Concho Resources Inc. Announces Pricing of Senior Unsecured Notes

  Concho Resources Inc. Announces Pricing of Senior Unsecured Notes

Business Wire

MIDLAND, Texas -- May 20, 2013

Concho Resources Inc. (NYSE: CXO) (“Concho” or the “Company”) today announced
that it has priced an upsized offering of an additional $850 million of
aggregate principal amount of its 5.5% senior unsecured notes due 2023. The
new senior notes are being offered as additional notes under an indenture
pursuant to which Concho originally issued $700 million aggregate principal
amount in August 2012. The new notes were sold at 103.75% of par, resulting in
a yield to worst of 4.884% with respect to the new notes. Concho intends to
use the net proceeds from the offering to fund a pending cash tender offer to
purchase any and all of its $300 million in outstanding aggregate principal
amount of 8.625% Senior Notes due 2017 and repay borrowings under its credit
facility. The Company will use the remaining net proceeds for general
corporate purposes. Concho expects to close the sale of the notes on June 4,
2013, subject to the satisfaction of customary closing conditions.

BofA Merrill Lynch, Barclays, Citigroup, J.P. Morgan and Wells Fargo
Securities are acting as joint book-running managers for the senior unsecured
notes offering. The offering is being made only by means of a preliminary
prospectus supplement and the accompanying base prospectus, copies of which
may be obtained on the Securities and Exchange Commission’s website at Alternatively, the underwriters will arrange to send you the
preliminary prospectus supplement and related base prospectus if you request
them by contacting BofA Merrill Lynch, 222 Broadway, 11th Floor, New York, NY
10038, Attention: Prospectus Department, or by emailing; Barclays Capital Inc. c/o Broadridge
Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by
calling (888) 603-5847 or by emailing;
Citigroup Global Markets Inc. c/o Broadridge Financial Solutions, 1155 Long
Island Avenue, Edgewood, NY 11717, or by calling (800) 831-9146; J.P. Morgan
Securities LLC, 383 Madison Avenue, 3rd Floor, New York, NY 10179, Attention:
Syndicate Desk, or by calling (800) 245-8812; or Wells Fargo Securities, LLC,
550 South Tryon Street, 7th Floor, MAC D1086-070, Charlotte, NC 28202,
Attention: Client Support, or by calling (800) 326-5897 or by emailing

This announcement is neither an offer to sell nor a solicitation of an offer
to buy any securities, nor shall there be any sale of any such securities in
any state or jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state or jurisdiction. A registration statement, as amended, relating
to the securities has been filed and became effective September 21, 2012.

Forward-Looking Statements and Cautionary Statements

The foregoing contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. All statements, other than statements of historical
facts, included in this press release that address activities, events or
developments that the Company expects, believes or anticipates will or may
occur in the future are forward-looking statements. Without limiting the
generality of the foregoing, forward-looking statements contained in this
press release specifically include statements, estimates and projections
regarding the Company's future financial position, operations, performance,
production growth, returns, divestitures, capital expenditure budget, the
timing and estimated proceeds of the closing of the sale of the non-core
properties, oil and natural gas reserves, number of identified drilling
locations, drilling program, derivative activities, costs and other guidance.
These statements are based on certain assumptions made by the Company based on
management's experience, expectations and perception of historical trends,
current conditions, anticipated future developments and other factors believed
to be appropriate. Forward-looking statements are not guarantees of
performance. Although the Company believes the expectations reflected in its
forward-looking statements are reasonable and are based on reasonable
assumptions, no assurance can be given that these assumptions are accurate or
that any of these expectations will be achieved (in full or at all) or will
prove to have been correct. Moreover, such statements are subject to a number
of assumptions, risks and uncertainties, many of which are beyond the control
of the Company, which may cause actual results to differ materially from those
implied or expressed by the forward-looking statements. These include the
factors discussed or referenced in the “Risk Factors” section of the Company's
most recent Form 10-K and 10-Q filings and risks relating to declines in the
prices Concho receives for the Company's oil and natural gas; uncertainties
about the estimated quantities of reserves; risks related to the integration
of acquired assets; the effects of government regulation, permitting and other
legal requirements, including new legislation or regulation of hydraulic
fracturing; drilling and operating risks; the adequacy of the Company's
capital resources and liquidity; risks related to the concentration of the
Company's operations in the Permian Basin; the results of the Company's
hedging program; weather; litigation; shortages of oilfield equipment,
services and qualified personnel and increases in costs for such equipment,
services and personnel; uncertainties about the Company's ability to replace
reserves and economically develop the Company's current reserves; competition
in the oil and natural gas industry; and other important factors that could
cause actual results to differ materially from those projected.

Any forward-looking statement speaks only as of the date on which such
statement is made, and the Company undertakes no obligation to correct or
update any forward-looking statement, whether as a result of new information,
future events or otherwise, except as required by applicable law.

About Concho Resources Inc.

Concho Resources Inc. is an independent oil and natural gas company engaged in
the acquisition, development and exploration of oil and natural gas
properties. The Company's operations are focused in the Permian Basin of
Southeast New Mexico and West Texas.


Concho Resources Inc.
Price Moncrief, 432-683-7443
Vice President of Capital Markets and Strategy
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