Chord Energy Announces Strategic Acquisition Of Williston Basin Assets, For Total Cash Consideration Of $375M
Portfolio Pulse from Benzinga Newsdesk
Chord Energy Corporation (NASDAQ:CHRD) has announced a definitive agreement to acquire Williston Basin assets from XTO Energy Inc., a subsidiary of Exxon Mobil Corporation, for a total cash consideration of $375 million. The acquisition is expected to be accretive to cash flow, free cash flow, and return metrics in both the near and long-term.
May 22, 2023 | 12:06 pm
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NEUTRAL IMPACT
Exxon Mobil Corporation's subsidiary, XTO Energy Inc., has sold its Williston Basin assets to Chord Energy Corporation for $375 million.
While the sale of Williston Basin assets by XTO Energy, a subsidiary of Exxon Mobil, generates cash for the company, the impact on Exxon Mobil's overall operations and stock price is likely to be limited in the short term, as the transaction is a relatively small part of their overall business.
CONFIDENCE 80
IMPORTANCE 40
RELEVANCE 50
POSITIVE IMPACT
Chord Energy's acquisition of Williston Basin assets is expected to boost cash flow, free cash flow, and return metrics in both the near and long-term.
The acquisition of Williston Basin assets is a strategic move for Chord Energy, as it expands their acreage position and extends their inventory runway. The transaction is expected to be accretive to cash flow, free cash flow, and return metrics, which will likely have a positive impact on CHRD's stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100