POST Online Media Lite Edition


BP buys New Mexico oil and gas assets from Devon Energy

Staff writer |
BP said its U.S. onshore unit has acquired all of Devon Energy Corp's oil and gas properties in the San Juan Basin in New Mexico.

Article continues below

The price was not announced. BP expects to take over operation of the 480 wells spread across 33,000 acres in the first quarter of 2016 after receiving required government agency approvals.

Battered by a crude downturn that has stretched for more than a year, many independent oil and gas companies are selling assets or contemplating selling assets they no longer consider essential as a way to raise cash.

BP, which started operating its Lower 48 onshore unit as a separate business in early 2105, already holds 550,000 acres and has average output of 100,000 barrels of oil equivalent per day in the San Juan Basin which spans New Mexico and Colorado.

What to read next

Devon Energy to form publicly traded MLP
Devon Energy sells 50% in Alberta pipeline to CPPIB-backed company
Devon Energy to sell Texas, Oklahoma oil fields for nearly $1 billion