Encana expands natural gas transportation infrastructure to southern Alberta, opens new Strathmore CNG station

Encana Natural Gas Inc., a subsidiary of Encana Corporation (TSX, NYSE:
ECA), today opened a compressed natural gas (CNG) station in southern
Alberta. The station, located in Strathmore, about 40 kilometres east of
Calgary, demonstrates Encana′s ongoing commitment to building the
necessary infrastructure to support a transportation future driven by
natural gas.

'Encana is leading by example as we convert our own vehicle fleets to
natural gas and help build the necessary infrastructure to support its
expanded use as an alternative fuel to gasoline or diesel. Operating a
fleet of vehicles on natural gas is both an economic and environmental
advantage for our business, and we are inviting other business operators
and consumers to join us in capturing the benefits of this clean,
abundant and more affordable fuel,? said Randy Eresman, Encana′s
President & CEO.

'We believe that natural gas as a transportation fuel has huge potential
to improve the bottom line of its users. Our vast North American supply
of natural gas truly represents a domestic energy solution and a way to
further strengthen the economies of both Canada and the United States.
In fact, the natural gas industry currently employs nearly 3.4 million
people and every 1 percent increase in natural gas production creates up
to 35,000 new jobs,? said Eresman.

The Strathmore CNG station will fuel Encana′s growing fleet of natural
gas-powered vehicles, which now has 39 trucks converted to run on
natural gas in the company′s Clearwater Business Unit encompassing the
Strathmore area. Overall Encana has 128 of its approximately
1,400-vehicle North American fleet running on natural gas to date, as
well as 15 drilling rigs, and continues to further expand its conversion
program. Beginning in 2012, Encana Natural Gas expects to offer the
Strathmore station′s fueling services to other corporate fleets in the
area and to the public at a later date.

The facility follows the opening this past summer of Encana Natural Gas
CNG stations in Fort Lupton, Colorado and Sierra, British Columbia.
Encana Natural Gas also has an operational CNG station in Parachute,
Colorado, as well as in Red River Parish, Louisiana. The latter was the
first to welcome a public customer in March 2011.

Natural gas-powered cars and trucks are fueled with CNG or liquefied
natural gas (LNG) and operate similarly to gasoline-powered vehicles.
There are currently more than 960 natural gas vehicle fueling stations
in the United States fueling about 110,000 natural gas vehicles. Canada
has a network of approximately 80 public fueling stations in five
provinces.

'Today, there are more than 12 million natural gas vehicles worldwide
but less than 1 percent of them are in North America. Yet our continent
has the most to gain, economically and environmentally, from fueling its
vehicles with natural gas. We have an estimated 100-year supply of
natural gas at current consumption rates; but the resource only counts
for 25 percent of the continent′s total energy mix. The precedent has
already been set in Europe where natural gas figures far more
prominently as a transportation fuel and the technology for natural gas
vehicles is proven, reliable and safe. Other countries have already made
the switch and we′re seeing a paradigm shift in Canada and the U.S.
Infrastructure such as the Strathmore CNG station represents another
building block in this growing natural gas highway network. These
facilities are critical in responding to a growing market need given the
increasing number of commercial and municipal fleets in North America
converting to the more affordable and environmentally friendly
alternative of natural gas,? said Eric Marsh, Executive Vice-President,
Natural Gas Economy & Senior Vice-President, USA Division.

Marsh noted that natural gas vehicles have become one of the fastest
growing sectors in the alternative vehicle market, with a wide range of
passenger models from small compact cars to trucks. One such model, the
Honda Civic GX, was rated the Greenest Vehicle of 2009 by the American
Council for an Energy Efficient Economy.

'In addition to providing an abundant, affordable alternative to
gasoline and diesel, natural gas is also far less emissions-intensive.
Quite simply, using natural gas as a transportation fuel results in
cleaner air. Natural gas doesn′t contribute significantly to creating
smog because it emits 75 to 95 percent less nitrogen dioxide, 99 percent
less sulfur dioxide and 90 percent less particulate matter. This new CNG
station in Strathmore, therefore, represents far more than a fueling
facility ? it is a milestone along a road to a cleaner energy future and
greener economy,? Marsh said.

Encana Corporation

Encana is a leading North American
natural gas producer that is focused on growing its strong portfolio
of ?natural gas resources ?in key basins from northeast British Columbia
to east Texas and Louisiana. The company believes North American natural
gas is an abundant, affordable and reliable energy supply that can play
a significantly expanded role in serving the continent′s growing energy
needs while enhancing environmental performance and generating economic
growth. By partnering with employees, community organizations and other
businesses, Encana contributes to the strength and sustainability of the
communities where it operates. Encana common shares trade on the Toronto
and New York stock exchanges under the symbol ECA.

Further information on Encana Corporation is available on the company′s
website, www.encana.com
or by contacting:

Belinda de Wolde

Team Lead, Communications

(403) 645-4625