EnCana sells all of its interests in Chad

CALGARY, Alberta (January 12, 2007) – EnCana (Chad) Holdings Ltd., an indirect wholly-owned subsidiary of EnCana Corporation (TSX, NYSE: ECA), has closed an agreement to sell all of its interests in its exploration assets in Chad to CNPC International (Chad) Ltd., an indirect wholly-owned subsidiary of the China National Petroleum Corporation (CNPC) for approximately US$202.5 million, before closing adjustments. Pursuant to the agreement, CNPC purchased all of the shares of EnCana International (Chad) Ltd., which holds a 50 percent working interest in a Convention and Permit H which covers seven sedimentary basins. The effective date of this transaction is October 1, 2006.

Background
EnCana has operated an exploration program in Chad since 2002. In the past five years, the company has drilled 11 exploration wells and has had encouraging results. Divesting of this asset is part of the company’s ongoing program to manage and optimize its portfolio of assets and to focus on core North American resource plays.

EnCana has now completed its withdrawal from exploration activities in Africa and continues with limited exploration work in select international locations.

BNP Paribas acted as the exclusive financial advisor with respect to the sale of EnCana’s interests in Chad.

EnCana Corporation
With an enterprise value of approximately US$45 billion, EnCana is a leading North American unconventional natural gas and integrated oilsands 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. For more information, go to www.encana.com.

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

EnCana Corporation
Investor contact:
EnCana Corporate Communications
Sheila McIntosh
Executive Vice-President, Corporate Communications
403-645-2194

Paul Gagne
Manager, Investor Relations
403-645-4737

Ryder McRitchie
Manager, Investor Relations
403-645-2007

Media contact:
Alan Boras
Manager, Media Relations
403-645-4747

Almas Kassam
Analyst, Media Relations
403-645-4716

ECA stock price

TSX $14.92 Can -0.200

NYSE $11.67 USD -0.180

As of 2017-11-20 09:49. Minimum 15 minute delay