Select Eagle Ford assets are being sought by RPT-Exxon XTO.

Exxon Mobil subsidiary XTO Energy, which is part of the oil major Exxon Mobil, is looking for buyers to purchase?some assets? in the Eagle Ford shale in South Texas.

In recent days, ?top ?U.S. Two sources said earlier that Exxon, the oil giant, opened a virtual dataroom to start marketing the assets. Sources said the assets, which cover 168,000 acres net, are worth over $1 billion.

Sources said that XTO was selling over a 1,000 wells. Some of these are operated by Exxon, while others have passive or "nonoperated" interest. It also includes those for which it receives royalties.

Sources added that Exxon has not hired investment bankers and is internally marketing the assets.

Sources requested anonymity because the talks are confidential.

A spokesperson for Exxon said XTO Energy was exploring the market for Eagle Ford assets located in South Texas.

The spokesperson stated that "this marketing decision is consistent with our strategy of continually evaluating and optimizing our portfolio." They did not give any further details.

After a record-breaking deal-making spree, U.S. Oil producers are divesting assets and selling off non core assets in order to focus on their most profitable areas of business.

Exxon's three main priorities include its investments in LNG and its holdings in Permian basin of Texas and New Mexico. The Permian basin is the largest oilfield in the United States. Exxon has been selling assets over the past few years. The company, which acquired rival Pioneer Natural Resources in a $60 billion deal for 2024, sold several assets. Exxon sold its majority-owned French company Esso last year, as well as its holdings in North Dakota, Montana, and Canada's Williston Basin.

The company has also announced plans for laying off around 2,000 employees globally.

As global oil oversupply worries increase, the asset sales of producers will also accelerate. Stock prices are likely to fall and producers may be forced to reduce costs and boost cash.

The benchmark West Texas Intermediate crude futures in the United States settled at $61.07 per barrel on Friday. This is 18% less than it was a year ago. Shariq Khan reported from New York, Sheila Dang from Houston and Arathy Gregorio edited the story.

(source: Reuters)