Devon Energy to Cut 1,000 Jobs

Company Slashes CAPEX by 75%
Devon Energy Q4 2015

Devon Energy Q4 2015

Devon Energy released its fourth quarter earnings this week at the same time they announced new layoffs.

Related: Devon Energy Reports Exceptional Q4 for 2014 

In a recent press release, Devon announced today announced core earnings of $319 million for the fourth quarter of 2015. The company also reported oil production averaged 278,000 barrels per day in the fourth quarter, a 16 percent increase compared to the fourth quarter of 2014.

Devon has 72,000 net acres located in DeWitt and Lavaca counties in the Eagle Ford and reports production averaging 111,000 barrels a day for full year 2015.

Devon also announced it would lay off 20 percent of its workforce, or 1,000 employees company wide.

In a statement, “Devon has begun its previously announced employee reductions and expects to complete the process at its Oklahoma City headquarters by midday Thursday. At field-level offices, the company expects to complete notifications Feb. 22.”
  • Delivered oil production growth of 26 percent from year-ago quarter
  • Reduced field-level costs by nearly $400 million in 2015
  • Maintained significant financial flexibility with nearly $4 billion of liquidity
  • Decreased 2016 E&P capital spending outlook by 75 percent
  • Reduced operating and G&A expense outlook by $800 million annually
  • Adjusted quarterly dividend to improve cash flow by $320 million annually

Just one year ago Devon Energy announced it finished an “outstanding year” as it rebounded from a $20 million net loss in 2013 to end 2014 with net earnings of $1.6 billion. In 2016, Devon’s E&P capital investment is estimated to range from $900 million to $1.1 billion, a decrease of 75 percent from 2015.

Read more at devonenergy.com

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Elizabeth Alford

Elizabeth Alford

Elizabeth Alford writes on significant news developments in the Eagle Ford oil and gas play taking place across South TX. She is a freelance writer with an extensive communications, PR, and staff writing background.
Elizabeth Alford

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