ExxonMobil has signed an all-stock deal worth $59.5bn to acquire Pioneer Natural Resources, an American publicly listed company focused on upstream operations in the Permian shale basin.
The merger brings together Pioneer Natural Resources’ acreage of over 850,000 net acres in the Midland Basin with ExxonMobil’s 570,000 net acres in the Delaware and Midland Basins. As a result, the combined entity will possess an estimated resource of 16 billion barrels of oil equivalent in the Permian Basin.
In Q2 2023, Pioneer Natural Resources maintained an average daily oil production of 369,000 barrels (mbopd). In total, the company’s production for that period averaged 711,000 barrels of oil equivalent per day (mboepd).
Upon completion of the merger, ExxonMobil’s Permian production is projected to be more than double, reaching 1.3 million barrels of oil equivalent per day (MOEBD) based on 2023 figures. The expectations are to further increase it to nearly 2MOEBD by 2027.