Encana To Sell Natgas Assets To Caerus Oil For $735MM
June 9 (Reuters) - Oil and gas producer Encana Corp said on Friday it would sell its Piceance natural gas assets in northwestern Colorado to privately held Caerus Oil and Gas LLC for $735 million.
Oil producers have been selling assets to reduce exposure to profit-sapping natural gas assets and to increase liquidity.
ConocoPhillips, the largest U.S. independent oil producer, in April sold natural gas-heavy assets in the San Juan basin to privately held Hilcorp Energy Co for about $3 billion.
The Piceance asset sale includes 550,000 net acres of leasehold and about 3,100 operated wells and produced 240 million cubic feet per day of natural gas in the first quarter, Encana said.
BMO Capital Markets was the company's financial adviser for the deal.
(Reporting by Ahmed Farhatha in Bengaluru; Editing by Shounak Dasgupta)
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