Devon Energy CEO Outlines Company's Blueprint for Growth

Devon Energy is focusing its 2018 capital spending on the Delaware Basin and STACK play, with plans for numerous new wells. The company is optimizing well density to maximize oil production efficiently. Challenges include managing well interference and decline rates. Success in the Boundary Raider area highlights Devon's strategic growth, with a deep inventory of high-return opportunities. The company aims to maintain a steep growth curve, anticipating significant production increases by 2020.

What percentage of Devon's 2018 capital spending is allocated to the Delaware Basin and STACK play?

• 80%

• 70%

• 60%

• 50%

Why did Devon find 12 wells per drilling spacing unit too dense?

• It was not technologically feasible.

• It led to well interference.

• It caused environmental issues.

• It was too expensive.

What is the main advantage of having good communication between wells?

• It increases the number of wells needed.

• It decreases oil production.

• It reduces capital efficiency.

• It allows development with fewer wells.

What area in the Delaware Basin has Devon found to be particularly productive?

• Showboat

• Meramec

• Boundary Raider

• Powder River

What is Devon's strategy regarding the initial rates and decline of wells?

• Balance initial rates with long-term recovery.

• Avoid high initial rates to prevent decline.

• Prioritize quick returns despite higher decline rates.

• Focus on long-term recovery over quick returns.