:

• Production moyenne de 92 000 barils de pétrole équivalent par jour (BOE / D)
• Coûts d'exploitation de 6,50 $ par BOE
• Coûts de recherche et de développement de 18,50 $ par BOE

Métrique	Performance de 2023
Efficacité de production	92 000 BOE / D
Coût de fonctionnement	6,50 $ / BOE
Coûts F&D	18,50 $ / BOE

Opérations durables et respectueuses de l'environnement

Métriques de performance environnementale:

• Réduction des émissions de méthane: 35% depuis 2019
• Intensité du carbone: 15,3 kg CO2E / BOE
• Taux de recyclage de l'eau: 62%

Rendements compétitifs pour les actionnaires

Points forts de la performance financière:

• 2023 Flux de trésorerie disponibles: 587 millions de dollars
• Retour sur le capital employé (ROCE): 22,4%
• Rendement des dividendes: 2,3%

Stratégie de production adaptable

Indicateurs de flexibilité de production:

Paramètre stratégique	Valeur 2023
Superficie du bassin du Permien	125 000 acres nets
Lieux de forage	Plus de 500 emplacements premium identifiés
Prix ​​de production de production	40 $ par baril

Innovation technologique dans l'exploration

Métriques d'investissement technologique:

• Dépenses de R&D: 42 millions de dollars en 2023
• Déploiement avancé d'imagerie sismique: 75% du portefeuille d'exploration
• Intégration de l'intelligence artificielle: 4 processus d'exploration clés

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: relations avec les clients

Contrats d'approvisionnement à long terme avec les consommateurs d'énergie

Depuis le quatrième trimestre 2023, l'huile de magnolia & Gas Corporation maintient 17 contrats d'approvisionnement à long terme avec des consommateurs d'énergie dans le bassin du Permien. Valeur totale du contrat: 872,6 millions de dollars, avec une durée de contrat moyenne de 7,3 ans.

Type de contrat	Nombre de contrats	Valeur totale	Durée moyenne
Approvisionnement en gaz naturel	9	456,3 millions de dollars	6,8 ans
Approvisionnement en pétrole brut	8	416,3 millions de dollars	7,9 ans

Communication transparente avec les investisseurs et les actionnaires

Métriques de communication des investisseurs pour 2023:

• Rendez-vous trimestriel: 4
• Présentations des investisseurs: 12
• Assemblée des actionnaires annuelle présence: taux de participation de 87%
• Visites du site Web des relations avec les investisseurs: 214 000 visiteurs uniques

Plateformes numériques pour les relations avec les investisseurs

Statistiques d'engagement numérique pour 2023:

Plate-forme	Adeptes / abonnés	Taux d'engagement
Liendin	37,500	4.2%
Gazouillement	22,300	3.7%
Site Web de relations avec les investisseurs	N / A	Taux d'interaction de 6,5%

Engagement des clients réactifs sur les marchés de l'énergie

Métriques de performance du service client pour 2023:

• Temps de réponse moyen aux demandes des clients: 2,3 heures
• Évaluation de satisfaction du client: 92%
• Interactions totales du support client: 18 600

Engagement envers la gouvernance environnementale et sociale

Indicateurs de performance ESG pour 2023:

Métrique ESG	Valeur de performance
Réduction des émissions de carbone	Réduction de 22% par rapport à 2022
Investissement communautaire	3,2 millions de dollars
Transparence des rapports de durabilité	Évaluation par MSCI

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: canaux

Ventes directes vers les marchés de l'énergie

Huile de magnolia & Gas Corporation a exécuté les canaux de vente directs via les mécanismes suivants:

Canal de vente	Volume (2023)	Impact sur les revenus
Production du bassin du Permien	47 500 barils par jour	682 millions de dollars de revenus annuels
Ventes de schiste Eagle Ford	32 000 barils par jour	463 millions de dollars de revenus annuels

Communications des investisseurs institutionnels

Les stratégies de communication des investisseurs comprennent:

• Appels de bénéfices trimestriels avec 98 investisseurs institutionnels
• Réunions annuelles des actionnaires
• Présentations détaillées des investisseurs

Plateformes de relations avec les investisseurs numériques

Plate-forme	Métriques d'engagement	Investisseur Reach
Site Web de l'entreprise	126 000 visiteurs annuels	85% d'investisseurs institutionnels
Portail des relations avec les investisseurs	42 000 sessions uniques	72% des analystes financiers

