A tie-up between Diamondback and Endeavor, if it succeeds, would create a player in the massive Permian Basin oil and gas field that straddles Texas and New Mexico. Photo via Unsplash

Diamondback Energy will attempt to buy rival Endeavor Energy Resources to create an energy giant in the Southwestern United States worth more than $50 billion.

Growing confidence in an economic recovery, particularly in the U.S., has driven massive deals in the energy sector in recent months, including Chevron's $53 billion acquisition of Hess in October, and a $59.5 billion deal two weeks before that by Exxon Mobil, its biggest acquisition since buying Mobil two decades ago.

A tie-up between Diamondback and Endeavor, if it succeeds, would create a player in the massive Permian Basin oil and gas field that straddles Texas and New Mexico.

It would be the third largest producer in the Permian behind Exxon and Chevron, overseeing 838,000 acres and potentially producing 816,000 oil-equivalent barrels each day.

Diamondback said Monday that it will buy Endeavor in a cash-and-stock deal valued at about $26 billion.

Endeavor is the largest private operator in the Permian Basin. Drillers can pull more than 4 million barrels of oil equivalent from the Permian daily and the rush is on to secure prime real estate in the largest oil field in the United States with little sign that the U.S. economy is slowing as many had expected.

“Our companies share a similar culture and operating philosophy and are headquartered across the street from one another, which should allow for a seamless integration of our two teams," Diamondback Chairman and CEO Travis Stice said in a prepared statement.

Despite broad expectations that it would dip into recession in a turbulent global economy, the U.S. has proven surprisingly resilient, with a red hot job market and economic growth that has surprised almost everyone. The nation’s economy grew at an unexpectedly brisk 3.3% annual pace from October through December.

Shareholders of Diamondback Energy Inc. will own about 60.5% of the combined company, while Endeavor’s equity holders would own approximately 39.5%.

“Diamondback and Endeavor’s assets are highly contiguous and offer opportunities to capture operational and overhead synergies through a combination,” Stifel's Derrick Whitfield said in an analyst note, explaining that the deal will add low-cost inventory to Diamondback's Midland Basin position.

The Diamondback, Endeavor deal confirmed Monday includes approximately 117.3 million shares of Diamondback common stock and $8 billion in cash, and will create a huge operator in the Permian Basin that straddles Texas and New Mexico.

The combined company will be based in Midland, Texas.

The boards of both companies have approved the deal, which is expected to close in the fourth quarter. It also has all of the necessary Endeavor approvals, the companies said.

Diamondback's stock rose nearly 2% before the market open.

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

3 must-know fall application deadlines for Houston energy innovators

Editor's note: As fall reaches full swing, Houston's innovation and cleantech scene is calling on the latest batch of founders and startups looking to make a difference. A number of accelerators have opened applications. Read below to see which might be a good fit for you or your venture. And take careful note of the deadlines. Please note: this article may be updated to include additional information and programs.

Did we miss an accelerator or competition accepting applications? Email innoeditor@innovationmap.com for editorial consideration.

Greentown Lab's Go Make 2027: Advanced Carbon Materials with ExxonMobil

Deadline: Oct. 9

Details: Greentown Labs is seeking applications from startups developing novel carbon-based technologies for its latest Go Make cohort in conjunction with ExxonMobil. The structured accelerator is designed to facilitate validation activities and explore potential long-term collaborations with Exxon, according to Greentown. Founders will have the opportunity to engage directly with industry leaders to test, validate and scale their carbon technologies in real commercial contexts. The program tentatively starts on Jan. 20, 2027 and concludes June 16, 2027. Find more information here.

Activate's U.S. Fellowship Cohort 2027

Deadline: Oct. 30

Details: Activate supports scientists at "the outset of their entrepreneurial journey." It partners with U.S.-based funders and research institutions to support its fellows in developing high-impact technology. Its fellows receive a living stipend, research and development funding, connections from Activate's robust network of mentors and access to a curriculum specific to the program for two years. Applicants must have a bachelor’s degree and 4-plus years of post-baccalaureate scientific research, engineering or technology development experience. Their work must be based in the physical or biological sciences or related engineering disciplines. Find more information here.

Rice Innovation Fellows

Deadline: Oct. 30

Details: The Liu Idea Lab for Innovation and Entrepreneurship (Lilie)'s Rice Innovation Fellows program supports Rice Ph.D. students and postdocs in turning their research into real-world ventures. Participants receive $10,000 in translational research funding, co-working space and personalized mentorship. Candidates from all Rice engineering and science-related disciplines are encouraged to apply. Find more information here.

---

A version of this article originally appeared on our sister site, InnovationMap.

Houston carbon removal company secures $35M in financing

national scale

Houston-based Vaulted Deep, a waste management and carbon removal company, has announced a major $35 million debt facility from Italian investment bank Mediobanca to support its national expansion.

U.K.-based market energy solutions CFP Energy arranged the deal, which is “the largest publicly disclosed U.S. commercial debt deal in durable carbon removal to be secured by long-term purchase contracts,” according to a news release from the companies.

The financing will support new waste disposal sites for Vaulted Deep and advancements of the company’s AI-enabled site development platform. The platform helps identify locations, navigate permitting and optimize injection operations. When candidates are looking for sites, the platform will pull from regulatory, geology and waste-supply data to assist, which Vaulted Deep says will help streamline the permitting process. After the site is operating, the platform helps control algorithms to maximize safe disposal capacity and monitor the process along the way.

"Waste operators across the country need new options as traditional disposal options become limited,” Julia Reichelstein, CEO and co-founder of Vaulted Deep, said in the release. “This financing lets us take on more projects and invest in the tools that help us evaluate and develop new sites faster. This is a meaningful milestone for Vaulted as we move into the next phase of building infrastructure at a much larger scale."

The deal is supported by Vaulted Deep's long-term waste service and carbon removal purchase contracts. The company says it delivered more than 20,000 tons of carbon removal to buyers in the first half of 2026, which is more than it delivered in all of 2025.

"By facilitating these types of transactions, we connect institutional capital with innovative climate technologies, helping accelerate the deployment of high-integrity carbon removal solutions,” Tyler Manchester, head of voluntary carbon for CFP Energy, added in the release. “It reflects growing investor confidence in these solutions, driven by rising demand from corporate buyers seeking permanent pathways to support net-zero commitments and long-term climate strategies."

Beyond the facility, Vaulted Deep has secured $48 million in equity financing in addition to its $8 million from the XPRIZE Carbon Removal competition, backed by Elon Musk’s charitable organization, The Musk Foundation.

The company's well injection technology is used to store organic waste deep underground in stable geologic formations. In 2025, it inked a 12-year deal with Microsoft to remove up to 4.9 million metric tons of carbon dioxide from the environment.