Devon Energy reduces capital spending, reports production gains of 15 percent

For the second straight quarter, Oklahoma City-based Devon Energy said it will reduce capital spending by $100 million.  Second quarter production was 387,000 b/d of oil and 841,000 boed of total production while averaging 21 rigs and 6 completion crews.  Oil output was up 15 percent from last year’s spring quarter, and oil-equivalent production was up 19 percent due in part to sizable natural gas and NGLs increases in Permian.

Devon’s spending in 2Q in Delaware, Eagle Ford, Rockies and Anadarko basins was $932 million – 7 percent less than forecast.  2025 capital spending is forecast at $3.6 billion to $3.8 billion (original midpoint was $4.1 billion).  Clay Gaspar, president and CEO, said Aug. 6, “We are optimizing well performance, reducing cycle times and streamlining field operations all while delivering production performance.”