Devon Sees Oil Majors As Main Bidders on GOM Assets

Walker Ridge & Green Canyon Fields
(Click to Enlarge)

LOST PINES, Texas (Dow Jones), Oct. 20, 2009

The top executive of independent oil and gas producer Devon Energy Corp. said Monday that the sale of stakes in some of its Gulf of Mexico assets will be complete next year and that the major oil companies are likely to be the main bidders.

The company's showroom has received a "robust" interest from international and national oil companies, Devon Chief Executive Larry Nichols said in a meeting with journalists.

The executive added that the company isn't in talks that would lead to closing deals with "anybody," including Chinese oil companies.

There have been recent reports that China's Cnooc Ltd. was in talks with Norway's StatoilHydro ASA, and that it is also looking at Devon's auction of stakes in its Lower Tertiary plays.

Devon expects to finish the selling process next year, and expects that the bidding process will remain open until the results of its Kaskida discovery well are complete this year, Nichols said.

Devon's CEO said in a May earnings call that the company will sell stakes in its four oil discoveries in deepwater Gulf of Mexico: Kaskida, St. Malo, Jack and Cascade. They have stakes in each field, all of which are thought to be major discoveries.  

Copyright (c) 2009 Dow Jones & Company, Inc.


Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Business Development Director - Midstream Services
Expertise: Business Development|Operations Management
Location: Houston, TX
United States Houston: Senior Product Champion
Expertise: Business Development|Marketing|Sales
Location: Houston, TX
United States Houston: Engineering Project Manager
Expertise: Project Management
Location: Houston, TX
search for more jobs

Brent Crude Oil : $55.45/BBL 0.99%
Light Crude Oil : $52.37/BBL 1.20%
Natural Gas : $3.42/MMBtu 0.88%
Updated in last 24 hours