Azerbaijan's State Oil Company acquires Comstock Resources' upstream assets for $1.7 bln

BAKU. Nov 5 (Interfax) - The State Oil Company of the Azerbaijani Republic (SOCAR) has concluded an agreement with the U.S. company Comstock Resources worth $1.65 billion to acquire part of its upstream assets in the United States, the Azerbaijani company's press service said.

"On 4 November 2026, a definitive purchase and sale agreement was signed between SOCAR and Comstock for SOCAR to acquire non-operated working interests in 20% of Comstock's interest in its Legacy Haynesville upstream assets, 15% of Comstock's interest in its Western Haynesville upstream assets, and 15% of Comstock's 73% interest in Pinnacle Gas Services LLC," SOCAR said.

Under the agreement, the total value of the deal is $1.65 billion, subject to possible standard purchase price adjustments.

SOCAR's participating interest in the exploration and production assets of the Western Haynesville project will be reduced to 7.5% after five years and after SOCAR achieves a 15% return on the investments made in these assets.

The effective date of the deal is set as July 1, 2026.

To complete the deal, procedures are under way to obtain approvals from the relevant government authorities, as well as other legal procedures provided for by law.

Comstock Resources is one of the leading independent natural gas producers in the U.S. The company's main activity is focused on developing the Haynesville shale formation in northern Louisiana and East Texas.

Pinnacle Gas Services LLC is a company registered in the state of Delaware, 73% of which is owned by Comstock. It owns and operates the Pinnacle gas gathering and processing system serving Comstock's upstream assets in Western Haynesville.

Western Haynesville is part of the Haynesville shale gas formation, located predominantly in East Texas. Comstock views this project as one of the largest undeveloped natural gas resources in the U.S.