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ExxonMobil completes acquisition of Denbury

Published by , Editorial Assistant
Oilfield Technology,


Exxon Mobil Corporation has announced it has closed its acquisition of Denbury Inc. in an all-stock transaction valued at US$4.9 billion, or US$89.45 per share, based on ExxonMobil’s closing price on July 12, 2023. Under the terms of the agreement, Denbury shareholders will receive 0.84 shares of ExxonMobil for each Denbury share.

“This transaction is a major step forward in the profitable growth of our low carbon solutions business,” Chairman and CEO Darren Woods said. “Our expertise, combined with Denbury’s talent and CO2 pipeline network, expands our low-carbon leadership and best positions us to meet the decarbonisation needs of industrial customers while also reducing emissions in our own operations.”

ExxonMobil now has the largest owned and operated CO2 pipeline network in the U.S. – adding more than 1300 miles, including nearly 925 miles of CO2 pipelines in Louisiana, Texas and Mississippi – located in one of the largest U.S. markets for CO2 emissions. The company also has access to more than 15 strategically located onshore CO2 storage sites.

The acquisition also includes Gulf Coast and Rocky Mountain oil and natural gas operations, consisting of proved reserves totalling more than 200 million boe as of year-end 2022, with approximately 46 000 boe/d of current production. These operations provide immediate operating cash flow and optionality for carbon capture operations.

Once fully developed and optimised, the combination of these assets and capabilities has the potential to reduce CO2 emissions by more than 100 million metric tons per year.

Read the article online at: https://www.oilfieldtechnology.com/special-reports/07112023/exxonmobil-completes-acquisition-of-denbury/

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