Occidental Petroleum Corporation (NYSE:OXY) shares are trading lower on the heels of a buyout of oil and gas producer CrownRock, L.P.
The company opened Friday at $58.55 a share, down 1.40%.
In December, the company inked a deal to acquire CrownRock for cash and stock in a transaction valued at about $12 billion, including assumption of debt.
"By completing this transaction, Occidental adds assets that we believe make the best portfolio in our company's history even stronger and more differentiated," CEO Vicki Hollub said.
"We also welcome new team members who will combine with ours to form a high-performing employee base that is focused on safely and efficiently developing low-emission, low-cost energy,"
The acquisition is expected to enhance the company's Permian portfolio by adding about 170 thousand barrels of oil equivalent per day (Mboed) of high-margin, lower-decline unconventional production in 2024.
The deal is expected to deliver increased free cash flow on a diluted share basis, including $1 billion in the first year based on $70 per barrel WTI.
The company also said it will increase the quarterly common stock dividend per share by 4 cents to 22 cents, beginning with the February 2024 declaration.
Also, Occidental disclosed that Colombia's Ecopetrol (NYSE:EC) will not purchase a stake in shale oil producer CrownRock, despite prior discussions about a potential deal, reported Reuters.
Last month, the company disclosed the sale of certain Delaware Basin assets in Texas and New Mexico to Permian Resources Corp (NYSE:PR) for about $818 million.
ETF Watch: Investors can gain exposure to the OXY stock via Texas Capital Funds Trust Texas Capital Texas Oil Index ETF (NYSE:OILT) and First Trust Nasdaq Oil & Gas ETF (NASDAQ:FTXN).
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Occidental Petroleum Corporation(紐交所:OXY)股票在石油和天然氣生產商CrownRock,L.P.被收購消息的衝擊下下跌。
該公司週五開盤價爲每股58.55美元,下跌1.40%。
去年12月份,該公司簽署了一項協議,以現金和股票收購CrownRock,交易價值約120億美元,包括債務承擔。
“通過完成此交易,Occidental增加了我們認爲是公司歷史上最好的投資組合的資產,使其更加強大和具有差異化, ”首席執行官Vicki Hollub說。
“我們還歡迎新的團隊成員,他們將與我們的團隊合作構建一個專注於安全高效地開發低排放、低成本能源的高績效員工基礎。”
此收購預計將增強該公司Permian組合,到2024年增加約17萬桶/日(Mboed)的高毛利率、較低衰減非常規產量。
預計該交易將增加攤薄股份的自由現金流,包括第一年基於每桶70美元WTI的10億美元。
該公司還表示,每股普通股股息將增加4美分至22美分,從2024年2月份開始宣佈。
此外,Occidental披露,哥倫比亞的Ecopetrol(紐交所:EC)將不會購買頁岩油生產商CrownRock的股份,儘管此前曾就潛在交易進行討論,據路透社報道。
上個月,該公司披露將向Permian Resources Corp(紐交所:PR)出售德拉華盆地特定資產,交易價值約8180萬美元。
ETF觀察:投資者可以通過Texas Capital Funds Trust Texas Capital Texas Oil Index ETF(紐交所:OILT)和First Trust Nasdaq Oil & Gas ETF(納斯達克:FTXN)獲取OXY股票的曝光。
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