California Resources Corporation Completes Acquisition of Crimson

Rhea-AI Summary

California Resources Corporation (NYSE: CRC) has closed its approximately $63 million all-cash acquisition of Crimson Midstream Holdings from CorEnergy Infrastructure Trust, following approval from the California Public Utilities Commission on August 13, 2026.

CRC said Crimson’s diversified pipeline network complements its integrated energy portfolio, enhancing delivery of California-produced barrels to higher-value markets and improving operating flexibility and flow assurance. The company also highlighted Crimson’s corridors as potential pathways for future CO2 transportation as part of its carbon management strategy.

For the third quarter of 2026, CRC expects Crimson-related G&A expenses of $1–$2 million and capital investment of $1–$2 million, reflecting the September 1, 2026 closing. CRC plans to update full-year 2026 guidance with its third quarter 2026 earnings release.

Positive

• $63 million all-cash Crimson acquisition closed on September 1, 2026
• Regulatory approval secured from the California Public Utilities Commission on August 13, 2026
• Crimson’s midstream network expected to enhance delivery of California-produced barrels to high-value markets
• Crimson pipeline corridors expand options for longer-term CO2 transportation development
• Crimson 3Q26 G&A and capital each guided to a modest $1–$2 million range

Negative

• None.

Market Context

CRC’s prior acquisition event showed a 3.21% 24-hour reaction, providing the platform’s closest comp...

Analysis

CRC’s prior acquisition event showed a 3.21% 24-hour reaction, providing the platform’s closest comparison for this completed transaction. Recent insider data showed Net Selling, while low short positioning and the planned guidance update warrant monitoring.

Key Figures

Acquisition consideration: approximately $63 million Commission approval: August 13, 2026 Closing date: September 1, 2026 +2 more

5 metrics

Acquisition consideration approximately $63 million All-cash Crimson acquisition

Commission approval August 13, 2026 California Public Utilities Commission approval

Closing date September 1, 2026 Crimson acquisition closing

G&A expenses $1–$2 million 3Q26 Crimson outlook

Capital investment $1–$2 million 3Q26 Crimson outlook

Previous Acquisition Reports

1 past event · Latest: Aug 10 (Positive)

Same Type Pattern 1 events

Date	Event	Sentiment	24h Move	Catalyst
Aug 10	Midstream acquisition	Positive	+3.2%	Announced $63 million Crimson Midstream acquisition, with closing targeted for Q3 2026

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

The tag-specific history contained one acquisition event, followed by a 3.21% 24-hour increase.

Key Terms

midstream, flow assurance, ccs, all-cash acquisition

4 terms

midstream technical

"the acquisition of this diversified midstream network"

Midstream refers to the phase in the energy supply chain that involves the transportation, storage, and processing of oil and natural gas after extraction from the ground, but before they are refined into usable products. For investors, midstream companies are important because they often generate steady income through fees for moving and storing energy resources, making them a key link between resource producers and consumers.

flow assurance technical

"increasing operating flexibility and flow assurance across our portfolio"

Flow assurance involves ensuring the smooth and continuous movement of fluids—such as oil, gas, or other liquids—through pipelines or systems. It is crucial because blockages, leaks, or interruptions can disrupt supply and cause significant financial losses. Maintaining flow assurance helps keep production efficient, safe, and reliable, which is essential for the stability and profitability of energy and resource operations.

ccs technical

"decarbonization by developing CCS and other emissions reducing projects"

Carbon capture and storage (CCS) is a set of technologies that trap carbon dioxide produced by power plants, factories or industrial processes, then transport and store it deep underground or turn it into usable products. Think of it like catching smoke from a chimney and burying or repurposing it so it doesn't warm the atmosphere. Investors watch CCS because it can lower regulatory and carbon costs, create new revenue from credits or products, and influence the long-term value of energy and industrial companies.

all-cash acquisition financial

"closing of its approximately $63 million all-cash acquisition"

An all-cash acquisition is a deal in which the buyer pays the sellers entirely in cash for their shares or assets instead of offering stock or other securities. For investors this matters because it gives selling shareholders a clear, immediate payout like cashing a check, while buyers use their cash or borrow to fund the purchase — which can change the buyer’s financial strength, future earnings potential and risk profile much like one household using savings or a loan to buy another home.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Transaction Strengthens California’s Leading Integrated Energy Platform

LONG BEACH, Calif., Sept. 01, 2026 (GLOBE NEWSWIRE) -- California Resources Corporation (NYSE: CRC) today announced the closing of its approximately $63 million all-cash acquisition of Crimson Midstream Holdings, LLC (“Crimson”) from CorEnergy Infrastructure Trust, Inc. The transaction was approved by the California Public Utilities Commission on August 13, 2026. The assets complement CRC’s integrated energy portfolio and will support reliable, more affordable local production in the Golden State.

"As the state’s largest oil producer, the acquisition of this diversified midstream network will enhance our ability to efficiently deliver California-produced barrels directly to the highest-value markets, while increasing operating flexibility and flow assurance across our portfolio,” said Francisco Leon, CRC’s President and Chief Executive Officer. “In addition, Crimson's pipeline corridors add to the broader set of options we'll continue to evaluate as we look at longer-term development of CO₂ transportation across California."

Third Quarter 2026 Guidance

The following table provides Crimson G&A expenses and capital investment expectations for the third quarter of 2026, reflecting the September 1, 2026 closing of the Crimson acquisition. CRC plans to update its full-year 2026 guidance in conjunction with its third quarter 2026 earnings release.

3Q26E CRIMSON OUTLOOK	3Q26E
G&A expenses ($ millions)	$1 –$2
Capital ($ millions)	$1 –$2
*: This table is not intended to represent actual results and remains subject to the completion of accounting, financial close and reporting processes, including but not limited to conforming Crimson’s accounting policies and processes to CRC.

