XTO Energy said Tuesday it is acquiring privately held Hunt Petroleum for $4.19 billion in cash and stock in a deal made more attractive by high oil and gas prices.

XTO Energy said the deal includes $2.6 billion in cash and 23.5 million shares of XTO stock. The stock portion of the deal is valued at about $1.6 billion, or $67.50 per XTO share.

The investing environment for oil & gas producers remains bullish in 2008, as record oil prices headline the news almost daily… and analysts see a lot more coming. Since Goldman Sachs predicted a two-year move to $200 in the commodity, people have had renewed confidence in buying up companies that deal with oil, and its cleaner alternative, natural gas.