April Investor Presentation

NYSE: DVN
devonenergy.com
Investor Presentation
April 2018

2| Investor Presentation
Investor Contacts & Notices
Investor Relations Contacts
Scott Coody, Vice President, Investor Relations
(405) 552-4735 / scott.coody@dvn.com
Chris Carr, Supervisor, Investor Relations
(405) 228-2496 / chris.carr@dvn.com
Forward-Looking Statements
This presentation includes "forward-looking statements" as defined by the Securities and Exchange Commission (the “SEC”). Such statements are subject to a variety of
risks and uncertainties that could cause actual results or developments to differ materially from those projected in the forward-looking statements. Please refer to the
slide entitled “Forward-Looking Statements” included in this presentation for other important information regarding such statements.
Use of Non-GAAP Information
This presentation may include non-GAAP financial measures. Such non-GAAP measures are not alternatives to GAAP measures, and you should not consider these non-
GAAP measures in isolation or as a substitute for analysis of our results as reported under GAAP. For additional disclosure regarding such non-GAAP measures, including
reconciliations to their most directly comparable GAAP measure, please refer to Devon’s most recent earnings release at www.devonenergy.com.
Cautionary Note to Investors
The SEC permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable and possible reserves that meet the SEC's definitions for such
terms, and price and cost sensitivities for such reserves, and prohibits disclosure of resources that do not constitute such reserves. This presentation may contain certain
terms, such as resource potential, risked or unrisked resource, potential locations, risked or unrisked locations, exploration target size and other similar terms. These
estimates are by their nature more speculative than estimates of proved, probable and possible reserves and accordingly are subject to substantially greater risk of being
actually realized. The SEC guidelines strictly prohibit us from including these estimates in filings with the SEC. Investors are urged to consider closely the disclosure in our
Form 10-K, available at www.devonenergy.com. You can also obtain this form from the SEC by calling 1-800-SEC-0330 or from the SEC’s website at www.sec.gov.

Devon’s Investment Thesis
DELAWARE & STACK
POTENTIAL LOCATIONS>30,000
Multi-decade growth platform
Delaware & STACK focused
Expanding high-margin production
Disciplined capital allocation
Significant financial strength

Devon’s 2020 Vision
 Deliver >25% oil production CAGR in Delaware & STACK
 $1.0 billion of assets sold over last year
 Attain high investment-grade credit rating
 Sustainably increase dividend (33% increase in 2018)
Focus on capital efficiency
Portfolio simplification
Improve financial strength
Return cash to shareholders
TOP OBJECTIVE: OPTIMIZE RETURNS & DELIVER CAPITAL-EFFICIENT, CASH-FLOW GROWTH
 $1 billion share repurchase program underway
 Target net debt to EBITDA of 1.0x to 1.5x
 Reduce per-unit cash costs by ~15%
 Further high-grade portfolio (>$5 billion of potential asset sales)
 Management incentives aligned with returns
 Generate free cash flow above $50 WTI

2020 Vision To Drive Significant Cash Flow Growth
114
100
125
150
175
200
2017 2018e 2019e 2020e
$-
$6
$12
$18
2017 2018e 2019e 2020e
G&A
Op. Cost
Interest
Cost savings to expand margins
Upstream Per-Unit Cash Cost ($/BOE)
Growing higher-value production
U.S. Oil Production (MBOD)
MID-TEENS CAGR
DRIVEN BY >25% CAGR IN
DELAWARE & STACK
~15% COST SAVINGS
2017 2018e 2019e 2020e
$2.2
CAGR
>15%
Driving upstream cash flow expansion
$ Billions ($50 WTI & $3 HH)
Significant upside to higher prices
At $60 WTI Through 2020
CUMULATIVE FREE CASH FLOW
2.5Billion

2018 Capital & Production Outlook
DEL AWARE & STACK
>35% Increase$2.2-2.4 Billion
2 0 1 8 e E & P C A P I TA L
OPTIMIZED
FOR RETURNS
90% DEVOTED TO
U.S. RESOURCE PL AYS
$50 WTI
S E L F F U N D E D AT
(2017 VS 2018)
OIL
GROWTH
FOCUSED
DEVELOPMENT
PROGRAM
$
NO PL ANS TO INCREASE
ACTIVIT Y LEVELS

Shareholder-Friendly Initiatives
$1 billion share
repurchase program
initiated in Q1 2018
Return cash to shareholders
33% increase in
quarterly cash
dividend
$1 billion debt
reduction plan
underway

Operational Excellence
Maximize base production
 Minimize controllable downtime
 Enhance well productivity
 Leverage midstream operations
 Control operating costs
Optimize capital program
 Disciplined project execution
 Perform premier technical work
 Focus on development drilling
 Increase capital efficiency
Capture
FULL VALUE
Improve
RETURNS

Operational Excellence: Multi-Zone Strategy
 Multi-zone development strategy underway
 >10 multi-zone projects scheduled in 2018
 Initial results encouraging
— $1 million savings per well at Anaconda project
— 30% drilling efficiencies achieved at Showboat
— Initial Coyote well 24-hr IP: 8,200 BOED
 Massive technology upside
For additional information see our Q4 operations report.
>40%NPV UPLIFT
PER SECTION
MULTI-ZONE
DEVELOPMENT

