Encana Oil & Gas Inc., a wholly owned subsidiary of Encana Corp., is selling its Piceance Basin natural gas assets to Caerus Oil and Gas LLC in a deal worth US$730 million.
Encana’s Piceance assets include approximately 550,000 acres (222,577 ha) of leasehold and approximately 3100 wells located in northwestern Colorado, USA, which produced an average 240 MMcf/d (6 x 106 m3/d) of natural gas and 2178 barrels per day of liquids through the first quarter of 2017. Encana, in its announcement of sale, estimated the assets held proved reserves of 814 Bcf (2.3 x 1010 m3).
Headquarter in Denver, USA, Caerus Oil and Gas was formed in 2009 to invest primarily in conventional oil and gas properties. The private company has more than 800 wells and additional undeveloped acreage in the Piceance Basin.