Occidental Petroleum Acquires CrownRock in $12 Billion Permian Expansion Deal

Occidental Petroleum has announced its plans to acquire energy producer CrownRock in a cash-and-stock deal valued at $12 billion, including debt. The acquisition will expand Occidental's operations in the lucrative Permian basin and add over 94,000 net acres in the Midland basin of Texas. Occidental will finance the purchase with new debt, common equity, and assuming existing debt. This deal marks Occidental's first major acquisition since its debt-laden purchase of Anadarko Petroleum in 2019. The transaction is expected to close in the first quarter of 2024 and will immediately contribute to Occidental's free cash flow.