Marathon in Big Shale Deal Ahead of Spinoff

摘要

Marathon Oil has been retooling its explo-ration and production business recently as itprepares to split its upstream and down-stream arms into separate companies laterthis month. But the most significant move todate came on Wednesday, when Marathonagreed to buy Hilcorp Resources Holdings’Eagle Ford Shale assets in South Texas for$3.5 billion in cash.Under the deal, Marathon will snap up141,000 net acres and 7,000 barrels per dayof oil equivalent production from HilcorpResources for $3.5 billion, or $21,000-$22,000 per acre after adjusting for produc-tion. Marathon also has the opportunity toacquire 14,000 additional acres.