California Resources Corporation has completed a merger with Berry Corporation based on an all-stock exchange, valued at approximately $253 million. The deal results in the transfer of a portfolio of conventional oil assets to California Resources, primarily located in California, characterised by low-decline production.
Former Berry Corporation shareholders received approximately 5.6 million shares of California Resources Corporation common stock. The valuation is based on California Resources’ closing share price on December 17. Following the transaction, the combined entity is led by California Resources’ existing executive team and remains headquartered in Long Beach, California.
Asset perimeter reorganisation in California
The asset transfer strengthens California Resources’ operational position in the San Joaquin Basin, a core area of its existing portfolio. The integrated assets include long-life conventional fields, complementing the current holdings with no announced changes to the operational model.
The transaction also reshapes the geographical spread of the group’s assets, with the addition of a strategic option in the Uinta Basin. This region, spanning Utah and Colorado, expands the company’s potential development scope, with no immediate commitments disclosed regarding investment or production levels.
Operational outlook post-integration
California Resources stated that consolidated financial guidance will be released with the fourth quarter 2025 results. These figures will include the 2026 outlook, incorporating the effects of the asset transfer and the new structure of the group.
California Resources Corporation President and Chief Executive Officer Francisco Leon stated that the transaction aligns with ongoing efforts to strengthen the company’s operational platform. He also acknowledged the contribution of both companies’ teams to completing the deal, without providing further details on the operational integration timeline.
