DEVON ENERGY CORP/DE, 10-Q filed on 8/7/2024
Quarterly Report
v3.24.2.u1
Document And Entity Information - shares
 6 Months Ended
Jun. 30, 2024
Jul. 24, 2024
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Quarterly Report true  
Document Transition Report false  
Document Period End Date Jun. 30, 2024  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
Current Fiscal Year End Date --12-31  
Entity Registrant Name DEVON ENERGY CORP/DE  
Entity Central Index Key 0001090012  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Shell Company false  
Entity File Number 001-32318  
Entity Tax Identification Number 73-1567067  
Entity Incorporation, State or Country Code DE  
Entity Address, Address Line One 333 West Sheridan Avenue  
Entity Address, City or Town Oklahoma City  
Entity Address, State or Province OK  
Entity Address, Postal Zip Code 73102-5015  
City Area Code 405  
Local Phone Number 235-3611  
Title of 12(b) Security Common Stock, par value $0.10 per share  
Trading Symbol DVN  
Security Exchange Name NYSE  
Entity Common Stock, Shares Outstanding   626,200,000
v3.24.2.u1
Consolidated Statements of Comprehensive Earnings - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Oil, gas and NGL sales $ 3,894 $ 3,530 $ 7,635 $ 7,289
Oil, gas and NGL derivatives 23 (76) (122) (12)
Total revenues 3,917 3,454 7,513 7,277
Production expenses 788 719 1,539 1,412
Exploration expenses 3 10 12 13
Depreciation, depletion and amortization 768 638 1,490 1,253
Asset dispositions 15 (41) 16 (41)
General and administrative expenses 114 92 228 198
Financing costs, net 76 78 152 150
Other, net 5 10 27 15
Total expenses 2,877 2,557 5,705 5,156
Earnings before income taxes 1,040 897 1,808 2,121
Income tax expense 185 199 344 420
Net earnings 855 698 1,464 1,701
Net earnings attributable to noncontrolling interests 11 8 24 16
Net earnings attributable to Devon $ 844 $ 690 $ 1,440 $ 1,685
Net earnings per share:        
Basic net earnings per share $ 1.35 $ 1.08 $ 2.29 $ 2.61
Diluted net earnings per share $ 1.34 $ 1.07 $ 2.29 $ 2.6
Comprehensive earnings:        
Net earnings $ 855 $ 698 $ 1,464 $ 1,701
Other comprehensive earnings, net of tax:        
Pension and postretirement plans 1 1 2 2
Other comprehensive earnings, net of tax 1 1 2 2
Comprehensive earnings: 856 699 1,466 1,703
Comprehensive earnings attributable to noncontrolling interests 11 8 24 16
Comprehensive earnings attributable to Devon 845 691 1,442 1,687
Oil, Gas and NGL Sales [Member]        
Oil, gas and NGL sales 2,796 2,493 5,425 5,172
Marketing and Midstream Revenues [Member]        
Oil, gas and NGL sales 1,098 1,037 2,210 2,117
Marketing and Midstream Expenses [Member]        
Expenses $ 1,108 $ 1,051 $ 2,241 $ 2,156
v3.24.2.u1
Consolidated Balance Sheets - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
ASSETS    
Cash, cash equivalents and restricted cash $ 1,169 $ 875
Accounts receivable 1,589 1,573
Inventory 258 249
Other current assets 343 460
Total current assets 3,359 3,157
Oil and gas property and equipment, based on successful efforts accounting, net 18,216 17,825
Other property and equipment, net ($159 million and $136 million related to CDM in 2024 and 2023, respectively) [1] 1,569 1,503
Total property and equipment, net 19,785 19,328
Goodwill 753 753
Right-of-use assets 297 267
Investments 704 666
Other long-term assets 264 319
Total assets 25,162 24,490
LIABILITIES AND EQUITY    
Accounts payable 754 760
Revenues and royalties payable 1,363 1,222
Short-term debt 475 483
Other current liabilities 424 484
Total current liabilities 3,016 2,949
Long-term debt 5,665 5,672
Lease liabilities 315 295
Asset retirement obligations 691 643
Other long-term liabilities 829 876
Deferred income taxes 1,917 1,838
Stockholders' equity:    
Common stock, $0.10 par value. Authorized 1.0 billion shares; issued 628 million and 636 million shares in 2024 and 2023, respectively 63 64
Additional paid-in capital 5,478 5,939
Retained earnings 7,132 6,195
Accumulated other comprehensive loss (122) (124)
Treasury stock, at cost, 0.3 million shares in 2023 0 (13)
Total stockholders’ equity attributable to Devon 12,551 12,061
Noncontrolling interests 178 156
Total equity 12,729 12,217
Total liabilities and equity $ 25,162 $ 24,490
[1] $159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Consolidated Balance Sheets(Parenthetical) - USD ($)
shares in Millions, $ in Millions
Jun. 30, 2024
Dec. 31, 2023
Other property and equipment, net [1] $ 1,569 $ 1,503
Common stock, par value (in dollars per share) $ 0.1 $ 0.1
Common stock, shares authorized (in shares) 1,000.0 1,000.0
Common stock, shares issued (in shares) 628.0 636.0
Treasury stock common shares   0.3
CDM [Member]    
Other property and equipment, net $ 159 $ 136
[1] $159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Consolidated Statements Of Cash Flows - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Cash flows from operating activities:        
Net earnings $ 855 $ 698 $ 1,464 $ 1,701
Adjustments to reconcile net earnings to net cash from operating activities:        
Depreciation, depletion and amortization 768 638 1,490 1,253
Leasehold impairments 1 3 1 3
Amortization of liabilities 0 (8) 0 (15)
Total (gains) losses on commodity derivatives (23) 76 122 12
Cash settlements on commodity derivatives 54 37 78 50
(Gains) losses on asset dispositions 15 (41) 16 (41)
Deferred income tax expense 39 119 79 199
Share-based compensation 27 25 51 48
Other 0 (2) 3 0
Changes in assets and liabilities, net (201) (140) (31) (128)
Net cash from operating activities 1,535 1,405 3,273 3,082
Cash flows from investing activities:        
Capital expenditures (948) (1,079) (1,842) (2,091)
Acquisitions of property and equipment (82) (18) (90) (31)
Divestitures of property and equipment 1 1 18 22
Distributions from investments 11 9 22 17
Contributions to investments and other (1) (15) (48) (52)
Net cash from investing activities (1,019) (1,102) (1,940) (2,135)
Cash flows from financing activities:        
Repurchases of common stock (256) (228) (461) (745)
Dividends paid on common stock (223) (462) (522) (1,058)
Contributions from noncontrolling interests 12 8 24 8
Distributions to noncontrolling interests (19) (13) (26) (24)
Shares exchanged for tax withholdings and other (9) (9) (51) (96)
Net cash from financing activities (495) (704) (1,036) (1,915)
Effect of exchange rate changes on cash (1) 2 (3) 2
Net change in cash, cash equivalents and restricted cash 20 (399) 294 (966)
Cash, cash equivalents and restricted cash at beginning of period 1,149 887 875 1,454
Cash, cash equivalents and restricted cash at end of period 1,169 488 1,169 488
Reconciliation of cash, cash equivalents and restricted cash:        
Cash and cash equivalents 1,140 372 1,140 372
Restricted cash 29 116 29 116
Total cash, cash equivalents and restricted cash $ 1,169 $ 488 $ 1,169 $ 488
v3.24.2.u1
Consolidated Statements Of Equity - USD ($)
shares in Millions, $ in Millions
Total
Common Stock [Member]
Additional Paid-In Capital [Member]
Retained Earnings [Member]
Other Comprehensive Earnings (Loss) [Member]
Treasury Stock [Member]
Noncontrolling Interests [Member]
Balance at Dec. 31, 2022 $ 11,296 $ 65 $ 6,921 $ 4,297 $ (116)   $ 129
Balance, shares at Dec. 31, 2022   653          
Net earnings 1,701     1,685     16
Other comprehensive earnings (loss), net of tax 2       2    
Restricted stock grants, net of cancellations, shares   2          
Common stock repurchased (839)   (6)     $ (833)  
Common stock retired   $ (1) (832)     833  
Common stock retired, shares   (15)          
Common stock dividends (1,042)     (1,042)      
Share-based compensation 48   48        
Share-based compensation, shares   1          
Contributions from noncontrolling interests 8           8
Distributions to noncontrolling interests (24)           (24)
Balance at Jun. 30, 2023 11,150 $ 64 6,131 4,940 (114)   129
Balance, shares at Jun. 30, 2023   641          
Balance at Mar. 31, 2023 11,103 $ 64 6,344 4,712 (115) (28) 126
Balance, shares at Mar. 31, 2023   645          
Net earnings 698     690     8
Other comprehensive earnings (loss), net of tax 1       1    
Common stock repurchased (210)   (2)     (208)  
Common stock retired     (236)     236  
Common stock retired, shares   (4)          
Common stock dividends (462)     (462)      
Share-based compensation 25   25        
Contributions from noncontrolling interests 8           8
Distributions to noncontrolling interests (13)           (13)
Balance at Jun. 30, 2023 11,150 $ 64 6,131 4,940 (114)   129
Balance, shares at Jun. 30, 2023   641          
Balance at Dec. 31, 2023 12,217 $ 64 5,939 6,195 (124) (13) 156
Balance, shares at Dec. 31, 2023   636          
Net earnings 1,464     1,440     24
Other comprehensive earnings (loss), net of tax 2       2    
Restricted stock grants, net of cancellations, shares   2          
Common stock repurchased (500)   (4)     (496)  
Common stock retired   $ (1) (508)     509  
Common stock retired, shares   (11)          
Common stock dividends (503)     (503)      
Share-based compensation 51   51        
Share-based compensation, shares   1          
Contributions from noncontrolling interests 24           24
Distributions to noncontrolling interests (26)           (26)
Balance at Jun. 30, 2024 12,729 $ 63 5,478 7,132 (122) 0 178
Balance, shares at Jun. 30, 2024   628          
Balance at Mar. 31, 2024 12,341 $ 63 5,718 6,509 (123) 0 174
Balance, shares at Mar. 31, 2024   633          
Net earnings 855     844     11
Other comprehensive earnings (loss), net of tax 1       1    
Common stock repurchased (267)   (3)     (264)  
Common stock retired     (264)     264  
Common stock retired, shares   (5)          
Common stock dividends (221)     (221)      
Share-based compensation 27   27        
Contributions from noncontrolling interests 12           12
Distributions to noncontrolling interests (19)           (19)
Balance at Jun. 30, 2024 $ 12,729 $ 63 $ 5,478 $ 7,132 $ (122) $ 0 $ 178
Balance, shares at Jun. 30, 2024   628          
v3.24.2.u1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ 844 $ 690 $ 1,440 $ 1,685
v3.24.2.u1
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Rule 10b5-1 Arrangement Modified false
Non-Rule 10b5-1 Arrangement Modified false
v3.24.2.u1
Summary of Significant Accounting Policies
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies

The accompanying unaudited interim financial statements and notes of Devon have been prepared pursuant to the rules and regulations of the SEC. Pursuant to such rules and regulations, certain disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been omitted. The accompanying unaudited interim financial statements and notes should be read in conjunction with the financial statements and notes included in Devon’s 2023 Annual Report on Form 10-K. The accompanying unaudited interim financial statements in this report reflect all adjustments that are, in the opinion of management, necessary for a fair statement of Devon’s results of operations and cash flows for the three-month and six-month periods ended June 30, 2024 and 2023 and Devon’s financial position as of June 30, 2024.

 

Variable Interest Entity

CDM is a joint venture entity formed by Devon and an affiliate of QL Capital Partners, LP. CDM provides gathering, compression and dehydration services for natural gas production in the Cotton Draw area of the Delaware Basin. Devon holds a controlling interest in CDM and the portions of CDM’s net earnings and equity not attributable to Devon’s controlling interest are shown separately as noncontrolling interests in the accompanying consolidated statements of comprehensive earnings and consolidated balance sheets. CDM is considered a VIE to Devon. The assets of CDM cannot be used by Devon for general corporate purposes and are included in, and disclosed parenthetically, on Devon's consolidated balance sheets. The carrying amount of liabilities related to CDM for which the creditors do not have recourse to Devon's assets are also included in, and disclosed parenthetically, if material, on Devon's consolidated balance sheets.

 

Investments

The following table presents Devon's investments.

