One of the largest independently owned oil and gas companies in the world said Sunday that it is deviding into two separate energy companies: a fully integrated oil company and a natural gas company
One of the largest independently owned oil and gas companies in the world said Sunday that it is deviding into two separate energy companies: a fully integrated oil company and a natural gas company.
EnCana Corp. will create a publicly traded integrated oil company with oilsands as the growth driver, said the company's board of directors in a news release Sunday.
This new company, which has a working name of IntegratedOilCo, will focus on the development of EnCana's Canadian oilsands assets and refinery interests in the United States, with an established natural gas and oil production base in Alberta and Saskatchewan.
The second company, with a working name of GasCo, will be aimed at growing the Canadian and U.S. unconventional gas resources in which EnCana already has a huge stake. GasCo will represent about two-thirds of the company's current production and proved reserves. The company is expected to become the second-biggest natural gas producer in North America, with
Eresman will run GasCo and the company's current chief financial officer, Brian Ferguson, will run IOCo.
EnCana will continue to exploit its existing natural gas resources in Alberta's foothills, the Western United States and in West Texas' Barnett shale. It will also develop emerging plays in Northeastern B.C.'s Horn River Basin as well as in Louisiana.