EnCana Corp. (ECA) Sells Montney Shale Assets - Cutbank Ridge

By Tim - http://stockstobuy.org

Shares of EnCana Corp. (ECA) are up 11% in afterhours tonight after the company made a joint venture with PetroChina on their Montney Shale assets in British Columbia and Alberta. The Montney Shale and Cutbank Ridge assets are mainly natural gas but what some companies discovering Oil close by. To the north of the Montney Shale is the Horn River Shale. To the south of the Montney Shale is the Exshaw Shale which not many people know about. The Exshaw Shale is becoming an emerging oil field. Do you remember when the Eagle Ford Shale or Bakken Shale first started? The Horn River Shale, Montney Shale, and the Exshaw Shale could hold a vast amount of oil besides natural gas. Having said this, Encana stock has a lot more room to run. Also, keep an eye on the Cardium Shale which companies are starting to talk about. Only a few companies are there now but I expect more to come.

Encana to establish joint venture with PetroChina through sale of 50 percent interest in Cutbank Ridge business assets for C$5.4 billion

Encana Corporation (TSX, NYSE: ECA) has signed a Co-operation Agreement with PetroChina International Investment Company Limited, a subsidiary of PetroChina Company Limited (SEHK:0857.hk), that would see PetroChina pay C$5.4 billion to acquire a 50 percent interest in Encana’s Cutbank Ridge business assets in British Columbia and Alberta. Under the Co-operation Agreement, the two companies would establish a 50/50 joint venture that would ambitiously grow natural gas production from the Cutbank Ridge lands for years ahead.

Other companies that are now buyout targets are:

Murphy Oil Corporation (MUR) - Murphy Oil Corporation has assets in the Exshaw Shale, Montney Shale, and various other plays in the United States. MUR is a huge takeover target now.

Approach Resources, Inc. (AREX)
Quicksilver Resources Inc. (KWK)
Talisman Energy Inc. (TLM)
Delphi Energy Corp (DEE.TO)
Nexen Inc. (NXY)
EOG Resources, Inc. (EOG)

For more research on the various shale fields, visit http://oilshalegas.com. For more on the stock market, visit http://daytradingstockblog.blogspot.com