 

 

 

 

 

Carrying Amount

 

Investments

 

% Interest

 

June 30, 2024

 

 

December 31, 2023

 

Catalyst

 

50%

 

$

291

 

 

$

311

 

Water JV

 

30%

 

 

218

 

 

 

216

 

Matterhorn

 

12.5%

 

 

90

 

 

 

90

 

Fervo

 

12%

 

 

56

 

 

 

—

 

Other

 

Various

 

 

49

 

 

 

49

 

      Total

 

 

 

$

704

 

 

$

666

 

 

Devon has an interest in Catalyst, which is a joint venture with an affiliate of Howard Energy Partners, LLC (“HEP”) and certain other investors, to develop oil gathering and natural gas processing infrastructure in the Stateline area of the Delaware Basin. Under the terms of the arrangement, Devon and a holding company owned by the other joint venture investors each have a 50% voting interest in the joint venture legal entity, and HEP serves as the operator. Through 2038, Devon’s production from 50,000 net acres in the Stateline area of the Delaware Basin has been dedicated to Catalyst subject to fixed-fee oil gathering and natural gas processing agreements. Devon accounts for the investment in Catalyst as an equity method investment. Devon's investment in Catalyst is shown within investments on the consolidated balance sheets and Devon's share of Catalyst earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

In the second quarter of 2023, Devon made an investment in the Water JV, a joint venture entity formed with an affiliate of WaterBridge NDB LLC (“WaterBridge”), for the purpose of providing increased capacity and flexibility in disposing of produced water in the Delaware Basin and Eagle Ford. Under terms of the arrangement, Devon contributed water infrastructure assets and committed to a water gathering and disposal dedication to the Water JV through 2038, in exchange for a 30% voting interest in the joint venture legal entity. WaterBridge contributed water infrastructure assets to the Water JV, in exchange for a 70% voting interest in the joint venture legal entity and will serve as the operator. In the second quarter of 2023, Devon recognized a $64 million gain in asset dispositions in the consolidated statements of comprehensive earnings, which represented the excess of the estimated fair value of Devon's interest in the Water JV over the carrying value of the water infrastructure assets Devon contributed to the Water JV. Devon accounts for the investment in the Water JV as an equity method investment. Devon's investment in the Water JV is shown within investments on the consolidated balance sheets and Devon's share of the Water JV earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

Matterhorn is a joint venture entity and was formed for the purpose of constructing a natural gas pipeline that will transport natural gas from the Permian Basin to the Katy, Texas area. Devon's investment in Matterhorn does not give it the ability to exercise significant influence over Matterhorn.

 

In the first quarter of 2024, Devon committed to invest approximately $100 million in Fervo, a company that generates energy from geothermal wells. As of June 30, 2024, Devon has funded approximately $55 million of the commitment and expects to fund the remaining $45 million commitment throughout 2024. The investment in Fervo allows Devon to exercise significant influence over Fervo, and the investment is accounted for under the equity method of accounting. Devon's investment in Fervo is shown within investments on the consolidated balance sheets and Devon's share of Fervo earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

 

Disaggregation of Revenue

The following table presents revenue from contracts with customers that are disaggregated based on the type of good or service.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Oil

 

$

2,413

 

 

$

2,106

 

 

$

4,602

 

 

$

4,249

 

Gas

 

 

57

 

 

 

122

 

 

 

185

 

 

 

335

 

NGL

 

 

326

 

 

 

265

 

 

 

638

 

 

 

588

 

Oil, gas and NGL sales

 

 

2,796

 

 

 

2,493

 

 

 

5,425

 

 

 

5,172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil

 

 

801

 

 

 

735

 

 

 

1,608

 

 

 

1,465

 

Gas

 

 

100

 

 

 

123

 

 

 

221

 

 

 

275

 

NGL

 

 

197

 

 

 

179

 

 

 

381

 

 

 

377

 

Marketing and midstream revenues

 

 

1,098

 

 

 

1,037

 

 

 

2,210

 

 

 

2,117

 

Total revenues from contracts with customers

 

$

3,894

 

 

$

3,530

 

 

$

7,635

 

 

$

7,289

 

 

Recently Issued Accounting Standards Not Yet Adopted

In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures. ASU 2023-09 intends to provide investors with enhanced information about an entity’s income taxes by requiring disclosure of items such as disaggregation of the effective tax rate reconciliation as well as information regarding income taxes paid. This ASU is effective for annual reporting periods beginning after December 15, 2024, with early adoption permitted for annual financial statements that have not yet been issued. Devon is evaluating the impact this ASU will have on the disclosures that accompany its consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Improvements to Reportable Segments Disclosures. Under this ASU, the scope and frequency of segment disclosures is increased to provide investors with additional detail about information utilized by an entity’s “Chief Operating Decision Maker.” This ASU is effective for Devon beginning with our 2024 annual reporting and interim periods beginning in 2025. Devon is evaluating the impact this ASU will have on the disclosures that accompany its consolidated financial statements.
v3.24.2.u1
Acquisition and Divestitures
 6 Months Ended
Jun. 30, 2024
Business Combinations [Abstract]  
Acquisition and Divestitures Acquisitions and Divestitures

Acquisition

In July 2024, Devon announced it had entered into an agreement to acquire the Williston Basin business of Grayson Mill Energy. The purchase price for the transaction consists of $3.25 billion of cash and approximately 37 million shares of Devon common stock, in each case subject to various purchase price adjustments. Devon plans to fund the cash portion of the purchase price through cash on hand and debt, which we expect to include a combination of term loans and bond issuances. The transaction is expected to close by the end of the third quarter of 2024, subject to regulatory approvals and other customary closing conditions.

Contingent Earnout Payments

Devon is entitled to contingent earnout payments associated with the sale of its Barnett Shale assets in 2020 with upside participation beginning at a $2.75 Henry Hub natural gas price or a $50 WTI oil price. The contingent payment period commenced on

January 1, 2021 and has a term of four years. Devon received $20 million in contingent earnout payments related to this transaction in the first quarter of 2024 and $65 million in the first quarter of 2023. Devon could also receive up to an additional $65 million in contingent earnout payments for the remaining performance period depending on future commodity prices. The valuation of the future contingent earnout payment included within other current assets in the June 30, 2024 consolidated balance sheet was approximately $20 million. This value was derived utilizing a Monte Carlo valuation model and qualifies as a level 3 fair value measurement.

Devon also received $4 million in contingent earnout payments in the first quarter of 2023 related to the sale of non-core assets in the Rockies.

v3.24.2.u1
Derivative Financial Instruments
 6 Months Ended
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments
3.
Derivative Financial Instruments

Objectives and Strategies

Devon enters into derivative financial instruments with respect to a portion of its oil, gas and NGL production to hedge future prices received. Additionally, Devon periodically enters into derivative financial instruments with respect to a portion of its oil, gas and NGL marketing activities. These commodity derivative financial instruments include financial price swaps, basis swaps and costless price collars. Devon also periodically enters into interest rate swaps to manage its exposure to interest rate volatility. As of June 30, 2024, Devon did not have any open interest rate contracts.

Devon does not intend to hold or issue derivative financial instruments for speculative trading purposes and has elected not to designate any of its derivative instruments for hedge accounting treatment.

Counterparty Credit Risk

By using derivative financial instruments, Devon is exposed to credit risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. To mitigate this risk, the hedging instruments are placed with a number of counterparties whom Devon believes are acceptable credit risks. It is Devon’s policy to enter into derivative contracts only with investment-grade rated counterparties deemed by management to be competent and competitive market makers. Additionally, Devon’s derivative contracts generally contain provisions that provide for collateral payments if Devon’s or its counterparty’s credit rating falls below certain credit rating levels. As of June 30, 2024, Devon neither held cash collateral of its counterparties nor posted cash collateral to its counterparties.

Commodity Derivatives

As of June 30, 2024, Devon had the following open oil derivative positions. The first table presents Devon’s oil derivatives that settle against the average of the prompt month NYMEX WTI futures price. The second table presents Devon’s oil derivatives that settle against the respective indices noted within the table.

 

 

 

Price Swaps

 

 

Price Collars

 

 

Period

 

Volume
(Bbls/d)

 

 

Weighted
Average
Price ($/Bbl)

 

 

Volume
(Bbls/d)

 

 

Weighted
Average Floor
Price ($/Bbl)

 

 

Weighted
Average
Ceiling Price
($/Bbl)

 

 

Q3-Q4 2024

 

 

28,000

 

 

$

78.97

 

 

 

83,000

 

 

$

67.80

 

 

$

85.04

 

 

Q1-Q4 2025

 

 

4,468

 

 

$

72.83

 

 

 

5,992

 

 

$

70.00

 

 

$

77.97

 

 

 

 

 

Oil Basis Swaps

 

Period

 

Index

 

Volume
(Bbls/d)

 

 

Weighted Average
Differential to WTI
($/Bbl)

 

Q3-Q4 2024

 

Midland Sweet

 

 

69,500

 

 

$

1.17

 

Q3-Q4 2024

 

NYMEX Roll

 

 

26,000

 

 

$

0.82

 

Q1-Q4 2025

 

Midland Sweet

 

 

63,000

 

 

$

1.00

 

Q1-Q4 2026

 

Midland Sweet

 

 

18,000

 

 

$

1.21

 

 

As of June 30, 2024, Devon had the following open natural gas derivative positions. The first table presents Devon’s natural gas derivatives that settle against the Inside FERC first of the month Henry Hub index. The second table presents Devon’s natural gas derivatives that settle against the respective indices noted within the table.

 

 

 

Price Swaps

 

 

Price Collars

 

Period

 

Volume (MMBtu/d)

 

 

Weighted Average Price ($/MMBtu)

 

 

Volume (MMBtu/d)

 

 

Weighted Average Floor Price ($/MMBtu)

 

 

Weighted Average
Ceiling Price ($/MMBtu)

 

Q3-Q4 2024

 

 

279,000

 

 

$

3.18

 

 

 

15,000

 

 

$

3.00

 

 

$

3.65

 

Q1-Q4 2025

 

 

200,537

 

 

$

3.34

 

 

 

15,000

 

 

$

3.00

 

 

$

3.65

 

Q1-Q4 2026

 

 

80,000

 

 

$

3.90

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

Natural Gas Basis Swaps

 

Period

 

Index

 

Volume
(MMBtu/d)

 

 

Weighted Average
Differential to
Henry Hub
($/MMBtu)

 

Q3-Q4 2024

 

El Paso Natural Gas

 

 

10,000

 

 

$

(1.00

)

Q3-Q4 2024

 

Houston Ship Channel

 

 

160,000

 

 

$

(0.28

)

Q3-Q4 2024

 

WAHA

 

 

80,000

 

 

$

(0.74

)

Q1-Q4 2025

 

Houston Ship Channel

 

 

40,000

 

 

$

(0.35

)

Q1-Q4 2025

 

WAHA

 

 

10,000

 

 

$

(0.63

)

Q1-Q4 2026

 

Houston Ship Channel

 

 

25,000

 

 

$

(0.25

)

 

As of June 30, 2024, Devon had the following open NGL derivative positions. Devon's NGL positions settle against the average of the prompt month OPIS Mont Belvieu, Texas index.

 

 

 

 

 

Price Swaps

 

Period

 

Product

 

Volume (Bbls/d)

 

 

Weighted Average Price ($/Bbl)

 

Q3-Q4 2024

 

Natural Gasoline

 

 

3,000

 

 

$

69.11

 

Q3-Q4 2024

 

Normal Butane

 

 

3,350

 

 

$

37.58

 

Q3-Q4 2024

 

Propane

 

 

5,250

 

 

$

33.01

 

Financial Statement Presentation

All derivative financial instruments are recognized at their current fair value as either assets or liabilities in the consolidated balance sheets. Amounts related to contracts allowed to be netted upon payment subject to a master netting arrangement with the same counterparty are reported on a net basis in the consolidated balance sheets. The table below presents a summary of these positions as of June 30, 2024 and December 31, 2023.

 

June 30, 2024

 

December 31, 2023

 

 

 

Gross Fair Value

 

Amounts Netted

 

Net Fair Value

 

Gross Fair Value

 

Amounts Netted

 

Net Fair Value

 

Balance Sheet Classification

Commodity derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term derivative asset

$

44

 

$

(15

)

$

29

 

$

213

 

$

(5

)

$

208

 

Other current assets

Long-term derivative asset

 

5

 

 

(3

)

 

2

 

 

—

 

 

—

 

 

—

 

Other long-term assets

Short-term derivative liability

 

(39

)

 

15

 

 

(24

)

 

(7

)

 

5

 

 

(2

)

Other current liabilities

Long-term derivative liability

 

(10

)

 

3

 

 

(7

)

 

(7

)

 

—

 

 

(7

)

Other long-term liabilities

  Total derivative asset

$

—

 

$

—

 

$

—

 

$

199

 

$

—

 

$

199

 

 

 
v3.24.2.u1
Share-Based Compensation
 6 Months Ended
Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation
4.
Share-Based Compensation

The table below presents the share-based compensation expense included in Devon’s accompanying consolidated statements of comprehensive earnings.

 

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

G&A

 

$

50

 

 

$

48

 

Exploration expenses

 

 

1

 

 

 

—

 

Total

 

$

51

 

 

$

48

 

 

 

 

 

 

 

 

Related income tax benefit

 

$

18

 

 

$

27

 

 

 

Under its approved long-term incentive plan, Devon grants share-based awards to its employees. The following table presents a summary of Devon’s unvested restricted stock awards and units and performance share units granted under the plan.

 

 

 

Restricted Stock Awards & Units

 

 

Performance Share Units

 

 

 

Awards/Units

 

 

Weighted
Average
Grant-Date
Fair Value

 

 

Units

 

 

Weighted
Average
Grant-Date
Fair Value

 

 

 

(Thousands, except fair value data)

 

Unvested at 12/31/23

 

 

4,033

 

 

$

42.10

 

 

 

1,547

 

 

$

43.25

 

Granted

 

 

1,883

 

 

$

42.46

 

 

 

858

 

 

$

40.41

 

Vested

 

 

(1,789

)

 

$

34.84

 

 

 

(1,226

)

 

$

18.08

 

Forfeited

 

 

(58

)

 

$

45.04

 

 

 

—

 

 

$

—

 

Unvested at 6/30/24

 

 

4,069

 

 

$

45.42

 

 

 

1,179

 

(1)

$

67.38

 

 

(1)
A maximum of 2.4 million common shares could be awarded based upon Devon’s final TSR ranking.

