Deal insight
| |
8 Pages

Sumitomo acquires a 30% interest in Devon Energy's Cline Shale and Wolfcamp Shale assets

Sumitomo acquires a 30% interest in Devon Energy's Cline Shale and Wolfcamp Shale assets

Report summary

Sumitomo has entered into an agreement with Devon Energy to acquire a 30% working interest in Devon's Wolfcamp and Cline shale acreage in the Permian Basin. The nominal consideration of the deal is US$1.365 billion, making this the largest transaction in the emerging Wolfcamp Shale to date.The Permian has always been a major oil producing Basin in the US, and as such, it has become the focus of operators as they abandon gas plays in a frantic flight to oil. The emerging Wolfcamp and ...

What's included?

This report includes 1 file(s)

  • Sumitomo acquires a 30% interest in Devon Energy's Cline Shale and Wolfcamp Shale assets PDF - 1.08 MB 8 Pages, 5 Tables, 2 Figures


The upstream oil and gas industry conducts activities against a backdrop of growing energy and environmental challenges. Political instabilities, international conflicts and government and environmental regulation have all impacted the production process.

This has forced companies to re-examine their corporate strategy, moving away from high-risk exploratory drilling to lower-risk exploration in mature basins as they search for increased returns.

This Upstream Oil and Gas Deal Insight report provides an in-depth analysis of this deal. You will also find information about upstream assets and the strategic rationale behind the deal.

For investors and businesses, this deal insight report provides an understanding of the effect this deal will have on the market, including oil and gas pricing and assumptions. Use it to keep up to date with deal announcements, gain expert insights and analyse potential developments that might affect your strategy.

Wood Mackenzie goes beyond company-reported data and announcements to give you an independent and informed view. Our unique valuation metrics are underpinned by our deep understanding of upstream assets and companies. We help you objectively benchmark and evaluate asset and corporate deals so you can compare deal economics around the world.

  • Executive summary
  • Transaction details
  • Upstream assets
    • Wolfcamp Shale
    • Cline Shale
  • Deal analysis
    • Modelling assumptions
    • Type wells
  • Upsides and risks
    • Improved well performance and increasing well inventory provide upside
    • Uncertain results and cost inflation increase risk
  • Strategic rationale
    • Sumitomo
    • Devon
  • Oil & gas pricing and assumptions

In this report there are 7 tables or charts, including:

  • Executive summary
    • Executive summary: Table 1
  • Transaction details
  • Upstream assets
    • Wolfcamp and Cline shales in West Texas
  • Deal analysis
    • Deal analysis: Table 1
    • Deal analysis: Table 2
    • Wood Mackenzie modelling assumptions for Production and 2P Commercial Reserves
  • Upsides and risks
  • Strategic rationale
  • Oil & gas pricing and assumptions
    • Oil & gas pricing and assumptions: Table 1
    • Oil & gas pricing and assumptions: Table 2
Requester's name : .............
Department : .............
Authoriser's Name : .............
Authoriser's signature : .............
Date : .............
Cost Centre : .............

Questions about this report?

Frequently Asked Questions
  • Europe: +44 131 243 4699
  • Americas: +1 713 470 1900
  • Asia Pacific: +61 2 8224 8898
contact us

Why Wood Mackenzie?

Wood Mackenzie, a Verisk Analytics business, has been a trusted source of commercial intelligence for the world's natural resources sector for more than 40 years, empowering clients to make better strategic decisions with objective analysis and advice.

We work across every sector of oil, gas, power, renewables, chemicals, metals and mining, covering more than 150 countries. Our proprietary data and models are at the core of everything we do, ensuring our independent asset and company valuations are thoroughly robust and that we offer an accurate forward-looking view of economic indicators such as market supply, demand and price trends.

Our 500+ analysts are based in the regions they cover, cultivating an unrivalled depth of understanding to help clients accurately identify new opportunities, define their strategy and improve business performance.

At every stage, our teams readily collaborate and share their insight to provide an integrated perspective across entire industries. It is this unique and rigorous analytical approach that ensures we are recognised as the industry standard by the world’s most innovative organisations.