Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

CONOCOPHILLIPS

(COP)
  Report
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

ConocoPhillips : DBRS Morningstar Comments on ConocoPhillips' Announcement to Acquire Shell's Permian Assets for $9.5 Billion in an All-Cash Transaction

09/24/2021 | 04:31am EDT

DBRS Limited (DBRS Morningstar) notes that ConocoPhillips (Conoco or the Company; rated 'A' with a Stable trend) has announced the acquisition of around 225,000 net acres and producing properties in the Delaware basin in Texas, including 600 miles of pipelines and infrastructure, from Shell Enterprises LLC for a total cash consideration of $9.5 billion.

The Company expects the assets (roughly half of which are nonoperated) to produce approximately 200,000 barrels of oil equivalent per day in 2022 and generate $2.6 billion in cash flow from operations under recent strip price levels. The effective date of the transaction is July 1, 2021, and the transaction is expected to close in Q4 2021, subject to regulatory clearance and customary closing conditions. The transaction is expected to be entirely funded from available cash and cash equivalents on its balance sheet, while still leaving sufficient cash for operations and general purposes.

In conjunction with the transaction, the Company also increased its asset dispositions target to $4 billion-$5 billion from $2 billion-$3 billion by 2023. The incremental $2 billion in planned dispositions is expected to be sourced from the Permian Basin. The Company reiterated its intention to reduce gross debt over the next several years. DBRS Morningstar also notes the Company's announcement to increase its Scope 1 and 2 greenhouse gas emissions intensity reduction targets for 2030 to 40%-50% on both a net equity and gross operated basis from 35%-45% on a gross operated basis, versus a 2016 baseline.

Given Conoco's already superior size, large low cost of supply resource base, and the all-cash nature of the transaction, DBRS Morningstar believes that the acquisition of assets are modestly credit positive but not enough to affect DBRS Morningstar's overall Issuer Rating of 'A.'

Notes:

All figures are in U.S. dollars unless otherwise noted.

For more information on this credit or on this industry, visit www.dbrsmorningstar.com or contact us at info@dbrsmorningstar.com.

DBRS Limited

DBRS Tower, 181 University Avenue, Suite 700

Toronto, ON M5H 3M7 Canada

Tel. +1 416 593-5577

(C) 2021 Electronic News Publishing, source ENP Newswire

All news about CONOCOPHILLIPS
10/22US Oil, Gas Mergers Slow Down Amid Pressure on Government to Help with High Energy Pric..
MT
10/21Aris Water Solutions IPO Prices Below Projected Range at $13
DJ
10/21CONOCOPHILLIPS' ARCTIC OIL PROJECT B : Bloomberg
MT
10/21FIRST OIL : ConocoPhillips' Arctic Oil Project Blocked by Alaska Judge: Bloomberg
MT
10/21U.S. slows down oil and gas mergers-sources
RE
10/21CONOCOPHILLIPS : Partnering to Conserve Key Indicator Species
PU
10/21US Crude Oil Stocks Down Week Over Week as Crude Oil Futures Stay Up, EIA Reports
MT
10/19CONOCOPHILLIPS : Goldman Sachs Raises Price Target on ConocoPhillips to $78 From $76, Main..
MT
10/19CONOCOPHILLIPS : KeyBanc Raises Price Target on ConocoPhillips to $81 from $78, Keeps Over..
MT
10/153D OIL : JV Partner ConocoPhillips Gathering Sequoia 3D Seismic Data at Australia's T/49P ..
MT
More news
Analyst Recommendations on CONOCOPHILLIPS
More recommendations
Financials (USD)
Sales 2021 40 610 M - -
Net income 2021 7 387 M - -
Net Debt 2021 14 611 M - -
P/E ratio 2021 13,5x
Yield 2021 2,32%
Capitalization 101 B 101 B -
EV / Sales 2021 2,86x
EV / Sales 2022 2,65x
Nbr of Employees 10 100
Free-Float 64,1%
Chart CONOCOPHILLIPS
Duration : Period :
ConocoPhillips Technical Analysis Chart | COP | US20825C1045 | MarketScreener
Technical analysis trends CONOCOPHILLIPS
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 28
Last Close Price 75,72 $
Average target price 83,96 $
Spread / Average Target 10,9%
EPS Revisions
Managers and Directors
Ryan M. Lance Chairman & Chief Executive Officer
William L. Bullock Chief Financial Officer & Executive Vice President
Dominic E. Macklon Executive VP-Strategy, Sustainability & Technology
Pragati Mathur Chief Digital & Information Officer
Shannon Weinberg Kinney Secretary & Chief Compliance Officer
Sector and Competitors
1st jan.Capi. (M$)
CONOCOPHILLIPS89.35%101 395
EOG RESOURCES, INC.84.48%53 715
CANADIAN NATURAL RESOURCES LIMITED72.83%50 365
CNOOC LIMITED19.08%49 109
PIONEER NATURAL RESOURCES COMPANY65.67%46 747
OCCIDENTAL PETROLEUM CORPORATION89.49%31 682