With two big transactions completed in a matter of months, Pioneer Natural Resources Co. has become the largest producer in the Permian Basin and should produce up to 700,000 boe/d-plus in 2022, CEO Scott Sheffield said Wednesday.

The Dallas-based independent this week completed a $6.4 billion purchase of privately held West Texas competitor DoublePoint Energy LLC. The estimated 1,200 drilling locations “are equally competitive with Pioneer’s legacy inventory” in the Permian Midland, Sheffield said during the first quarter conference call.

“Given the hand-in-glove fit of Double Points acreage with ours, we expect to achieve synergies of approximately $175 million annually, leading to double-digit free cash flow per share and variable dividend per share...