Chord Energy closed its $4 billion acquisition of Enerplus Corp., creating a top Williston Basin oil and gas producer.

The deal closed May 31 following approvals by Chord and Enerplus shareholders; the Court of King’s Bench of Alberta had approved the agreement on May 28.

"We are excited to complete the combination with Enerplus, creating a premier Williston Basin operator with enhanced scale, significant low-cost inventory, financial strength, and peer-leading shareholder returns," said Danny Brown, president and CEO at Houston-based Chord.

During the second half of 2024, the combined company expects oil, gas and NGL output to average between 265,700 boe/d and 273,200 boe/d. Oil volumes are expected to range between 152,300 bbl/d and 156,800 bbl/d.

Chord plans to turn-in-line 163 to 193 gross operated wells (~75% working interest) this year, with 62 to 73 gross wells expected to come online during the second quarter.

“Chord will continue to benefit its stakeholders, including the communities in North Dakota, Montana and the Fort Berthold Indian Reservation,” Brown said. “Simultaneously, we will remain focused on maximizing shareholder value through our core operating philosophy, which emphasizes capital discipline and the generation of sustainable free cash flow.”

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Integration

The Chord board of directors increased to 11 members—seven from Chord, four from Enerplus—after the deal closed:

  • Susan Cunningham, board chair;
  • Daniel Brown, president and CEO;
  • Samantha Holroyd, safety and sustainability committee chair;
  • Jeffrey Sheets, audit and reserves committee chair;
  • Anne Taylor, compensation and human resources committee chair;
  • Marguerite Woung-Chapman, nominating and governance committee chair;
  • Douglas Brooks;
  • Ian Dundas;
  • Hilary Foulkes;
  • Kevin McCarthy; and
  • Ward Polzin

Chord sees runway to over $200 million in synergistic cost savings per year after closing the Enerplus acquisition, compared to the company’s original annual synergy target of $150 million.

The combination gives Chord another decade of drilling runway in the Bakken Shale play—the nation’s second-largest oil field behind the prolific Permian Basin, according to U.S. Energy Information Administration figures.

The deal also ends a long and pioneering run in the Bakken for Enerplus, which bet big on the emerging U.S. horizontal play when the Canadian E&P entered the field through acquisition nearly two decades ago.

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