CVX - Chevron closes purchase of PDC Energy bolstering DJ Basin assets

2023-08-07 14:35:56 ET

Chevron ( NYSE: CVX ) said Monday it has officially closed its acquisition of PDC Energy ( NASDAQ: PDCE ) in a $6.3B deal, following approval by PDC shareholders.

Chevron ( CVX ) now has a stronger foothold in the Denver-Julesberg Basin, adding 275K net acres adjacent to its existing operations, containing more than 1B boe of proved reserves, and 25K net acres in the Permian Basin that are held by production.

The company previously said it expected the deal will add ~$1B/year in free cash flow with Brent crude at $70/bbl and Henry Hub natural gas at $3.50/Mcf.

"PDC's high-quality assets open up even greater opportunities in important U.S. basins where Chevron already has a strong presence," the company said.

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