The Joplin Globe, Joplin, MO

Business

February 19, 2014

Devon Energy sells some Canadian assets for $2.8B

OKLAHOMA CITY — Devon Energy Corp. said Wednesday that it is selling some assets in Canada for $2.8 billion to Canadian Natural Resources Ltd.

The Oklahoma City-based oil and natural gas company plans to use proceeds to help repay debt from a pending $6 billion acquisition in the Eagle Ford region of Texas.

Devon Energy said that this sale involves some of its smaller operations in Canada and is part of the company’s broader effort to sell non-core operations to focus on its core business at existing sites, such as those in the Permian Basin and Barnett Shale regions in Texas.

Canadian Natural, based in Calgary, Alberta, said about 900 Devon employees will join the company. The transaction, which includes natural gas and oil assets, is scheduled to close in April, subject to regulatory approval.

Devon also said Wednesday that it moved to a profit for its fourth quarter, earning $207 million, or 51, cents per share, versus a loss of $357 million, or 89 cents per share, in the prior year, when results were weighed down by asset impairment charges. It earned $1.10 on an adjusted basis. Revenue increased nearly 2 percent to $2.62 billion.  Analysts polled by FactSet were anticipating earnings of $1.07 per share on revenue of $2.81 billion.

Devon said its oil production set a new quarterly record during the period, averaging 177,000 barrels per day, which represents growth of 17 percent from 2012.

Shares rose $2.26, a 3.6 percent increase, to $65.17 by midday.

 

1
Text Only
Business
Poll

Amendment 8 in Missouri proposes a special lottery ticket to help fund state veterans homes. How will you vote?

For it.
Against it.
     View Results
Facebook
Twitter Updates
Follow us on twitter
NDN Video
Arizona Prison Chief: Execution Wasn't Botched Calif. Police Investigate Peacock Shooting Death Raw: Protesters, Soldiers Clash in West Bank Police: Doctor Who Shot Gunman 'Saved Lives' 'Modern Family' Star on Gay Athletes Coming Out MN Twins Debut Beer Vending Machine DA: Pa. Doctor Fired Back at Hospital Gunman Raw: Iowa Police Dash Cam Shows Wild Chase Obama Seeks Limits on US Company Mergers Abroad Large Family to Share NJ Lottery Winnings U.S. Flights to Israel Resume After Ban Lifted Official: Air Algerie Flight 'probably Crashed' TSA Administrator on Politics and Flight Bans Raw: National Guard Helps Battle WA Wildfires Raw: Ukraine's Donetsk Residents Flee Senators Push to End Hamas Threat in Cease-Fire A Young Victim's Premonition, Hug Before MH17 Raw: Deadly Storm Hits Virginia Campground Death Penalty Expert: 'This is a Turning Point' Raw: MH17 Victim's Bodies Arrive in Netherlands