The following table presents the assumptions related to the performance share units granted in 2024, as indicated in the previous summary table. The grants in the previous summary table also include the impacts of performance share units granted in a prior year that vested higher than 100% of target due to Devon's TSR performance compared to our peers.

 

 

2024

 

 Grant-date fair value

 

$

56.99

 

 Risk-free interest rate

 

 

4.28

%

 Volatility factor

 

 

46.03

%

 Contractual term (years)

 

 

2.89

 

 

The following table presents a summary of the unrecognized compensation cost and the related weighted average recognition period associated with unvested awards and units as of June 30, 2024.

 

 

 

Restricted Stock

 

 

Performance

 

 

 

Awards/Units

 

 

Share Units

 

Unrecognized compensation cost

 

$

128

 

 

$

33

 

Weighted average period for recognition (years)

 

 

2.8

 

 

 

1.8

 
v3.24.2.u1
Income Taxes
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes

5. Income Taxes

The following table presents Devon’s total income tax expense and a reconciliation of its effective income tax rate to the U.S. statutory income tax rate.

 

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2024

 

2023

 

2024

 

2023

 

Earnings before income taxes

 

$

1,040

 

$

897

 

$

1,808

 

$

2,121

 

 

 

 

 

 

 

 

 

 

 

Current income tax expense

 

$

146

 

$

80

 

$

265

 

$

221

 

Deferred income tax expense

 

 

39

 

 

119

 

 

79

 

 

199

 

Total income tax expense

 

$

185

 

$

199

 

$

344

 

$

420

 

 

 

 

 

 

 

 

 

 

 

U.S. statutory income tax rate

 

 

21

%

 

21

%

 

21

%

 

21

%

State income taxes

 

 

1

%

 

1

%

 

1

%

 

1

%

Income tax credits

 

 

(4

%)

 

—

 

 

(3

%)

 

(2

%)

Effective income tax rate

 

 

18

%

 

22

%

 

19

%

 

20

%

 

In the first six months of 2024 and 2023, Devon recognized income tax credits associated with its qualified research activities.
v3.24.2.u1
Net Earnings Per Share
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Net Earnings Per Share Net Earnings Per Share

The following table reconciles net earnings available to common shareholders and weighted-average common shares outstanding used in the calculations of basic and diluted net earnings per share.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net earnings available to common shareholders - basic and diluted

 

$

844

 

 

$

687

 

 

$

1,440

 

 

$

1,674

 

Common shares:

 

 

 

 

 

 

 

 

 

 

 

 

Average common shares outstanding - basic

 

 

626

 

 

 

638

 

 

 

628

 

 

 

641

 

Dilutive effect of potential common shares issuable

 

 

2

 

 

 

1

 

 

 

2

 

 

 

2

 

Average common shares outstanding - diluted

 

 

628

 

 

 

639

 

 

 

630

 

 

 

643

 

Net earnings per share available to common shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

1.35

 

 

$

1.08

 

 

$

2.29

 

 

$

2.61

 

Diluted

 

$

1.34

 

 

$

1.07

 

 

$

2.29

 

 

$

2.60

 
v3.24.2.u1
Other Comprehensive Earnings (Loss)
 6 Months Ended
Jun. 30, 2024
Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Other Comprehensive Earnings (Loss) Other Comprehensive Earnings (Loss)

Components of other comprehensive earnings (loss) consist of the following:

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and postretirement benefit plans:

 

 

 

 

 

 

 

 

 

 

 

 

Beginning accumulated pension and postretirement benefits

 

$

(123

)

 

$

(115

)

 

$

(124

)

 

$

(116

)

Recognition of net actuarial loss and prior service cost in earnings (1)

 

 

2

 

 

 

2

 

 

 

3

 

 

 

3

 

Income tax expense

 

 

(1

)

 

 

(1

)

 

 

(1

)

 

 

(1

)

Accumulated other comprehensive loss, net of tax

 

$

(122

)

 

$

(114

)

 

$

(122

)

 

$

(114

)

 

(1)
Recognition of net actuarial loss and prior service cost are included in the computation of net periodic benefit cost, which is a component of other, net in the accompanying consolidated statements of comprehensive earnings.
v3.24.2.u1
Supplemental Information to Statements of Cash Flows
 6 Months Ended
Jun. 30, 2024
Supplemental Cash Flow Elements [Abstract]  
Supplemental Information to Statements of Cash Flows Supplemental Information to Statements of Cash Flows

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Changes in assets and liabilities, net:

 

 

 

 

 

 

 

 

 

 

 

 

Accounts receivable

 

$

81

 

 

$

98

 

 

$

(15

)

 

$

248

 

Other current assets

 

 

(84

)

 

 

(12

)

 

 

(107

)

 

 

4

 

Other long-term assets

 

 

(16

)

 

 

(13

)

 

 

33

 

 

 

18

 

Accounts payable and revenues and royalties payable

 

 

42

 

 

 

(65

)

 

 

185

 

 

 

(230

)

Other current liabilities

 

 

(224

)

 

 

(138

)

 

 

(108

)

 

 

(141

)

Other long-term liabilities

 

 

—

 

 

 

(10

)

 

 

(19

)

 

 

(27

)

Total

 

$

(201

)

 

$

(140

)

 

$

(31

)

 

$

(128

)

Supplementary cash flow data:

 

 

 

 

 

 

 

 

 

 

 

 

Interest paid

 

$

112

 

 

$

88

 

 

$

175

 

 

$

189

 

Income taxes paid

 

$

388

 

 

$

259

 

 

$

384

 

 

$

259

 

 

Devon's non-cash investing activities for the three and six months ended June 30, 2023, included approximately $150 million of contributions of other property and equipment for the formation of the Water JV.

v3.24.2.u1
Accounts Receivable
 6 Months Ended
Jun. 30, 2024
Accounts Receivable, after Allowance for Credit Loss [Abstract]  
Accounts Receivable Accounts Receivable

Components of accounts receivable include the following:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Oil, gas and NGL sales

 

$

941

 

 

$

965

 

Joint interest billings

 

 

253

 

 

 

251

 

Marketing and midstream revenues

 

 

370

 

 

 

342

 

Other

 

 

32

 

 

 

22

 

Gross accounts receivable

 

 

1,596

 

 

 

1,580

 

Allowance for doubtful accounts

 

 

(7

)

 

 

(7

)

Net accounts receivable

 

$

1,589

 

 

$

1,573

 
v3.24.2.u1
Property, Plant and Equipment
 6 Months Ended
Jun. 30, 2024
Extractive Industries [Abstract]  
Property, Plant and Equipment Property, Plant and Equipment

The following table presents the aggregate capitalized costs related to Devon’s oil and gas and non-oil and gas activities.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Property and equipment:

 

 

 

 

 

 

Proved

 

$

48,402

 

 

$

46,659

 

Unproved and properties under development

 

 

1,370

 

 

 

1,279

 

Total oil and gas

 

 

49,772

 

 

 

47,938

 

Less accumulated DD&A

 

 

(31,556

)

 

 

(30,113

)

Oil and gas property and equipment, net

 

 

18,216

 

 

 

17,825

 

Other property and equipment

 

 

2,386

 

 

 

2,289

 

Less accumulated DD&A

 

 

(817

)

 

 

(786

)

Other property and equipment, net (1)

 

 

1,569

 

 

 

1,503

 

Property and equipment, net

 

$

19,785

 

 

$

19,328

 

 

(1)
$159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Debt And Related Expenses
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Debt and Related Expenses
11.

See below for a summary of debt instruments and balances. The notes and debentures are senior, unsecured obligations of Devon.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

5.25% due September 15, 2024

 

$

472

 

 

$

472

 

5.85% due December 15, 2025

 

 

485

 

 

 

485

 

7.50% due September 15, 2027

 

 

73

 

 

 

73

 

5.25% due October 15, 2027

 

 

390

 

 

 

390

 

5.875% due June 15, 2028

 

 

325

 

 

 

325

 

4.50% due January 15, 2030

 

 

585

 

 

 

585

 

7.875% due September 30, 2031

 

 

675

 

 

 

675

 

7.95% due April 15, 2032

 

 

366

 

 

 

366

 

5.60% due July 15, 2041

 

 

1,250

 

 

 

1,250

 

4.75% due May 15, 2042

 

 

750

 

 

 

750

 

5.00% due June 15, 2045

 

 

750

 

 

 

750

 

Net premium on debentures and notes

 

 

49

 

 

 

64

 

Debt issuance costs

 

 

(30

)

 

 

(30

)

Total debt

 

$

6,140

 

 

$

6,155

 

Less amount classified as short-term debt

 

 

475

 

 

 

483

 

Total long-term debt

 

$

5,665

 

 

$

5,672

 

 

Retirement of Senior Notes

On August 1, 2023, Devon repaid the $242 million of 8.25% senior notes at maturity.

Credit Lines

In 2023, Devon amended and restated its 2018 Senior Credit Facility to provide for a new $3.0 billion revolving 2023 Senior Credit Facility. In the first quarter of 2024, Devon exercised its option to extend the 2023 Senior Credit Facility maturity date from March 24, 2028 to March 24, 2029. Devon has the option to extend the March 24, 2029 maturity date by two additional one-year periods subject to lender consent. As of June 30, 2024, Devon had no outstanding borrowings under the 2023 Senior Credit Facility and had issued $3 million in outstanding letters of credit under this facility. The 2023 Senior Credit Facility contains only one material financial covenant. This covenant requires Devon’s ratio of total funded debt to total capitalization, as defined in the credit agreement, to be no greater than 65%. Under the terms of the credit agreement, total capitalization is adjusted to add back non-cash financial

write-downs such as impairments. As of June 30, 2024, Devon was in compliance with this covenant with a debt-to-capitalization ratio of 21.2%.

Net Financing Costs

The following schedule includes the components of net financing costs.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest based on debt outstanding

 

$

88

 

 

$

96

 

 

$

175

 

 

$

189

 

Interest income

 

 

(14

)

 

 

(15

)

 

 

(27

)

 

 

(32

)

Other

 

 

2

 

 

 

(3

)

 

 

4

 

 

 

(7

)

Total net financing costs

 

$

76

 

 

$

78

 

 

$

152

 

 

$

150

 
v3.24.2.u1
Leases
 6 Months Ended
Jun. 30, 2024
Leases [Abstract]  
Leases Leases

The following table presents Devon’s right-of-use assets and lease liabilities as of June 30, 2024 and December 31, 2023.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Finance

 

 

Operating

 

 

Total

 

 

Finance

 

 

Operating

 

 

Total

 

Right-of-use assets

 

$

241

 

 

$

56

 

 

$

297

 

 

$

246

 

 

$

21

 

 

$

267

 

Lease liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current lease liabilities (1)

 

$

21

 

 

$

26

 

 

$

47

 

 

$

21

 

 

$

12

 

 

$

33

 

Long-term lease liabilities

 

 

285

 

 

 

30

 

 

 

315

 

 

 

286

 

 

 

9

 

 

 

295

 

Total lease liabilities (2)

 

$

306

 

 

$

56

 

 

$

362

 

 

$

307

 

 

$

21

 

 

$

328

 

 

(1)
Current lease liabilities are included in other current liabilities on the consolidated balance sheets.
(2)
Devon has entered into certain leases of equipment related to the exploration, development and production of oil and gas that had terms not yet commenced as of June 30, 2024 and are therefore excluded from the amounts shown above.

 

Devon’s operating lease right-of-use assets relate to real estate, drilling rigs and other equipment related to the exploration, development and production of oil and gas. Devon’s financing lease right-of-use assets relate to real estate.
v3.24.2.u1
Asset Retirement Obligations
 6 Months Ended
Jun. 30, 2024
Asset Retirement Obligation Disclosure [Abstract]  
Asset Retirement Obligations
13.
Asset Retirement Obligations

The following table presents the changes in Devon’s asset retirement obligations.

 

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

Asset retirement obligations as of beginning of period

 

$

665

 

 

$

529

 

Liabilities incurred

 

 

15

 

 

 

14

 

Liabilities settled and divested

 

 

(16

)

 

 

(18

)

Revision of estimated obligation

 

 

35

 

 

 

27

 

Accretion expense on discounted obligation

 

 

18

 

 

 

14

 

Asset retirement obligations as of end of period

 

 

717

 

 

 

566

 

Less current portion

 

 

26

 

 

 

18

 

Asset retirement obligations, long-term

 

$

691

 

 

$

548

 

 

During the first six months of 2024, Devon increased its asset retirement obligations by approximately $35 million primarily due to changes in current cost estimates and future retirement dates for its oil and gas assets. During the first six months of 2023, Devon increased its asset retirement obligations by approximately $27 million primarily due to inflation-driven increases in cost estimates.

v3.24.2.u1
Stockholders' Equity
 6 Months Ended
Jun. 30, 2024
Stockholders' Equity Note [Abstract]  
Stockholders' Equity
14.
Stockholders’ Equity

Share Repurchases

In July 2024, Devon's Board of Directors authorized an expansion to the company's share repurchase program from $3.0 billion to $5.0 billion and extended the expiration date from December 31, 2024 to June 30, 2026. The table below provides information regarding purchases of Devon’s common stock under the $5.0 billion share repurchase program (shares in thousands).

