Diamondback Energy sells unit's assets at $670 million to top profit estimates

Diamondback Energy beat analyst estimates for the third quarter profit on Monday and announced that it would sell Viper Energy's non Permian assets to an affiliate of GRP Energy Capital & Warwick Capital Partners for $670M.

Shareholders are more interested in steady growth and disciplined spending than rapid growth on an uncertain oil markets.

The transaction is expected close in the first half of 2026.

Diamondback benefited during the third quarter from an increase of production. This was despite the fact that the Benchmark Brent crude average fell by more than 13% compared to a year ago, due to OPEC+'s increased output and a slowing demand in the world.

The average oil price was $64.60 a barrel in the third quarter of this year, down from $73.13 one year ago.

The total output increased to 942.946 barrels equivalent per day from 571.098 boepd one year ago.

According to data compiled and analyzed by LSEG, the Midland, Texas-based firm posted an adjusted profit per share of $3.08 for the three-month period ended September 30. This compares with analyst expectations of $2.93. Reporting by Vallari Srivastava, Bengaluru. Editing by Sriraj Kulluvila

(source: Reuters)