ConocoPhillips (NYSE: COP) today announced that it has completed
its acquisition of Concho Resources (“Concho”) (NYSE: CXO)
following approval by shareholders of both companies.
“We appreciate the strong support for this transaction from the
shareholders of both companies, which we view as further
affirmation of the significant benefits it will deliver,” said Ryan
Lance, ConocoPhillips chairman and chief executive officer. “This
acquisition results in the combination of two premier companies
that can lead the structural change for our vital industry that’s
critical to investors. We expect the company to deliver
differential performance on three key mandates: providing
affordable energy to the world, generating superior returns on and
of capital and demonstrating ESG leadership.”
Lance added, “I also welcome Tim Leach to ConocoPhillips’ board
of directors and executive leadership team. Tim and his
organization built a best-in-class Permian company and we both look
forward to creating significant value from this transaction. Thanks
to the considerable efforts of our transition teams over these past
few months, we’re off to a fast start toward seamlessly integrating
our two companies and building momentum as a sector leader.”
ConocoPhillips and Concho will each file the vote results for
their respective special shareholder meetings on a Form 8-K with
the U.S. Securities and Exchange Commission.
In accordance with the terms of the merger agreement, each share
of Concho common stock was converted into the right to receive 1.46
shares of ConocoPhillips common stock at the effective time of the
merger.
--- # # # ---
About ConocoPhillips
Headquartered in Houston, Texas, ConocoPhillips had operations
and activities in 15 countries, $63 billion of total assets, and
approximately 9,800 employees at Sept. 30, 2020. Production
excluding Libya averaged 1,108 MBOED for the nine months ended
Sept. 30, 2020, and proved reserves were 5.3 BBOE as of Dec. 31,
2019. For more information, go to www.conocophillips.com.
CAUTIONARY STATEMENT FOR THE PURPOSES
OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995
All statements other than historical facts may be
forward-looking statements within the meaning of the federal
securities laws. Forward-looking statements relate to future events
and anticipated results of operations and business strategies,
statements regarding the merger, including the anticipated benefits
of the merger, the anticipated impact of the merger on
ConocoPhillips’ business and future financial and operating
results, the expected amount and timing of synergies from the
merger and other aspects of operations or operating results. All
statements, other than statements of historical fact, that address
activities, events or developments that ConocoPhillips expects,
believes or anticipates will or may occur in the future are
forward-looking statements. Words and phrases such as “anticipate,”
“estimate,” “believe,” “budget,” “continue,” “could,” “intend,”
“may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,”
“would,” “expect,” “objective,” “projection,” “forecast,” “goal,”
“guidance,” “outlook,” “effort,” “target” and other similar words
can be used to identify forward-looking statements. However, the
absence of these words does not mean that the statements are not
forward-looking. Where, in any forward-looking statement,
ConocoPhillips expresses an expectation or belief as to future
results, such expectation or belief is expressed in good faith and
believed to be reasonable at the time such forward-looking
statement is made. However, these statements are not guarantees of
future performance and involve certain risks, uncertainties and
other factors beyond ConocoPhillips’ control. Therefore, actual
outcomes and results may differ materially from what is expressed
or forecast in the forward-looking statements. The following
important factors and uncertainties, among others, could cause
actual results or events to differ materially from those included
in this press release. These include the ability to successfully
integrate Concho’s businesses and technologies; the risk that the
expected benefits and synergies of the merger may not be fully
achieved in a timely manner, or at all; the risk that
ConocoPhillips will be unable to retain and hire key personnel;
unanticipated difficulties or expenditures relating to the merger;
uncertainty as to the long-term value of ConocoPhillips common
stock; the diversion of management time on merger-related matters;
the inability to realize anticipated cost savings and capital
expenditure reductions; the inadequacy of storage capacity for
ConocoPhillips products, and ensuing curtailments, whether
voluntary or involuntary, required to mitigate this physical
constraint; the impact of public health crises, including pandemics
(such as COVID-19) and epidemics and any related company or
government policies or actions; global and regional changes in the
demand, supply, prices, differentials or other market conditions
affecting oil and gas, including changes resulting from a public
health crisis or from the imposition or lifting of crude oil
production quotas or other actions that might be imposed by OPEC
and other producing countries and the resulting company or
third-party actions in response to such changes; fluctuations in
crude oil, bitumen, natural gas, LNG and NGLs prices, including a
prolonged decline in these prices relative to historical or future
expected levels; the impact of significant declines in prices for
crude oil, bitumen, natural gas, LNG and NGLs, which may result in
recognition of impairment charges on ConocoPhillips’ long-lived
assets, leaseholds and nonconsolidated equity investments;
potential failures or delays in achieving expected reserve or
production levels from existing and future oil and gas
developments, including due to operating hazards, drilling risks
and the inherent uncertainties in predicting reserves and reservoir
performance; reductions in reserves replacement rates, whether as a
