California Resources closes $63 million Crimson acquisition

California Resources Corporation (NYSE:CRC) finalized its acquisition of Crimson Midstream Holdings, LLC for around $63 million in cash on Monday, as per a press release. The deal was finalized from CorEnergy Infrastructure Trust, Inc. The California Public Utilities Commission approved the transaction on August 13, 2026.

This acquisition expands California Resources’ midstream pipeline assets, enabling the delivery of California-produced oil barrels to markets and providing operating flexibility within the company’s portfolio. Francisco Leon, President and Chief Executive Officer, mentioned that Crimson’s pipeline corridors could be explored for potential CO2 transportation development in California.

California Resources has issued third quarter 2026 guidance for the Crimson operations, estimating general and administrative expenses between $1 million and $2 million, and capital investment between $1 million and $2 million. These projections are based on the closing date of September 1 and are subject to completion of accounting and financial reporting processes, including Crimson’s adoption of California Resources’ accounting policies.

The company intends to update its full-year 2026 guidance upon releasing third quarter 2026 earnings.

Jefferies LLC acted as the financial advisor to California Resources, while Evercore served as the advisor to CorEnergy Infrastructure Trust, Inc. California Resources Corporation is an independent energy and carbon management company, actively developing carbon capture and storage projects through its Carbon TerraVault business unit.