Occidental Petroleum Corporation (NYSE:OXY) is reportedly in talks to buy CrownRock, a Texas shale firm, with a deal said to be worth $10 billion.
It a deal goes through, as reported by the Wall Street Journal, it would be the latest in a series of consolidating transactions in the US shale sector.
The deal would follow Exxon’s $59.5 billion deal for Pioneer (which produces around 350,000 barrels a day in the Permian) and Chevron’s acquisition of Hess (which produces 190,000 barrels per day in the Bakken shale).
In September, Reuters reported that private equity-owned CrownRock was being put up for sale and speculated that the likes of Exxon and Chevron would likely be among the list of potential suitors for the business.
Occidental is approximately 25% owned by Warren Buffett’s Berkshire Hathaway.
In New York, Occidental shares were up 0.7% in Thursday’s premarket dealing.