Hunt Petroleum To Be Bought Out By XTO Energy

by Heather

It was recently announced the XTO Energy is going to buy out Hunt Petroleum for around 4.2 billion dollars in cash and stock.

Hunt Petroleum is owned by descendants of H.L. Hunt, an oil tycoon.

XTO Energy has been aggressively acquiring energy companies to solidify their position in the “power structure.” Two weeks ago XTO agreed to buy Bakken Shale in Montana and North Dakota from Headington Oil, another privately held company, for $1.85 billion dollars. This shale can be used to turn coal into liquid fuel, another alternative fuel source.

Bob R. Simpson, XTO’s chairman and chief executive, said in a statement:

“With the quality of these assets and the strong energy prices, this transaction reflects a defining moment in building our Company’s future and creating value for our shareholders. We plan to accelerate the activities and know that the assets will achieve even more.”

The deal between Hunt Petroleum and XTO Energy is expected to close on or before September 3, 2008.

For more information, please visit XTO Energy.