ConocoPhillips is in advanced discussions to acquire Marathon Oil Corp., according to a report by the Financial Times. This potential all-stock deal would value Marathon Oil at slightly over its current market capitalization of approximately $15 billion.
The acquisition would significantly broaden ConocoPhillips’ footprint in domestic shale fields, ranging from Texas to North Dakota. It would also give the company access to substantial reserves in international locations such as Equatorial Guinea. This move is part of a broader trend of consolidation in the U.S. oil and gas industry, as producers seek new drilling opportunities and synergies.
The potential acquisition comes amid a flurry of megadeals in the sector, aiming to adapt to market shifts and challenges. The industry has seen several mergers and acquisitions as companies look to optimize their asset portfolios and streamline operations.