Ovintiv boosts Permian, Montney assets with over 60 transactions in 2026
Ovintiv Inc., Denver, expects to end 2026 with an additional 41,000 net acres aimed at sustaining its long-term drilling inventory in the operator's core Permian and Montney positions.
In an Aug. 26 release, the operator said it had agreed to more than 60 transactions year-to-date as part of a 2026 ground-game acquisition program, with a total acquisition cost of about $460 million.
The acquisitions are expected to add 240 net 10,000-ft equivalent well locations to the company’s drilling inventory, including 190 base locations and 50 upside locations.
Ovintiv said the assets are being acquired at a valuation of about $11,000/net acre and $1.3-1.7 million per well location, adjusted for minimal production associated with the properties.
Extending drilling runway
In the Permian basin, Ovintiv is acquiring about 21,000 net acres and 120 well locations, including 80 base locations and 40 upside locations, in the Midland basin for about $230 million.
In the Montney, Ovintiv is acquiring about 20,000 net acres and 120 well locations, including 110 base locations and 10 upside locations, in the liquids-rich Alberta oil window for about $230 million.
Upon closing, Ovintiv will have added about 500 net 10,000-ft equivalent well locations year to date, including 260 locations from organic inventory enhancements.
The pending transactions are expected to close before yearend. All add to the operator's two-core-basin strategy focused on the Permian and Montney. Following a multi‑year restructuring effort that included the acquisition of NuVista and an Anadarko exit, Ovitniv shifted from portfolio transformation to execution, operating exclusively in the two plays.
The ground-game acquisitions are part of Ovintiv's broader effort to expand drilling inventory in its core positions. In its second-quarter results presentation, the operator said it has added about 3,200 core locations across the two basins since 2023 and estimates it holds 12-15 years of premium inventory in the Permian and 15-20 years of Montney oil, with more than 20 years of Montney natural gas.