How E&P Mega-Mergers Put Vendor Contracts at Risk: Change-of-Control Provisions Explained

Short summary

Three major E&P mergers (ExxonMobil-Pioneer, Chevron-Hess, ConocoPhillips-Marathon) have consolidated the oil patch buyer base, putting vendor contracts at risk. Whether a service company's contract survives depends on specific MSA language around assignment, change-of-control, and termination rights. Service companies should review these provisions proactively, as acquiring companies will consolidate overlapping vendors post-closing.

• •Three major E&P mergers consolidated the oil-patch customer base, threatening vendor contracts
• •Contract survival hinges on MSA language governing assignment, change-of-control, and termination
• •Service companies should proactively review contract provisions before acquisitions close

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