Exxon Mobil to boost Bakken ouput with purchase of Denbury assets in North Dakota, Montana

CP20179418
Austin Mitchell, left, and Ryan Lehto, work on an oil derrick outside of Williston, N.D. on July 26, 2011. THE CANADIAN PRESS/AP, Gregory Bull

Exxon Mobil Corp. will spend $1.6 billion to boost its holdings in the massive Bakken oil field in North Dakota and Montana by 50 per cent.

Exxon said Thursday it will buy all of the Bakken shale assets held by Denbury Resources Inc. for $1.6 billion in cash. Denbury will also receive Exxon’s interest in two fields in Wyoming and Texas.

Exxon will acquire 196,000 acres, boosting its holdings in the region to almost 600,000 acres. The acreage acquired is expected to produce 15,000 barrels of oil and other hydrocarbons per day in the second half of this year.

Oil production in the Bakken has soared in recent years, helping to fuel the biggest jump in domestic oil production in more than 40 years.

News from © The Associated Press, . All rights reserved.
This material may not be published, broadcast, rewritten or redistributed.

Join the Conversation!

Want to share your thoughts, add context, or connect with others in your community?

Create a free account

The Associated Press

The Associated Press is an independent global news organization dedicated to factual reporting. Founded in 1846, AP today remains the most trusted source of fast, accurate, unbiased news in all formats and the essential provider of the technology and services vital to the news business. More than half the world’s population sees AP journalism every day.

Related Articles