Diamondback Energy and KKR agree to acquire Five Point’s Deep Blue stake
Diamondback Energy and KKR announced on Nov. 10, 2026, that they will purchase Five Point Infrastructure’s 70% interest in Deep Blue Midland Basin. The buyers would jointly hold all of Deep Blue, alongside Diamondback’s existing 30% interest. The transaction is targeted for Q4 2026, subject to required approvals and other completion conditions, with KKR funding its portion primarily through KKR Global Infrastructure Investors V.
Why it matters
The transaction gives Diamondback greater control over water infrastructure supporting its Midland Basin operations and brings KKR into the platform as a partner. Diamondback says its operations require nearly 2 million barrels of water per day, making the system strategically important to its production activities.
Key facts
- 1Five Point Infrastructure agreed to sell its 70% interest in Deep Blue to Diamondback Energy and KKR, which would jointly own 100% of the platform while Diamondback contributes its existing 30% interest. globenewswire.com
- 2The transaction is scheduled for Q4 2026, subject to regulatory approvals and closing conditions. globenewswire.com
- 3Diamondback says its operations require nearly 2 million barrels of water per day. globenewswire.com
- 4KKR plans to fund the investment primarily through KKR Global Infrastructure Investors V. globenewswire.com
- 5FANG shares were down 1.22% in premarket trading, according to one report. rttnews.com
Open questions
- Material 4 describes KKR and Diamondback as acquiring a 50% stake and says Diamondback’s ownership would rise from 30% to 50%, which conflicts with the 70% stake purchase and joint 100% ownership described in materials 1, 2, 3, 5 and 6.
- Material 6 gives the expected completion period as the fourth quarter of 2023, unlike the Q4 2026 timing reported by the other event materials.
Summary written by AlphAI AI Desk from 6 of 6 sources. Not investment advice. Figures are as stated by the linked sources.