 

 

 

Total Number of
Shares Purchased

 

 

Dollar Value of
Shares Purchased

 

 

Average Price Paid
per Share

 

$5.0 Billion Plan

 

 

 

 

 

 

 

 

 

2021

 

 

13,983

 

 

$

589

 

 

$

42.15

 

2022

 

 

11,708

 

 

 

718

 

 

$

61.36

 

2023:

 

 

 

 

 

 

 

 

 

First quarter

 

 

10,090

 

 

 

545

 

 

$

53.96

 

Second quarter

 

 

3,795

 

 

 

200

 

 

$

52.70

 

Fourth quarter

 

 

5,465

 

 

 

247

 

 

$

45.17

 

2023 Total

 

 

19,350

 

 

 

992

 

 

$

51.23

 

2024:

 

 

 

 

 

 

 

 

 

First quarter

 

 

4,428

 

 

 

193

 

 

$

43.47

 

Second quarter

 

 

5,188

 

 

 

256

 

 

$

49.40

 

2024 Total

 

 

9,616

 

 

 

449

 

 

$

46.67

 

Total plan

 

 

54,657

 

 

$

2,748

 

 

$

50.28

 

 

Dividends

Devon pays a quarterly dividend which is comprised of a fixed dividend and a variable dividend. The variable dividend is dependent on quarterly cash flows, among other factors. Devon has raised its fixed dividend multiple times over the past two calendar years and most recently raised it by 10% from $0.20 to $0.22 per share in the first quarter of 2024. The following table summarizes Devon’s fixed and variable dividends for the first six months of 2024 and 2023, respectively.

 

 

Fixed

 

 

Variable

 

 

Total

 

 

Rate Per Share

 

2024:

 

 

 

 

 

 

 

 

 

 

 

First quarter

$

143

 

 

$

156

 

 

$

299

 

 

$

0.44

 

Second quarter

 

138

 

 

 

85

 

 

 

223

 

 

$

0.35

 

Total year-to-date

$

281

 

 

$

241

 

 

$

522

 

 

 

 

2023:

 

 

 

 

 

 

 

 

 

 

 

First quarter

$

133

 

 

$

463

 

 

$

596

 

 

$

0.89

 

Second quarter

 

128

 

 

 

334

 

 

 

462

 

 

$

0.72

 

Total year-to-date

$

261

 

 

$

797

 

 

$

1,058

 

 

 

 

 

In August 2024, Devon announced a cash dividend in the amount of $0.44 per share payable in the third quarter of 2024. The dividend consists of a $0.22 per share fixed quarterly dividend and a $0.22 per share variable quarterly dividend and will total approximately $276 million.

Noncontrolling Interests

The noncontrolling interests’ share of CDM’s net earnings and the contributions from and distributions to the noncontrolling interests are presented as components of equity.
v3.24.2.u1
Commitments and Contingencies
 6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies

Devon is party to various legal actions arising in connection with its business. Matters that are probable of unfavorable outcome to Devon and which can be reasonably estimated are accrued. Such accruals are based on information known about the matters, Devon’s estimates of the outcomes of such matters and its experience in contesting, litigating and settling similar matters. None of the actions are believed by management to likely involve future amounts that would be material to Devon’s financial position or results of operations after consideration of recorded accruals. Actual amounts could differ materially from management’s estimates.

Royalty Matters

Numerous oil and natural gas producers and related parties, including Devon, have been named in various lawsuits alleging royalty underpayments. Devon is currently named as a defendant in a number of such lawsuits, including some lawsuits in which the plaintiffs seek to certify classes of similarly situated plaintiffs. Among the allegations typically asserted in these suits are claims that Devon used below-market prices, made improper deductions, paid royalty proceeds in an untimely manner without including required interest, used improper measurement techniques and entered into gas purchase and processing arrangements with affiliates that resulted in underpayment of royalties in connection with oil, natural gas and NGLs produced and sold. Devon is also involved in governmental agency proceedings and royalty audits and is subject to related contracts and regulatory controls in the ordinary course of business, some that may lead to additional royalty claims. As of June 30, 2024, Devon has accrued approximately $35 million in other current liabilities pertaining to such royalty matters.

Environmental and Climate Change Matters

Devon’s business is subject to numerous federal, state, tribal and local laws and regulations governing the discharge of materials into the environment or otherwise relating to environmental protection. Failure to comply with these laws and regulations may result in the assessment of administrative, civil and criminal fines and penalties, as well as remediation costs. Although Devon believes that it is in substantial compliance with applicable environmental laws and regulations and that continued compliance with existing requirements will not have a material adverse impact on its business, there can be no assurance that this will continue in the future.

Beginning in 2013, various parishes in Louisiana filed suit against numerous oil and gas companies, including Devon, alleging that the companies’ operations and activities in certain fields violated the State and Local Coastal Resource Management Act of 1978, as amended, and caused substantial environmental contamination, subsidence and other environmental damages to land and water bodies located in the coastal zone of Louisiana. The plaintiffs’ claims against Devon relate primarily to the operations of several of Devon’s corporate predecessors. The plaintiffs seek, among other things, payment of the costs necessary to clear, re-vegetate and otherwise restore the allegedly impacted areas. Although Devon cannot predict the ultimate outcome of these matters, Devon denies the allegations in these lawsuits and intends to vigorously defend against these claims.

The State of Delaware and various municipalities and other governmental and private parties in California have filed legal proceedings against numerous oil and gas companies, including Devon, seeking relief to abate alleged impacts of climate change. These proceedings include far-reaching claims for monetary damages and injunctive relief. Although Devon cannot predict the ultimate outcome of these matters, Devon denies the allegations asserted in these lawsuits and intends to vigorously defend against these claims.

Other Indemnifications and Legacy Matters

Pursuant to various sale agreements relating to divested businesses and assets, Devon has indemnified various purchasers against liabilities that they may incur with respect to the businesses and assets acquired from Devon. Additionally, federal, state and other laws in areas of former operations may require previous operators (including corporate successors of previous operators) to perform or make payments in certain circumstances where the current operator may no longer be able to satisfy the applicable obligation. Such obligations may include plugging and abandoning wells, removing production facilities, undertaking other restorative actions or performing requirements under surface agreements in existence at the time of disposition. For example, a predecessor entity of a Devon subsidiary previously sold certain private, state and federal oil and gas leases covering properties in shallow waters off the coast of Louisiana in the Gulf of Mexico. These assets are generally referred to as the East Bay Field. The current operator of the East Bay Field has filed for protection under Chapter 11 of the U.S. Bankruptcy Code and may be unable to satisfy the eventual decommissioning obligations associated with the East Bay Field. Other companies in the chain of title of the East Bay Field have also sought bankruptcy protection and may be similarly unable to satisfy the eventual decommissioning obligations associated with the East Bay Field. Depending upon the outcome of these bankruptcy proceedings, amounts available under decommissioning bonds and a cash security account and other factors, Devon may be required to perform or fund certain decommissioning obligations associated with the East Bay Field under state and federal regulations applicable to predecessor operators. As a result of these factors and uncertainties, we are currently unable to provide an estimate of potential loss.

v3.24.2.u1
Fair Value Measurements
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements

The following table provides carrying value and fair value measurement information for certain of Devon’s financial assets and liabilities. The carrying values of cash, accounts receivable, other current receivables, accounts payable, other current payables, accrued expenses and lease liabilities included in the accompanying consolidated balance sheets approximated fair value at June 30, 2024 and December 31, 2023, as applicable. Therefore, such financial assets and liabilities are not presented in the following table.

 

 

 

 

 

 

 

 

 

Fair Value Measurements Using:

 

 

 

Carrying

 

 

Total Fair

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

 

Amount

 

 

Value

 

 

Inputs

 

 

Inputs

 

 

Inputs

 

June 30, 2024 assets (liabilities):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents

 

$

487

 

 

$

487

 

 

$

487

 

 

$

—

 

 

$

—

 

Commodity derivatives

 

$

31

 

 

$

31

 

 

$

—

 

 

$

31

 

 

$

—

 

Commodity derivatives

 

$

(31

)

 

$

(31

)

 

$

—

 

 

$

(31

)

 

$

—

 

Debt

 

$

(6,140

)

 

$

(5,932

)

 

$

—

 

 

$

(5,932

)

 

$

—

 

Contingent earnout payments

 

$

20

 

 

$

20

 

 

$

—

 

 

$

—

 

 

$

20

 

December 31, 2023 assets (liabilities):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents

 

$

306

 

 

$

306

 

 

$

306

 

 

$

—

 

 

$

—

 

Commodity derivatives

 

$

208

 

 

$

208

 

 

$

—

 

 

$

208

 

 

$

—

 

Commodity derivatives

 

$

(9

)

 

$

(9

)

 

$

—

 

 

$

(9

)

 

$

—

 

Debt

 

$

(6,155

)

 

$

(6,090

)

 

$

—

 

 

$

(6,090

)

 

$

—

 

Contingent earnout payments

 

$

55

 

 

$

55

 

 

$

—

 

 

$

—

 

 

$

55

 

 

The following methods and assumptions were used to estimate the fair values in the table above.

Level 1 Fair Value Measurements

Cash equivalents – Amounts consist primarily of money market investments and the fair value approximates the carrying value.

Level 2 Fair Value Measurements

Commodity derivatives – The fair value of commodity derivatives is estimated using internal discounted cash flow calculations based upon forward curves and data obtained from independent third parties for contracts with similar terms or data obtained from counterparties to the agreements.

 

Debt – Devon’s debt instruments do not consistently trade actively in an established market. The fair values of its debt are estimated based on rates available for debt with similar terms and maturity when active trading is not available.

Level 3 Fair Value Measurements

Contingent Earnout Payments – Devon has the right to receive contingent consideration related to the Barnett asset divestiture based on future oil and gas prices. These values were derived using a Monte Carlo valuation model and qualify as a level 3 fair value measurement. For additional information, see Note 2.
v3.24.2.u1
Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Variable Interest Entity

Variable Interest Entity

CDM is a joint venture entity formed by Devon and an affiliate of QL Capital Partners, LP. CDM provides gathering, compression and dehydration services for natural gas production in the Cotton Draw area of the Delaware Basin. Devon holds a controlling interest in CDM and the portions of CDM’s net earnings and equity not attributable to Devon’s controlling interest are shown separately as noncontrolling interests in the accompanying consolidated statements of comprehensive earnings and consolidated balance sheets. CDM is considered a VIE to Devon. The assets of CDM cannot be used by Devon for general corporate purposes and are included in, and disclosed parenthetically, on Devon's consolidated balance sheets. The carrying amount of liabilities related to CDM for which the creditors do not have recourse to Devon's assets are also included in, and disclosed parenthetically, if material, on Devon's consolidated balance sheets.
Investments

Investments

The following table presents Devon's investments.

 

 

 

 

 

Carrying Amount

 

Investments

 

% Interest

 

June 30, 2024

 

 

December 31, 2023

 

Catalyst

 

50%

 

$

291

 

 

$

311

 

Water JV

 

30%

 

 

218

 

 

 

216

 

Matterhorn

 

12.5%

 

 

90

 

 

 

90

 

Fervo

 

12%

 

 

56

 

 

 

—

 

Other

 

Various

 

 

49

 

 

 

49

 

      Total

 

 

 

$

704

 

 

$

666

 

 

Devon has an interest in Catalyst, which is a joint venture with an affiliate of Howard Energy Partners, LLC (“HEP”) and certain other investors, to develop oil gathering and natural gas processing infrastructure in the Stateline area of the Delaware Basin. Under the terms of the arrangement, Devon and a holding company owned by the other joint venture investors each have a 50% voting interest in the joint venture legal entity, and HEP serves as the operator. Through 2038, Devon’s production from 50,000 net acres in the Stateline area of the Delaware Basin has been dedicated to Catalyst subject to fixed-fee oil gathering and natural gas processing agreements. Devon accounts for the investment in Catalyst as an equity method investment. Devon's investment in Catalyst is shown within investments on the consolidated balance sheets and Devon's share of Catalyst earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

In the second quarter of 2023, Devon made an investment in the Water JV, a joint venture entity formed with an affiliate of WaterBridge NDB LLC (“WaterBridge”), for the purpose of providing increased capacity and flexibility in disposing of produced water in the Delaware Basin and Eagle Ford. Under terms of the arrangement, Devon contributed water infrastructure assets and committed to a water gathering and disposal dedication to the Water JV through 2038, in exchange for a 30% voting interest in the joint venture legal entity. WaterBridge contributed water infrastructure assets to the Water JV, in exchange for a 70% voting interest in the joint venture legal entity and will serve as the operator. In the second quarter of 2023, Devon recognized a $64 million gain in asset dispositions in the consolidated statements of comprehensive earnings, which represented the excess of the estimated fair value of Devon's interest in the Water JV over the carrying value of the water infrastructure assets Devon contributed to the Water JV. Devon accounts for the investment in the Water JV as an equity method investment. Devon's investment in the Water JV is shown within investments on the consolidated balance sheets and Devon's share of the Water JV earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

Matterhorn is a joint venture entity and was formed for the purpose of constructing a natural gas pipeline that will transport natural gas from the Permian Basin to the Katy, Texas area. Devon's investment in Matterhorn does not give it the ability to exercise significant influence over Matterhorn.

