Sitio Royalties Agrees To Acquire 13,062 NRAs Primarily In The Core Of The DJ Basin For $150M
Portfolio Pulse from Benzinga Newsdesk
Sitio Royalties (STR) has agreed to acquire 13,062 net royalty acres (NRAs) in the DJ Basin for $150 million, aiming to enhance its footprint in the area with high-quality acreage. The acquisition includes assets with significant growth potential through 2025, involving leading operators like Chevron Corporation, Occidental Petroleum, and Civitas Resources. The DJ Basin assets have seen an 89% increase in net production from December 2022 to December 2023, with the transaction expected to close in early Q2 2024.
February 29, 2024 | 6:36 am
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NEUTRAL IMPACT
Chevron Corporation is mentioned as one of the leading operators in the DJ Basin area where Sitio Royalties is acquiring assets.
While Chevron Corporation is mentioned as a leading operator in the area of Sitio's acquisition, the direct impact on CVX's stock is less clear without specific details on Chevron's involvement or financial benefit from the transaction.
CONFIDENCE 75
IMPORTANCE 40
RELEVANCE 50
NEUTRAL IMPACT
Occidental Petroleum is identified as a leading operator in the DJ Basin, where Sitio Royalties is acquiring new assets.
Occidental Petroleum's mention as a leading operator in the DJ Basin acquisition area by Sitio Royalties suggests a partnership or involvement, but the direct impact on OXY's stock is uncertain without further details on the nature of their involvement.
CONFIDENCE 75
IMPORTANCE 40
RELEVANCE 50
POSITIVE IMPACT
Sitio Royalties' acquisition of DJ Basin assets for $150M is expected to significantly enhance its portfolio with high-quality acreage and visible growth potential through 2025.
The acquisition is directly related to STR, enhancing its asset base and growth prospects in the energy sector. The significant increase in net production from the acquired assets suggests a positive impact on future earnings and stock performance.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100