New Technology to Reduce Diesel Emissions

VANCOUVER, BC, March 14, 2008 - Officials from the Government of Canada, EnCana Corporation (TSX, NYSE: ECA) and Sustainable Development Technology Canada (SDTC) announced today they are committing $5.5 million in financing to a NxtGen Emission Controls project which demonstrates an innovative diesel emission reduction system. NxtGen's syngas technology will assist diesel trucks in complying with stringent global emission reduction regulations and has the potential to enable manufacturers to increase fuel economy. When retrofitted onto existing trucks, NxtGen's system is expected to reduce particulate emissions by 85 percent and nitrogen oxide (NOx) emissions by 65 percent. This new technology for diesel trucks is similar to catalytic converters for gasoline vehicles.

"This technology is an example of the kind of forward thinking that will help ensure Canada remains at the forefront of clean technologies, that will reduce air pollution and our greenhouse gas emissions," said the Honourable Gary Lunn, Minister of Natural Resources. "The partnership we see here is a great example of how our Government is encouraging innovation, making sure Canadians have the opportunity to enjoy the full environmental and economic benefits of these technologies."

The project supported by EnCana and SDTC involves field trials of NxtGen's diesel emission reduction technology on medium and heavy duty trucks. The systems are being retrofitted onto 12 trucks in three fleets across Canada, including three heavy duty trucks owned by Mullen Trucking LP, one of EnCana's key transportation providers in Alberta.

"NxtGen looks forward to working with EnCana and SDTC as we put our diesel emission control technology to the test in real world operations," says Jeremy Holt, NxtGen Emission Controls President and CEO. "The support provided by EnCana and SDTC comes at a pivotal time for NxtGen. The field trials will enable us to demonstrate the effectiveness and reliability of NxtGen's syngas emission reduction system for diesel trucks."

The system is being developed during a two-year, $12.4 million program. EnCana is contributing to the project through its Environmental Innovation Fund. The fund supports the development, demonstration and, ultimately, the commercialization of innovative, clean-energy technologies that relate to the energy sector.

"EnCana is pleased to support NxtGen in its mission to bring to market this new technology which has the potential to improve fuel economy while helping diesel trucks meet stricter global emission requirements," says Gerry Protti, EnCana Executive Vice President of Corporate Relations. "Our Environmental Innovation Fund is available for projects which benefit the environment, the energy sector and consumers."

Sustainable Development Technology Canada is contributing $2.5 million to the project through its SD Tech Fund. The $550 million fund supports the development and demonstration of innovative technological solutions that address climate change, air quality, clean water and clean soil.

"Emissions from the transportation sector are major contributors to climate change and poor air quality," says Vicky J. Sharpe, President and CEO of SDTC. "The technology NxtGen is demonstrating has the potential to reduce emissions while also increasing efficiency and reducing costs. Should the NxtGen project be successful, it will be an important step forward for the transportation sector in Canada and around the world."

NxtGen Emission Controls
EnCana Corporation
Sustainable Development Technology Canada

For further information:

NxtGen Emission Controls
NxtGen Emission Controls, Inc. is an emerging supplier of syngas emission control systems to the diesel engine industry for both retrofit and original equipment applications. NxtGen's syngas systems reduce particulate, NOx and CO emissions from diesel engines and are expected to enable engine manufacturers to increase fuel economy. The company was founded in 2004 and is privately held by its employees, management and institutional investors. NxtGen's head office is in Burnaby, B.C.

EnCana Corporation
With an enterprise value of approximately US$65 billion, EnCana is a leading North American unconventional natural gas and integrated oil company. 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.

Sustainable Development Technology Canada
SDTC is an arm's-length foundation which has received $1.05 billion from the Government of Canada as part of its commitment to create a healthy environment and a high quality of life for all Canadians. SDTC operates two funds aimed at the development and demonstration of innovative technological solutions. The $550 million SD Tech Fund™ supports projects that address climate change, air quality, clean water, and clean soil. The $500 million NextGen Biofuels Fund™ supports the establishment of first-of kind large demonstration-scale facilities for the production of next-generation renewable fuels. SDTC operates as a not-for-profit corporation and has been working with the public and private sector including industry, academia, non-governmental organizations (NGOs), the financial community and all levels of government to achieve this mandate.

For further information:

Brian Kahnert
VP Marketing and Government Relations
Office (604)688-7841 ext 105
Patrice Breton
Director of Communications
Cell (613)292-5029
Office (613)234-6313 ext. 295

Rhona DelFrari
Media Relations Advisor
Cell (403)472-8828
Office (403)645-4740

Louise Girouard
Director of Communications
Office of the Minister
Natural Resources Canada
Office (613)996-2007

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