01:41 PM EDT, 05/29/2024 (MT Newswires) -- Energy stocks fell Wednesday afternoon with the NYSE Energy Sector Index dropping 1.7% and the Energy Select Sector SPDR Fund (XLE) down 2.1%.

The Philadelphia Oil Service Sector index declined 2.1%, and the Dow Jones US Utilities index lost 1.2%.

West Texas Intermediate crude oil fell 0.7% to $79.25 a barrel, while global benchmark Brent crude dropped 0.8% to $83.25 a barrel. Henry Hub natural gas futures tumbled 6.3% to $2.427 per 1 million BTU.

In corporate news, ConocoPhillips ( COP ) agreed to buy Marathon Oil ( MRO ) for $22.5 billion in stock, including $5.4 billion of debt. ConocoPhillips ( COP ) shares fell 3.9%, and Marathon jumped 7.8%.

Shell (SHEL) and Exxon Mobile (XOM) are close to a deal to sell jointly owned gas fields in the North Sea to Viaro Energy for $500 million, Reuters reported. Shell fell 0.5% and Exxon dropped 1.6%.

Tellurian (TELL) shares slumped 13% after the company agreed to sell its integrated upstream assets to Aethon Energy Management for $260 million.