Evapotranspiration (ET) is one of the biggest data gaps in water management due to limited ET measurements, and further, spatial variability in ET is difficult to capture. Satellite-based ET estimation has great potential for water resources planning as it allows estimation of agricultural water use at field, landscape, and watershed scales. However, uncertainties with satellite data derived ET are a major concern. This study evaluates hourly satellite-based ET from 2001–2010 for the growing season (May–October) under irrigated and dryland conditions for both tall and short crops. The evaluation was conducted using observed ET from four large weighing lysimeters at the United States Department of Agriculture Agricultural Research Service (USDA-ARS) Conservation and Production Research Laboratory in Bushland, Texas. Hourly ET from satellite data were derived using the Mapping Evapotranspiration at High Resolution with Internalized Calibration (METRIC) model. Performance statistics showed that satellite-based hourly estimates compared to lysimeter measurements provided good performance with an root-mean-square error(RMSE) of 0.14 mm, Nash–Sutcliffe efficiency (NSE) of 0.57, and R2 of 0.62 for ET for dryland crops, and RMSE of 0.16, NSE of 0.63, and R2 of 0.65 for irrigated crops. METRIC provided accurate hourly ET estimates that may be useful for irrigation scheduling and other water resources management purposes based on the hourly assessment.