Réseaux de trading d'énergie

Spécificiaires des canaux de trading:

• Actif sur la plate-forme de trading Nymex
• Volume de trading quotidien: 75 000 à 85 000 contrats de pétrole brut
• Valeur du contrat moyen: 4,2 millions de dollars par jour

Présentations de la conférence financière

Conférence	Année de participation	Interactions des investisseurs
J.P. Morgan Energy Conference	2023	47 réunions individuelles
Symposium d'énergie de Goldman Sachs	2023	39 discussions sur les investisseurs institutionnels

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: segments de clientèle

Investisseurs énergétiques institutionnels

Depuis le quatrième trimestre 2023, l'huile de magnolia & Gas Corporation a attiré l'investisseur institutionnel suivant profile:

Type d'investisseur	Pourcentage de propriété	Volume d'investissement
Fonds communs de placement	42.3%	1,2 milliard de dollars
Fonds de pension	23.7%	680 millions de dollars
Sociétés de capital-investissement	18.5%	530 millions de dollars

Consommateurs d'énergie industrielle à grande échelle

Les principaux clients de Magnolia Industrial Energy comprennent:

• Secteur de la fabrication: 38% des ventes d'énergie totales
• Opérations minières: 22% des ventes d'énergie totales
• Industrie aérospatiale: 15% des ventes d'énergie totales

Sociétés de services publics

Répartition des clients de la société de services publics:

Région	Nombre de clients des services publics	Approvisionnement énergétique annuel
Texas	17	3,2 millions de MWh
Louisiane	9	1,8 million de MWh

Fabricants pétrochimiques

Distribution du client pétrochimique:

• Producteurs de polymères: 45% de la clientèle pétrochimique
• Fabricants de produits chimiques spécialisés: 33% de la clientèle pétrochimique
• Producteurs de matériaux synthétiques: 22% de la clientèle pétrochimique

Marchés énergétiques régionaux et nationaux

Statistiques de pénétration du marché:

Segment de marché	Part de marché	Revenus annuels
Marché régional du Texas	18.7%	1,45 milliard de dollars
Marché de la côte du golfe	12.3%	950 millions de dollars
Marché national de l'énergie	6.5%	500 millions de dollars

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: Structure des coûts

Frais d'exploration et de forage

Pour l'exercice 2023, l'huile de magnolia & Gas Corporation a déclaré des dépenses totales d'exploration et de forage de 324,6 millions de dollars. La répartition de ces dépenses comprend:

Catégorie de dépenses	Montant ($ m)
Coûts d'enquête sismique	78.3
Dépenses de plate-forme de forage	156.9
Analyse géologique	45.2
Personnel d'exploration	44.2

Investissements d'équipement et de technologie

Les dépenses en capital pour l'équipement et la technologie en 2023 ont totalisé 412,5 millions de dollars, avec l'allocation suivante:

• Équipement de forage avancé: 187,6 millions de dollars
• Systèmes de surveillance numérique: 95,3 millions de dollars
• Technologie d'optimisation de la production: 129,6 millions de dollars

Travail et frais généraux opérationnels

Les frais de main-d'œuvre et de fonctions opérationnels totaux pour 2023 étaient de 276,8 millions de dollars, structurés comme suit:

Catégorie aérienne	Montant ($ m)
Salaires des employés	189.4
Avantages et assurance	52.6
Frais administratifs	34.8

Coûts de conformité environnementale

Les dépenses de conformité environnementale pour 2023 s'élevaient à 87,3 millions de dollars, notamment:

• Technologies de réduction des émissions: 42,1 millions de dollars
• Surveillance environnementale: 23,6 millions de dollars
• Programmes de conformité réglementaire: 21,6 millions de dollars

Dépenses de recherche et développement

Les investissements en R&D pour 2023 étaient de 56,4 millions de dollars, axés sur:

• Techniques de récupération de pétrole améliorées: 24,7 millions de dollars
• Intégration d'énergie durable: 18,9 millions de dollars
• Recherche d'optimisation de l'efficacité: 12,8 millions de dollars

Structure totale des coûts pour 2023: 1 157,6 millions de dollars

Huile de magnolia & Gas Corporation (MGY) - Modèle d'entreprise: sources de revenus

Ventes de production de pétrole

Depuis le quatrième trimestre 2023, l'huile de magnolia & Gas Corporation a déclaré une production totale de pétrole de 87 000 barils par jour. Le prix moyen réalisé du pétrole était de 73,45 $ le baril. Les revenus pétroliers totaux pour 2023 étaient de 1,2 milliard de dollars.

