Devon Asset Sales | Russell T. Rudy Energy LLC
“World Oil” reports that in three separate transactions, Devon Energy is selling assets totaling almost $1 billion to undisclosed buyers. These sales include properties in East Texas, the Granite Wash area of the Anadarko Basin, and the Permian Basin.
Devon is selling assets producing approximately 22,000 barrels of oil equivalent per day (boepd) in East Texas for $525 million. About 5% of this production is oil and reserves are estimated at 87 million boe.
The company is also selling assets in the Granite Wash play in the Texas Panhandle and Oklahoma for $310 million. These properties are producing about 14,000 boepd with reserves of approximately 31 million boe.
In the Northern Midland Basin of the Permian region of West Texas, Devon is selling its overriding royalty interest in 11,000 net acres for $139 million. This involves 1,000 boepd of production. This sale does not include Devon’s working interest in 15,000 net acres in Martin County producing approximately 25,000 boepd. This working interest will be sold separately.
These sales are expected to close in the third quarter of this year. Devon is also trying to sell its 50% interest in Access Pipeline in Canada. The company’s goal is to raise $2-3 billion from asset sales in 2016 and CEO, Dave Hager, is pleased with the progress thus far.
To read the article in its entirety, please go to http://www.worldoil.com/news/2016/6/6/devon-energy-sells-non-core-assets-for-nearly-1-billion .
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