EnCana files development plan for Deep Panuke natural gas project

EnCana files development plan for Deep Panuke natural gas project

Halifax, Nova Scotia, (November 9, 2006) - EnCana Corporation (TSX & NYSE: ECA) today filed regulatory applications for the potential development of the Deep Panuke natural gas field, located about 250 kilometres southeast of Halifax, off Canada's East Coast.

The Development Plan Application filed today with the Canada-Nova Scotia Offshore Petroleum Board (CNSOPB) includes the Environmental Assessment Report, under the Canadian Environmental Assessment Act (CEAA) process, and an application to the National Energy Board (NEB) for approval of the construction and operation of an offshore pipeline.

"This is another important step forward for this project," said Dave Kopperson, EnCana's Vice-President, Atlantic Canada. "All parties have been working cooperatively, including government, the regulatory agencies and stakeholders. We have been encouraged by our meetings with the regulatory authorities who have shown a strong commitment to a timely regulatory review and approval process."

The Development Plan Application submitted to the CNSOPB contains five volumes:

  • Vol 1 - Project Summary
  • Vol 2 - Development Plan
  • Vol 3 - Canada-Nova Scotia Benefits Plan
  • Vol 4 - Environmental Assessment (EA) Report
  • Vol 5 - Socio-Economic Impact Statement

The Environmental Assessment Report is the basis of the CEAA comprehensive study process addressing the changes between the current project and the original project which was approved in December 2002. The pipeline application seeks NEB approval for the construction and operation of a sub-sea offshore pipeline from the Deep Panuke field to a point of interconnection onshore near Goldboro, Nova Scotia.

Project Summary:
EnCana's Deep Panuke project involves the installation of the facilities required to produce natural gas from the Deep Panuke field. It is anticipated that the produced gas will be transported by subsea pipeline to Goldboro, Nova Scotia, where it will be transported via the Maritimes & Northeast Pipeline (M&NP) System to markets in Canada and the northeastern United States. A project fact sheet is posted on EnCana's website: www.encana.com.

EnCana Corporation
With an enterprise value of approximately US$45 billion, EnCana is a leading North American natural gas producer and a technical and cost leader in the in-situ recovery of oilsands bitumen. 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.

ADVISORY REGARDING FORWARD-LOOKING STATEMENTS - In the interests of providing EnCana shareholders and potential investors with information regarding EnCana, including management's assessment of EnCana's and its subsidiaries' future plans and operations, certain statements contained in this news release are forward-looking statements or information within the meaning of applicable securities legislation, collectively referred to herein as "forward-looking statements". Forward-looking statements in this news release include, but are not limited to: future economic and operating performance; the anticipated success of the Deep Panuke project; the timing of regulatory approvals; anticipated pipeline projects and transportation strategies associated with the Deep Panuke project; anticipated costs; anticipated production of natural gas from the Deep Panuke project; anticipated sales; anticipated benefits (including employment benefits) for Nova Scotia; anticipated infrastructure projects; anticipated capital expenditures; anticipated drilling; and potential risks associated with drilling and references to potential exploration. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause the company's actual performance and financial results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things: volatility of and assumptions regarding oil and gas prices; assumptions based upon the company's current guidance; fluctuations in currency and interest rates; product supply and demand; market competition; risks inherent in the company's marketing operations, including credit risks; imprecision of reserve estimates and estimates of recoverable quantities of oil, bitumen, natural gas and liquids from resource plays and other sources not currently classified as proved; the company's ability to replace and expand oil and gas reserves; the ability of the company and ConocoPhillips to successfully negotiate and execute final definitive agreements relating to the integrated North American heavy oil business and the ability of the parties to obtain necessary regulatory approvals; refining and marketing margins; potential disruption or unexpected technical difficulties in developing new products and manufacturing processes; potential failure of new products to achieve acceptance in the market; unexpected cost increases or technical difficulties in constructing or modifying manufacturing or refining facilities; unexpected difficulties in manufacturing, transporting or refining synthetic crude oil; risks associated with technology; the company's ability to generate sufficient cash flow from operations to meet its current and future obligations; the company's ability to access external sources of debt and equity capital; the timing and the costs of well and pipeline construction; the company's ability to secure adequate product transportation; changes in environmental and other regulations or the interpretations of such regulations; political and economic conditions in the countries in which the company operates; the risk of international war, hostilities, civil insurrection and instability affecting countries in which the company operates and terrorist threats; risks associated with existing and potential future lawsuits and regulatory actions made against the company; and other risks and uncertainties described from time to time in the reports and filings made with securities regulatory authorities by EnCana. Although EnCana believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned that the foregoing list of important factors is not exhaustive.

Furthermore, the forward-looking statements contained in this news release are made as of the date of this news release, and, except as required by law, EnCana does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

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

Media contact:
Almas Kassam
Media Relations
403-645-4716

Jill Laing
East Coast Office
902-492-5425

investor.relations@encana.com

Investor contact:
EnCana Corporate Finance
Sheila McIntosh
Vice-President, Investor Relations
403-645-2194

Paul Gagne
Manager, Investor Relations
403-645-4737

Ryder McRitchie
Manager, Investor Relations
403-645-2007

ECA stock price

TSX $14.27 Can 0

NYSE $11.11 USD 0

As of 2017-12-15 16:03. Minimum 15 minute delay