Quarterly / Earnings Reports | Third Quarter (3Q) Update

Montage: Q3 Output to be at High End of Guidance, Will Maintain One Rig into 2020

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   |    Friday,October 25,2019

Montage Resources Corp. reported its preliminary Q3 highlights.

Highlights:

• The Company anticipates third quarter 2019 production to be above the high end of the previously announced guidance of between 600-615 MMcfe per day and to exceed current consensus expectations

• The Company has used the recent commodity price volatility to opportunistically add to its hedge book, increasing 2020 natural gas hedges by approximately 30% and having an overall floor of approximately $2.65 on its 2020 natural gas hedged production

• Given the current commodity price environment the Company will continue to run one gross operated rig through the remainder of 2019 and into 2020 in order to balance free cash flow and growth, while maintaining low financial leverage and a strong balance sheet with no near-term debt maturities

• The Company will release third quarter 2019 financial and operational results on Thursday, November 7, 2019 after the market close

John Reinhart, President and CEO, commented, "We continue to see the benefits from the execution of the integration strategy with the significant efficiency gains, cost reductions and shortened cycle times coupled with the ongoing well outperformance contributing to the Company's ability to exceed the high end of the production guidance range. We believe the demonstrated capability of the team at Montage will enable us to maintain the achievements we have made to date while sustaining the Company's commitment of disciplined growth, balance sheet protection and cash flow generation."