ExxonMobil has spent more than a decade assembling one of the largest unconventional oil and gas portfolios in North America. Beginning with its approximately $41 billion acquisition of XTO Energy in 2010, the company established a leading position in U.S. shale development. More recently, ExxonMobil strengthened both its upstream and low-carbon businesses through the $4.9 billion acquisition of Denbury in 2023, followed by the transformational $60 billion acquisition of Pioneer Natural Resources in 2024.
The Pioneer acquisition also brought together several major Permian operators under the ExxonMobil umbrella. Pioneer had previously acquired Parsley Energy in 2021, which itself had merged with Jagged Peak Energy in 2020, and also completed the $6.4 billion acquisition of DoublePoint Energy in 2021. These transactions consolidated some of the most prolific acreage in both the Midland and Delaware basins, creating one of the industry’s deepest inventories of high-quality drilling locations.
Exxon XTO / ExxonMobil Recent M&A Activity
| Legacy Company | Current Owner | M&A / Corporate Event |
|---|---|---|
| Pioneer Natural Resources (all variations) | ExxonMobil | ExxonMobil completed its acquisition of Pioneer Natural Resources in May 2024 in an all-stock transaction valued at approximately US$60 billion, significantly expanding its Permian Basin position. |
| XTO Energy (including XTO Permian Operating LLC and related entities) | ExxonMobil | ExxonMobil acquired XTO Energy in 2010 for approximately US$41 billion. XTO continues to operate as a wholly owned legal subsidiary and serves as ExxonMobil’s primary U.S. unconventional oil and gas operating company. |
| Denbury (all variations) | ExxonMobil | ExxonMobil completed its acquisition of Denbury Inc. in November 2023 for approximately US$4.9 billion, adding one of the largest CO₂ pipeline networks in the United States and strengthening its carbon capture and storage (CCS) business. |
| DoublePoint Energy | ExxonMobil (via Pioneer) | Pioneer Natural Resources acquired DoublePoint Energy in 2021 for approximately US$6.4 billion. Following ExxonMobil’s acquisition of Pioneer in 2024, the assets became part of ExxonMobil’s portfolio. |
| Parsley Energy (all variations) | ExxonMobil (via Pioneer) | Pioneer Natural Resources acquired Parsley Energy in January 2021 in an all-stock transaction valued at approximately US$7.6 billion. The assets transferred to ExxonMobil following the Pioneer acquisition in 2024. |
| Jagged Peak Energy | ExxonMobil (via Parsley → Pioneer) | Jagged Peak Energy merged with Parsley Energy in January 2020. Parsley was acquired by Pioneer in 2021, and Pioneer was acquired by ExxonMobil in 2024, making the legacy Jagged Peak assets part of ExxonMobil’s portfolio. |
The scale of these acquisitions is reflected in ExxonMobil’s drilling activity. Since 2016, Exxon (including XTO and legacy acquired companies) has drilled approximately 7,535 wells across the Permian Basin. Activity has been heavily concentrated in Midland County (2,493 wells), Martin County (1,463), Eddy County, New Mexico (969), Upton County (790), Glasscock County (529), and Reagan County (469). This consistent development program demonstrates ExxonMobil’s long-term commitment to developing its highest-return unconventional assets.
Exxon (XTO) Wells Drilled Since 2016 – Permian Basin
Total Wells Drilled: 7,535
County Wells Drilled Midland, TX 2,493 Martin, TX 1,463 Eddy, NM 969 Upton, TX 790 Glasscock, TX 529 Reagan, TX 469 Pecos, TX 192 Ward, TX 166 Andrews, TX 140 Loving, TX 114 Reeves, TX 89 Lea, NM 55 Winkler, TX 25 Howard, TX 20 Ector, TX 14 Crane, TX 2 Total 7,535
Unlike operators that expand or contract drilling programs based primarily on commodity prices, ExxonMobil has maintained a disciplined, multi-year development strategy across the Permian. Continuous drilling allows the company to maximize infrastructure utilization, optimize capital efficiency, and support growing production volumes while supplying natural gas, crude oil, and natural gas liquids to domestic and international markets.
Industry Impact
For oilfield service companies, drilling contractors, equipment manufacturers, and infrastructure providers, ExxonMobil represents a classic steady-state operator. Its long history of continuous drilling, large inventory of undeveloped locations, integrated midstream infrastructure, and disciplined capital allocation make the company one of the most reliable sources of long-term drilling and completion activity in the Permian Basin. Organizations serving drilling, completions, production, facilities, automation, digital technologies, and field services should continue to view ExxonMobil as a strategic account with ongoing demand for products and services.
Author: phinds