Coterra Energy Inc. has entered into two separate definitive agreements to acquire certain assets of Franklin Mountain Energy and Avant Natural Resources and its affiliates for an aggregate consideration of $3.95 billion.

The transactions are each subject to the satisfaction of customary terms and conditions and are expected to close during Q1 2025, with effective dates as of October 1, 2024. Neither acquisition is contingent upon the other.

Tom Jorden, Chairman, CEO, and president of Coterra, noted, “We are thrilled to announce the pending acquisition of two high-quality Permian Basin asset packages. These highly accretive acquisitions create an expanded core area in New Mexico that plays to Coterra’s organizational strengths. In addition to adding significant oil volumes in 2025, the acquired assets provide inventory upside to established and emerging oil-weighted formations.”

Highlights include creating an additional oil-weighted focus area in New Mexico, with acreage adjacent to its existing footprint, and deep pro forma inventory, with over 15 years of runway in the Permian Basin.

For more information, visit coterra.com.