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- **Western Haynesville Dominance**: 530,000 net acres with 2,559 locations, 32 MMcf/d wells, and $1.3Bcf/d midstream capacity by 2026.
- **Liquidity Boost**: $430M Shelby Trough sale reduces debt, liquidity >$900M post-close.
- **Cost Leadership**: $1,229/foot legacy D&C, 35% savings from horseshoe wells, 24% Q3 Western Haynesville D&C decline.
- **Demand Growth**: AI/data center power needs +18% LNG exports drive 1.22 Bcfe/d production, 18% YoY growth.

**【CEO Summary Section】**
- **Western Haynesville Expansion**: Announced 530,000 net acres in the Western Haynesville, with 2,559 net drilling locations, positioning for long-term natural gas demand growth from AI, data centers, and LNG exports.
- **Legacy Asset Divestiture**: Sold Shelby Trough assets for $430 million, reducing debt and improving liquidity, while focusing on high-margin Western Haynesville development.
- **Drilling Efficiency**: Achieved $1,229/foot D&C costs in legacy Haynesville, industry-leading for the basin, with 35% savings using horseshoe well design.
- **Production Growth**: 1.22 Bcfe/d Q3 production, up 18% year-over-year, driven by higher gas prices and operational efficiency.

**【CFO Financial Commentary】**
- **Revenue & Cash Flow**: Q3 revenue $335M, up 10% YoY; EBITDAX $249M, cash flow $190M. Year-to-date EBITDAX $802M, net income $122M.
- **Hedging & Pricing**: 57% gas hedged in Q3, realized price $2.99/Mcf vs. $2.75 spot. Improved margins from cost control and higher gas prices.
- **Balance Sheet**: $580M borrowings, $239M liquidity. Shelby Trough sale expected to close in December, reducing leverage to ~2.5x.

**【COO Drilling Update】**
- **Western Haynesville Wells**: 8 wells turned to sales with 32 MMcf/d IP, 8,566-foot laterals. Drilled 6 wells to TD in Q3 with 10,158-foot avg lateral, down from 7,933Q2.
- **Cost Savings**: Legacy Haynesville D&C costs $558/foot (down 15% QoQ), completion costs $671/foot (down 7%). Western Haynesville drilling $1,385/foot (down 24% QoQ).
- **Midstream Expansion**: New Marquez gas plant added 900 MMcf/d capacity, total 1.3Bcf/d by Q3 2026.

**【Q&A Highlights】**
- **2026 Capital Efficiency**: 4 rigs in Western Haynesville, 4 in legacy. Expect continued D&C cost declines with longer laterals and unitization.
- **Gas Marketing**: Direct sales to end-users (AI, LNG) via owned midstream, bypassing third-party pipelines. Shelby Trough sale tax-free gain.
- **Inventory Growth**: 1,039 legacy Haynesville locations (80% >8,500ft), 3,332 Western Haynesville locations (60% >8,500ft). Testing Bossier in northern step-outs.
- **LNG Demand**: Record 18.7 Bcf/day exports, 30% of gas sold at premium to Henry Hub via direct contracts.

Comstock Resources, Inc. (CRK) Q3 2025 Earnings Call Transcript

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