According to Barrons journalist, Avi Salzman, Pioneer Natural Resources (NYSE: PXD) has sold 20,000 acres in West Texas to Laredo Petroleum (NYSE: LPI).
Laredo announced the deal on Sunday and stated payment terms were 70% cash and 30% in Laredo stock. The announcement comes just days after Reuters reported that Pioneer put its entire Delaware Basin position on the market for $2 Billion dollars.
Analysts are predicting that M&A activity may spike in the coming weeks as $70 crude prices have made small and midsized assets more attractive to operators in need of additional reserves to extend their production runways.
The Barron's article named the following companies as potential parties to M&A activity expected to be announced before the end of the year: "ConocoPhillips (COP), Devon Energy (DVN), Earthstone Energy (ESTE), Marathon Oil (MRO), Northern Oil & Gas (NOG), SilverBow Resources (SBOW), Southwestern Energy (SWN), and Whiting Petroleum (WLL)."