 

In the first quarter of 2024, Devon committed to invest approximately $100 million in Fervo, a company that generates energy from geothermal wells. As of June 30, 2024, Devon has funded approximately $55 million of the commitment and expects to fund the remaining $45 million commitment throughout 2024. The investment in Fervo allows Devon to exercise significant influence over Fervo, and the investment is accounted for under the equity method of accounting. Devon's investment in Fervo is shown within investments on the consolidated balance sheets and Devon's share of Fervo earnings are reflected as a component of other, net in the accompanying consolidated statements of comprehensive earnings.

Disaggregation of Revenue

Disaggregation of Revenue

The following table presents revenue from contracts with customers that are disaggregated based on the type of good or service.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Oil

 

$

2,413

 

 

$

2,106

 

 

$

4,602

 

 

$

4,249

 

Gas

 

 

57

 

 

 

122

 

 

 

185

 

 

 

335

 

NGL

 

 

326

 

 

 

265

 

 

 

638

 

 

 

588

 

Oil, gas and NGL sales

 

 

2,796

 

 

 

2,493

 

 

 

5,425

 

 

 

5,172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil

 

 

801

 

 

 

735

 

 

 

1,608

 

 

 

1,465

 

Gas

 

 

100

 

 

 

123

 

 

 

221

 

 

 

275

 

NGL

 

 

197

 

 

 

179

 

 

 

381

 

 

 

377

 

Marketing and midstream revenues

 

 

1,098

 

 

 

1,037

 

 

 

2,210

 

 

 

2,117

 

Total revenues from contracts with customers

 

$

3,894

 

 

$

3,530

 

 

$

7,635

 

 

$

7,289

 
Recently Issued Accounting Standards Not Yet Adopted

Recently Issued Accounting Standards Not Yet Adopted

In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures. ASU 2023-09 intends to provide investors with enhanced information about an entity’s income taxes by requiring disclosure of items such as disaggregation of the effective tax rate reconciliation as well as information regarding income taxes paid. This ASU is effective for annual reporting periods beginning after December 15, 2024, with early adoption permitted for annual financial statements that have not yet been issued. Devon is evaluating the impact this ASU will have on the disclosures that accompany its consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Improvements to Reportable Segments Disclosures. Under this ASU, the scope and frequency of segment disclosures is increased to provide investors with additional detail about information utilized by an entity’s “Chief Operating Decision Maker.” This ASU is effective for Devon beginning with our 2024 annual reporting and interim periods beginning in 2025. Devon is evaluating the impact this ASU will have on the disclosures that accompany its consolidated financial statements.
v3.24.2.u1
Summary of Significant Accounting Policies (Tables)
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Schedule of Components of Investment

The following table presents Devon's investments.

 

 

 

 

 

Carrying Amount

 

Investments

 

% Interest

 

June 30, 2024

 

 

December 31, 2023

 

Catalyst

 

50%

 

$

291

 

 

$

311

 

Water JV

 

30%

 

 

218

 

 

 

216

 

Matterhorn

 

12.5%

 

 

90

 

 

 

90

 

Fervo

 

12%

 

 

56

 

 

 

—

 

Other

 

Various

 

 

49

 

 

 

49

 

      Total

 

 

 

$

704

 

 

$

666

 
Schedule of Revenue from Contracts with Customers

The following table presents revenue from contracts with customers that are disaggregated based on the type of good or service.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Oil

 

$

2,413

 

 

$

2,106

 

 

$

4,602

 

 

$

4,249

 

Gas

 

 

57

 

 

 

122

 

 

 

185

 

 

 

335

 

NGL

 

 

326

 

 

 

265

 

 

 

638

 

 

 

588

 

Oil, gas and NGL sales

 

 

2,796

 

 

 

2,493

 

 

 

5,425

 

 

 

5,172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil

 

 

801

 

 

 

735

 

 

 

1,608

 

 

 

1,465

 

Gas

 

 

100

 

 

 

123

 

 

 

221

 

 

 

275

 

NGL

 

 

197

 

 

 

179

 

 

 

381

 

 

 

377

 

Marketing and midstream revenues

 

 

1,098

 

 

 

1,037

 

 

 

2,210

 

 

 

2,117

 

Total revenues from contracts with customers

 

$

3,894

 

 

$

3,530

 

 

$

7,635

 

 

$

7,289

 
v3.24.2.u1
Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Open Derivative Positions

Commodity Derivatives

As of June 30, 2024, Devon had the following open oil derivative positions. The first table presents Devon’s oil derivatives that settle against the average of the prompt month NYMEX WTI futures price. The second table presents Devon’s oil derivatives that settle against the respective indices noted within the table.

 

 

 

Price Swaps

 

 

Price Collars

 

 

Period

 

Volume
(Bbls/d)

 

 

Weighted
Average
Price ($/Bbl)

 

 

Volume
(Bbls/d)

 

 

Weighted
Average Floor
Price ($/Bbl)

 

 

Weighted
Average
Ceiling Price
($/Bbl)

 

 

Q3-Q4 2024

 

 

28,000

 

 

$

78.97

 

 

 

83,000

 

 

$

67.80

 

 

$

85.04

 

 

Q1-Q4 2025

 

 

4,468

 

 

$

72.83

 

 

 

5,992

 

 

$

70.00

 

 

$

77.97

 

 

 

 

 

Oil Basis Swaps

 

Period

 

Index

 

Volume
(Bbls/d)

 

 

Weighted Average
Differential to WTI
($/Bbl)

 

Q3-Q4 2024

 

Midland Sweet

 

 

69,500

 

 

$

1.17

 

Q3-Q4 2024

 

NYMEX Roll

 

 

26,000

 

 

$

0.82

 

Q1-Q4 2025

 

Midland Sweet

 

 

63,000

 

 

$

1.00

 

Q1-Q4 2026

 

Midland Sweet

 

 

18,000

 

 

$

1.21

 

 

As of June 30, 2024, Devon had the following open natural gas derivative positions. The first table presents Devon’s natural gas derivatives that settle against the Inside FERC first of the month Henry Hub index. The second table presents Devon’s natural gas derivatives that settle against the respective indices noted within the table.

 

 

 

Price Swaps

 

 

Price Collars

 

Period

 

Volume (MMBtu/d)

 

 

Weighted Average Price ($/MMBtu)

 

 

Volume (MMBtu/d)

 

 

Weighted Average Floor Price ($/MMBtu)

 

 

Weighted Average
Ceiling Price ($/MMBtu)

 

Q3-Q4 2024

 

 

279,000

 

 

$

3.18

 

 

 

15,000

 

 

$

3.00

 

 

$

3.65

 

Q1-Q4 2025

 

 

200,537

 

 

$

3.34

 

 

 

15,000

 

 

$

3.00

 

 

$

3.65

 

Q1-Q4 2026

 

 

80,000

 

 

$

3.90

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

Natural Gas Basis Swaps

 

Period

 

Index

 

Volume
(MMBtu/d)

 

 

Weighted Average
Differential to
Henry Hub
($/MMBtu)

 

Q3-Q4 2024

 

El Paso Natural Gas

 

 

10,000

 

 

$

(1.00

)

Q3-Q4 2024

 

Houston Ship Channel

 

 

160,000

 

 

$

(0.28

)

Q3-Q4 2024

 

WAHA

 

 

80,000

 

 

$

(0.74

)

Q1-Q4 2025

 

Houston Ship Channel

 

 

40,000

 

 

$

(0.35

)

Q1-Q4 2025

 

WAHA

 

 

10,000

 

 

$

(0.63

)

Q1-Q4 2026

 

Houston Ship Channel

 

 

25,000

 

 

$

(0.25

)

 

As of June 30, 2024, Devon had the following open NGL derivative positions. Devon's NGL positions settle against the average of the prompt month OPIS Mont Belvieu, Texas index.

 

 

 

 

 

Price Swaps

 

Period

 

Product

 

Volume (Bbls/d)

 

 

Weighted Average Price ($/Bbl)

 

Q3-Q4 2024

 

Natural Gasoline

 

 

3,000

 

 

$

69.11

 

Q3-Q4 2024

 

Normal Butane

 

 

3,350

 

 

$

37.58

 

Q3-Q4 2024

 

Propane

 

 

5,250

 

 

$

33.01

 
Schedule of Derivative Financial Instruments Included in the Consolidated Balance Sheets The table below presents a summary of these positions as of June 30, 2024 and December 31, 2023.

 

June 30, 2024

 

December 31, 2023

 

 

 

Gross Fair Value

 

Amounts Netted

 

Net Fair Value

 

Gross Fair Value

 

Amounts Netted

 

Net Fair Value

 

Balance Sheet Classification

Commodity derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term derivative asset

$

44

 

$

(15

)

$

29

 

$

213

 

$

(5

)

$

208

 

Other current assets

Long-term derivative asset

 

5

 

 

(3

)

 

2

 

 

—

 

 

—

 

 

—

 

Other long-term assets

Short-term derivative liability

 

(39

)

 

15

 

 

(24

)

 

(7

)

 

5

 

 

(2

)

Other current liabilities

Long-term derivative liability

 

(10

)

 

3

 

 

(7

)

 

(7

)

 

—

 

 

(7

)

Other long-term liabilities

  Total derivative asset

$

—

 

$

—

 

$

—

 

$

199

 

$

—

 

$

199

 

 

 
v3.24.2.u1
Share-Based Compensation (Tables)
 6 Months Ended
Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule Of Share-Based Compensation Expense Included In The Consolidated Statements Of Comprehensive Earnings

The table below presents the share-based compensation expense included in Devon’s accompanying consolidated statements of comprehensive earnings.

 

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

G&A

 

$

50

 

 

$

48

 

Exploration expenses

 

 

1

 

 

 

—

 

Total

 

$

51

 

 

$

48

 

 

 

 

 

 

 

 

Related income tax benefit

 

$

18

 

 

$

27

 
Summary Of Unvested Restricted Stock Awards, Performance-Based Restricted Stock Awards And Performance Share Units The following table presents a summary of Devon’s unvested restricted stock awards and units and performance share units granted under the plan.

 

 

 

Restricted Stock Awards & Units

 

 

Performance Share Units

 

 

 

Awards/Units

 

 

Weighted
Average
Grant-Date
Fair Value

 

 

Units

 

 

Weighted
Average
Grant-Date
Fair Value

 

 

 

(Thousands, except fair value data)

 

Unvested at 12/31/23

 

 

4,033

 

 

$

42.10

 

 

 

1,547

 

 

$

43.25

 

Granted

 

 

1,883

 

 

$

42.46

 

 

 

858

 

 

$

40.41

 

Vested

 

 

(1,789

)

 

$

34.84

 

 

 

(1,226

)

 

$

18.08

 

Forfeited

 

 

(58

)

 

$

45.04

 

 

 

—

 

 

$

—

 

Unvested at 6/30/24

 

 

4,069

 

 

$

45.42

 

 

 

1,179

 

(1)

$

67.38

 

 

A maximum of 2.4 million common shares could be awarded based upon Devon’s final TSR ranking.
Summary Of Performance Share Units Grant-Date Fair Values And Their Related Assumptions

The following table presents the assumptions related to the performance share units granted in 2024, as indicated in the previous summary table. The grants in the previous summary table also include the impacts of performance share units granted in a prior year that vested higher than 100% of target due to Devon's TSR performance compared to our peers.

 

 

2024

 

 Grant-date fair value

 

$

56.99

 

 Risk-free interest rate

 

 

4.28

%

 Volatility factor

 

 

46.03

%

 Contractual term (years)

 

 

2.89

 
Summary of Unrecognized Compensation Cost And Weighted Average Period For Recognition

The following table presents a summary of the unrecognized compensation cost and the related weighted average recognition period associated with unvested awards and units as of June 30, 2024.

 

 

 

Restricted Stock

 

 

Performance

 

 

 

Awards/Units

 

 

Share Units

 

Unrecognized compensation cost

 

$

128

 

 

$

33

 

Weighted average period for recognition (years)

 

 

2.8

 

 

 

1.8

 
v3.24.2.u1
Income Taxes (Tables)
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Schedule of Effective Income Tax Rate Reconciliation

The following table presents Devon’s total income tax expense and a reconciliation of its effective income tax rate to the U.S. statutory income tax rate.

