Diamondback Energy, Inc. Announces the Sale of Its Equity Interest in Epic Crude Holdings, LP

Core Insights - Diamondback Energy, Inc. announced the sale of its 27.5% equity interest in EPIC Crude Holdings, LP for approximately $500 million in cash, with an additional contingent payment of $96 million based on future capacity expansion approval [1][2] Transaction Details - The total upfront valuation for 100% of EPIC Crude is set at $2.85 billion, with the contingent consideration valued at $350 million [1] - The transaction is expected to close by early 2026, pending customary closing conditions, including antitrust clearance [2] Company Perspective - The CEO of Diamondback Energy expressed that the transaction represents a significant return on invested capital and emphasized the intention to maintain a strong commercial relationship with EPIC Crude and Plains as an anchor shipper on the pipeline [2] Company Overview - Diamondback Energy is an independent oil and natural gas company based in Midland, Texas, focusing on the acquisition and development of unconventional oil and gas reserves primarily in the Permian Basin [4]