Encana and Mitsubishi complete partnership agreement for development of Cutbank Ridge undeveloped lands in B.C.
Encana Corporation (TSX ?& ?NYSE: ECA) has completed the announced Cutbank
Ridge Partnership agreement with Mitsubishi Corporation. On February 17,
2012, Encana announced an agreement with Mitsubishi that sees the
Japanese global integrated business enterprise invest approximately
C$2.9 billion for a 40 percent interest in the Cutbank Ridge
Partnership. The Partnership holds about 409,000 net acres of
undeveloped Montney-formation natural gas lands in the Cutbank Ridge
resource play in northeast British Columbia.
Upon closing of the transaction today and under the terms of the
agreement, Mitsubishi acquired its partnership interest for
consideration of approximately C$1.45 billion and Mitsubishi will also
invest approximately C$1.45 billion, in addition to its 40 percent of
the Partnership's future capital investment, for a commitment period
which is expected to be about five years. Encana owns 60 percent of the
Cutbank Ridge Partnership and is the managing partner and operator of
the Partnership.
The Cutbank Ridge Partnership plans to create long-term shareholder
value developing production capacity of its northeast British Columbia
land and resources and delivering abundant natural gas to markets.
Encana Corporation
Encana is a leading North American energy
producer that is focused on growing its strong portfolio of diverse
resource plays producing natural gas, oil and natural gas liquids. 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:
Encana Corporation
Investor contact:
Ryder
McRitchie
Vice-President, Investor Relations
(403) 645-2007
Lorna
Klose
Manager, Investor Relations
(403) 645-6977
Media
contact:
Alan Boras
Vice-President, Media Relations
(403)
645-4747
Carol Howes
Manager, Media Relations
(403)
645-4799
