BMO 10th Annual Unconventional Resource Conference Kevin Smith Vice President, Northwest Business Unit January 2013
Maintaining Financial Strength ? Accelerate pace of investment in oil and liquids rich natural gas plays ? Minimize dry natural gas investments ? Enhance financial strength and flexibility through multiple joint ventures and…
Encana Corporation Leading North American Resource Play Greater Sierra (inc. Horn River) Duvernay Cutbank Ridge (inc. Montney) Bighorn Coalbed Methane Jonah Niobrara/Mancos DJ Niobrara Piceance Texas Haynesville Tuscaloosa…
Building Momentum 65% Two Year Liquids CAGR* 2011 2012F 2013F Capital Investment ($B) 4.6 3.5 4.0 ? 5.0 Net Divestitures ($B) 1.6 3.0 1.0 ? 1.5 Net Capital Investment ($B) 3.0 0.5 3.0 ? 3.5 Natural Gas (Bcf/d) 3.3 3.0 2.9 ? 3.1 Oil…
*PIIP = Petroleum initially-in-place. Resource ? 440,000 net acres ? 100% average working interest ? PIIP*: ~9.1 billion BOE ? 50 ? 60 API oil gravity ? 1,020 ? 1,170 Btu/scf average heat content ? 1,000 - 1,600 net well…
Duvernay Joint Venture ? Joint venture arrangement with Phoenix Duvernay Gas (a subsidiary of PetroChina) ? PetroChina agreed to acquire 49.9% interest in 445,000 acres in the Duvernay play for $2.18 billion ? C$1.18 billion up…
Why Invest in Encana? ? Leading North American resource play company ? Exposure to natural gas ? Growing exposure to oil and natural gas liquids ? Track record for value creation ? Proud of meeting our commitments ? Innovative,…