Devon Energy Increases Cash Dividend 33 Percent, Announces $1.0 Billion Share-Repurchase Program and Progresses Debt Reduction Plan

March 7, 2018

OKLAHOMA CITY–(BUSINESS WIRE)–Devon Energy Corp. (NYSE: DVN) announced today that its board of
directors approved a 33 percent increase in its quarterly common stock
dividend beginning in the second quarter of 2018. The new quarterly
dividend rate will be $0.08 per share, compared to the prior quarterly
dividend of $0.06 per share. The increased dividend is payable on June
29, 2018 to shareholders of record as of the close of business on June
15, 2018.

Devon also announced today that its board of directors authorized a $1.0
billion share-repurchase program of the company’s common stock over the
next year. All purchases will be made in accordance with applicable laws
from time to time in open market or private transactions, depending on
market conditions, and may be discontinued at any time. At the current
share price, this program covers approximately 6 percent of the
company’s outstanding common stock.

“In conjunction with the sale of our Johnson County assets, today’s
announcement to increase the cash dividend and initiate a
share-repurchase program is consistent with our strategic plan and
demonstrates our firm commitment to enhance shareholder value,” said
Dave Hager, president and CEO. “With our disciplined multi-year plan, we
expect to generate substantial amounts of excess cash flow at prices
above our base planning scenario of $50 WTI pricing and through
additional portfolio simplification efforts. We are confident in our
ability to execute on these initiatives and, as market conditions
permit, we will continue to pursue opportunities to further increase
cash returns to our shareholders.”

In addition to these actions to increase cash returns to shareholders,
the company is committed to reducing debt associated with its upstream
business. The company separately announced a tender offer to purchase
certain of its debt securities up to a maximum repurchase amount of $1.0
billion.

About Devon Energy

Devon Energy is a leading independent energy company engaged in finding
and producing oil and natural gas. Based in Oklahoma City and included
in the S&P 500, Devon operates in several of the most prolific oil and
natural gas plays in the U.S. and Canada with an emphasis on achieving
strong returns and capital-efficient cash flow growth. For more
information, please visit www.devonenergy.com.

Forward-Looking Statements

This press release contains forward-looking statements within the
meaning of the federal securities laws. Such statements are subject to a
number of assumptions, risks and uncertainties, many of which are beyond
the control of the company. These risks include, but are not limited to:
changes in market conditions or other circumstances that could
negatively impact the company’s ability to maintain the increased
dividend rate or successfully complete the stock and debt repurchase
programs; volatility in commodity prices, less-than-anticipated asset
sale proceeds and other factors that may adversely affect our liquidity
and cash available for the uses discussed in this press release; and the
other risks identified in the company’s Annual Report on Form 10-K and
its other filings with the Securities and Exchange Commission. 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 press release are made as of the date
hereof, and the company does not undertake any obligation to update the
forward-looking statements as a result of new information, future events
or otherwise.