NOBLE TO ACQUIRE CLAYTON WILLIAMS

Noble Energy and Clayton Williams Energy have executed a definitive agreement under which Noble Energy will acquire all of the outstanding common stock of Clayton Williams Energy for $2.7 billion in Noble Energy stock and cash. The acquisition includes – 71,000 highly contiguous net acres in the core of the Southern Delaware Basin in Reeves and Ward counties in Texas (directly adjacent to Noble Energy’s existing 47,200 net acres). In addition, there are an additional 100,000 net acres in other areas of the Permian Basin – 80% average working interest in the Southern Delaware position, with more than 95% of the acreage operated. 2,400 Delaware Basin gross drilling locations identified, targeting the Upper and Lower Wolfcamp A zones, along with the Wolfcamp B and C, with total estimated net unrisked resource potential on the acreage of over 1 billion barrels of oil equivalent.
Noble Energy’s outlook is to increase production on the acquired assets from 10 MBoe/d currently (70% oil) to approximately 60 MBoe/d in 2020 in the Company’s base plan.