The Thunder and free agent wing Micah Peavy have agreed to a two-way contract, according to reports from Shams Charania of ESPN and Michael Scotto of HoopsHype (Twitter links).

Oklahoma City’s three two-way slots are currently held by Brooks Barnhizer, Josh Dix and Otega Oweh, and one of those players will have to be waived to make roster space for Peavy. For what it’s worth, 2026 second-round pick Oweh suffered a season-ending Achilles rupture during the preseason.

The 40th overall pick in the 2025 draft, Peavy spent his rookie season on a standard contract with the Pelicans. New Orleans traded him to Memphis over the summer and he was waived by the Grizzlies, who were facing a roster crunch, on Monday.

More to come…