Diamondback Energy Inc. has entered a deal to acquire all leasehold interest and related assets of privately held FireBird Energy LLC for $775 million in cash and 5.86 million Diamondback shares.

The West Texas asset package spans about 75,000 gross (68,000 net) acres in the Permian Basin’s Midland sub-basin.

“This bolt-on acquisition adds significant, high-quality inventory right in our backyard,” said Diamondback CEO Travis Stice. “With over 350 locations adjacent to our current Midland Basin position, this asset adds more than a decade of inventory at our anticipated development pace, including inventory that competes for capital right away in Diamondback’s current development plan.”

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