Jerry Jones already has the world’s most valuable sports franchise. His oil and gas company now has become the leading producer in one of the nation’s largest natural gas basins.
Comstock Resources reached agreement on a $2.2 billion, cash-and-stock deal for Covey Park Energy, the Dallas Morning News reports. The Cowboys owner is committing $475 million for 50 million new shares of Comstock stock to finance the deal, the newspaper reports, bringing Jones’ total investment in Comstock to $1.1 billion.
Jones also is purchasing $175 million of stock that he can convert to common shares later.
Jones is the company’s biggest investor.
The Haynesville Shale in East Texas and northwest Louisiana is the third-largest natural gas producer in the U.S., according to the U.S. Energy Information Administration.
Comstock’s production, with Covey Park’s assets, will more than double, and it will gain more than 1,000 drilling locations, per the Morning News.