Northern Oil and Gas, Inc. Announces 2017 Second Quarter Results

MINNEAPOLIS, Aug. 8, 2017

HIGHLIGHTS

• Daily production increased 4% sequentially to average 13,794 barrels of oil equivalent ("Boe") per day in the second quarter, for a total of 1,255,280 Boe.
• Northern added 4.3 net wells to production during the second quarter of 2017.
• The 6.2 net wells that Northern elected to participate in during the first half of 2017 have an estimated internal rate of return of approximately 30% at a $50/Bbl flat pricing assumption.
• At June 30, 2017, Northern maintained a strong list of wells in process totaling 16.1 net wells that have an estimated internal rate of return of approximately 30% at a $50/Bbl flat pricing assumption.

Northern's GAAP net income for the second quarter of 2017 was $13.8 million.  Adjusted net income for the quarter was a loss of $0.2 million.  Adjusted EBITDA for the quarter was $30.7 million.  See "Non-GAAP Financial Measures" below for additional information on these measures.

MANAGEMENT COMMENT

"Strong second quarter net well additions drove our production levels above internal expectations for the quarter," commented Northern's Interim CEO and CFO, Tom Stoelk.  "Our growing list of high quality wells awaiting completion and the further productivity improvements we are seeing in 2017 gives us confidence that we'll meet or exceed our original production goals for the year.  Our goal is to position ourselves to capitalize on the significant growth and consolidation opportunities we expect to see going forward.  Our continued focus on capital allocation, growing reserves and production is helping prepare us for future opportunities and value creation as the industry environment improves."

GUIDANCE

Northern's prior guidance on annual production remains unchanged.  Management's current expectations for the second half of 2017 operating metrics are as follows: