[Editor's note: This story was updated from a previous version posted at 2:15 p.m. CT Jan. 16.]
On Jan. 16, Noble said it will absorb Midland, Texas-based Clayton Williams’ 71,000 net acres and 2,400 gross drilling locations in the core of the Southern Delaware in a deal some analysts said Noble needed to shore up inventory concerns. It also signals one of the first mergers of two public companies after the past 12 months saw public companies snatching up multiple private-equity-backed Permian companies.
Following the close of the deal, Noble’s U.S. resource inventory will increase to more than 2,850 gross highly-profitable wells, giving the company “at least a decade worth of high-quality drilling opportunities,” Mike Kelly, senior analyst with Seaport Global Securities LLC, said in a Jan. 17 report.