Earthstone Energy to buy Titus Oil & Gas' New Mexico assets in $627 mln deal

Earthstone Energy

28/06/2022 13:32

** Shares of oil and gas producer Earthstone Energy  ESTE.N 
up as much as 3.88% at $15.25 premarket
    ** Co to buy the assets of Titus Oil & Gas Production,
located in the northern Delaware Basin of New Mexico in a $627
million cash-and-stock deal  urn:newsml:reuters.com:*:nFWN2YF04U
    ** The deal is Earthstone's third acquisition in the oil
rich Permian basin in less than seven months. In December, the
company bought Warburg Pincus-backed Chisholm Energy Holdings
for $604 million
    ** ESTE says it expects the deal to increase its net
production by 18,000-23,000 barrels of oil equivalent per day
(boepd) or about 65% in the fourth quarter, expanding its
broader Permian Basin acreage position to  about 256,000 net
acres
    ** Co will pay $627 million in cash and about 3.9 million of
its shares for the deal, expected to close in the third quarter
    ** Stock up ~34% YTD, as of last close  
    

    
    
    

 (Reporting by Rithika Krishna in Bengaluru)
 ((Rithika.Krishna@thomsonreuters.com; Twitter: https://twitter.com/rithika_krishna;))