result of the significant declines in commodity prices or
otherwise; unsuccessful exploratory drilling activities or the
inability to obtain access to exploratory acreage; unexpected
changes in costs or technical requirements for constructing,
modifying or operating E&P facilities; legislative and
regulatory initiatives addressing environmental concerns, including
initiatives addressing the impact of global climate change or
further regulating hydraulic fracturing, methane emissions, flaring
or water disposal; lack of, or disruptions in, adequate and
reliable transportation for ConocoPhillips’ sales volumes,
including crude oil, bitumen, natural gas, LNG and NGLs; the
inability to timely obtain or maintain permits, including those
necessary for construction, drilling and/or development, or the
inability to make capital expenditures required to maintain
compliance with any necessary permits or applicable laws or
regulations; the failure to complete definitive agreements and
feasibility studies for, and to complete construction of, announced
and future E&P and LNG development in a timely manner (if at
all) or on budget; potential disruption or interruption of
ConocoPhillips’ operations due to accidents, extraordinary weather
events, civil unrest, political events, war, terrorism, cyber
attacks, and information technology failures, constraints or
disruptions; changes in international monetary conditions and
foreign currency exchange rate fluctuations; changes in
international trade relationships, including the imposition of
trade restrictions or tariffs relating to ConocoPhillips’ sales
volumes, including crude oil, bitumen, natural gas, LNG, NGLs and
any materials or products (such as aluminum and steel) used in the
operation of ConocoPhillips’ business; substantial investment in,
and development and use of, competing or alternative energy
sources, including as a result of existing or future environmental
rules and regulations; liability for remedial actions, including
removal and reclamation obligations, under existing and future
environmental regulations and litigation; significant operational
or investment changes imposed by existing or future environmental
statutes and regulations, including international agreements and
national or regional legislation and regulatory measures to limit
or reduce GHG emissions; liability resulting from litigation,
including litigation related to the merger, or ConocoPhillips’
failure to comply with applicable laws and regulations; general
domestic and international economic and political developments,
including armed hostilities; expropriation of assets; changes in
governmental policies relating to crude oil, bitumen, natural gas,
LNG and NGLs pricing, regulation or taxation, and other political,
economic or diplomatic developments; volatility in the commodity
futures markets; changes in tax and other laws, regulations
(including alternative energy mandates), or royalty rules
applicable to ConocoPhillips’ business; competition and
consolidation in the oil and gas E&P industry; any limitations
on ConocoPhillips’ access to capital or increase in ConocoPhillips’
cost of capital, including as a result of illiquidity or
uncertainty in domestic or international financial markets;
ConocoPhillips’ inability to execute, or delays in the completion
of, any asset dispositions or acquisitions ConocoPhillips elects to
pursue; potential failure to obtain, or delays in obtaining, any
necessary regulatory approvals for pending or future asset
dispositions or acquisitions, or that such approvals may require
modification to the terms of the transactions or the operation of
ConocoPhillips’ remaining business; potential disruption of
ConocoPhillips’ operations as a result of pending or future asset
dispositions or acquisitions, including the diversion of management
time and attention; the inability to deploy the net proceeds from
any asset dispositions that are pending or that ConocoPhillips
elects to undertake in the future in the manner and timeframe
ConocoPhillips currently anticipates, if at all; the inability to
liquidate the common stock issued to ConocoPhillips by Cenovus
Energy as part of ConocoPhillips’ sale of certain assets in western
Canada at prices ConocoPhillips deems acceptable, or at all; the
operation and financing of ConocoPhillips’ joint ventures; and the
ability of ConocoPhillips customers and other contractual
counterparties to satisfy their obligations to ConocoPhillips,
including ConocoPhillips’ ability to collect payments when due from
the government of Venezuela or PDVSA.
Additional important risks, uncertainties and other factors are
described in ConocoPhillips’ Annual Report on Form 10-K for the
fiscal year ended December 31, 2019 and ConocoPhillips’ Quarterly
Reports on Form 10-Q for the quarterly periods ended March 31,
2020, June 30, 2020 and September 30, 2020, certain Current Reports
on Form 8-K and other filings ConocoPhillips makes with the SEC and
in Concho’s Annual Report on Form 10-K for the fiscal year ended
December 31, 2019 and Concho’s Quarterly Reports on Form 10-Q for
the quarterly periods ended March 31, 2020, June 30, 2020 and
September 30, 2020, certain Current Reports on Form 8-K and other
filings Concho made with the SEC.
Except as required by law, ConocoPhillips does not undertake or
assume any obligation to update any forward-looking statements,
whether as a result of new information or to reflect subsequent
events or circumstances or otherwise. You are cautioned not to
place undue reliance on these forward-looking statements, which
speak only as of the date hereof.
# # #
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210115005464/en/
John C. Roper (media) 281-293-1451 john.c.roper@conocophillips.com
Investor Relations 281-293-5000
investor.relations@conocophillips.com
ConocoPhillips (NYSE:COP)
Historical Stock Chart
From Feb 2024 to Mar 2024
ConocoPhillips (NYSE:COP)
Historical Stock Chart
From Mar 2023 to Mar 2024