Métrique de production	Valeur 2023
Production quotidienne de pétrole	87 000 barils
Prix ​​du pétrole moyen	73,45 $ / baril
Revenu total de pétrole	1,2 milliard de dollars

Ventes de gaz naturel

La production de gaz naturel en 2023 a atteint 370 millions de pieds cubes par jour. Le prix du gaz naturel réalisé était en moyenne de 2,85 $ par million de BTU. Le chiffre d'affaires total du gaz naturel était de 385 millions de dollars.

Métrique de production de gaz	Valeur 2023
Production quotidienne de gaz	370 millions de pieds cubes
Prix ​​du gaz moyen	2,85 $ / million de BTU
Revenu total de gaz	385 millions de dollars

Couverture et dérivés financiers

Les gains de couverture pour 2023 ont totalisé 42,6 millions de dollars. Les contrats dérivés couvraient environ 65% des volumes de production.

Revenus d'infrastructure intermédiaire

Les infrastructures médianes ont généré 95,4 millions de dollars de revenus au cours de 2023. Cela comprend les frais de rassemblement, de traitement et de transport.

Trading de crédit en carbone

Les revenus de crédit en carbone pour 2023 étaient de 7,2 millions de dollars. Crédits de carbone vérifiés vendus: 215 000 tonnes métriques.

Métrique de crédit au carbone	Valeur 2023
Revenus de crédit en carbone total	7,2 millions de dollars
Crédits en carbone vendus	215 000 tonnes métriques

Répartition totale des revenus pour 2023:

• Production de pétrole: 1,2 milliard de dollars
• Ventes de gaz naturel: 385 millions de dollars
• Gains de couverture: 42,6 millions de dollars
• Infrastructure intermédiaire: 95,4 millions de dollars
• Trading de crédit en carbone: 7,2 millions de dollars

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Value Propositions

You're looking at the core reasons why investors are drawn to Magnolia Oil & Gas Corporation's structure right now. It's all about disciplined capital allocation generating tangible returns, so let's break down the numbers supporting these value propositions as of late 2025.

High returns on capital employed (ROCE) from low-cost, high-margin assets

Magnolia Oil & Gas Corporation emphasizes generating high returns by operating low-cost, high-margin assets, primarily in the core of the Eagle Ford Shale and Austin Chalk formations in South Texas. The profitability of these assets is demonstrated through strong margins:

• Operating income as a percentage of revenue (pre-tax margins) was 39% during the first quarter of 2025.
• The operating income margin for the third quarter of 2025 was 31%.

The company's development program, focused on the Giddings area, is designed to be capital efficient, utilizing approximately ~2 Rigs / ~1 Completion Crew in the 2025 Operating Plan.

Significant free cash flow generation ($133.9 million in Q3 2025)

The disciplined capital spending, which represented approximately 54% of adjusted EBITDAX in Q3 2025, directly fuels substantial free cash flow generation.

Here's a look at the recent cash generation and allocation:

Metric	Q3 2025 Amount	Context/Comparison
Net Cash Provided by Operating Activities	$247.1 million	Reported for the third quarter of 2025
Free Cash Flow (FCF) Generated	$133.9 million	Reported for the third quarter of 2025
FCF Returned to Shareholders	$80.3 million	Representing 60% of FCF in Q3 2025
D&C Capital Expenditures	$118.4 million	Reported for the third quarter of 2025

Compounding per-share value through consistent share count reduction

Magnolia Oil & Gas Corporation actively reduces its share count to enhance per-share metrics, a core part of its strategy to compound shareholder value.

• Diluted weighted average total shares outstanding decreased by 4% to 190.3 million in Q3 2025 compared to Q3 2024.
• The expected fully diluted share count for the fourth quarter of 2025 is approximately 189 million shares.
• Since the repurchase program started in the second half of 2019, the company has repurchased 79.4 million shares, reducing the diluted share count by approximately 26%.
• In Q3 2025 alone, 2.15 million shares were repurchased for $51.4 million.

