07:51 AM EST, 11/13/2024 (MT Newswires) -- (Updates with Exxon Mobil's ( XOM ) confirmation in the first and second paragraphs.)

Exxon Mobil ( XOM ) has agreed to sell conventional oil-drilling assets in the Permian Basin to Hilcorp Energy, a spokesperson confirmed Wednesday.

"The sale is consistent with our strategy to focus investments on advantaged assets in our industry-leading portfolio," the spokesperson told MT Newswires. "The sale is expected to close in Q1 2025."

Reuters reported Tuesday, citing four sources familiar with the matter, that the assets are to be sold for about $1 billion.

Hilcorp did not immediately respond to a request for comment from MT Newswires.