WASHINGTON (Pakistan Point News / Sputnik - 06th September, 2022) Sitio Royalties and Brigham Minerals have reached a $4.8 billion merger deal to create the largest publicly traded mineral and royalty company in the United States, according to a release.
"The combination brings together two of the largest public companies in the oil and gas mineral and royalty sector with complementary high-quality assets in the Permian Basin and other oil-focused regions, creating an industry leader with a proven track record of consolidating oil and gas mineral and royalty interests operated by a diverse set of E&P companies," the release said.
The all-stock deal is expected to close in Q1 2023, with Sitio shareholders owning around 54% of the new company and Brigham's the remainder. Noam Lockshin, the current chairman of Sitio, would also become chairman of the new company.
Sitio is a result of the merger of Desert Peak Minerals and Falcon Minerals earlier this year. The new company, which will operate under the name Sitio Royalties, will have 259,510 net royalty acres with over 30% coverage in the Permian Basin, approximately 100 rigs running across all of its operating basins, and more than 50 activity wells.
