FTC probes Exxon’s purchase of oil company Pioneer

The Federal Trade Commission is probing ExxonMobil’s move to purchase oil Company Pioneer Natural Resources, Pioneer said Tuesday.

In an SEC filing Tuesday, Pioneer president and chief operating officer Rich Dealy reproduced an email to all employees in which he said that both companies “received a request from the Federal Trade Commission (FTC) for additional information related to its review of the proposed merger transaction announced on October 11, 2023.”

“As we discussed at the employee meeting, this request by the FTC is a part of the U.S. government’s regulatory review process,” Dealy wrote. 

The probe comes after a request for an investigation from 23 Democrats, led by Senate Majority Leader Chuck Schumer (D-N.Y.), last month.

Schumer praised the probe in a statement on Tuesday, noting the earlier calls for an investigation.

“Americans care a great deal about gas prices and if this merger were to go through it would most certainly raise gas prices for families across the country,” Schumer said. “This merger has all the hallmarks of harmful, anticompetitive effects. The FTC is right to investigate this merger to see if it would lead to higher gas prices or less competition.”

Exxon announced in October that it was purchasing Pioneer for $59.5 billion. 

A spokesperson for Pioneer said that both companies “continue to work constructively with the FTC in its review of the Merger.” The spokesperson said the merger is still expected to be finished during the first half of 2024.

A spokesperson for Exxon said that the companies together “represent approximately 5% of the total U.S. oil and gas production.”

The Hill has reached out to the FTC for comment.

–Updated on Dec. 6 at 10:30 a.m.