MIDLAND, Texas — Pioneer and ExxonMobil have officially confirmed their merge in an all-stock transaction, with a price tag of $65 billion.
The merger combines Pioneer's acreage in the Midland Basin, along with Exxon's acres in the Delaware and Midland Basins.
That means Exxon's oil production would more than double to 1.3 million barrels a day and it's expected to go up to two million barrels of oil equivalent a day.
NewsWest 9 spoke to a local supplier about their thoughts regarding the merge.
"Anytime you see something like the merger that we saw yesterday we get to really understand how important this area is when those dollars are being invested in this area," General Manager of Sales at Warren CAT Cole Wardell said. "Whether it be Exxon acquiring Pioneer, other mergers and acquisitions that we've seen over the past few months and this year within the Permian Basin. I think what that does is that points to just how special this area is."
The deal is expected to close early next year.
It would make Exxon the largest single player in the Permian Basin.