Encana Corp. has sold its Piceance natural gas assets in northwestern Colorado to Caerus Oil and Gas for $735 million.
The Piceance assets include approximately 3,100 operated wells, which produced about 240 million cubic feet per day of natural gas in the first quarter. They also produced 2,178 barrels per day of liquids.
The sale is expected to be completed during the third quarter.
Encana has been focusing its efforts on four core areas in Texas and western Canada, and selling noncore parts of its business since the downturn on crude oil prices began in late 2014.
The Calgary-based company says the sale of the Piceance assets in northwestern Colorado will make it more efficient and improve its balance sheet.