Devon Energy Corporation announced that it has entered into a definitive agreement to sell all of its non-core U.S. oil and gas properties to Linn Energy (Nasdaq: LINE, LNCO) for $2.3 billion, or approximately $1.8 billion after tax. The agreement covers Devon’s remaining assets targeted for divestiture and includes properties in the Rockies, onshore Gulf Coast, and Mid-Continent regions of the U.S.

“With the sale of our remaining non-core assets, the portfolio transformation that we announced late last year is now complete,” said John Richels, president and chief executive officer. “In a short period of time we transformed our portfolio through three significant steps: the accretive Eagle Ford entry, the innovative creation of EnLink Midstream, and the sale of our non-core properties. The sale of Canadian and U.S. non-core properties over the past few months has generated in excess of $5 billion of proceeds at an accretive multiple of nearly 7 times 2013 EBITDA.”

“Devon is now concentrated in some of the most attractive North America resource plays, with liquids expected to approach 60 percent of our production by year-end and multi-year oil production growth projected to be in excess of 20 percent,” said Richels. “In addition to creating a platform that supports competitive and high-margin growth, we remain committed to maintaining strong investment-grade credit ratings. Upon completion of this transaction we will have reduced our net debt by more than $4 billion this year.”

Devon’s production from these non-core U.S. assets is currently 275 million cubic feet of gas equivalent per day, of which approximately 80 percent is natural gas. At December 31, 2013, proved reserves associated with these properties amounted to 1.242 trillion cubic feet of gas equivalent. EBITDA accompanying these assets totaled $350 million in 2013.

The transaction is subject to customary terms and conditions and is expected to close in the third quarter of 2014, with an effective date of April 1, 2014.

Jefferies LLC acted as lead financial advisor to Devon on the transaction. Credit Suisse Securities (USA) LLC also acted as a financial advisor to Devon on the transaction. Vinson & Elkins LLP acted as legal advisor to Devon.

About Devon Energy

Devon Energy Corporation (NYSE:DVN) is an Oklahoma City-based independent energy company engaged in oil and gas exploration and production. Devon is a leading U.S.-based independent oil and gas producer and is included in the S&P 500 Index.

About LINN Energy

Thanks to the steadfast commitment of our employees, LINN Energy has grown from a handful of natural gas wells in 2003 to a top-15 independent U.S. E&P company with approximately 4.8 Tcfe of proved reserves in producing U.S. basins as of Dec. 31, 2012.

LINN became the first publicly traded independent oil and natural gas limited liability company (LLC) in January 2006. Since then, the company has consistently paid a quarterly distribution to its unitholders and delivered its 27th consecutive quarterly distribution in 2012.

LINN now has approximately 1,100 employees spread across more than two dozen locations in the United States. Headquartered in Houston, Texas, the company’s core focus areas are the Mid-Continent, Permian Basin, Hugoton Basin, Rockies, Michigan and California.