Devon Energy Announces Sale Of Johnson County Assets - Quick Facts

(RTTNews) - Devon Energy Corp. (DVN) announced the company has entered into a definitive agreement to sell the southern portion of its Barnett Shale position for $553 million. Net production from the southern Barnett divestiture assets, which reside primarily in Johnson County, are currently averaging 200 million cubic feet of gas-equivalent per day.

"Combined with other recent asset sales, divestiture proceeds associated with our 2020 Vision have now reached $1.0 billion," said Dave Hager, CEO.

Separately, Devon Energy announced that its board approved a 33 percent increase in its quarterly common stock dividend beginning in the second quarter of 2018. The new quarterly dividend rate will be $0.08 per share. The increased dividend is payable on June 29, 2018 to shareholders of record as of the close of business on June 15, 2018.

Devon also announced its board authorized a $1.0 billion share-repurchase program of the company's common stock over the next year. At the current share price, the program covers approximately 6 percent of the company's outstanding common stock.

The company separately announced a tender offer to purchase certain of its debt securities up to a maximum repurchase amount of $1.0 billion. The tender offers are being made to reduce the company's outstanding debt, including the debt of its subsidiaries. Devon Energy expects to fund the tender offers with cash flow generated from operations and the net proceeds from previously completed asset sales and financing transactions.