Innovation Momentum - Technology Projects In Flight
Improved 3D seismic
interpretation
High-graded location selection
Optimized landing zones
Well productivity predictions
Depletion analysis
Geospatial optimization
Cyber-geosteering
Flat, in-zone wells
Fiber-optic sensing
Prolonged drill-bit life
Coiled-tubing drill-outs
Efficient flowbacks
Cutting-edge frac modeling
Accounting process
automation
World-class partnerships in
digital innovation platforms
Enterprise dashboards for
information
Accessible mobile
applications across all
aspects of the business
Water-treatment options
Frac fluid chemistry
Data acquisition and
management systems
Leak detection in piping
systems
Water transfer and storage
safety
Predictive pump failures
Field-issue prioritization
Optimized compressors
Production monitoring
Flood optimization
Inter-well communication
(data analytics)
Gas lift for EOR
Targeting hundreds of millions
in value creation annually
S U B S U R F A C E
D R I L L I N G &
C O M P L E T I O N S
P R O D U C T I O N
O P E R A T I O N S
W A T E R
M A N A G E M E N T C O R P O R A T E

Delaware Basin – Franchise Asset
World-class oil opportunity
Up to 15 target intervals
Accelerating development activity
Future Projects (Timing TBD)
Current Developments
Core Development Area
POTATO BASIN
TODD
THISTLE/GAUCHO
COTTON DRAW
RATTLESNAKE
Lusitano
Drilling
Boomslang
Flowing Back
Seawolf
Drilling
Medusa
Drilling
Anaconda
10 Wells Online
Spud Muffin
Flagler
Cobra
Tomb Raider
Eddy
Loving
Lea
Fighting Okra
2018 Spud
Snapping
2018 Spud
Van Doo Dah

Delaware Basin – Multi-Zone Projects Ramping Up
THISTLE/GAUCHO
Lea
Eddy
Boomslang
Flowing Back (11 wells)
Anaconda
10 Wells Online
Boomslang Project
11 wells across 3 landing zones
LEONARD
A
B
C
BONE
SPRING
1ST
2ND
Initial
Development
(11-Well Program)
Future
Potential
 Anaconda project online
— Initial multi-zone project
— Achieved savings of $1 MM per well
— 30-day rates: ~1,600 BOED per well
 Initial Boomslang wells flowing back
— Record drilling time achieved
— 15% drilling improvement vs. Anaconda
— Peak rates expected in Q2

Delaware Basin – Most Active Asset In 2018
~50%
$725 MM
Leonard
Bone Spring
Wolfcamp
Significant increase in activity
2018 E&P Capital
Driving high-return growth
Production (MBOED)
INCREASE VS. 2017
60
Q4 2017 Q1 2018e Q2 2018e Q3 2018e Q4 2018e 2018e
Exit Rate
>85
GROWTH
>40%

Delaware Basin – Significant Resource Opportunity
Note: Graphic for illustrative purposes only and not necessarily
representative across Devon’s entire acreage position.
Basin Slope
DELAWARE
SANDS
Madera
Lower
Brushy
LEONARD
A
B
C
BONESPRING
1st
2nd
(Upper &
Lower)
3rd
WOLFCAMP
X/Y
A, B, C
& D
Risked Location Unrisked Location
1 Section 1 Section
>4,000’
OFPAY
6,500
>1.3 MM
RISKED LOCATIONS
NET EFFECTIVE ACRES

STACK – Franchise Asset
Future Projects (Timing TBD)
2018 Developments
Canadian
Kingfisher
Blaine
Caddo
Coyote
Completing (7 wells)
Showboat
Horsefly
Drilling (10 wells)
Minnie Haha
Bernhardt
2018 Spud (8 wells)
Northwoods
Centaur
Best-in-class acreage position
>600k net acres by formation
Up to 4 target intervals per unit
Accelerating development activity
Geis
2018 Spud (6 wells)
Cascade
2018 Spud (7 wells)
Kraken
2018 Spud (16 wells)

STACK – Multi-Zone Activity Underway
 Showboat drilling concluded
— 30% drilling efficiencies reached
— Average cost savings: $500k per well
— First production: Q2 2018
 Completion activity underway at Coyote
— Improved drilling times by up to 25%
— Initial well 24-hr IP: 8,200 BOED
Showboat Development
First multi-zone STACK development
MERAMEC
UPPERLOWER
WDFD
KingfisherBlaine
Coyote
Showboat (2 drilling units)

Tremendous resource potential
Activity shifting to economic core
STACK – Multi-Decade Growth Platform
Q1 2017 Q2 2017 Q3 2017 Q4 2017 2018e Exit Rate
117
111
105
95
>140
(>40% oil growth)
$7.38
$7.24
~$6.60
1H 2017 2H 2017 2018e
~10% IMPROVEMENT
>11,000 POTENTIAL LOCATIONS
5,700
RISKED LOCATIONS
>95%
WOODFORD
E&P CAPITAL
2018e
MERAMEC ACTIVITY
Improving cost structure
LOE & Transportation Expense ($/BOE)
High-returning production growth
Production (MBOED)