 

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2024

 

2023

 

2024

 

2023

 

Earnings before income taxes

 

$

1,040

 

$

897

 

$

1,808

 

$

2,121

 

 

 

 

 

 

 

 

 

 

 

Current income tax expense

 

$

146

 

$

80

 

$

265

 

$

221

 

Deferred income tax expense

 

 

39

 

 

119

 

 

79

 

 

199

 

Total income tax expense

 

$

185

 

$

199

 

$

344

 

$

420

 

 

 

 

 

 

 

 

 

 

 

U.S. statutory income tax rate

 

 

21

%

 

21

%

 

21

%

 

21

%

State income taxes

 

 

1

%

 

1

%

 

1

%

 

1

%

Income tax credits

 

 

(4

%)

 

—

 

 

(3

%)

 

(2

%)

Effective income tax rate

 

 

18

%

 

22

%

 

19

%

 

20

%
v3.24.2.u1
Net Earnings Per Share (Tables)
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Net Earnings (Loss) Per Share Computations from Continuing Operations

The following table reconciles net earnings available to common shareholders and weighted-average common shares outstanding used in the calculations of basic and diluted net earnings per share.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net earnings available to common shareholders - basic and diluted

 

$

844

 

 

$

687

 

 

$

1,440

 

 

$

1,674

 

Common shares:

 

 

 

 

 

 

 

 

 

 

 

 

Average common shares outstanding - basic

 

 

626

 

 

 

638

 

 

 

628

 

 

 

641

 

Dilutive effect of potential common shares issuable

 

 

2

 

 

 

1

 

 

 

2

 

 

 

2

 

Average common shares outstanding - diluted

 

 

628

 

 

 

639

 

 

 

630

 

 

 

643

 

Net earnings per share available to common shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

1.35

 

 

$

1.08

 

 

$

2.29

 

 

$

2.61

 

Diluted

 

$

1.34

 

 

$

1.07

 

 

$

2.29

 

 

$

2.60

 
v3.24.2.u1
Other Comprehensive Earnings (Loss) (Tables)
 6 Months Ended
Jun. 30, 2024
Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Components Of Other Comprehensive Earnings (Loss)

Components of other comprehensive earnings (loss) consist of the following:

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Pension and postretirement benefit plans:

 

 

 

 

 

 

 

 

 

 

 

 

Beginning accumulated pension and postretirement benefits

 

$

(123

)

 

$

(115

)

 

$

(124

)

 

$

(116

)

Recognition of net actuarial loss and prior service cost in earnings (1)

 

 

2

 

 

 

2

 

 

 

3

 

 

 

3

 

Income tax expense

 

 

(1

)

 

 

(1

)

 

 

(1

)

 

 

(1

)

Accumulated other comprehensive loss, net of tax

 

$

(122

)

 

$

(114

)

 

$

(122

)

 

$

(114

)

 

(1)
Recognition of net actuarial loss and prior service cost are included in the computation of net periodic benefit cost, which is a component of other, net in the accompanying consolidated statements of comprehensive earnings.
v3.24.2.u1
Supplemental Information to Statements of Cash Flows (Tables)
 6 Months Ended
Jun. 30, 2024
Supplemental Cash Flow Elements [Abstract]  
Schedule of Supplemental Information to Statements of Cash Flows

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Changes in assets and liabilities, net:

 

 

 

 

 

 

 

 

 

 

 

 

Accounts receivable

 

$

81

 

 

$

98

 

 

$

(15

)

 

$

248

 

Other current assets

 

 

(84

)

 

 

(12

)

 

 

(107

)

 

 

4

 

Other long-term assets

 

 

(16

)

 

 

(13

)

 

 

33

 

 

 

18

 

Accounts payable and revenues and royalties payable

 

 

42

 

 

 

(65

)

 

 

185

 

 

 

(230

)

Other current liabilities

 

 

(224

)

 

 

(138

)

 

 

(108

)

 

 

(141

)

Other long-term liabilities

 

 

—

 

 

 

(10

)

 

 

(19

)

 

 

(27

)

Total

 

$

(201

)

 

$

(140

)

 

$

(31

)

 

$

(128

)

Supplementary cash flow data:

 

 

 

 

 

 

 

 

 

 

 

 

Interest paid

 

$

112

 

 

$

88

 

 

$

175

 

 

$

189

 

Income taxes paid

 

$

388

 

 

$

259

 

 

$

384

 

 

$

259

 

 

Devon's non-cash investing activities for the three and six months ended June 30, 2023, included approximately $150 million of contributions of other property and equipment for the formation of the Water JV.

v3.24.2.u1
Accounts Receivable (Tables)
 6 Months Ended
Jun. 30, 2024
Accounts Receivable, after Allowance for Credit Loss [Abstract]  
Schedule Of Components Of Accounts Receivable

Components of accounts receivable include the following:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Oil, gas and NGL sales

 

$

941

 

 

$

965

 

Joint interest billings

 

 

253

 

 

 

251

 

Marketing and midstream revenues

 

 

370

 

 

 

342

 

Other

 

 

32

 

 

 

22

 

Gross accounts receivable

 

 

1,596

 

 

 

1,580

 

Allowance for doubtful accounts

 

 

(7

)

 

 

(7

)

Net accounts receivable

 

$

1,589

 

 

$

1,573

 
v3.24.2.u1
Property, Plant and Equipment (Tables)
 6 Months Ended
Jun. 30, 2024
Extractive Industries [Abstract]  
Table of Property and Equipment, net

The following table presents the aggregate capitalized costs related to Devon’s oil and gas and non-oil and gas activities.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Property and equipment:

 

 

 

 

 

 

Proved

 

$

48,402

 

 

$

46,659

 

Unproved and properties under development

 

 

1,370

 

 

 

1,279

 

Total oil and gas

 

 

49,772

 

 

 

47,938

 

Less accumulated DD&A

 

 

(31,556

)

 

 

(30,113

)

Oil and gas property and equipment, net

 

 

18,216

 

 

 

17,825

 

Other property and equipment

 

 

2,386

 

 

 

2,289

 

Less accumulated DD&A

 

 

(817

)

 

 

(786

)

Other property and equipment, net (1)

 

 

1,569

 

 

 

1,503

 

Property and equipment, net

 

$

19,785

 

 

$

19,328

 

 

(1)
$159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Debt And Related Expenses (Tables)
 6 Months Ended
Jun. 30, 2024
Debt Instrument [Line Items]  
Schedule Of Debt Instruments and Balances See below for a summary of debt instruments and balances. The notes and debentures are senior, unsecured obligations of Devon.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

5.25% due September 15, 2024

 

$

472

 

 

$

472

 

5.85% due December 15, 2025

 

 

485

 

 

 

485

 

7.50% due September 15, 2027

 

 

73

 

 

 

73

 

5.25% due October 15, 2027

 

 

390

 

 

 

390

 

5.875% due June 15, 2028

 

 

325

 

 

 

325

 

4.50% due January 15, 2030

 

 

585

 

 

 

585

 

7.875% due September 30, 2031

 

 

675

 

 

 

675

 

7.95% due April 15, 2032

 

 

366

 

 

 

366

 

5.60% due July 15, 2041

 

 

1,250

 

 

 

1,250

 

4.75% due May 15, 2042

 

 

750

 

 

 

750

 

5.00% due June 15, 2045

 

 

750

 

 

 

750

 

Net premium on debentures and notes

 

 

49

 

 

 

64

 

Debt issuance costs

 

 

(30

)

 

 

(30

)

Total debt

 

$

6,140

 

 

$

6,155

 

Less amount classified as short-term debt

 

 

475

 

 

 

483

 

Total long-term debt

 

$

5,665

 

 

$

5,672

 
Schedule Of Net Financing Cost Components

The following schedule includes the components of net financing costs.

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest based on debt outstanding

 

$

88

 

 

$

96

 

 

$

175

 

 

$

189

 

Interest income

 

 

(14

)

 

 

(15

)

 

 

(27

)

 

 

(32

)

Other

 

 

2

 

 

 

(3

)

 

 

4

 

 

 

(7

)

Total net financing costs

 

$

76

 

 

$

78

 

 

$

152

 

 

$

150

 
v3.24.2.u1
Leases (Tables)
 6 Months Ended
Jun. 30, 2024
Leases [Abstract]  
Schedule of Right-of-use Assets and Lease Liabilities

The following table presents Devon’s right-of-use assets and lease liabilities as of June 30, 2024 and December 31, 2023.

 

 

 

June 30, 2024

 

 

December 31, 2023

 

 

 

Finance

 

 

Operating

 

 

Total

 

 

Finance

 

 

Operating

 

 

Total

 

Right-of-use assets

 

$

241

 

 

$

56

 

 

$

297

 

 

$

246

 

 

$

21

 

 

$

267

 

Lease liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current lease liabilities (1)

 

$

21

 

 

$

26

 

 

$

47

 

 

$

21

 

 

$

12

 

 

$

33

 

Long-term lease liabilities

 

 

285

 

 

 

30

 

 

 

315

 

 

 

286

 

 

 

9

 

 

 

295

 

Total lease liabilities (2)

 

$

306

 

 

$

56

 

 

$

362

 

 

$

307

 

 

$

21

 

 

$

328

 

 

(1)
Current lease liabilities are included in other current liabilities on the consolidated balance sheets.
(2)
Devon has entered into certain leases of equipment related to the exploration, development and production of oil and gas that had terms not yet commenced as of June 30, 2024 and are therefore excluded from the amounts shown above.
v3.24.2.u1
Asset Retirement Obligations (Tables)
 6 Months Ended
Jun. 30, 2024
Asset Retirement Obligation Disclosure [Abstract]  
Summary of Changes in Asset Retirement Obligations

The following table presents the changes in Devon’s asset retirement obligations.

 

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

Asset retirement obligations as of beginning of period

 

$

665

 

 

$

529

 

Liabilities incurred

 

 

15

 

 

 

14

 

Liabilities settled and divested

 

 

(16

)

 

 

(18

)

Revision of estimated obligation

 

 

35

 

 

 

27

 

Accretion expense on discounted obligation

 

 

18

 

 

 

14

 

Asset retirement obligations as of end of period

 

 

717

 

 

 

566

 

Less current portion

 

 

26

 

 

 

18

 

Asset retirement obligations, long-term

 

$

691

 

 

$

548

 
v3.24.2.u1
Stockholders' Equity (Tables)
 6 Months Ended
Jun. 30, 2024
Stockholders' Equity Note [Abstract]  
Summary of Purchases of Common Stock The table below provides information regarding purchases of Devon’s common stock under the $5.0 billion share repurchase program (shares in thousands).

 

 

 

Total Number of
Shares Purchased

 

 

Dollar Value of
Shares Purchased

 

 

Average Price Paid
per Share

 

$5.0 Billion Plan

 

 

 

 

 

 

 

 

 

2021

 

 

13,983

 

 

$

589

 

 

$

42.15

 

2022

 

 

11,708

 

 

 

718

 

 

$

61.36

 

2023:

 

 

 

 

 

 

 

 

 

First quarter

 

 

10,090

 

 

 

545

 

 

$

53.96

 

Second quarter

 

 

3,795

 

 

 

200

 

 

$

52.70

 

Fourth quarter

 

 

5,465

 

 

 

247

 

 

$

45.17

 

2023 Total

 

 

19,350

 

 

 

992

 

 

$

51.23

 

2024:

 

 

 

 

 

 

 

 

 

First quarter

 

 

4,428

 

 

 

193

 

 

$

43.47

 

Second quarter

 

 

5,188

 

 

 

256

 

 

$

49.40

 

2024 Total

 

 

9,616

 

 

 

449

 

 

$

46.67

 

Total plan

 

 

54,657

 

 

$

2,748

 

 

$

50.28

 
Schedule of Dividends Payable The following table summarizes Devon’s fixed and variable dividends for the first six months of 2024 and 2023, respectively.

 

 

Fixed

 

 

Variable

 

 

Total

 

 

Rate Per Share

 

2024:

 

 

 

 

 

 

 

 

 

 

 

First quarter

$

143

 

 

$

156

 

 

$

299

 

 

$

0.44

 

Second quarter

 

138

 

 

 

85

 

 

 

223

 

 

$

0.35

 

Total year-to-date

$

281

 

 

$

241

 

 

$

522

 

 

 

 

2023:

 

 

 

 

 

 

 

 

 

 

 

First quarter

$

133

 

 

$

463

 

 

$

596

 

 

$

0.89

 

Second quarter

 

128

 

 

 

334

 

 

 

462

 

 

$

0.72

 

Total year-to-date

$

261

 

 

$

797

 

 

$

1,058

 

 

 

 
v3.24.2.u1
Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule Of Carrying Value And Fair Value Measurement Information For Financial Assets And Liabilities Therefore, such financial assets and liabilities are not presented in the following table.

