By Adriano Marchese
Devon Energy is targeting $1 billion in cash flow improvement through operational efficiencies and lower drilling expenses.
The company said Tuesday that its plan includes steps to achieve more efficient field-level operations as well as lower drilling and completion costs, while at the same time improving operating margins and corporate costs.
Devon Energy expects about $300 million of improvements to come from capital efficiencies and equally in commercial optimization, as well as $250 million from production optimization. From its corporate cost reduction initiatives, the company sees about $150 million worth of improvements.
About one-third of the estimated improvements are expected to be accomplished by the end of this year, the company said, and the rest by year-end 2026.
Chief Executive Clay Gaspar said the company has implemented new technologies to its operations, including advanced analytics and process automation, that have had positive effects on its operating performance.
"These combined efforts are anticipated to achieve approximately $300 million of cash flow uplift by the end of 2025, reinforcing our financial resilience," Gaspar said.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
April 22, 2025 07:21 ET (11:21 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。