I work in the field what exactly does it mean sell of non core assets
And people being picked up by whoever buys them....
Sorry but we aren't getting much info
6 replies (most recent on top)
"Non Core" = "We do not care what happens here"
Non Core assets are: the Permian Basin of Texas, the Granite Wash formation, East Texas and the Mississippian play. http://www.reuters.com/article/us-devon-energy-divestiture-jefferies-idUSKCN0VJ1X0
Non core typically refers to those areas where the return on investment is lower than other areas but it can also include higher operating cost areas. For example, the cost of services to operate those areas.
that makes sense but what about the guys working in new mexico that had wells until recently? I feel for everyone at Devon right now. Praying for oil prices to go up so we can find work somewhere
like the last poster said, non core is non drilling. when somebody buys your area most likely they will hire you guys as well since you know the wells better than anybody.
Non core means basically non growth - those assets that can't compete for capital. So if you haven't had rigs in your neck of the woods in the past year or so, you're likely non-core. That's how we use that designation at a peer company, in general.