Under pressure to reduce debt and simplify operations, Denver-based Ovintiv Inc. is set to exit the Eagle Ford Shale in a deal with  privately held Validus Energy for $880 million.

Ovintiv production

Predecessor Encana Corp. paid $3.1 billion for the assets in 2014 in a deal with Freeport McMoRan Copper & Gold Inc. Proceeds are to be used to reduce debt, CEO Doug Suttles said, with completion of the transaction set by the end of June.

Private equity-backed Validus, also based in Denver, is sponsored by Pontem Energy Capital and other investors. According to its website, Validus is aiming “to build and operate a large-scale portfolio of producing wells and drilling locations in the Eagle Ford Shale.” CEO Skye Callantine previously helmed Permian Basin operator Felix Energy LLC, which was sold...