Chevron to buy PDC Energy for $7.6 billion

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The oil major said the PDC deal would bring strong free cash flow, low breakeven production and development opportunities adjacent to Chevron (NYSE:CVX)’s position in the Denver-Julesburg Basin, as well as additional acreage to the company’s position in the Permian Basin.

The deal is expected to increases Chevron’s proved reserves by 10% at an acquisition cost of under $7 per barrel of oil equivalent.