HOUSTON — Exxon Mobil Corp. will gain assets in the Midland Basin in Texas and Linn Energy will receive interests in the Hugoton gas field in Kansas and Oklahoma under a non-monetary swapping agreement announced Wednesday.
“Today’s trade announcement with Exxon Mobil is a strategic portfolio improvement for Linn that reinforces our commitment to mature, long-lived oil and natural gas assets with low and predictable decline rates,” Mark Ellis, Linn’s chairman and CEO, said in a statement.
He added that the assets “are an ideal fit for our already sizeable position in the Hugoton Basin.”
Linn’s assets will become part of the Exxon’s XTO Energy unit.
“This Midland Basin leasehold is in a prolific area where we expect rapid, profitable development of multiple horizons in the Wolfcamp and Spraberry formations,” Randy Cleveland, XTO’s president, said in a statement. “With this agreement and our previously announced transaction with Endeavor Energy Resources, we will increase our operated position in the Midland Basin Wolfcamp core to roughly 100,000 net acres and our total position in the basin to 300,000 net acres.”
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