Devon Energy Announces Agreement to Exit the Eagle Ford for $4.2 Billion

The sale covers approximately 90,000 net acres in Karnes, DeWitt and Gonzales Counties, Texas.

Rhea-AI Summary

Devon Energy (DVN) has agreed to sell its Eagle Ford assets to Crescent Energy for $4.2 billion in cash. The assets represent approximately 4% of Devon’s total production on a barrels-of-oil-equivalent basis. The transaction has an effective date of July 1, 2026 and is expected to close around year-end 2026, subject to regulatory approvals and customary closing conditions.

After-tax proceeds will fund accelerated share repurchases and debt reduction. Devon expects the divestiture to increase free cash flow and net asset value per share, lengthen its inventory life, lower its corporate breakeven and reduce its base production decline rate. The purchase price is subject to customary closing adjustments.

7 points · 0 major

PositiveiHow this balance works

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 2 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointEagle Ford sale agreement provides for $4.2 billion in cash from Crescent Energy. 8% of market cap
• Moderate point. Forward-looking: it has not happened yet and may not happen.After-tax proceeds are designated for accelerated share repurchases.
• Moderate point. Forward-looking: it has not happened yet and may not happen.After-tax proceeds are also designated for debt reduction.
• Moderate point. Forward-looking: it has not happened yet and may not happen.Devon expects the sale to increase free cash flow and net asset value per share.
• Minor point. Forward-looking: it has not happened yet and may not happen.Devon expects the divestiture to lengthen inventory life.

2 minor points

• Minor point. Forward-looking: it has not happened yet and may not happen.Devon expects the divestiture to lower its corporate breakeven.
• Minor point. Forward-looking: it has not happened yet and may not happen.Devon expects the divestiture to reduce its base production decline rate.

Negative

• Minor pointAssets being sold represent approximately 4% of Devon’s total barrels-of-oil-equivalent production.
• Minor point. Forward-looking: it has not happened yet and may not happen.Closing expected around year-end 2026 remains subject to regulatory approvals.

News Explained

Devon says it will provide additional details, including the transaction’s impact on its outlook, with third-quarter results on November 5, 2026, followed by a conference call and webcast on November 6, 2026.

Key Figures

Cash purchase price: $4.2 billion Net acreage: Approximately 90,000 net acres Share of Devon production: Approximately 4% +1 more

Cash purchase price

$4.2 billion

Eagle Ford asset sale; subject to customary closing adjustments

Net acreage

Approximately 90,000 net acres

Eagle Ford assets being sold

Share of Devon production

Approximately 4%

Assets represent this share of Devon's total BOE production

Transaction effective date

July 1, 2026

Effective date stated for the transaction

Key Terms

net acres, boe production, free cash flow, net asset value

4 terms

net acres technical

"approximately 90,000 net acres in Karnes, DeWitt, and Gonzales Counties, Texas"

Net acres is the effective amount of land an oil, gas, or mineral rights holder actually controls after accounting for ownership shares and any burdens such as royalties or other parties’ interests. Think of a whole field as a pie: gross acres is the full pie, while net acres is the slice that belongs to a company once other parties’ slices are removed. Investors use net acres to gauge a company’s real exposure to a resource and the portion of production and reserves it can claim.

boe production technical

"approximately 4% of Devon's total BOE production"

BOE production is the quantity of hydrocarbons produced converted into barrels of oil equivalent (boe) so liquids (crude oil, condensate) and natural gas can be reported as a single volume. The conversion uses a standard energy-equivalent factor (commonly 6 thousand cubic feet of gas = 1 boe, though some reports use different energy-based factors), and the result is usually expressed for a time period (for example boe per day). Limitation: boe aggregates different products by energy content, not market value, so it combines volumes that can have very different prices and margins.

free cash flow financial

"accretive on a per share basis to Free Cash Flow and Net Asset Value"

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

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net asset value financial

"accretive on a per share basis to Free Cash Flow and Net Asset Value"

Net asset value is the total value of an investment fund's assets minus any liabilities, divided by the number of shares or units outstanding. It represents the per-share worth of the fund, similar to how the value of a house is determined by its total worth after debts are subtracted. Investors use it to gauge the true value of their holdings and to compare different investment options.

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Transaction high-grades Devon’s portfolio, monetizes at an attractive valuation and enhances financial flexibility

HOUSTON, Oct. 08, 2026 (GLOBE NEWSWIRE) -- Devon Energy Corp. (NYSE: DVN) today announced it has entered into a definitive agreement to sell its Eagle Ford assets to Crescent Energy Company for total consideration of $4.2 billion in cash, subject to customary closing adjustments.

“This sale is a direct outcome of our ongoing portfolio review, and it sharpens our focus on the highest-return, longest-duration assets,” said Clay Gaspar, President and Chief Executive Officer. “Over the past several years, we have leveraged technology to lower costs and increase productivity while coring up our Eagle Ford acreage footprint, and the attractive price agreed to reflects both the quality of the assets and that work. Selling a relatively mature asset into a strong commodity price environment improves our go-forward capital efficiency and allows us to accelerate share buybacks, strengthen our balance sheet and increase long-term value for shareholders.”

