Acquisitions (Tables)

3 Months Ended

Mar. 31, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table represents the preliminary allocation of the total purchase price of the FME Interests to the identifiable assets acquired and liabilities assumed based on the fair values as of the closing date of the acquisition:

(In millions, except shares and share price)	Preliminary Purchase Price Allocation
Consideration:
Coterra common stock issued in exchange for FME equity interests	28,190,682
Coterra common stock closing price on January 27, 2025	$	27.83
Total value of Coterra common stock issued	$	785
Cash consideration (1) (2)	1,735
Total consideration	$	2,520
Assets acquired:
Current assets	$	160
Proved oil and gas properties	1,842
Unproved oil and gas properties	583
Gathering and pipeline systems	172
Other assets	6
Total assets acquired	$	2,763
Liabilities assumed:
Current liabilities	$	221
Asset retirement obligation	13
Other liabilities	9
Total liabilities assumed	$	243
Net assets acquired	$	2,520

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(1)Cash consideration included the release of escrow funds in the amount of $107 million. These funds were included in restricted cash in the Condensed Consolidated Balance Sheet as of December 31, 2024.

(2)As of March 31, 2025, cash consideration of $18 million remains unpaid and is included in restricted cash and accounts payable on the Company’s Condensed Consolidated Balance Sheet.

The following table represents the preliminary allocation of the total purchase price of the Avant assets to the identifiable assets acquired and liabilities assumed based on the fair values as of the closing date of the acquisition:

(In millions)	Preliminary Purchase Price Allocation
Consideration:
Cash consideration (1) (2)	$	1,513
Total consideration	$	1,513
Assets acquired:
Current assets	$	44
Proved oil and gas properties	668
Unproved oil and gas properties	670
Gathering and pipeline systems	161
Other assets	1
Total assets acquired	$	1,544
Liabilities assumed:
Current liabilities	$	20
Asset retirement obligation	6
Other liabilities	5
Total liabilities assumed	$	31
Net assets acquired	$	1,513

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(1)Cash consideration included the release of escrow funds in the amount of $98 million. These funds were included in restricted cash in the Condensed Consolidated Balance Sheet as of December 31, 2024.

(2)As of March 31, 2025, cash consideration of $11 million remains unpaid and is included in restricted cash and accounts payable on the Company’s Condensed Consolidated Balance Sheet.

Pro forma Financial Information

The FME Interests contributed the following to the Company’s consolidated operating results:

(In millions)	January 28, 2025 through March 31, 2025
Revenue	$	165
Net income	$	67

The Avant assets contributed the following to the Company’s consolidated operating results:

(In millions)	January 18, 2025 through March 31, 2025
Revenue	$	59
Net income	$	22

The following table represents the pro forma effect on the Company of the FME and Avant acquisitions as if they had occurred on January 1, 2024:

	Three Months Ended March 31,
(In millions, except per share information)	2025		2024
Pro forma revenue	$	1,996	$	1,713
Pro forma net income	$	547	$	431