Acquisition Overview - EOG is acquiring Encino Acquisition Partners for $5.6 billion [3] - The acquisition includes approximately 675,000 net acres [3, 8] and over 1.0 billion Boe of undeveloped net resources [3, 8] - The deal is expected to close in the second half of 2025 [3] Financial Impact - The acquisition is expected to be accretive, increasing EBITDA by 10% in 2025 [3] - It is also expected to increase CFO and FCF by 9% in 2025 [3] - EOG is raising its regular dividend by 5% to $1.02 per share [3] Strategic Benefits - The acquisition expands EOG's Utica asset position to a pro forma total of 1.1 million net acres [8, 10] with over 2.0 billion Boe of undeveloped net resources [8, 10] - EOG anticipates $150 million in synergies in the first year, primarily from lower capital, operating, and debt financing costs [8] - The acquisition increases EOG's working interest in the northern acreage by over 20% [9] Operational Synergies - EOG's technical expertise is expected to lower well costs by approximately 15% in the volatile oil window [17] - EOG's well costs are expected to be less than $650 per foot, compared to Encino's ~$750 per foot [17, 19]