Deal insight
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4 Pages

Diamondback Energy acquires Midland Basin assets for US$437.8 million

Diamondback Energy acquires Midland Basin assets for US$437.8 million

Report summary

This deal is the first major M&A transaction associated with the Wolfcamp since low oil prices muted the market. Low oil prices do not appear to have drastically altered the asset valuation; Diamondback paid a comparable price to what Breitburn paid, adjusted for flowing production, for adjacent acreage in October 2014 (when WTI was priced at US$85/bbl). Diamondback paid higher than our estimated Deep Basin base case valuation of US$12,600/acre, (outlined in the Wolfcamp Key Play Report).

What's included?

This report includes 1 file(s)

  • Diamondback Energy acquires Midland Basin assets for US$437.8 million PDF - 2.81 MB 4 Pages, 1 Tables, 2 Figures


The upstream oil and gas industry conducts activities against a backdrop of growing energy and environmental challenges. Political instabilities, international conflicts and government and environmental regulation have all impacted the production process.

This has forced companies to re-examine their corporate strategy, moving away from high-risk exploratory drilling to lower-risk exploration in mature basins as they search for increased returns.

This Upstream Oil and Gas Deal Insight report provides an in-depth analysis of this deal. You will also find information about upstream assets and the strategic rationale behind the deal.

For investors and businesses, this deal insight report provides an understanding of the effect this deal will have on the market, including oil and gas pricing and assumptions. Use it to keep up to date with deal announcements, gain expert insights and analyse potential developments that might affect your strategy.

Wood Mackenzie goes beyond company-reported data and announcements to give you an independent and informed view. Our unique valuation metrics are underpinned by our deep understanding of upstream assets and companies. We help you objectively benchmark and evaluate asset and corporate deals so you can compare deal economics around the world.

  • Executive summary
  • Upstream assets
  • Deal analysis
  • Strategic rationale
  • Oil & gas pricing and assumptions

In this report there are 3 tables or charts, including:

  • Executive summary
  • Upstream assets
    • Wolfcamp sub-plays
  • Deal analysis
    • Cost per acre by acquisition
  • Strategic rationale
  • Oil & gas pricing and assumptions
    • Oil & gas pricing and assumptions: Table 1
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