Permian Resources Corp., the US oil company named after the shale basin it operates in, has agreed to acquire Earthstone Energy Inc. by taking over all the shares worth about $4.5 billion.
This is the latest acquisition by Will Hickey and James Walter, 30-year-old co-CEOs of Midland, Texas-based Permian Resources, who have built the company into a major independent US shale operator through a series of mergers in recent years.
The deal is expected to close by the end of the year.
Permian Resources and Earthstone are jointly operating an eleven-rig drilling program primarily focused on the Delaware Basin in West Texas and southern New Mexico.
Earthstone was up 17% in premarket trading, while Permian was up slightly.