On Thursday, people familiar with the matter reported that Exxon Mobil is in advanced talks to purchase Pioneer Natural Resources. If it goes through, the deal could raise the market value of the Permian shale basin producer to roughly $60 billion.

The purchase would give Exxon an enlarged portfolio of assets in one of the most profitable parts of the oil patch. With a market capitalization of roughly $50 billion, Pioneer is the third biggest producer of oil in the Permian basin, behind Chevron Corp and ConocoPhillips.

Sources said that an agreement on the deal could be reached in the next few days, if the ongoing negotiations conclude successfully. The sources requested anonymity due to the matter being confidential.

Neither Exxon nor Pioneer had any comment on the matter. The deal was first reported by the Wall Street Journal on Thursday, in a report which said the deal’s conclusion was imminent.

Analysts have long noted that Pioneer would be an attractive option for Exxon to acquire due to its presence in some of the most productive parts of the Permian Shale Basin.

Valued at roughly $436 billion, Exxon enjoyed a banner year in 2022, earning a record $55.7 billion as the price of oil skyrocketed. It had $29.6 billion in cash and equivalents on hand at the end of the year.

This year, those record profits have tapered off, as the price of oil and related commodities, which exploded following the Russian invasion of Ukraine, have since fallen as concerns have grown over potential declines in demand due to inflation reducing consumer spending.

Exxon reported Wednesday that it expects an operating profit for the third quarter between $8.3 billion and $11.4 billion, which would be lower than last year’s profit, however it would be more than it made in the second quarter.

If Exxon picks up Pioneer, it will be the largest deal for the oil major since it merged with Mobil in 1999.