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DEVON ENERGY ANNOUNCES PURCHASE OF ADDITIONAL SAN JUAN BASIN PROPERTIES FOR $54 MILLION

 OKLAHOMA CITY, June 14 /PRNewswire/ -- Devon Energy Corp. (AMEX: DVN) today announced that it has entered into an agreement to purchase certain natural gas properties, located in northwestern New Mexico, from FINA for $54 million. The purchase will boost the company's proven natural gas reserves by 75 billion cubic feet (Bcf), or approximately 25 percent, as of June 1, 1993. The purchase price is subject to certain adjustments. Devon expects to use cash and bank debt to fund the purchase. Closing, scheduled for June 28, is subject to certain conditions contained in the contract.
 Of the $54 million total purchase price, $49 million is attributable to the proven natural gas reserves associated with 64 producing wells and related production facilities. The remaining $5 million is associated with "infill" drilling and development rights. The company estimates these rights to have probable reserves of 35 to 50 Bcf. The "infill" reserves are limited to probable classification because regulatory approval must be obtained prior to their development.
 All of the interests and assets purchased are associated with the gas-producing Fruitland coal formation found some 3,000 feet below the surface in the north central portion of the San Juan Basin of northwest New Mexico. Gas production from the 64 producing wells qualifies for Section 29 federal income tax credits.
 Of the 64 producing wells, 59 are expected to be integrated into the 32-9 Fruitland Coal Participating Area (32-9 Unit). Devon's gas reserve estimates for the acquired interests assume the integration of 59 wells upon approval by the U.S. Bureau of land Management (the BLM). Should the BLM fail to approve this action, Devon's reserve estimates could be changed either up or down. Devon is acquiring an approximate 50 percent working interest in the remaining five wells on leases located immediately adjacent to the Unit. These wells are not subject to unitization.
 ACQUISITION AN ESPECIALLY ATTRACTIVE STRATEGIC FIT
 J. Larry Nichols, president and chief executive officer, said, "These interests are an excellent fit for us for several reasons. First, the 32-9 Unit is quite close to our Northeast Blanco Unit (NEBU), Devon's single largest property. This makes it easy to achieve economies of scale. For example, though we will be expanding our reserves and production substantially, we will not add any additional employees or administrative expenses. Second, this is an area that we know well from prior experience. There will be no `learning curve' that could delay future operations. Third, these additional gas reserves will build on our already strong gas position in the area, increasing our market clout."
 The 32-9 Unit, operated by Meridian Oil Production, Inc., is located approximately nine miles west-northwest of Devon's NEBU. In 1988, Devon began developing NEBU with a 100-well and 170-mile pipeline project. Gas production began in September 1990. This state-of-the-art coal seam gas project now products 245 to 255 million cubic feet of gas per day. Devon owns an approximate 19 percent revenue interest in NEBU.
 Although now largely complete, development of the 32-9 Unit began later and has proceeded slower than the development of NEBU. Production from the 32-9 Unit did not commence until March of 1992. Consequently, the 32-9 Unit has not yet reached its peak production rate. The wells of the 32-9 Unit are currently producing an aggregate 35 million cubic feet (MMcf) of gas per day. Devon expects production from the Unit to eventually increase to 65 to 70 MMcf per day. Devon will own an approximate 23 percent revenue interest in the 32-9 Unit, assuming all 59 wells are approved for integration by the BLM.
 Devon expects the acquisition to increase its depletion expense for the remainder of 1993 by approximately two cents per equivalent thousand cubic feet (EMcf) of production to 54 cents per EMcf. Conversely, the low operating cost of the acquired properties is expected to lower Devon's lifting cost per unit-of-production.
 Devon Energy Corp. is an independent energy company engaged primarily in oil and gas property acquisition, exploration and production, and oil and natural gas remarketing. The company ranks in the top 20 percent of U.S. publicly held oil and gas firms, measured by oil and gas reserves. Devon's common shares trade on the American Stock Exchange under the symbol DVN.
 For further information on Devon Energy by fax, dial 1-800-PRO-INFO, Ext. 047.
 -0- 6/14/93
 /CONTACT: Marian Moon, manager corporate communications, 405-552-4504, or Vince White, director of Investor Relations, 405-552-4505, both of Devon Energy; or Lynne Franklin 312-266-7800, or Kathy Phelan, 212-661-8030, both of the Financial Relations Board, for Devon/
 (DVN)


CO: Devon Energy Corp. ST: Oklahoma, New Mexico IN: OIL SU:

LR -- NY047 -- 1564 06/14/93 10:58 EST
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Date:Jun 14, 1993
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