Alert – Marathon Oil to Buy Paloma for $750M in Eagle Ford Expansion

May 9, 2012

Texas-based Marathon Oil Corporation has agreed to acquire Paloma Partners II LLC in a $750 million deal, vastly expanding its Eagle Ford Shale operations.  Marathon will gain 17,000 acres from Paloma’s land in Karnes and Live Oak Counties – shale lands producing roughly 7,000 barrels of oil a day.

This deal is another step for Marathon, who has been expanding from its refining business to focus on drilling in unconventional oil shales, including reservoirs in North Dakota and Oklahoma.  The cash deal is expected to close in the third quarter.

For more information on the Texas Shale deal, see the Houston Business Journal’s article here.

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