Exxon

ExxonMobil’s buyout of XTO Energy was the story of December. It might be the story of 2009.

But equally important are the details now emerging about the deal. Particularly the “escape hatch” that Exxon built in.

Exxon is buying XTO to get into the shale gas game. Shale gas is one of the true revolutions we’ve seen across the commodities space over the last decade. And XTO has the expertise Exxon needs to quickly become a heavyweight in this arena.

But not everyone is convinced shale gas is a boon. Particularly environmentalists, who fear that the multi-stage fracs used to complete most shale gas wells could pollute local groundwater supplies.

OilPrice.com