The share buybacks and dividends are needed to lure investors back to an industry that many have shunned over volatile returns and pressure to decarbonize portfolios.

Energy stocks represent just 4.1% by weight of the S&P 500, a third of their 2011 share as tech and healthcare investments took off.

But finding new owners for these properties is unlikely to be quick or easy, bankers and analysts warn.

There are fewer institutional and European oil buyers interested, and a lack of ready cash to finance these deals. The private equity firms that once bought Big Oil's cast-offs have turned to energy transition, social impact and renewable investments.

The scale of mergers has been unprecedented with $180 billion from six deals since October. Driven by a rush to add oil reserves that can be tapped in the future, most of these deals are expected to wrap up this year and will unleash a burst of oil wells, pipelines, offshore fields and infrastructure packages onto the market. The lack of ready buyers suggests sales will take time and may turn into asset swaps, rather than cash sales.

--Reuters--