Exxon boosts Permian basin holding in deal worth up to $6.6 billion

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(Copyright Reuters 2017)

Exxon Mobil Corp said on Tuesday it will buy companies owned by the Bass family of Fort Worth, Texas in a deal worth up to $6.6 billion that would more than double its output from the prolific Permian basin.

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Exxon said it will make an upfront payment of $5.6 billion in stock as well as a series of contingent cash payments totaling up to $1 billion over a period of time.

The acquired companies hold about 275,000 acres of leasehold that produces more than 18,000 net oil equivalent barrels per day, Exxon said.

Exxon currently produces about 140,000 net oil-equivalent barrels per day across its Permian Basin leasehold.

(Reporting by Arathy S Nair in Bengaluru; Editing by Savio D'Souza)