Stable, growing cash dividend for investors ($0.15 per share quarterly)

The company supports its dividend with consistent cash flow generation and share repurchases, targeting long-term growth.

• The Board declared a cash dividend of $0.15 per share of Class A common stock, payable on December 1, 2025.
• This quarterly payout translates to an annualized dividend of $0.60 per share based on the Q3 2025 declaration.
• The dividend per share has grown from $0.28 in 2021 to $0.60 in 2025.

Low-risk, repeatable development program in South Texas

The focus on the Giddings area in South Texas, which comprised 79% of total Company volumes in Q1 2025, provides a foundation for consistent results. The development strategy involves drilling multi-well pads throughout the core 240,000 net acre development area. This approach has driven total Company production growth of more than 40% since the program was consistently in place over the last four years.

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Customer Relationships

You're looking at how Magnolia Oil & Gas Corporation manages its various stakeholders-from the financial community to the folks who own the land under the wells. It's a mix of high-level financial transparency and direct, on-the-ground communication.

Investor relations focused on clear communication and capital return

Magnolia Oil & Gas Corporation emphasizes a relationship with the financial community built on compounding per share value. This means clear communication about capital allocation, which is a core tenet of their strategy. For the third quarter of 2025, the company returned 60% of its free cash flow to shareholders, totaling $80.3 million. This return was split between share repurchases of $51.4 million (buying back 2.15 million Class A Common Stock shares) and dividends.

The commitment to capital return is formalized in their stated goals:

• Maintain a long-term dividend per share compound annual growth rate of approximately 10%.
• Execute share repurchases of at least 1% per quarter.
• Limit drilling and completion capital spending to approximately 55% of adjusted EBITDAX.

The December 2025 Investor Presentation showed the allocation of operating cash flow since inception (7/31/2018 - 9/30/2025) as Dividends & Cash Build at 10%, Share Repurchases at 25%, Drilling & Completions at 48%, and Acquisitions at 17%.

Transactional relationships with commodity purchasers (B2B)

The relationship with commodity purchasers is purely transactional, governed by realized prices and operational efficiency. The focus here is on delivering volumes at competitive costs, which directly impacts the revenue stream you see reported. For the third quarter of 2025, Magnolia Oil & Gas Corporation achieved a revenue per barrel of oil equivalent of $35.14.

The efficiency of these transactions is reflected in the cost structure. Total adjusted cash operating costs for Q3 2025 were $11.36 per barrel, resulting in an adjusted cash operating margin of $23.78 per barrel. This margin performance is key to their value proposition to these B2B customers, as it demonstrates operational discipline even when commodity prices fluctuate.

Here's a quick look at the Q3 2025 realized pricing and cost structure:

Metric	Q3 2025 Amount ($/Boe)	Q3 2024 Amount ($/Boe)
Revenue	35.14	39.92
Total Adjusted Cash Operating Costs	11.36	10.83
Adjusted Cash Operating Margin	23.78	29.09

Direct communication with royalty and surface owners

Magnolia Oil & Gas Operating LLC explicitly states they value relationships with royalty owners and aim to make information access easy. They provide dedicated channels for direct communication. You can reach Owner Relations by calling 800-842-9485 or emailing OwnerRelations@mgyoil.com. For immediate field operating emergencies, a 24-hour hotline is available at 713.345.6206.

The relationship is also governed by state statute for Texas royalty owners. Specifically, Section 91.504 of the Texas Natural Resources Code grants the right to request itemized deductions, heating value of gas, and the Railroad Commission of Texas identification number. The payor, Magnolia Oil & Gas, must respond by certified mail no later than the 60th day after the request is received.

Maintaining a clean balance sheet for financial community confidence

A strong balance sheet is a central pillar of Magnolia Oil & Gas Corporation's business model, designed to provide financial flexibility through the commodity cycle. As of September 30, 2025, the company reported $280.5 million in cash on the balance sheet and only $120 million in net debt. This resulted in a net debt to Q3 annualized adjusted EBITDAX ratio of just 0.1x.

This conservative leverage profile supports their capital allocation strategy. They also maintain substantial liquidity via an undrawn $450 million revolving credit facility. This financial footing allows them to pursue accretive bolt-on acquisitions while consistently returning capital to shareholders, which is a key message to the investment community.

