A report suggesting multinational oil company Shell is in early talks to acquire fellow gas giant BP sent shockwaves through Houston's energy industry Tuesday-but Shell is firmly denying any such discussions are underway.

Shell is holding early-stage talks to acquire rival BP in what would be the largest oil deal in a generation, people familiar with the matter said. Talks between company representatives are active, the people said,

Shell said “no talks are taking place” for a potential mega-merger with rival BP that would cost more than $80 billion and represent the biggest energy deal of the century. The denial comes on the heels of The Wall Street Journal reporting June 25 that Shell is in early talks to acquire BP in a much-rumored deal.

The U.S. crude oil price benchmark, West Texas Intermediate, fell 8% to less than $68 a barrel, the lowest level since last week. The global Brent crude price benchmark likewise fell about 8%. Major stock indexes ended the day in positive territory.