Magnolia Oil & Gas Announces Its First Semi-Annual Interim Dividend Payment

Rhea-AI Summary

Magnolia Oil & Gas (NYSE: MGY) declared a semi-annual cash dividend of $0.08 per share of Class A common stock and Class B units, payable on September 1, 2021 to shareholders on record as of August 12, 2021. The company assures that this level of dividend is sustainable even with oil prices being at half their previous levels. The remaining annual dividend part will be announced in February alongside the full-year 2021 financial results, reflecting their long-term pricing outlook.

Positive

• Declared a semi-annual cash dividend of $0.08 per share, indicating a stable return to shareholders.
• Dividend payment deemed secure and sustainable despite lower oil prices.

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• None.

Magnolia Oil & Gas Corporation (NYSE: MGY) announced today that its Board of Directors declared a semi-annual interim cash dividend of $0.08 per share of Class A common stock, and a cash distribution of $0.08 per Class B unit payable on September 1, 2021 to shareholders of record as of August 12, 2021.

We believe this dividend payment level is secure and sustainable with oil prices at approximately half their current levels. Magnolia expects to announce the remaining portion of its total annual dividend payment next February in conjunction with the release of our full-year 2021 financial results. The second portion of our annual dividend payment will be based on our 2021 results and our long-term view of product prices.

“Our dividend framework is aligned with the characteristics of our business model,” said Steve Chazen, Magnolia’s Chairman, President and CEO. “These principles include maintaining our low leverage, limiting our capital spending to allow for consistent and sizable free cash flow generation while providing moderate volume growth and strong pre-tax margins. Part of Magnolia’s total shareholder return proposition is to establish a differentiated approach toward paying a regular and sustainable dividend that will grow over time as we continue to execute our business plan.”

About Magnolia Oil & Gas

Magnolia is a publicly traded oil and gas exploration and production company with operations primarily in South Texas in the core of the Eagle Ford Shale and Austin Chalk formations. Magnolia focuses on generating value for shareholders through steady production growth, strong pre-tax margins, and free cash flow. For more information, visit www.magnoliaoilgas.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210802005569/en/

FAQ

When is the dividend payment date for MGY?

The dividend payment date for MGY is September 1, 2021.

What is the amount of the dividend declared by Magnolia Oil & Gas?

Magnolia Oil & Gas declared a dividend of $0.08 per share for Class A common stock and Class B units.

What is the record date for the MGY dividend?

The record date for the MGY dividend is August 12, 2021.

Will Magnolia Oil & Gas continue to pay dividends in the future?

Magnolia Oil & Gas has indicated that their dividend framework is designed to be sustainable and may grow over time.

When will Magnolia Oil & Gas announce the remaining dividend for 2021?

The remaining portion of the annual dividend will be announced in February 2022 when they release their full-year 2021 financial results.