 

 

 

 

 

 

 

 

 

Fair Value Measurements Using:

 

 

 

Carrying

 

 

Total Fair

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

 

Amount

 

 

Value

 

 

Inputs

 

 

Inputs

 

 

Inputs

 

June 30, 2024 assets (liabilities):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents

 

$

487

 

 

$

487

 

 

$

487

 

 

$

—

 

 

$

—

 

Commodity derivatives

 

$

31

 

 

$

31

 

 

$

—

 

 

$

31

 

 

$

—

 

Commodity derivatives

 

$

(31

)

 

$

(31

)

 

$

—

 

 

$

(31

)

 

$

—

 

Debt

 

$

(6,140

)

 

$

(5,932

)

 

$

—

 

 

$

(5,932

)

 

$

—

 

Contingent earnout payments

 

$

20

 

 

$

20

 

 

$

—

 

 

$

—

 

 

$

20

 

December 31, 2023 assets (liabilities):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash equivalents

 

$

306

 

 

$

306

 

 

$

306

 

 

$

—

 

 

$

—

 

Commodity derivatives

 

$

208

 

 

$

208

 

 

$

—

 

 

$

208

 

 

$

—

 

Commodity derivatives

 

$

(9

)

 

$

(9

)

 

$

—

 

 

$

(9

)

 

$

—

 

Debt

 

$

(6,155

)

 

$

(6,090

)

 

$

—

 

 

$

(6,090

)

 

$

—

 

Contingent earnout payments

 

$

55

 

 

$

55

 

 

$

—

 

 

$

—

 

 