Advisors

Jefferies LLC served as financial advisor to CRC. Evercore served as financial advisor to CorEnergy Infrastructure Trust, Inc.

About California Resources Corporation

California Resources Corporation (CRC) is an independent energy and carbon management company advancing the energy transition. CRC is committed to environmental stewardship while safely providing local, responsibly sourced energy. CRC is also focused on maximizing the value of its land, mineral ownership, and energy expertise for decarbonization by developing CCS and other emissions reducing projects. For more information about CRC, please visit crc.com.

About Carbon TerraVault

Carbon TerraVault (CTV), CRC’s carbon management business, is developing services to capture, transport and permanently store CO₂ for its customers. CTV is engaged in a series of proposed CCS projects to inject CO₂ captured from industrial sources into depleted reservoirs deep underground for permanent sequestration. For more information, visit carbonterravault.com.

Forward-Looking Statements

Information set forth in this communication, including financial estimates and statements as to the effects of the Crimson acquisition, constitute “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other securities laws. All statements other than historical facts are forward-looking statements, and include statements regarding the benefits of the Crimson acquisition, CRC's future financial position, business strategy, projected revenues, earnings, costs, capital expenditures and plans and objectives and intentions of management for the future. Words such as “expect,” “could,” “may,” “anticipate,” “intend,” “plan,” “ability,” “believe,” “seek,” “see,” “will,” “would,” “estimate,” “forecast,” “target,” “guidance,” “outlook,” “opportunity” or “strategy” or similar expressions are generally intended to identify forward-looking statements. These forward-looking statements are based upon the current beliefs and expectations of the management of CRC and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, projected in, or implied by, such statements.

Although CRC believes the expectations and forecasts reflected in its forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond its control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause CRC’s actual results to be materially different than those expressed in its forward-looking statements are described in its most recent Annual Report on Form 10-K and its other periodic filings with the SEC. These factors include, but are not limited to: fluctuations in commodity prices; production levels and/or pricing by OPEC, OPEC+ or U.S. producers; government policy, war and political conditions and events; integration efforts and projected synergies and other benefits in connection with the Crimson acquisition and other acquisitions; divestitures and joint ventures; regulatory actions and changes that affect the oil and gas industry generally and us in particular; the efforts of activists to delay or prevent oil and gas activities or the development of CRC’s carbon management segment; changes in business strategy and the ability and financial resources to execute our capital plan in a timely manner; lower-than-expected production; changes to estimates of reserves and related future cash flows; the recoverability of resources and unexpected geologic conditions; general economic conditions and trends; results from operations and competition in the industries in which it operates; CRC’s ability to realize the anticipated benefits from prior or future efforts to reduce costs; environmental risks and liability; the benefits contemplated by its energy transition strategies and initiatives; CRC’s ability to successfully identify, develop and finance carbon capture and storage projects, power projects and other renewable energy efforts; future dividends and share repurchases and de-leveraging efforts; and natural disasters, accidents, mechanical failures, power outages, labor difficulties, cybersecurity breaches or attacks or other catastrophic events.

CRC cautions you not to place undue reliance on forward-looking statements contained in this document, which speak only as of the date hereof, and CRC is under no obligation, and expressly disclaims any obligation to update, alter or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise. This communication may also contain information from third-party sources. This data may involve a number of assumptions and limitations, and CRC has not independently verified them and does not warrant the accuracy or completeness of such third-party information.

Contacts:

Daniel Juck (Investor Relations) 818-661-3700 CRC_IR@crc.com

Hailey Bonus (Media) 714-874-7732 CRC.Communications@crc.com

FAQ

What did California Resources Corporation (CRC) acquire in the Crimson deal announced September 1, 2026?

California Resources Corporation acquired Crimson Midstream Holdings in an approximately $63 million, all-cash transaction. According to California Resources, Crimson’s diversified midstream pipeline network complements CRC’s integrated energy portfolio and supports more reliable, affordable local production and delivery of California-produced barrels to higher-value markets.

How much did CRC (NYSE: CRC) pay for Crimson Midstream Holdings?

CRC paid approximately $63 million in cash to acquire Crimson Midstream Holdings. According to California Resources, the all-cash transaction is intended to strengthen its integrated energy platform by adding a diversified midstream network that enhances operating flexibility and flow assurance across its California portfolio.

When did regulators approve California Resources Corporation’s acquisition of Crimson (CRC)?

The California Public Utilities Commission approved the Crimson acquisition on August 13, 2026. According to California Resources, this approval cleared the way for the approximately $63 million all-cash transaction, which subsequently closed on September 1, 2026, adding Crimson’s midstream assets to CRC’s portfolio.

What is the expected 3Q 2026 financial impact from Crimson on CRC’s G&A and capital spending?

For third quarter 2026, CRC expects Crimson-related G&A expenses of $1–$2 million and capital of $1–$2 million. According to California Resources, these outlook figures reflect the September 1, 2026 closing and are subject to completion of accounting and reporting processes.

How will the Crimson acquisition support CRC’s CO2 transportation and carbon management strategy?

CRC says Crimson’s pipeline corridors provide additional options for future CO2 transportation across California. According to California Resources, these assets may support its Carbon TerraVault business, which is developing carbon capture and storage projects to permanently sequester CO2 in depleted underground reservoirs.

Will CRC update its full-year 2026 guidance after acquiring Crimson Midstream?

CRC plans to update its full-year 2026 guidance in conjunction with its third quarter 2026 earnings release. According to California Resources, the updated outlook will incorporate the Crimson acquisition, including expected G&A expenses and capital investments associated with the newly acquired midstream assets.