Devon Energy and Coterra Energy said they will merge in a $58B all-stock deal to form a larger U.S. independent E&P anchored in the Permian’s Delaware Basin. The combined firm will keep the Devon Energy name and be headquartered in Houston, while maintaining a significant presence in Oklahoma City.
The combination is designed to consolidate scale and inventory depth in the Delaware. On a pro forma basis, the company is expected to produce more than 1.6 MMboe/d, including over 550,000 bbl/d of oil and 4.3 Bcf/d of natural gas. The merged company is expected to hold ~750,000 net acres in the Delaware Basin, with ~863,000 boe/d of pro forma production in that basin.
Deal terms imply Devon holders own ~54% and Coterra holders ~46% of the combined company, with Coterra shareholders receiving 0.70 shares of Devon per share owned. The company expects $1B in annual pre-tax synergies by year-end 2027, and expects a pro forma net debt-to-EBITDAX ratio of ~0.9x after closing. The transaction is expected to close in Q2.
Why it matters
-
Delaware scale becomes the core story: the deal concentrates acreage and activity into one premier position.
-
Synergies are a central deliverable: $1B pre-tax targeted by year-end 2027.
-
Low leverage supports flexibility: ~0.9x net debt-to-EBITDAX pro forma after close.
-
Output scale is immediately meaningful: >1.6 MMboe/d, with >550 kbbl/d oil and 4.3 Bcf/d gas expected pro forma.
What the map shows
A Delaware Basin-focused view of the combined footprint, showing how the two operators’ acreage positions fit together across SE New Mexico and West Texas.
-
Devon acreage (red) and Coterra acreage (blue) plotted within the Delaware Basin outline
-
Visible clustering across core Delaware counties, showing where overlap and adjacency create a larger contiguous position
-
A simple before/after visual that explains why the Delaware is the anchor for the merger
A deeper dive with DataLink
Using Rextag Energy DataLink, users can:
-
Validate the combined Delaware footprint and identify the densest concentration areas
-
Compare Devon vs Coterra footprint adjacency to understand where operations can be streamlined
-
Add additional layers (wells, pipelines, processing, and other context) to frame how the combined position connects to infrastructure
Create internal-ready map views for deal discussion, integration planning, or basin benchmarking
Want to see how Rextag’s Energy DataLink works for your team? Click Free Trial to get started, and one of our specialists will walk you through key datasets and workflows.
Meta's Richland Parish expansion is another recent example of an on-goin...
Devon Energy’s merger with Coterra Energy created one of the largest ind...
