Oklahoma City-based Devon Energy Corp said on Monday it was looking to sell even more assets than previously announced in order to focus its portfolio on three shale regions.
Devon is now eyeing asset sales of up to $5 billion as it streamlines operations to the SCOOP/STACK, Permian, and Rocky Mountain areas, Dave Hager, Devon’s chief executive, said at the Scotia Howard Weil energy conference in New Orleans, being held March 25-28th. Scotia Howard Weil’s Annual Energy Conference is one of the premier energy investor conferences in the industry, attracting institutional investors and top-level leadership from a broad range of energy companies.
“We are working on more strategic type moves for the company,” Hager said. “We are working on portfolio simplification of a significant scale as I stand here today.”
The company has no plans to increase its 2018 capital budget of $2.2 billion to $2.4 billion even with the recent rise in oil prices, said Hager, who added extra cash flow will be used to cut debt and boost shareholder returns.
“We’re going to be a lean, efficient company that drives high returns,” he said.
Earlier this month the company announced it had entered into a definitive agreement to sell the southern portion of its Barnett Shale position for $553 million, with those assets primarily located in Johnson County, Texas.
Compiled and Published by GIB KNIGHT
Gib Knight is a private oil and gas investor and consultant, providing clients advanced analytics and building innovative visual business intelligence solutions to visualize the results, across a broad spectrum of regulatory filings and production data in Oklahoma and Texas. He is the founder of OklahomaMinerals.com, an online resource designed for mineral owners in Oklahoma.