Devon Energy gets $8 billion offer for Marcellus position, sources say. May 29, 2026 EnergyNow Media * Stone Ridge offers around $8 billion for Devon's Marcellus shale position, sources say * The Stone Ridge offer would be supported by largest ever ABS financing in US oil and gas, sources say * Devon reviewing its business post-Coterra merger, prioritizing shareholder value and capital allocation * Unclear whether Stone Ridge offer will lead to any deal for Devon's Marcellus position NEW YORK, May 29 (Reuters) - Devon Energy (DVN.N) has received a roughly $8 billion offer from money manager Stone Ridge Asset Management for its Marcellus shale assets, four people familiar with the matter said. Get the Latest Canadian Focused Energy News Delivered to You! It's FREE: Quick Sign-Up Here The move comes as Devon reviews its business in the wake of closing its $58 billion merger with Coterra Energy earlier this month, a combination which created one of the largest independent oil and gas producers in the United States, with a presence in a half-dozen regions led by the Delaware portion of the Permian basin in Texas and New Mexico. Stone Ridge submitted its Marcellus offer as a way to initiate conversations about a deal with Devon, said the sources, who noted that Devon had not made any decisions on the future of the natural gas-focused position, which previously belonged to Coterra and covers 190,000 net acres in Pennsylvania. There is no guarantee that the Stone Ridge offer would lead to a sale of the Marcellus position, or even a consideration of a sale by Devon, the sources said. They also spoke on condition of anonymity to discuss confidential information. Devon and Stone Ridge did not respond to comment requests. Largest ABS ever. The Stone Ridge proposal includes utilizing the largest asset-backed securitization (ABS) ever in the U.S. oil and gas industry, the sources said. The sources declined to elaborate, including on the actual size of the financing. Under the financing structure, future revenue generated from oil and gas production is pledged as collateral to lower borrowing costs. ABS financing has found favor in the last couple of years as a way to fund acquisitions of mature oil and gas assets with established production levels. These wells typically provide limited growth, but have low decline rates, making them attractive to financial investors looking for steady returns. New York-based Stone Ridge, an investment firm focused on alternative asset classes with $35 billion of assets under management, has been among the most active buyers of oil and gas production using ABS funding. This includes Ovintiv's Oklahoma assets, which were acquired in April by Stone Ridge in partnership with Flywheel Energy for $3 billion, according to two sources familiar with that deal. Stone Ridge could partner on a possible acquisition of Devon's Marcellus with another party, one more suited to operating the undeveloped acreage in the position, some of the sources said. Devon's priorities. Devon management, including Chief Executive Clay Gaspar, has said the company is looking to optimize the business following the Coterra merger. On a May 6 earnings call, Gaspar said it was reviewing all assets against strategic and financial criteria, and would be quick to act on an opportunity to enhance shareholder value. "Every asset in the combined portfolio has to compete for its capital and earn its seat at the table," he said. Devon also said on May 7 - the same day the merger closed - it would boost its share repurchase program to $8 billion, and pay a quarterly dividend that was a third higher than the previous quarter. It plans to unveil new financial guidance in mid-June. Devon has faced calls from investment firm Kimmeridge to consider a program of asset sales, among other actions, to help improve the company's share price and focus its spending on its best positions. The prominent energy-focused activist said last month Devon risked a "conglomerate discount" if it did not streamline its business. The Marcellus was expected to account for around 20% of Devon's 1.6 million barrels of oil equivalent per day production forecast in 2026, second only to the Delaware with 53%, according to a February presentation. Highlighting the company's Delaware focus, Devon spent $2.6 billion last week buying more acreage in the basin from a federal land sale. Reporting by David French and Shariq Khan in New York; Editing by Echo Wang and Chizu Nomiyama Share This:

Ovintiv reported fourth-quarter 2025 adjusted earnings per share of $1.39, surpassing the Zacks Consensus Estimate of 98 cents and exceeding the year-ago figure of $1.35. Total revenues of $2.1 billion declined 1.9% year over year but beat consensus estimates by 10.2%. The Denver-based oil and gas exploration company's total production reached 623,400 barrels of oil equivalent per day, up from 579,900 BOE/d in the prior-year period. Natural gas production increased to 1,905 million cubic feet per day from 1,680 MMcf/d year over year. Ovintiv completed a $2.7 billion acquisition of NuVista Energy on 3 February 2026 and announced plans to divest its Anadarko assets for $3 billion. The company distributed approximately $612 million to shareholders in 2025 through share buybacks and dividends.