ENCANA OIL AND GAS DIVESTS MIDSTREAM GAS ASSETS IN PRICING ENVIRONMENT THAT FAVORS LIQUIDS

摘要

Encana Oil & Gas (USA) Inc. (Encana USA), a subsidiary of Encana Corp., agreed to sell a portion of its Piceance natural gas midstream assets in Colorado to a private midstream company for approximately US$590 million. These Piceance basin midstream assets, built in the past decade, serve Encana's Mamm Creek, Orchard and South Parachute production in the area around Rifle, Colorado, about 180 miles west of Denver. They gather and transport about 500 MMcf/d, and include about 260 miles of pipeline and 90,000 horsepower of compression facilities. The sale is subject to certain regulatory approvals and customary closing conditions and is expected to close in the fourth quarter of 2011.