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Business News - December 16, 2019 / 5:28 AM
 
(Reuters) - WPX Energy Inc (WPX.N) said on Monday it would buy privately held Felix Energy in a $2.5 billion deal, as the Permian basin operator looks to add oil-rich acreage in the Delaware region of the prolific shale field, sending its shares up more than 9%.

The Permian basin of Texas and New Mexico is at the heart of the shale boom that has helped the United States become the world’s biggest crude oil producer.

The deal gives WPX access to Felix’s about 1,500 gross undeveloped locations in the eastern part of the Delaware basin, with projected production of about 60,000 barrels of oil equivalent per day (boe/d).

“The transaction we’ve announced this morning checks all the boxes for us,” WPX Chief Executive Officer Richard Muncrief said on a conference call. Read more…