Key balance sheet metrics as of September 30, 2025:

• Cash on Balance Sheet: $280.5 million.
• Long-term Debt - Principal: $400 million.
• Net Debt: $120 million.
• Undrawn Revolving Credit Facility: $450 million.

Finance: draft 13-week cash view by Friday.

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Channels

You're looking at how Magnolia Oil & Gas Corporation gets its product-crude oil, natural gas, and NGLs-out to the market and how it funds its operations as of late 2025. It's all about direct sales and leveraging infrastructure.

Direct sales agreements with crude oil and natural gas purchasers

Magnolia Oil & Gas Corporation's revenues come directly from selling its produced commodities: crude oil, natural gas, and Natural Gas Liquids (NGLs). The company's Q3 2025 total production hit a new quarterly record of 100.5 Mboe/d (thousand barrels of oil equivalent per day). This volume is channeled through agreements with various purchasers.

The sales mix matters for revenue realization. For instance, in Q3 2025, oil volumes accounted for 39.4 Mbbls/d (thousand barrels of oil per day) of that total production. The company noted that its third quarter revenue and operating income metrics were supported by strong natural gas and NGL price realizations.

The company remains completely unhedged for all its oil and natural gas production, meaning they sell directly into the prevailing spot or contract prices. As of late 2025, the anticipated oil price differential is approximately a $3 per barrel discount to Magellan East Houston.

The receivables generated from these commodity sales were $119.6 million as of September 30, 2025. Honestly, the success of this channel hinges on strong well performance driving volume, which they saw with a 10 percent total production growth expected for the full year 2025.

Pipeline and gathering systems connected to major market hubs

The physical movement of product relies heavily on connecting to existing infrastructure. Magnolia Oil & Gas Corporation's assets are concentrated in South Texas, primarily the Giddings and Karnes areas. The Giddings production, which made up 79 percent of total Company volumes in Q3 2025 at 79.2 Mboe/d, feeds into the relevant gathering systems that link to major market hubs.

The company's strategy is to operate in areas where transportation capacity is established or expanding. While specific gathering system names aren't always detailed, the focus on South Texas puts them in proximity to the Gulf Coast market access points. They are actively managing their development program to align with takeaway capacity.

The company's operational flexibility is key here; they have no long-term service obligations, which helps manage the risk associated with transportation availability. They continue to operate with approximately 2 Rigs / ~1 Completion Crew in their 2025 operating plan.

Natural gas processing plants for NGL extraction and sales

The natural gas stream produced by Magnolia Oil & Gas Corporation contains valuable NGLs, which are separated out through processing facilities that the company either uses or connects to. The sale of these NGLs is a distinct revenue component.

To give you a sense of the scale of the hydrocarbons being processed, looking back at 2023, approximately 27 percent of production was attributable to NGLs. The company's Q3 2025 results explicitly mentioned strong NGL price realizations as a support for revenue metrics, confirming this is a vital part of the sales channel.

The company's core competency is acquiring and developing assets that fit this profile. For example, their proved undeveloped reserves as of December 31, 2023, included 11.3 MMBbls of NGLs, indicating the type of resource being channeled through these facilities.

Public financial markets for equity and debt capital

Magnolia Oil & Gas Corporation uses public markets to manage its capital structure and fund growth, including bolt-on acquisitions. They maintain a conservative financial leverage profile, which is a deliberate channel strategy for financial stability.

Here's a snapshot of their capital structure as of late 2025, based on Q3 data:

Financial Metric	Amount / Date
Share Price (as of 11/21/2025)	$22.79
Market Capitalization (as of 11/21/2025)	$4.3 billion
Common Shares Outstanding (Q3 2025)	190.3 million
Long-term Debt - Principal	$400 million
Cash (as of 9/30/2025)	$280 million
Total Enterprise Value	$4.4 billion
2032 Senior Notes Interest Rate	6.875%

The company's strategy involves returning substantial free cash flow to shareholders. In 2024, they returned approximately $378 million to stockholders through dividends and share repurchases after capital expenditures and acquisitions. They repurchased 2.15 million Class A Common Stock shares in Q3 2025 for $51.4 million.

Debt management is also a clear channel. They issued $400 million in 2032 Senior Notes at 6.875% to refinance their 2026 Senior Notes, which carried a 6.0% rate. This shows active management of their debt maturity profile in the public debt markets.

