Thousands of Barrels of Oil Equivalent Change Hands in the Eagle Ford

Written by Daniel Graeber for IIR News Intelligence (Sugar Land, Texas)

Summary

Devon Energy is divesting from Eagle Ford in a deal with Crescent Energy. Deals such as these are piling up ahead of third-quarter earnings season amid a high-price commodity cycle.

Deep Gas Portfolio in Maturing Eagle Ford for Devon

Some 68,000 barrels of oil equivalent in net production changed hands last week when Devon Energy announced Thursday it was divesting from the Eagle Ford shale basin in a deal with Crescent Energy.

Data from Industrial Info Resources Global Market Intelligence (GMI) on Devon's resources run deep. The database shows the company behind some 312 units, four different pipelines and 45 active projects.

On Thursday, Houston-based Crescent Energy said it would take on Devon's holdings in the Eagle Ford for $38.5 billion. David Rockecharlie, the company's chief executive office, said Crescent has a long history in the Eagle Ford that makes the opportunity meaningful for his company.

"The transaction solidifies Crescent's world-class Eagle Ford position and creates significant additional value creation opportunities through our proven operating strategy," he said in a statement.

Crescent estimated it is acquiring 68,000 barrels of oil equivalent per day (Boe/d) in net production from the assets. A profile of the basin from the U.S. Energy Information Administration, the statistical arm of the Energy Department, found Eagle Ford is expected to yield 1.1 million barrels per day of crude oil this year, climbing to 1.21 million bpd by 2027. That's less than 1% of total U.S. production, however.

In natural gas, output is expected to show a 3.7% increase next to 8.3 billion cubic feet per day (Bcf/d).

By the Numbers

• 68,000: Boe/d exchanged between Devon and Crescent
• $900 million: Cash spending pegged in the second quarter by Devon

"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," said Clay Gaspar, the top executive at Devon.

Much of the focus in the Eagle Ford is on natural gas. Devon's bench is deep in that sector. Among its larger programs is a 15-well plan for crude oil, natural gas and natural gas liquids inside the Eagle Ford.

Devon Focused on Permian Early this Year

Devon Energy merged with Coterra Energy early this year, with operations continuing under the Devon brand. The deal was valued at $58 billion, based on research from Industrial Info Resources. For more on that, see February 3, 2026, article - Devon-Coterra $58 Billion Tie-up Targets Large Inventory of Sub-$40 Wells.

While Devon's portfolio is spread throughout North America, its central focus is in the Permian, where it holds nearly 750,000 acres after the merger with Coterra. Combined, the companies said they hold the industry's largest inventory of wells that can produce profitably with oil priced at around $40 per barrel.

Industrial Info Resources data show Devon has an exploration and drilling program in Lea County, New Mexico, resulting in around 89 new wells.

In its earnings report for the second quarter, Devon said it expected to produce around 860,000 boe/d during the period, with 46% of that as oil. Cash spending was pegged at $900 million.

The latest announcement with Coterra comes ahead of earnings season for the third quarter, where performance could be buoyed by higher commodity prices. Already this week, Chevron announced a divestment strategy led to the creation of an independent Hess Midstream, which is focused on part on operations in the Bakken shale. For more on that, see October 8, 2026, article - Independent Hess Midstream Spawned in Chevron Divestment.

In Canada, Cenovus Energy Incorporated also agreed to acquire Athabasca Oil Corporation in a cash-and-stock transaction with an estimated total value of US$4 billion. Both companies have a substantial presence in Alberta's oil sands. For more on that, see October 6, 2024, article - Cenovus Eyes Athabasca in Major Canadian Oil Sands Shakeup.

Key Takeaways

• Deals are piling up ahead of third-quarter earnings season.
• The bench is deep with programs related to shale natural gas.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news, and analysis on the industrial process, manufacturing, and energy-related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified, and verified plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).