Energy stocks rallied Tuesday as more Permian-based M&A deals shake up the sector.
ExxonMobil (XOM) was the latest to announce a deal in the lucrative region. The energy major is buying assets from the Bass family in a deal worth up to $6.6 billion. The deal doubles Exxon's Permian Basin resources to six billion barrels of oil equivalent and includes 250,000 acres of leasehold in the Permian basin.
Exxon's deal overshadows another billion-dollar deal announced this week. Noble Energy (NBL) announced Monday its plans to buy Clayton Williams Energy (CWEI) in a $2.7 billion cash-and-stock deal. Noble led the energy sector on Tuesday.
Both deals pushed the energy sector higher, even as crude oil prices largely erased earlier gains.
Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.
Despite the president's promise of no stimulus until after Nov. 3, there are no signs yet that this is the sort of correlated selling that leads to a deep correction.
Breaking down an approach to the long side of this biotech stock.
Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation.
If you have questions, please contact us here.
Email
Email sent
Thank you, your email to has been sent successfully.
