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ConocoPhillips announced Wednesday they have acquired Marathon Oil in an all-stock transaction worth more than $17 billion.

The enterprise value of the transaction is $22.5 billion, however, it is inclusive of $5.4 billion of net debt.

The deal will add 2 billion barrels of resources to ConocoPhillips’ inventory in the U.S., extending the company’s reach across shale fields in Texas, New Mexico and North Dakota.

In a statement, ConocoPhillips Chairman/CEO Ryan Lance says the acquisition of Marathon Oil further deepens the company’s portfolio and fits within their financial framework, adding high-quality, low cost of supply inventory adjacent to their leading U.S. unconventional position.

The deal will boost ConocoPhillips’ market cap to above $150 billion, extending the company’s lead as the largest independent producer and putting it on the same scale as some majors. ConocoPhillips will be larger than BP, but will remain smaller than Shell.

The deal still faces regulatory scrutiny from the Federal Trade Commission.