Pioneer said the acquired acreage is primarily undrilled and increases its acreage position to more than one million net acres with no exposure to federal lands.
This would be Pioneer’s second significant acquisition in just over five months, after announcing in October it would buy Parsley Energy for $4.5 billion.
U.S. shale companies are hunting for acquisitions again, as they look to position themselves for a recovery in oil prices.
The deal consists of about 27.2 million shares of Pioneer common stock, $1 billion of cash and the assumption of about $900 million of debt and liabilities.
Reuters had first reported about the deal earlier on Thursday.