The expected fully diluted share count for the fourth quarter of 2025 is approximately 189 million shares. Finance: draft 13-week cash view by Friday.

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Customer Segments

You're looking at the core groups Magnolia Oil & Gas Corporation (MGY) serves, which is really about who buys their product and who invests in their operations. It's a mix of industrial buyers, financial backers, and local stakeholders.

Commodity purchasers are the direct buyers of the hydrocarbons. These are the refiners, utilities, and petrochemical plants that take the raw product-oil, natural gas, and NGLs-and process it further. To give you a sense of concentration, for the year ended December 31, 2022, four specific customers, including their subsidiaries, accounted for significant portions of MGY's combined oil, natural gas, and NGL revenue: 19%, 17%, 14%, and 11%. No other single purchaser hit 10% or more revenue in that period. It's important to know that Magnolia Oil & Gas Corporation remains completely unhedged for all of its oil and natural gas production as of late 2025.

The next segment is institutional and individual shareholders. These folks are looking for capital return and growth from their investment in Magnolia Oil & Gas Corporation. The company's stated mission is to maximize their returns by growing the asset platform and generating substantial free cash flow (FCF). For the full year 2024, Magnolia Oil & Gas Corporation returned 88% of its FCF, which amounted to nearly $380 million, back to shareholders via dividends and share repurchases. Since its inception, the company has returned nearly $1.6 billion, or about 35% of its current market capitalization, to stockholders. The diluted weighted average share count for the full year 2024 was 200.0 million shares, a 5% year-over-year decline.

Then you have the midstream operators. These are the pipeline and processing companies that need consistent throughput volume from Magnolia Oil & Gas Corporation's wells to keep their systems running efficiently. Magnolia's production growth, like the 10% total company production growth guidance reiterated for full-year 2025, helps secure these relationships. In Q3 2025, total production hit a record 100.5 thousand barrels of oil equivalent per day (Mboe/d). The Giddings asset, which made up 79% of total volumes in Q3 2025 at 79.2 Mboe/d, is key to providing that consistent flow.

Finally, don't forget the local Texas communities. These segments receive value through economic contributions. Specifically, the outline points to Magnolia Oil & Gas Corporation providing $304 million in 2024 through royalty and tax payments to these local areas.

Here's a quick look at some of the key metrics related to these customer groups:

Metric Category	Detail	Amount/Value	Year/Period
Commodity Purchaser Concentration (Top 4)	Largest Customer Share of Revenue	19%	FY 2022
Commodity Purchaser Concentration (Top 4)	Fourth Largest Customer Share of Revenue	11%	FY 2022
Shareholder Return	FCF Returned to Shareholders	88%	FY 2024
Shareholder Return	Total FCF Returned Since Inception	Nearly $1.6 billion	As of 2024
Shareholder Return	Diluted Share Count Reduction	5%	FY 2024
Operational Throughput	Q3 2025 Total Production	100.5 Mboe/d	Q3 2025

The company's focus on operational efficiency, like the 10% reduction in lease operating expenses per barrel of oil equivalent achieved through 2024, helps ensure the FCF needed to satisfy shareholders. Also, the Q3 2025 operating income margin was 31%.

You can see the customer base is segmented by function:

• Commodity purchasers buy the physical product.
• Shareholders provide capital for growth.
• Midstream operators provide necessary transport services.
• Local communities benefit from land use payments.

For the financial professionals tracking this, remember that the Q3 2025 realized price differential was about a $3.00 per barrel discount to Magellan East Houston. Finance: draft 13-week cash view by Friday.

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Cost Structure

You're looking at the hard numbers that drive Magnolia Oil & Gas Corporation's operational spending as of late 2025. This isn't about strategy fluff; it's about where the cash actually goes to keep the lights on and the rigs turning.

Capital Expenditures for Drilling and Completions (D&C)

For the full year 2025, Magnolia Oil & Gas Corporation reiterated its D&C capital spending guidance to be in the range of $430 million to $470 million. Closer to the end of the year, the estimated total capital spending for 2025 was near the midpoint of that guidance, approximately $450 million. This spending level supports their reiterated full-year 2025 outlook for total production growth of approximately 10 percent.

