Chord Energy (US:CHRD)2021-05-06 08:11Acquisition Highlights - Oasis is acquiring top-tier assets in the Williston Basin, adding to the size and scale of its Cornerstone Asset at a compelling valuation[6] - The acquisition price is attractive at approximately $28,000 per Boepd[6] - The purchase price for the acquisition is $745 million, funded through a combination of cash on hand ($105.9 million at 3/31/21) and revolver borrowings[7] - The transaction is expected to increase the dividend by approximately 33% post-closing, to $0.50 per share ($2.00 annualized)[7] Pro Forma Overview - Pro forma net Williston acres will be 497,000, with 98% held by production[8] - Pro forma Williston production is expected to be 77.0 Mboe/d[8] - Annualized adjusted EBITDA is projected to be between $790.8 million and $810.8 million[8] - Pro forma leverage is estimated to be approximately 0.8x[8] Financial Strategy - The company is focused on generating free cash flow, with a forecast of over $200 million in 2021[26] - A $100 million share repurchase program has been announced[28] - The company is targeting long-term leverage below 1x[29] Operational Efficiency - The company is aiming to reduce E&P LOE per Boe by 5% from September 2020 estimates to current 2021 guidance[39] - E&P cash G&A reductions are projected to be between 40% and 60% from the 2020 run rate to the 4Q21 run rate[39]