XTO Energy acquisition of royalty interest from Hugoton Royalty Trust
Davis Polk is advising XTO Energy Inc. in connection with its proposed acquisition of the net overriding royalty interest held by the Hugoton Royalty Trust and certain other assets constituting substantially all of the assets of the Trust. The transaction is subject to customary closing conditions, including approval of the sale from holders of units of beneficial interest in the Trust.
XTO Energy is a leading oil and natural gas producer in the United States with expertise in developing tight gas, shale gas and unconventional oil resources. It is a wholly owned subsidiary of ExxonMobil. Hugoton Royalty Trust is an express trust formed for the purpose of collecting and distributing to its unitholders 80% of the net proceeds from the sales of oil and gas produced from certain properties located in Kansas, Oklahoma and Wyoming that are owned by XTO Energy Inc.
The Davis Polk corporate team includes partners George R. Bason Jr. and William J. Chudd, associate Shanu Bajaj and law clerk Ben Montgomery. Partner David H. Schnabel and associate Joshua J. Micelotta are providing tax advice. Partner Paula A. Ryan and associate Brian G. Sieben are providing trusts and estates advice. All members of the Davis Polk team are based in the New York office.