Lease Operating Expenses (LOE) and Unit Costs

Lease Operating Expenses, which cover the day-to-day costs of running producing properties like utilities, direct labor, and workovers, showed some fluctuation. For the third quarter of 2025, the reported LOE was $5.16 per Boe. Honestly, this figure was lower than some prior expectations, as the company noted an expectation for LOE to normalize to roughly $5.25 per Boe in the third quarter when looking at Q2 results. The full-year 2025 LOE is anticipated to be at least 5 percent lower than 2024 levels.

Here's how the key per-unit operating costs stacked up for the three months ended September 30, 2025:

Cost Component (per Boe)	Q3 2025 Amount
Lease Operating Expenses (LOE)	$5.16
Gathering, Transportation & Processing	$1.92
Taxes Other Than Income	$2.20
General & Administrative Expenses (G&A)	$2.07

Gathering, Transportation, and Processing (GTP) Costs

Gathering, transportation and processing costs are what Magnolia pays to get their oil, natural gas, and NGLs to the market. For the third quarter of 2025, this cost component was $1.92 per Boe. In absolute terms for that same quarter, the total expense recorded was $17,744 thousand.

General and Administrative (G&A) Expenses

G&A expenses, which cover overhead like salaries and administrative fees, saw an increase year-over-year. For the three months ended September 30, 2025, G&A expenses totaled $24,204 thousand. Over the nine months ending September 30, 2025, total G&A expenses were $72,072 thousand, which was $4.5 million higher than the same nine-month period in 2024, though this translated to being $0.10 per boe lower.

You should note the components driving that G&A increase:

• Increase in overall labor costs.
• Changes from modification of stock-based compensation awards in 2025.
• Higher subscription and license fees.

Interest Expense on Long-Term Debt

Magnolia Oil & Gas Corporation maintains a structure with long-term debt that has no maturity for seven years, which is a solid position. As of June 30, 2025, the Long-term Debt Principal stood at $400 million, consisting of the 6.875% Senior Notes due December 2032. For the three months ended September 30, 2025, the Interest expense, net, was a cash outflow of $(5,362) thousand. Over the nine months ending September 30, 2025, the cumulative net interest expense was $(16,218) thousand.

Finance: draft 13-week cash view by Friday.

Magnolia Oil & Gas Corporation (MGY) - Canvas Business Model: Revenue Streams

The revenue generation for Magnolia Oil & Gas Corporation (MGY) centers on the sale of its core upstream products: crude oil, natural gas, and natural gas liquids (NGLs). This structure means that top-line performance is directly tied to prevailing commodity prices, a factor management noted supported Q3 2025 operating income metrics despite other pressures.

For the nine months ended September 30, 2025, Magnolia Oil & Gas Corporation reported a total net income of $265.9 million. This financial result was achieved while the company was executing a disciplined capital program, which for the third quarter of 2025 saw capital expenditures on drilling and completions (D&C) of $118.4 million, representing approximately 54% of that quarter's Adjusted EBITDAX of $218.8 million.

The relative contribution of each commodity stream can be inferred from production volumes. Total Company production volumes in the third quarter of 2025 reached a record 100.5 thousand barrels of oil equivalent per day (Mboe/d), growing 11% year-over-year. Oil production was a significant driver, accounting for 39.4 thousand barrels of oil per day (Mbbls/d) in that same period.

The sales of these commodities form the basis of the revenue stream. Here is a look at the projected revenue and volume components based on the outlook provided for the second half of 2025, which gives insight into the revenue mix:

Revenue Stream Component	Projected Volume (2H 2025 Outlook)	Projected Revenue (2H 2025 Outlook, in millions)
Sales of crude oil	7,452,000 (Barrels)	$492
Sales of natural gas liquids (NGLs)	5,152,000 (Barrels)	$108
Sales of natural gas	34,776,000 (Mcf)	Data Not Explicitly Listed

The company's operational focus in the Giddings area is a key element supporting these revenue streams, as production from this area represented 79% of total Company volumes during the third quarter of 2025. The company generated operating income as a percentage of revenue (pre-tax margins) of 31% during the third quarter.

Key operational statistics underpinning revenue stability include:

• Total production growth guidance for full-year 2025 reiterated at approximately 10%.
• Third quarter 2025 production grew 11% year-over-year.
• Oil volumes in the Giddings area increased 5% year-over-year in Q3 2025.
• Net cash provided by operating activities was $247.1 million in Q3 2025.
• Free cash flow generated in Q3 2025 was $133.9 million.