Diamondback Energy, Inc. Announces Closing of FireBird Acquisition

Rhea-AI Summary

Diamondback Energy (NASDAQ: FANG) has finalized its acquisition of all leasehold interests and related assets of FireBird Energy LLC. This strategic move aims to enhance Diamondback's position in the Permian Basin, facilitating increased production capabilities and resource optimization. The financial impact of this acquisition remains to be evaluated, but it is expected to provide significant synergies and bolster the company's operational efficiency. Investors are advised to remain cautious of potential market fluctuations following the acquisition announcement.

Positive

• Acquisition of FireBird Energy enhances resource base in the Permian Basin.
• Expected synergies may lead to increased production efficiency.

Negative

• Potential financial strain from integration costs associated with the acquisition.

MIDLAND, Texas, Nov. 30, 2022 (GLOBE NEWSWIRE) -- Diamondback Energy, Inc. (NASDAQ: FANG) (“Diamondback” or “the Company”) today announced that it has completed its previously announced acquisition of all leasehold interests and related assets of FireBird Energy LLC (“FireBird”).

About Diamondback Energy, Inc.

Diamondback is an independent oil and natural gas company headquartered in Midland, Texas focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. For more information, please visit www.diamondbackenergy.com.

Forward Looking Statements

The foregoing release contains forward-looking statements as defined by the Securities and Exchange Commission. All statements, other than historical facts, that address activities, events or developments that Diamondback assumes, plans, expects, believes, intends or anticipates (and other similar expressions) will, should or may occur in the future are forward-looking statements. The forward-looking statements are based on management’s current beliefs, based on currently available information, as to the outcome and timing of future events, including the current industry and macroeconomic conditions, commodity pricing environment, production levels, any future regulatory actions affecting Diamondback, the impact and duration of the COVID-19 pandemic, acquisitions and sales of assets, drilling and capital expenditure plans, environmental targets and initiatives and other factors believed to be appropriate. Forward looking statements are not guarantees of performance. These forward-looking statements involve certain risks and uncertainties, many of which are beyond Diamondback’s control and could cause the actual results or developments to differ materially from those currently anticipated by the management of Diamondback. Information concerning these risks and other factors can be found in Diamondback’s filings with the Securities and Exchange Commission, including its reports on Forms 10-K, 10-Q and 8-K. Diamondback undertakes no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise.

Investor Contact:
Adam Lawlis
+1 432.221.7467
alawlis@diamondbackenergy.com

FAQ

What is the significance of Diamondback Energy's acquisition of FireBird Energy?

The acquisition strengthens Diamondback's resource base and operational efficiency in the Permian Basin.

How might the acquisition of FireBird Energy impact Diamondback Energy's stock (FANG)?

While the acquisition aims to enhance production capabilities, investors should monitor market reactions to assess its impact on FANG's stock.

What assets were included in the Diamondback Energy and FireBird Energy acquisition?

Diamondback acquired all leasehold interests and related assets of FireBird Energy.

When was the acquisition of FireBird Energy completed by Diamondback Energy?

The acquisition was completed on November 30, 2022.

What are the potential risks associated with the acquisition of FireBird Energy for Diamondback Energy (FANG)?

Integration challenges and financial strain from associated costs could pose risks to Diamondback Energy's financial performance.