Significant Financial Strength
 Investment-grade credit ratings
 Disciplined hedging program
— ~50% of 2018 oil & gas volumes protected
— Attractive WCS basis swaps
 Significant investment in EnLink Midstream
 Divestitures to further enhance financial strength
PROTECTING OUR ABILITY
TO EXECUTE
INVESTMENT-
GRADE
CREDIT RATINGS
EnLink
Investment
Market Value: ~$3.2B
Excellent
Liquidity
Cash: $2.7B
Disciplined
Hedging
2018: ~50%(1)
(1) See appendix for detail of hedging positions.

Devon’s Investment Thesis
DELAWARE & STACK
POTENTIAL LOCATIONS>30,000
Delaware & STACK focused
Expanding high-margin production
Disciplined capital allocation
Significant financial strength

Thank you.
Thank you. For additional information see our
Q4 Operations Report

Forward-Looking Statements
This presentation includes "forward-looking statements" as defined by the SEC. Such statements include those concerning strategic plans, expectations and objectives
for future operations, and are often identified by use of the words “expects,” “believes,” “will,” “would,” “could,” “forecasts,” “projections,” “estimates,” “plans,”
“expectations,” “targets,” “opportunities,” “potential,” “anticipates,” “outlook” and other similar terminology. All statements, other than statements of historical facts,
included in this presentation that address activities, events or developments that the company expects, believes or anticipates will or may occur in the future are
forward-looking statements. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the company.
Statements regarding our business and operations are subject to all of the risks and uncertainties normally incident to the exploration for and development and
production of oil and gas. These risks include, but are not limited to: the volatility of oil, gas and NGL prices; uncertainties inherent in estimating oil, gas and NGL
reserves; the extent to which we are successful in acquiring and discovering additional reserves; the uncertainties, costs and risks involved in oil and gas operations;
regulatory restrictions, compliance costs and other risks relating to governmental regulation, including with respect to environmental matters; risks related to our
hedging activities; counterparty credit risks; risks relating to our indebtedness; cyberattack risks; our limited control over third parties who operate our oil and gas
properties; midstream capacity constraints and potential interruptions in production; the extent to which insurance covers any losses we may experience; competition for
leases, materials, people and capital; our ability to successfully complete mergers, acquisitions and divestitures; and any of the other risks and uncertainties identified in
our Form 10-K and our other filings with the SEC. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or
developments may differ materially from those projected in the forward-looking statements. The forward-looking statements in this presentation are made as of the
date of this presentation, even if subsequently made available by Devon on its website or otherwise. Devon does not undertake any obligation to update the forward-
looking statements as a result of new information, future events or otherwise.

NYSE: DVN
devonenergy.com
Appendix

Cash-Flow Generating Assets
30%EAGLE FORD
20%BARNETT
15%ENLINK
$2.3B
CASH FLOW
2017
35%HEAVY OIL
(1) Represents field-level cash flow before G&A and taxes.
(1)
HEAVY OIL
BARNETT
EAGLE FORD

Rockies – An Emerging Oil Growth Asset
 Premier Powder River Basin position
— Q4 net production: 19 MBOED
— ~400,000 net surface acres
 Stacked pay: >10 prospective intervals
 “Super Mario” Turner activity accelerating
 2018 plans
— $150 million of capital investment
— Spud ~20 wells
POWDER RIVER BASIN ACTIVITY
(1) All activity normalized for 10,000’ laterals.

2020 Vision: Management Compensation
Cash Flow from Operations + After-tax Interest Expense + EnLink Distributions
Average Book Equity + Average Net Debt
Internal rate of return on capital investment over 2 year period,
after burdening for G&A and corporate costs
RETURN MEASURE #1 CASH RETURN ON CAPITAL EMPLOYED
RETURN MEASURE #2 RETURN ON CAPITAL PROGRAM
20%
TA R G E T
=
15%
TA R G E T
=

Hedge Position – As of 12/31/17
OIL DERIVATIVES
SWAPS COLLARS
PERIOD
VOLUME
(MBPD)
WEIGHTED
AVG. PRICE
($/BBL)
VOLUME
(MBPD)
WEIGHTED AVG.
FLOOR PRICE
($/BBL)
WEIGHTED AVG.
CEILING PRICE
($/BBL)
FY 2018 49.6 $52 51.8 $46 $56
FY 2019 7.3 $52 6.6 $46 $56
NATURAL GAS DERIVATIVES
SWAPS COLLARS
PERIOD
VOLUME
(MMBTU/D)
WEIGHTED
AVG. PRICE
($/MMBTU)
VOLUME
(MMBTU/D)
WEIGHTED AVG.
FLOOR PRICE
($/MMBTU)
WEIGHTED AVG.
CEILING PRICE
($/MMBTU)
FY 2018 371.9 $3.06 197.5 $2.94 $3.26
FY 2019 28.5 $2.98 28.5 $2.84 $3.14

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