Permian adds 500 accretive acres with majority ahead of ‘drill-bit’ in Q4

Permian Resources Corporation announced a series of recent portfolio optimization transactions consisting of two bolt-on acquisitions, a sizeable acreage swap, a divestiture of non-core assets and additional grassroots acquisitions. “Since closing the Earthstone transaction, Permian Resources has added 14,000 net acres and 5,300 net royalty acres located in the core of the Delaware Basin at attractive valuations,” said James Walter, Co-CEO of Permian Resources. “As a result of our portfolio management efforts over the past year, Permian Resources has more than replaced the approximately 150 wells included in its 2023 development schedule, effectively increasing inventory life. Going forward, we will continue our relentless focus on portfolio optimization, which is one of several key value drivers we believe differentiates Permian Resources.” The Company recently executed two separate transactions to acquire a total of approximately 11,500 net leasehold acres and 4,000 net royalty acres located in Eddy County, New Mexico from undisclosed third-parties for a total consideration of approximately $175 million, or approximately $10,000 per net leasehold acre after adjusting for production value… Additionally, Permian Resources continues to be highly successful executing upon its ground game, consisting of smaller grassroots acquisitions. During the fourth quarter of 2023, the Company added approximately 500 net acres through over 35 grassroots leasing and working interest acquisitions. Notably, the majority of these acquisitions are executed ahead of the drill-bit, making them highly accretive…In the fourth quarter of 2023, Permian Resources closed the previously announced divestiture of legacy Earthstone’s Eagle Ford assets for a purchase price of $67 million, which included approximately 1,000 barrels of oil equivalent per day of net production.