$

55

 
v3.24.2.u1
Summary of Significant Accounting Policies (Narrative) (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
USD ($)
a
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
a
Jun. 30, 2023
USD ($)
Mar. 31, 2024
USD ($)
Summary Of Significant Accounting Policies [Line Items]          
Gain loss on disposition of assets $ (15) $ 41 $ (16) $ 41  
Devon Energy Corporation [Member]          
Summary Of Significant Accounting Policies [Line Items]          
Voting interest in the joint venture legal entity 30.00%   30.00%    
Devon Energy Corporation [Member] | Waterbridge          
Summary Of Significant Accounting Policies [Line Items]          
Voting interest in the joint venture legal entity 70.00%   70.00%    
Water JV [Member]          
Summary Of Significant Accounting Policies [Line Items]          
Gain loss on disposition of assets   $ 64      
WPX and Howard Energy Partners [Member]          
Summary Of Significant Accounting Policies [Line Items]          
Voting interest in the joint venture legal entity 50.00%   50.00%    
Catalyst [Member]          
Summary Of Significant Accounting Policies [Line Items]          
Area of land | a 50,000   50,000    
Fervo [Member]          
Summary Of Significant Accounting Policies [Line Items]          
Investment         $ 100
Commitment amount funded     $ 55    
Committed to making additional investments $ 45   $ 45    
v3.24.2.u1
Summary of Significant Accounting Policies - (Schedule of Components of Investments) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 704 $ 666
Catalyst [Member]    
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 291 311
Percentage Of Interest In Investments 50.00%  
Water JV [Member]    
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 218 216
Percentage Of Interest In Investments 30.00%  
Matterhorn [Member]    
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 90 90
Percentage Of Interest In Investments 12.50%  
Fervo [Member]    
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 56 0
Percentage Of Interest In Investments 12.00%  
Other [Member]    
Summary Of Significant Accounting Policies [Line Items]    
Total Investments $ 49 $ 49
v3.24.2.u1
Summary of Significant Accounting Policies (Schedule of Revenue from Contracts with Customers) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers $ 3,894 $ 3,530 $ 7,635 $ 7,289
Oil, Gas and NGL Sales [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 2,796 2,493 5,425 5,172
Oil, Gas and NGL Sales [Member] | Oil [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 2,413 2,106 4,602 4,249
Oil, Gas and NGL Sales [Member] | Gas [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 57 122 185 335
Oil, Gas and NGL Sales [Member] | NGL [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 326 265 638 588
Marketing and Midstream Revenues [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 1,098 1,037 2,210 2,117
Marketing and Midstream Revenues [Member] | Oil [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 801 735 1,608 1,465
Marketing and Midstream Revenues [Member] | Gas [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers 100 123 221 275
Marketing and Midstream Revenues [Member] | NGL [Member]        
Disaggregation Of Revenue [Line Items]        
Total revenues from contracts with customers $ 197 $ 179 $ 381 $ 377
v3.24.2.u1
Acquisition and Divestitures (Narrative) (Details)
shares in Millions, $ in Millions
 1 Months Ended 3 Months Ended 6 Months Ended
Jul. 31, 2024
USD ($)
shares
Mar. 31, 2023
USD ($)
Jun. 30, 2024
USD ($)
$ / MMBTU
$ / bbl
shares
Dec. 31, 2023
shares
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Potential additional contingent earnout payment     $ 65  
Common stock, shares issued (in shares) | shares     628 636
Other Current Assets [Member]        
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Contingent earnout payments     $ 20  
Barnett Shale [Member]        
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Contingent earnout payments   $ 65 $ 20  
Henry Hub gas price for contingent earnout payment upside | $ / MMBTU     2.75  
WTI oil price for contingent earnout payment upside | $ / bbl     50  
Contingent earnout payment period     The contingent payment period commenced on January 1, 2021 and has a term of four years.  
Williston Acquisition [Member]        
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Cash paid related to acquisition $ 3,250      
Williston Acquisition [Member] | Common Stock [Member]        
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Common stock, shares issued (in shares) | shares 37      
Non Core Assets [Member]        
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations And Disposition [Line Items]        
Contingent earnout payments   $ 4    
v3.24.2.u1
Derivative Financial Instruments (Narrative) (Details)
$ in Millions
Jun. 30, 2024
USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Cash collateral posted $ 0
v3.24.2.u1
Derivative Financial Instruments (Schedule Of Open Oil Derivative Positions) (Details)
 6 Months Ended
Jun. 30, 2024
$ / bbl
bbl
NYMEX West Texas Intermediate Price Collars Oil Q1 Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 5,992
Weighted Average Floor Price 70
Weighted Average Ceiling Price 77.97
Midland Sweet Q1 Q4 2026 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 18,000
Weighted Average Differential To WTI Price 1.21
Midland Sweet Q1-Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 63,000
Weighted Average Differential To WTI Price 1
Nymex west texas intermediate price collar soil Q3 Q4 2024 [member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 83,000
Weighted Average Floor Price 67.8
Weighted Average Ceiling Price 85.04
Nymex West Texas Intermediate Price Swaps Oil Q1 Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 4,468
Weighted Average Price Swap 72.83
Nymex Westtexas Intermediate Price Swaps Oil Q3 Q4 2024  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 28,000
Weighted Average Price Swap 78.97
Midland sweet Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 69,500
Weighted Average Differential To WTI Price 1.17
Nymexroll Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 26,000
Weighted Average Differential To WTI Price 0.82
v3.24.2.u1
Derivative Financial Instruments (Schedule Of Open Natural Gas Derivative Positions) (Details)
 6 Months Ended
Jun. 30, 2024
MMBTU
$ / MMBTU
$ / Customer
FercHenry Hub Price Swaps Natural Gas Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 279,000
Weighted Average Price Swap | $ / MMBTU 3.18
FercHenry Hub Prices Collars Natural Gas Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 15,000
Weighted Average Floor Price | $ / MMBTU 3
Weighted Average Ceiling Price | $ / MMBTU 3.65
FERC Henry Hub Price Swaps Natural Gas Q1-Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 200,537
Weighted Average Price Swap | $ / MMBTU 3.34
FERC Henry Hub Price Swaps Natural Gas Q1-Q4 2026 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 80,000
Weighted Average Price Swap | $ / MMBTU 3.9
FERC Henry Hub Price Collars Natural Gas Q1-Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 15,000
Weighted Average Floor Price | $ / Customer 3
Weighted Average Ceiling Price | $ / Customer 3.65
Elpaso Natural Gas Basis Swap Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 10,000
Weighted Average Differential To Henry Hub | $ / MMBTU (1)
Houston Ship Channel Natural Gas Basis Swaps Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 160,000
Weighted Average Differential To Henry Hub | $ / MMBTU (0.28)
Waha Natural Gas Basis Swaps Q3 Q4 2024 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 80,000
Weighted Average Differential To Henry Hub | $ / MMBTU (0.74)
Houston Ship Channel Natural Gas Basis Swap Q1-Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 40,000
Weighted Average Differential To Henry Hub | $ / MMBTU (0.35)
WAHA Natural Gas Basis Swaps Q1 Q4 2025 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 10,000
Weighted Average Differential To Henry Hub | $ / MMBTU (0.63)
Houston Ship Channel Natural Gas Basis Swap Q1-Q4 2026 [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (MMBtu/d) | MMBTU 25,000
Weighted Average Differential To Henry Hub | $ / MMBTU (0.25)
v3.24.2.u1
Derivative Financial Instruments (Schedule Of Open NGL Derivative Positions) (Details)
 6 Months Ended
Jun. 30, 2024
$ / bbl
bbl
Q3 Q4 2024 Natural Gasoline [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 3,000
Weighted Average Price Swap | $ / bbl 69.11
Q3 Q4 2024 Normal Butane [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 3,350
Weighted Average Price Swap | $ / bbl 37.58
Q3 Q4 Propane [Member]  
Derivatives, Fair Value [Line Items]  
Volume Per Day (Bbls/d) | bbl 5,250
Weighted Average Price Swap | $ / bbl 33.01
v3.24.2.u1
Derivative Financial Instruments (Schedule Of Derivative Financial Instruments Included In The Consolidated Balance Sheets) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Derivatives Fair Value [Line Items]    
Gross Fair Value $ 0 $ 199
Amounts Netted 0 0
Net Fair Value 0 199
Short-term Derivative Asset [Member]    
Derivatives Fair Value [Line Items]    
Gross Fair Value 44 213
Amounts Netted (15) (5)
Net Fair Value 29 208
Long-term Derivative Asset [Member]    
Derivatives Fair Value [Line Items]    
Gross Fair Value 5 0
Amounts Netted (3) 0
Net Fair Value 2 0
Short-term Derivative Liability [Member]    
Derivatives Fair Value [Line Items]    
Gross Fair Value (39) (7)
Amounts Netted 15 5
Net Fair Value (24) (2)
Long-term Derivative Liability [Member]    
Derivatives Fair Value [Line Items]    
Gross Fair Value (10) (7)
Amounts Netted 3 0
Net Fair Value $ (7) $ (7)
v3.24.2.u1
Share-Based Compensation (Additional Information) (Details)
 6 Months Ended
Jun. 30, 2024
Performance Shares [Member]  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Share-based Compensation Arrangement By Share-Based Payment Award Award Vesting Rights Percentage 100.00%
v3.24.2.u1
Share-Based Compensation (Schedule Of Share-Based Compensation Expense Included In The Consolidated Statements Of Comprehensive Earnings) (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]    
Share-based compensation expense $ 51 $ 48
Related income tax benefit 18 27
G&A [Member]    
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]    
Share-based compensation expense 50 48
Exploration Expenses [Member]    
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]    
Share-based compensation expense $ 1 $ 0
v3.24.2.u1
Share-Based Compensation (Summary Of Unvested Restricted Stock Awards, Performance-Based Restricted Stock Awards And Performance Share Units) (Details)
shares in Thousands
 6 Months Ended
Jun. 30, 2024
$ / shares
shares
Restricted Stock Awards [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Unvested at December 31, 2023 | shares 4,033
Granted, awards and units | shares 1,883
Vested, awards and units | shares (1,789)
Forfeited, awards and units | shares (58)
Unvested at March 31, 2024 | shares 4,069
Unvested weighted average grant-date fair value at December 31, 2023 | $ / shares $ 42.1
Granted, weighted average grant-date fair value | $ / shares 42.46
Vested, weighted average grant-date fair value | $ / shares 34.84
Forfeited, weighted average grant-date fair value | $ / shares 45.04
Unvested weighted average grant-date fair value at March 31, 2024 | $ / shares $ 45.42
Performance Share Units [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Unvested at December 31, 2023 | shares 1,547
Granted, awards and units | shares 858
Vested, awards and units | shares (1,226)
Forfeited, awards and units | shares 0
Unvested at March 31, 2024 | shares 1,179 [1]
Unvested weighted average grant-date fair value at December 31, 2023 | $ / shares $ 43.25
Granted, weighted average grant-date fair value | $ / shares 40.41
Vested, weighted average grant-date fair value | $ / shares 18.08
Forfeited, weighted average grant-date fair value | $ / shares 0
Unvested weighted average grant-date fair value at March 31, 2024 | $ / shares $ 67.38
[1] A maximum of 2.4 million common shares could be awarded based upon Devon’s final TSR ranking.
v3.24.2.u1
Share-Based Compensation (Summary Of Unvested Restricted Stock Awards, Performance-Based Restricted Stock Awards And Performance Share Units) (Parenthetical) (Details)
shares in Millions
 6 Months Ended
Jun. 30, 2024
shares
Performance Share Units [Member] | Maximum [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Maximum common shares that could be awarded based upon total shareholder return 2.4
v3.24.2.u1
Share-Based Compensation (Summary Of Performance Share Units Grant-Date Fair Values And Their Related Assumptions) (Details) - Including Performance Factor Shares Granted [Member]
 6 Months Ended
Jun. 30, 2024
$ / shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Grant-date fair value $ 56.99
Risk-free interest rate 4.28%
Volatility factor 46.03%
Contractual term (years) 2 years 10 months 20 days
v3.24.2.u1
Share-Based Compensation (Summary of Unrecognized Compensation Cost And Weighted Average Period For Recognition) (Details)
 6 Months Ended
Jun. 30, 2024
USD ($)
Restricted Stock Awards [Member]  
Unrecognized Compensation And Weighted Average Recognition [Line Items]  
Unrecognized compensation cost $ 128
Weighted average period for recognition (years) 2 years 9 months 18 days
Performance Share Units [Member]  
Unrecognized Compensation And Weighted Average Recognition [Line Items]  
Unrecognized compensation cost $ 33
Weighted average period for recognition (years) 1 year 9 months 18 days
v3.24.2.u1
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Tax Disclosure [Abstract]        
Earnings before income taxes $ 1,040 $ 897 $ 1,808 $ 2,121
Current income tax expense 146 80 265 221
Deferred income tax expense 39 119 79 199
Total income tax expense $ 185 $ 199 $ 344 $ 420
v3.24.2.u1
Income Taxes (Schedule Of Effective Income Tax Rate Reconciliation) (Details)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Tax Disclosure [Abstract]        
U.S. statutory income tax rate 21.00% 21.00% 21.00% 21.00%
State income taxes 1.00% 1.00% 1.00% 1.00%
Income tax credits (4.00%) 0.00% (3.00%) (2.00%)
Effective income tax rate 18.00% 22.00% 19.00% 20.00%
v3.24.2.u1
Net Earnings Per Share (Net Earnings (Loss) Per Share Computations from Continuing Operations) (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Earnings Per Share [Abstract]        
Net earnings available to common shareholders - basic $ 844 $ 687 $ 1,440 $ 1,674
Net earnings available to common shareholders - diluted $ 844 $ 687 $ 1,440 $ 1,674
Common shares:        
Average common shares outstanding - basic 626 638 628 641
Dilutive effect of potential common shares issuable 2 1 2 2
Average common shares outstanding - diluted 628 639 630 643
Net earnings per share available to common shareholders:        
Basic $ 1.35 $ 1.08 $ 2.29 $ 2.61
Diluted $ 1.34 $ 1.07 $ 2.29 $ 2.6
v3.24.2.u1
Other Comprehensive Earnings (Loss) (Components Of Other Comprehensive Earnings (Loss)) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Pension and postretirement benefit plans:          
Beginning accumulated pension and postretirement benefits $ (123) $ (115) $ (124) $ (116)  
Recognition of net actuarial loss and prior service cost in earnings [1] 2 2 3 3  
Income tax expense (1) (1) (1) (1)  
Accumulated other comprehensive loss, net of tax $ (122) $ (114) $ (122) $ (114) $ (124)
[1] Recognition of net actuarial loss and prior service cost are included in the computation of net periodic benefit cost, which is a component of other, net in the accompanying consolidated statements of comprehensive earnings.
v3.24.2.u1
Supplemental Information to Statements of Cash Flows (Schedule Of Supplemental Information To Statements Of Cash Flows) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Changes in assets and liabilities, net:        
Accounts receivable $ 81 $ 98 $ (15) $ 248
Other current assets (84) (12) (107) 4
Other long-term assets (16) (13) 33 18
Accounts payable and revenues and royalties payable 42 (65) 185 (230)
Other current liabilities (224) (138) (108) (141)
Other long-term liabilities 0 (10) (19) (27)
Total (201) (140) (31) (128)
Supplementary cash flow data:        
Interest paid 112 88 175 189
Income taxes paid $ 388 $ 259 $ 384 $ 259
v3.24.2.u1
Supplemental Information to Statements of Cash Flows (Narrative) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Supplemental Cash Flow [Line Items]    
Other property and equipment $ 2,386 $ 2,289
Water JV [Member]    
Supplemental Cash Flow [Line Items]    
Other property and equipment $ 150  
v3.24.2.u1
Accounts Receivable (Schedule Of Components Of Accounts Receivable) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Joint interest billings $ 253 $ 251
Other 32 22
Gross accounts receivable 1,596 1,580
Allowance for doubtful accounts (7) (7)
Net accounts receivable 1,589 1,573
Oil, Gas and NGL Sales [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Gross accounts receivable 941 965
Marketing and Midstream Revenues [Member]    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Gross accounts receivable $ 370 $ 342
v3.24.2.u1
Property, Plant and Equipment (Summary of Property and Equipment, net) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Property and equipment:    
Proved $ 48,402 $ 46,659
Unproved and properties under development 1,370 1,279
Total oil and gas 49,772 47,938
Less accumulated DD&A (31,556) (30,113)
Oil and gas property and equipment, net 18,216 17,825
Other property and equipment 2,386 2,289
Less accumulated DD&A (817) (786)
Other property and equipment, net [1] 1,569 1,503
Total property and equipment, net $ 19,785 $ 19,328
[1] $159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Property, Plant and Equipment (Summary of Property and Equipment, net) (Parenthetical) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Property Plant And Equipment [Line Items]    
Other property and equipment, net [1] $ 1,569 $ 1,503
CDM [Member]    
Property Plant And Equipment [Line Items]    
Other property and equipment, net $ 159 $ 136
[1] $159 million and $136 million related to CDM in 2024 and 2023, respectively.
v3.24.2.u1
Debt And Related Expenses (Schedule Of Debt Instruments and Balances) (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Dec. 31, 2023
Debt Instrument [Line Items]    
Net premium on debentures and notes $ 49 $ 64
Debt issuance costs (30) (30)
Total debt 6,140 6,155
Less amount classified as short-term debt 475 483
Long-term debt 5,665 5,672
5.25% due September 15, 2024 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 472 $ 472
Charge on early retirement of debt, cash retirement costs 5.25% 5.25%
Debt, maturity date Sep. 15, 2024  
5.85% due December 15, 2025 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 485 $ 485
Charge on early retirement of debt, cash retirement costs 5.85% 5.85%
Debt, maturity date Dec. 15, 2025  
7.50% due September 15, 2027 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 73 $ 73
Charge on early retirement of debt, cash retirement costs 7.50% 7.50%
Debt, maturity date Sep. 15, 2027  
5.25% due October 15, 2027 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 390 $ 390
Charge on early retirement of debt, cash retirement costs 5.25% 5.25%
Debt, maturity date Oct. 15, 2027  
5.875% due June 15, 2028 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 325 $ 325
Charge on early retirement of debt, cash retirement costs 5.875% 5.875%
Debt, maturity date Jun. 15, 2028  
4.50% due January 15, 2030 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 585 $ 585
Charge on early retirement of debt, cash retirement costs 4.50% 4.50%
Debt, maturity date Jan. 15, 2030  
7.875% due September 30, 2031 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 675 $ 675
Charge on early retirement of debt, cash retirement costs 7.875% 7.875%
Debt, maturity date Sep. 30, 2031  
7.95% due April 15, 2032 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 366 $ 366
Charge on early retirement of debt, cash retirement costs 7.95% 7.95%
Debt, maturity date Apr. 15, 2032  
5.60% due July 15, 2041 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 1,250 $ 1,250
Charge on early retirement of debt, cash retirement costs 5.60% 5.60%
Debt, maturity date Jul. 15, 2041  
4.75% due May 15, 2042 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 750 $ 750
Charge on early retirement of debt, cash retirement costs 4.75% 4.75%
Debt, maturity date May 15, 2042  
5.00% due June 15, 2045 [Member]    
Debt Instrument [Line Items]    
Long-term debt, gross $ 750 $ 750
Charge on early retirement of debt, cash retirement costs 5.00% 5.00%
Debt, maturity date Jun. 15, 2045  
v3.24.2.u1
Debt And Related Expenses (Narrative) (Details)
$ in Millions
 6 Months Ended
Aug. 01, 2023
USD ($)
Jun. 30, 2024
USD ($)
Dec. 31, 2023
USD ($)
Debt Instrument [Line Items]      
Maturity date extension   In the first quarter of 2024, Devon exercised its option to extend the 2023 Senior Credit Facility maturity date from March 24, 2028 to March 24, 2029  
Senior Credit Facility [Member]      
Debt Instrument [Line Items]      
Credit facility, borrowing capacity     $ 3,000
Outstanding credit facility borrowings   $ 0  
Debt-to-capitalization ratio   0.212  
Outstanding letters of credit   $ 3  
Senior Credit Facility [Member] | Maximum [Member]      
Debt Instrument [Line Items]      
Debt-to-capitalization ratio   0.65  
8.25% due August 1, 2023 [Member] | Senior Notes [Member]      
Debt Instrument [Line Items]      
Repayments of long-term debt $ 242    
Debt interest rate, stated percentage 8.25%    
v3.24.2.u1
Debt And Related Expenses (Schedule of Net Financing Cost Components) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Debt Disclosure [Abstract]        
Interest based on debt outstanding $ 88 $ 96 $ 175 $ 189
Interest income (14) (15) (27) (32)
Other 2 (3) 4 (7)
Total net financing costs $ 76 $ 78 $ 152 $ 150
v3.24.2.u1
Leases (Schedule of Right-of-use Assets and Lease Liabilities) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Leases [Abstract]    
Right-of-use assets, finance lease $ 241 $ 246
Finance lease liabilities:    
Current lease liabilities, finance lease [1] 21 21
Long-term lease liabilities, finance lease 285 286
Total lease liabilities, finance lease [2] 306 307
Right-of-use assets, operating lease 56 21
Operating lease liabilities:    
Current lease liabilities, operating lease [1] 26 12
Long-term lease liabilities, operating lease 30 9
Total lease liabilities, operating lease [2] 56 21
Right-of-use assets 297 267
Lease liabilities:    
Current lease liabilities [1] 47 33
Long-term lease liabilities 315 295
Total lease liabilities [2] $ 362 $ 328
[1] Current lease liabilities are included in other current liabilities on the consolidated balance sheets
[2] Devon has entered into certain leases of equipment related to the exploration, development and production of oil and gas that had terms not yet commenced as of June 30, 2024 and are therefore excluded from the amounts shown above.
v3.24.2.u1
Asset Retirement Obligations (Summary of Changes in Asset Retirement Obligations) (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Asset Retirement Obligation Disclosure [Abstract]      
Asset retirement obligations as of beginning of period $ 665 $ 529  
Liabilities incurred 15 14  
Liabilities settled and divested (16) (18)  
Revision of estimated obligation 35 27  
Accretion expense on discounted obligation 18 14  
Asset retirement obligations as of end of period 717 566  
Less current portion 26 18  
Asset retirement obligations, long-term $ 691 $ 548 $ 643
v3.24.2.u1
Asset Retirement Obligations (Narrative) (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Asset Acquisition [Line Items]    
Revision of estimated obligation $ 35 $ 27
v3.24.2.u1
Stockholders' Equity (Narrative) (Details) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 6 Months Ended
Jul. 31, 2024
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Aug. 31, 2024
Stockholders Equity [Abstract]                
Dividends rate per share   $ 0.35 $ 0.44 $ 0.72 $ 0.89      
Fixed Dividend [Member]                
Stockholders Equity [Abstract]                
Dividends rate per share           $ 0.22 $ 0.2  
Subsequent Event                
Stockholders Equity [Abstract]                
Dividend payable, per share               $ 0.44
Dividend payable amount               $ 276
Dividends payable, year               2024
Subsequent Event | Fixed Dividend [Member]                
Stockholders Equity [Abstract]                
Dividend payable, per share               $ 0.22
Subsequent Event | Variable Dividend [Member]                
Stockholders Equity [Abstract]                
Dividend payable, per share               $ 0.22
Share Repurchase Program [Member] | Subsequent Event | Maximum [Member]                
Stockholders Equity [Abstract]                
Repurchase of common stock $ 5,000              
Share Repurchase Program [Member] | Subsequent Event | Minimum [Member]                
Stockholders Equity [Abstract]                
Repurchase of common stock $ 3,000              
Five Billion Dollar Share Repurchase Program Open [Member]                
Stockholders Equity [Abstract]                
Repurchase of common stock   $ 5,000       $ 5,000    
Five Billion Dollar Share Repurchase Program Open [Member] | Subsequent Event | Maximum [Member]                
Stockholders Equity [Abstract]                
Repurchase program expiration date Jun. 30, 2026              
Five Billion Dollar Share Repurchase Program Open [Member] | Subsequent Event | Minimum [Member]                
Stockholders Equity [Abstract]                
Repurchase program expiration date Dec. 31, 2024              
v3.24.2.u1
Stockholders' Equity (Summary of Purchases of Common Stock) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
5.0 Billion Dollar Share Repurchase Program Closed [Member]                  
Stockholders Equity [Line Items]                  
Total Number of Shares Purchased 5,188 4,428 5,465 3,795 10,090 9,616 19,350 11,708 13,983
Dollar Value of Shares Purchased $ 256 $ 193 $ 247 $ 200 $ 545 $ 449 $ 992 $ 718 $ 589
Average Price Paid per Share $ 49.4 $ 43.47 $ 45.17 $ 52.7 $ 53.96 $ 46.67 $ 51.23 $ 61.36 $ 42.15
Share Repurchase Program Open [Member]                  
Stockholders Equity [Line Items]                  
Total Number of Shares Purchased           54,657      
Dollar Value of Shares Purchased           $ 2,748      
Average Price Paid per Share           $ 50.28      
v3.24.2.u1
Stockholders' Equity (Summary Of Dividends Paid On Common Stock) (Details) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Stockholders Equity [Line Items]            
Dividends amount $ 223 $ 299 $ 462 $ 596    
Dividends rate per share $ 0.35 $ 0.44 $ 0.72 $ 0.89    
Total year to date $ 522   $ 1,058   $ 522 $ 1,058
Fixed Dividend [Member]            
Stockholders Equity [Line Items]            
Dividends amount 138 $ 143 128 $ 133    
Dividends rate per share         $ 0.22 $ 0.2
Total year to date 281   261   $ 281 $ 261
Variable Dividend [Member]            
Stockholders Equity [Line Items]            
Dividends amount 85 $ 156 334 $ 463    
Total year to date $ 241   $ 797   $ 241 $ 797
v3.24.2.u1
Commitments and Contingencies (Narrative) (Details)
$ in Millions
Jun. 30, 2024
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Other accrued liabilities current $ 35
v3.24.2.u1
Fair Value Measurements (Schedule Of Carrying Value And Fair Value Measurement Information For Financial Assets And Liabilities) (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Carrying Amount [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents $ 487 $ 306
Debt (6,140) (6,155)
Contingent earnout payments 20 55
Carrying Amount [Member] | Commodity Derivatives [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives, assets 31 208
Derivatives, liabilities (31) (9)
Total Fair Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 487 306
Debt (5,932) (6,090)
Contingent earnout payments 20 55
Total Fair Value [Member] | Commodity Derivatives [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives, assets 31 208
Derivatives, liabilities (31) (9)
Level 1 Inputs [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 487 306
Level 2 Inputs [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt (5,932) (6,090)
Level 2 Inputs [Member] | Commodity Derivatives [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivatives, assets 31 208
Derivatives, liabilities (31) (9)
Level 3 Inputs [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent earnout payments $ 20 $ 55