TRANSACTION HIGHLIGHTS

• Asset details: The Eagle Ford assets to be sold consist of approximately 90,000 net acres in Karnes, DeWitt, and Gonzales Counties, Texas. The assets represent approximately 4% of Devon's total BOE production.
• Attractive valuation: The $4.2 billion purchase price fully reflects the value of Devon’s Eagle Ford production and inventory and is accretive on a per share basis to Free Cash Flow and Net Asset Value.
• Portfolio high-grading and improved capital efficiency: The divestiture lengthens Devon’s inventory life, lowers the go-forward corporate breakeven and reduces the corporate base production decline rate.
• Financial flexibility: After-tax proceeds will be used to accelerate share repurchases and to strengthen the balance sheet through debt reduction.

“This transaction is our strategy at work,” added Gaspar. “We acted decisively and countercyclically while navigating a volatile macro environment and received a price above our internal hold case, including potential strategic upside. This divestiture builds on the accretive steps taken in 2026 – combining with Coterra, adding premier Delaware Basin inventory in the federal lease sale and investing in the Solitude pipeline to integrate our gas production from wellhead to market. This marks meaningful progress in our disciplined portfolio review. We remain focused on improving the quality and longevity of our portfolio, expanding our margins and enhancing long-term value per share.”

TIMING AND ADVISORS

The transaction has an effective date of July 1, 2026 and is expected to close around year-end 2026, subject to regulatory approvals and customary closing conditions. Devon will provide additional details, including the impact on its outlook, with its third-quarter 2026 results on November 5, 2026 and conference call and webcast on November 6, 2026.

RBC Richardson Barr is serving as exclusive financial advisor and Kirkland & Ellis LLP is serving as legal advisor to Devon.  

ABOUT DEVON ENERGY

Devon Energy is a leading oil and gas producer in the U.S. with a diversified multi-basin portfolio headlined by a world-class acreage position in the Delaware Basin. Devon’s disciplined cash-return business model is designed to achieve strong returns, generate free cash flow and return capital to shareholders, while focusing on safe and sustainable operations. For more information, please visit www.devonenergy.com.

Investor Contact investor.relations@dvn.com 281-589-5705

Media Contact devonmediarelations@dvn.com 405-552-7560

FORWARD-LOOKING STATEMENTS

This press release includes “forward-looking statements” within the meaning of the federal securities laws. Such statements include those concerning strategic plans, our expectations and objectives for future operations, as well as other future events or conditions, and are often identified by use of the words and phrases “expects,” “believes,” “will,” “would,” “could,” “continue,” “may,” “aims,” “likely to be,” “intends,” “forecasts,” “projections,” “estimates,” “plans,” “expectations,” “targets,” “opportunities,” “potential,” “anticipates,” “outlook” and other similar terminology. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that Devon expects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control. Consequently, actual future results could differ materially and adversely from our expectations due to a number of factors, including, but not limited to: the delay or failure to consummate the transaction due to unsatisfied closing conditions or otherwise; the actual amount of proceeds received due to purchase price adjustments, and the ultimate use of those proceeds; changes in commodity prices, market conditions or other circumstances that could negatively impact Devon’s ability to complete the anticipated share repurchases and debt reductions; and any of the other risks and uncertainties discussed in Devon’s 2025 Annual Report on Form 10-K (the “2025 Form 10-K”) or other filings with the Securities and Exchange Commission (“SEC”).

The forward-looking statements included in this press release speak only as of the date of this press release, represent management’s current reasonable expectations as of the date of this press release and are subject to the risks and uncertainties identified above as well as those described elsewhere in the 2025 Form 10-K and in other documents we file from time to time with the SEC. We cannot guarantee the accuracy of our forward-looking statements, and readers are urged to carefully review and consider the various disclosures made in the 2025 Form 10-K and in other documents we file from time to time with the SEC. All subsequent written and oral forward-looking statements attributable to Devon, or persons acting on its behalf, are expressly qualified in their entirety by the cautionary statements above. We do not undertake, and expressly disclaim, any duty to update or revise our forward-looking statements based on new information, future events or otherwise.

FAQ

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How much will Devon Energy receive for its Eagle Ford assets, and who is buying them?

Crescent Energy has agreed to buy Devon’s Eagle Ford assets for $4.2 billion in cash, subject to customary closing adjustments. The assets cover approximately 90,000 net acres in Karnes, DeWitt and Gonzales Counties, Texas.

When is Devon Energy’s Eagle Ford sale expected to close?

The sale is expected to close around year-end 2026, subject to regulatory approvals and customary closing conditions. The transaction has an effective date of July 1, 2026.

When will Devon Energy explain the Eagle Ford sale’s impact on its outlook?

Devon will provide additional details, including the impact on its outlook, with its third-quarter 2026 results on November 5, 2026. Its conference call and webcast will follow on November 6, 2026.