Midland-based Permian Resources said this week after its $4.5 billion acquisition of Earthstone Energy that it will relocate at least one of Earthstone’s two rigs now in Midland Basin to Delaware Basin. In 2024 the combined company expects to allocate about 90 percent of capital to high-rate-of-return projects in Delaware Basin focused on Eddy and Lea counties in New Mexico and Reeves and Ward counties in Texas.
Permian Resources said Delaware Basin activity is expected to be weighted slightly more toward New Mexico as a result of the transaction that increased the company’s position in Permian Basin to more than 400,000 net acres with production of about 300,000 boed.