Northern Oil and Gas Eyes Strategic Acquisition of Granite Ridge Resources

Northern Oil and Gas is pursuing an acquisition of Granite Ridge Resources, aiming to expand its presence in key U.S. shale basins. Despite Granite Ridge's initial resistance, Northern is expected to potentially enhance its offer. The acquisition would represent Northern's largest deal to date, enhancing its asset portfolio significantly.

Northern Oil and Gas, headquartered in Minneapolis, has expressed intent to acquire Granite Ridge Resources, with two offers already on the table, sources revealed. The smaller Granite Ridge has resisted the proposal, which is valued at 20% above its current market share price.

Despite the refusal, Northern remains keen on the acquisition and might improve its bid next year, insiders suggest. News of the potential deal caused Granite Ridge shares to rise over 10%, valuing the firm at approximately $809 million.

The acquisition would be Northern's largest, indicating its strategy of expanding through acquisitions. Both companies engage in non-op production in multiple U.S. shale regions, promising growth in several basins.

(With inputs from agencies.)