Deadline Reminder: Howard G. Smith Law Firms Remind Investors of Impending Deadline in Class Action Against Concho Resources Inc. (CXO)
BENSALEM, PA – (COMMERCIAL THREAD) – Howard G. Smith Law Firms Remind Investors September 28, 2021 deadline for filing a petition as principal plaintiff in the matter filed on behalf of investors who purchased the common stock of Concho Resources Inc. (“Concho” or the “Company” (NYSE: CXO) between February 21, 2018 and July 31, 2019, inclusive (the “Class Period”).
Investors experiencing losses on their Concho investments are encouraged to contact the law firms of Howard G. Smith to discuss their legal rights in this class action lawsuit at 888-638-4847 or by email at [email protected]
In 2018, Concho planned and built the Dominator Project (“Dominator”) located in the Permian Basin. It consisted of 23 wells.
On July 31, 2019, Concho revealed that Dominator’s wells were spaced “too tight”, leading the company to reduce the number of active rigs to 18 (from 33 in the first quarter of 2019) to avoid exceeding budgets.
On this news, the Concho share price fell 22% per share on August 1, 2019, hurting investors.
ConocoPhillips (NYSE: COP) acquired Concho in January 2021 and is also named a defendant in the lawsuit.
The lawsuit filed in this class action alleges that throughout the class period, the defendants made materially false and / or misleading statements, and failed to disclose material adverse facts regarding the business, operations and prospects of the society. Specifically, the Defendants failed to disclose to investors that: (1) the well spacing at Dominator was aggressive and very risky, and had no reasonable basis to believe it would work as intended; (2) Concho’s practice of implementing tighter well spacing has not been relegated to a handful of “tests” and therefore more prevalent than the market has been led to believe; (3) it was known or recklessly ignored that any measures to mitigate the risks associated with well spacing were non-existent and / or impossible; (4) these risks had manifested themselves during the period covered by the action, causing underground well interference and a permanent decrease in production, forcing the Company to reduce its production targets and adopt spacing measures more conservative in its other projects; (5) it would take several quarters to mitigate the effects of the widespread failure of well spacing; and (6) as a result, the Defendants’ positive statements regarding the business, operations and prospects of the Company were materially misleading and / or lacked reasonable basis at all relevant times.
If you have purchased or otherwise acquired Concho common stock during the Class Period, you can bring the matter before the Court at the latest. September 28, 2021 ask the court to appoint you as the main plaintiff if you meet certain legal conditions. To be a member of the class action, you do not need to take any action at this time; you can retain the services of the lawyer of your choice or take no action and remain an absent member of the class action. If you would like to learn more about this class action lawsuit, or if you have any questions regarding this announcement or your rights or interests in any such matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith , 3070 Bristol Pike, Suite 112, Bensalem, PA 19020, by phone at (215) 638-4847, toll free at (888) 638-4847, or by email at [email protected], or visit our website at www.howardsmithlaw.com.
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