With LNG exports seen driving U.S. natural gas demand growth over the coming years, Devon Energy Corp. is positioning itself to capitalize on premium global gas prices, management said Wednesday. 


In a call to discuss the Lower 48 producer’s third quarter earnings, CEO Rick Muncrief highlighted a partnership with Delfin Midstream Inc. that would see Devon take up to 2 million metric tons/year (mmty) of long-term liquefaction capacity and a potential equity stake in at least one floating liquefied natural gas (FLNG) vessel off the coast of Louisiana.

The arrangement would provide Devon with up to 150 MMBtu/d “of direct exposure to international gas pricing” in the lucrative European and Asian markets, Muncrief said.

“However, I want to be clear, this is a capital light...