Exxon Mobil Nears $60 Billion Agreement to Acquire Pioneer Natural Resources, a Shale Industry Leader, Reports WSJ

 

Exxon Mobil Nears $60 Billion Agreement to Acquire Pioneer Natural Resources, a Shale Industry Leader, Reports WSJ

Exxon Mobil (XOM) appears to be on the verge of finalizing a substantial acquisition of Pioneer Natural Resources (PXD) for an estimated $60 billion, according to recent reports.

It is anticipated that Exxon will conclude this deal to acquire the pioneer of shale drilling, Pioneer, in a matter of days, barring any unforeseen obstacles in last-minute negotiations. Such a deal would significantly bolster Exxon Mobil's presence in the oil-rich Permian Basin.

Initial discussions between Exxon Mobil and Pioneer Natural Resources commenced as early as April, as reported by The Wall Street Journal. PXD's stock experienced a notable 4.5% surge on April 10 in response to this report.

At the time of closing, Pioneer Natural Resources boasted a market capitalization of approximately $50.1 billion, while Exxon Mobil held a valuation of $436 billion.

As extended trading hours have come to a close, there has been no immediate investor reaction to this development.

In Thursday's market trading, PXD stock registered a slight dip of 0.2%, closing at $214.96.

Exxon's stock, on the other hand, experienced a 2.25% decline to $108.89 on Thursday, ultimately closing below its 200-day moving average, a day after falling through its 50-day moving average. Exxon's stock had broken out on September 27, clearing a buy point of $118.84, but has seen a decline in value since then.

Meanwhile, U.S. crude oil prices saw a 2.3% drop, settling at $82.31 per barrel on Thursday.