Announced Acquisition of Concho Resources Inc	9 Months Ended
Sep. 30, 2020
Announced Acquisition of Concho Resources Inc. [Abstract]
Announced Acquisition of Concho Resources Inc.	Note 22—Announced Acquisition of Concho Resources Inc. On October 19, 2020 , we announced a definitive agreement (the Merger Agreement) to acquire Concho Resources Inc. (Concho) in an all-stock transaction valued at $ 9.7 billion based upon closing share prices on October 16, 2020. Under the terms of the transaction, which has been unanimously approved by the board of directors of each company, each share of Concho common stock will be exchanged for a fixed ratio of 1.46 shares of ConocoPhillips common stock. We will also assume the debt balances of Concho, which were approximately $ 3.9 billion at September 30, 2020. The transaction is anticipated to close in the first quarter of 2021, subject to the approval of both ConocoPhillips and Concho shareholders, regulatory clearance, and other customary closing conditions. If the Merger Agreement is terminated under certain circumstances, we may be required to pay a termination fee of $ 450 million, including if the proposed Merger is terminated because our board of directors has changed its recommendation in respect of the stockholder proposal relating to the Merger. In addition, we may be required to reimburse Concho for its expenses in an amount equal to $ 142.5 million if the Merger Agreement is terminated because of a failure of our stockholders to approve the stockholder proposal. See Item 1A. “Risk Factors” for further discussion of risks related to the Concho acquisition.

Announced Acquisition of Concho Resources Inc

9 Months Ended

Sep. 30, 2020

Announced Acquisition of Concho Resources Inc. [Abstract]

Announced Acquisition of Concho Resources Inc.

Note 22—Announced Acquisition of Concho

Resources Inc.

October 19, 2020

, we announced a definitive agreement (the

Merger Agreement) to acquire

Concho

Resources Inc.

(Concho) in an all-stock transaction valued

at $

9.7

billion based upon closing share prices on

October 16, 2020.

Under the terms of the transaction,

which has been unanimously approved by the board

directors of each company, each share of Concho common stock will

be exchanged for a fixed ratio of

1.46

shares of ConocoPhillips common stock.

We will also assume the debt balances of Concho, which were

approximately $

3.9

billion at September 30, 2020.

The transaction is anticipated to close in the first

quarter of 2021, subject to the approval

of both

ConocoPhillips and Concho shareholders,

regulatory clearance, and other customary

closing conditions.

If the

Merger Agreement is terminated under certain circumstances,

we may be required to pay a termination fee of

450

million, including if the proposed Merger is terminated

because our board of directors has changed its

recommendation in respect of the stockholder

proposal relating to the Merger.

In addition, we may be required

to reimburse Concho for its expenses in an amount

equal to $

142.5

million if the Merger Agreement is

terminated because of a failure of our stockholders

to approve the stockholder proposal.

See Item 1A. “Risk

Factors” for further discussion of risks related

to the Concho acquisition.