Exxon Mobil is expected to say on Wednesday it will buy U.S. rival Pioneer Natural Resources for about $60 billion, a deal that puts it atop the largest U.S. oilfield and secures a decade of low-cost production, according to people familiar with the matter.

Exxon, which was valued at $442 billion on Tuesday, is expected to make a pure stock offer valued at more than $250 a share for Pioneer, the people said on condition of anonymity because the details were not public.

Pioneer shares, which closed at $237.41 on Tuesday, were up 2.7% at $244 in premarket trading. Exxon shares were trading marginally lower.

It would be the largest acquisition by any company this year and Exxon’s biggest since its $81 billion purchase of Mobil Oil in 1998.

Exxon declined to comment on “market speculation,” while Pioneer did not immediately respond to a request for comment.

The deal will leave four of the largest U.S. oil companies in control of much of the Permian Basin shale field and its extensive oilfield infrastructure.

  • girlfreddyOP
    16•1 year ago

    Chief Executive Darren Woods has rebuffed investor and political pressure to shift strategies and embrace renewable energy as European oil majors have done. He faced heavy criticism for sticking to a heavy oil-dependent strategy as climate concerns became more pressing.

    Nice to see Big Oil cares about the other 8 billion of us on the planet who need a stabilized climate to survive. 🙄

    • Flying Squid
      3•1 year ago

      They’re spending $60 billion. That means each of us are worth a few dollars, right? I know I’d sell myself for under 10 bucks.