Thread regarding XTO Energy Inc. layoffs

XTO Energy to lay off 120 after Freestone Trend divestment

https://www.bizjournals.com/sanantonio/news/2023/11/07/xto-energy-exxon-mobil-layoffs.html

by
| 951 views | | 1 reply (November 8, 2023)
Post ID: @OP+1puBxSzI

1 reply

XTO Energy Inc. (NYSE: XTO) the natural gas-producing arm of Exxon Mobil, is laying off 120 employees, according to Oct. 20 and Oct. 23 filings with the state. The company plans to lay off 77 employees from its job sites in Freestone County and another 43 employees at job sites in Leon, Robertson and Smith Counties.

In eight WARN letters sent to the Texas Workforce Commission, Exxon Mobil Public and Government Affairs Manager Jared Young connected the layoffs to XTO Energy Inc.'s agreement to sell all of its oil and gas interests in the Freestone Trend Area – an area that encompasses Freestone, Limestone, Robertson, Leon, Milam and Navarro Counties – to Houston-based Hilcorp Energy I, LP.

The assets include approximately 3,000 wells, a gathering and treating system, two active treating plants, seven primary field offices, and additional warehouses, shops and yards, according to the WARN letters. Approximately 135 employees across XTO Energy and Exxon Mobil are in the scope of the asset divestment.
"The company will work as diligently as possible to place as many impacted employees supporting the assets with Hilcorp," Young noted in the letters. "For those employees that are not offered a position with Hilcorp, such employees will be offered a Special Program of Severance Allowances to assist with their separation."
The layoffs, which are expected to be permanent, will commence over a two-week period beginning Dec. 20.

Keep up with the latest San Antonio headlines by signing up here for SABJ newsletters.

XTO Energy has more than 2,600 employees across 88 Texas counties, according to its website. The company holds more than 1.6 million acres in the Permian Basin with plans to increase production to 1 million oil-equivalent barrels per day early as 2024.
In an October interview with the Houston Business Journal, Exxon Mobil said the sale of XTO Energy's Freestone Trend Area assets will advance Exxon Mobil's strategy to focus investments in its industry-leading portfolio of opportunities.

One of those opportunities is Exxon Mobil's recently-announced $60 billion deal to acquire Pioneer Natural Resources, one of the largest leaseholders in the Midland Basin. When the deal closes, the company will have approximately 1.4 million net acres in the Delaware and Midland Basins, with resources totaling 16 billion barrels of oil equivalent in the Permian and a daily production of 1.3 million boe, the Houston Business Journal reports.
"Pioneer is a clear leader in the Permian with a unique asset base and people with deep industry knowledge," said Darren Woods, chairman and CEO of Exxon Mobil, in an October statement. "The combined capabilities of our two companies will provide long-term value creation well in excess of what either company is doing on a standalone basis."
Exxon Mobil is Houston's largest publicly traded company and one of the largest publicly traded international companies. ExxonMobil common stock was trading at $104.35 per share when the market opened on Nov. 7, down from a 52-week high of $120.70 per share.

by
|
Post ID: @hfu+1puBxSzI

Post a reply

: