Sale accelerates Ovintiv’s shift toward core Permian and Montney positions
Ovintiv Inc. has taken a decisive step in reshaping its North American portfolio, announcing the sale of substantially all its Anadarko Basin assets in Oklahoma to an undisclosed buyer for $3.0 billion in cash, a move that data from TGS Well Data Analytics shows aligns with a clear multiyear decline in Ovintiv’s Anadarko production alongside strengthening output from its Montney and Permian positions. This transaction covers roughly 360,000 net acres, nearly the company’s entire footprint in the play, and includes approximately 90,000 boe/d of production split between 27,000 bbl/d of oil, 240 MMcf/d of gas, and 23,000 bbl/d of NGLs. Although Ovintiv did not disclose the buyer, reporting from Hart Energy identifies Stone Ridge Energy, with Flywheel Energy operating the assets, as the acquiring group.TGS Well Data Analytics shows that Ovintiv’s Anadarko production plateaued near 130,000 boe/d from 2020 through 2022 before declining steadily to about 90,000 boe/d today; completion activity followed the same trajectory, with Ovintiv’s completions dropping from more than 120 wells per year in 2019 to fewer than 20 in 2025 (Figure 1). Basin‑wide activity mirrored these declines as Anadarko completions peaked near 2,000 wells per year in 2014 but fell to fewer than 300 by 2025 and several operators show production decline (Figure 2). This is a profile of a maturing, gas‑weighted basin with shrinking Tier 1 drilling inventory and economics increasingly constrained by prolonged low natural gas prices. Against that backdrop, Stone Ridge and Flywheel stand apart because their model is built around Digital Flare Mitigation (DFM) technology, systems that capture gas that would otherwise be flared and convert it into electricity to power modular data centers and bitcoin mining. Rather than being disadvantaged by gas‑heavy, low‑margin production, they turn it into a competitive advantage, allowing them to thrive in basins where conventional operators struggle. The Ovintiv package (360,000 net acres, more than 900 drilling locations, and a production stream dominated by natural gas) adds to Stone Ridge and Flywheel’s already large Anadarko position, which includes approximately 300,000 net acres acquired from ConocoPhillips in 2025. This transaction effectively gives them control of over 600,000 net acres in the basin, creating one of the region’s largest integrated gas-oriented operating platforms.
For Ovintiv, the sale reflects a deliberate reallocation of capital toward higher return inventory in the Permian and Montney. Earlier this month, the company completed its $2.7 billion acquisition of NuVista Energy, adding 140,000 net acres in the Alberta Montney, 70% of which is undeveloped, and approximately 100,000 boe/d of production. Leadership has consistently emphasized the superior economics and inventory depth of the Montney and Permian relative to the Anadarko, and CEO Brendan McCracken noted that the Anadarko divestiture “marks a significant milestone by focusing our portfolio, delivering on our debt target, and unlocking increased returns to our shareholders.” Ovintiv intends to use the $3 billion in proceeds to reduce net debt below $4 billion, a threshold tied to enhancing shareholder return capacity. TGS datasets highlight long term declines in Anadarko activity and production, providing important context for Ovintiv’s decision to redirect capital.
In summary, the deal represents a clean split in strategic priorities supported by TGS data: Ovintiv is moving capital out of a basin with declining economics and limited remaining upside, while Stone Ridge and Flywheel are expanding into a gas rich region tailormade for their DFM driven operating model. The Anadarko Basin may no longer fit Ovintiv’s growth ambitions, but for a buyer optimized for gas heavy, power generation enabled development, it represents an opportunity to build scale where others are pulling back.
Figure 1. Ovintiv’s Anadarko assets showing decline in production and activity
Figure 2. Top Anadarko Basin Operators showing declines in production and activity
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