Infinity Natural Resources, Inc. (NYSE: INR) announced that its subsidiary, Infinity Natural Resources, LLC, will acquire upstream and midstream assets in Ohio’s Utica Shale from Antero Resources Corporation and Antero Midstream Corporation for a combined purchase price of $1.2 billion. The deal gives Infinity a 51% ownership stake in the assets, while Northern Oil and Gas (NOG) will acquire the remaining 49% for $588 million, leaving Infinity’s net purchase price at $612 million for its interest.
The transaction adds more than 110 low‑break‑even drilling locations to Infinity’s portfolio and brings in additional midstream infrastructure, expanding the company’s operational scale in the Utica Shale. Infinity will finance the acquisition with existing cash and a new $500 million incremental commitment under its senior secured revolving credit facility, which has been increased from $375 million to $875 million. The deal is expected to close in the first quarter of 2026, and the boards of Infinity, Northern Oil and Gas, Antero Resources, and Antero Midstream have all approved the transaction.
Strategically, the acquisition deepens Infinity’s presence in Ohio, allowing the company to leverage its long‑lateral drilling expertise and internal midstream assets to accelerate production and improve cost efficiency. The added inventory is projected to enhance Infinity’s production growth trajectory and provide additional margin upside in a high‑gas‑price environment. The deal also positions Infinity to capture upside from the continued strength of the Utica Shale, which remains one of the United States’ most prolific natural‑gas plays.
Antero Resources is divesting its Utica assets as part of a broader strategic shift toward its core Marcellus position, following the acquisition of HG Energy’s Marcellus assets for $2.8 billion. Antero’s Q3 2025 Adjusted EBITDAX was $318 million and net income was $76 million, underscoring the company’s focus on higher‑margin assets. By selling the Ohio assets, Antero can redeploy capital into its Marcellus portfolio, while Infinity gains a foothold in a region that has historically delivered strong production growth.
Infinity’s financial health remains mixed. While the company reported a Q3 2025 EPS of $0.65 and revenue of $79.73 million, other sources note that revenue has not grown over the past three years and that operating and net margins are negative, despite a relatively strong gross margin. The acquisition is therefore a strategic bet that the company can improve its operating leverage and margin profile by adding high‑quality, low‑break‑even assets and by integrating them into its existing midstream network.
The transaction also reflects Infinity’s broader strategy of building a vertically integrated asset base in the Utica Shale. By owning both drilling and midstream infrastructure, Infinity can reduce transportation costs, improve asset control, and capture a larger share of the value chain. The partnership with Northern Oil and Gas, which is acquiring a 49% stake, diversifies the financial burden and brings in a partner with expertise in non‑operated working‑interest ownership.
Overall, the deal signals Infinity’s confidence in the long‑term prospects of the Utica Shale and its ability to scale operations efficiently. The company’s management has emphasized that the acquisition will strengthen its production growth trajectory and improve margin upside, while the financing structure provides flexibility to support future expansion.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.