Saturday, June 26, 2010

Exxon Mobil (NYSE:XOM) Completes Purchase Of XTO Energy

Exxon Mobil (NYSE:XOM) has completed their purchase of XTO Energy Incorporated, a natural gas company, on Friday for $35 million. They named an Exxon executive Jack Williams President.

Williams was the vice president of Exxon Mobil Development Co. Keith Hutton, former chief executive will be the new vice president. XTO will keep their name as well as "nearly all" of the current 3,300 employees, said Exxon. The officials at Exxon are expecting there to be quite a substantial growth in the demand of natural gas.

Williams said, "with this agreement, we are combining XTO's skills, capabilities, and asset base with Exxon Mobil's advanced research and development, and operational capabilities global scale and financial capacity." Exxon is planning on developing XTO into a global company which will explore and develop "unconventional" resources.

Rex Tillerson, Exxon chief executive said, "Exxon Mobil's energy outlook indicates that gas will grow more rapidly than any other major energy source given its availability and relatively low carbon profile."

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