Encana Oil & Gas (USA) Inc., a wholly owned subsidiary of Encana Corp., has completed its previously reported $3.1 billion purchase of 45,500 net acres in Karnes, Wilson, and Atascosa counties of south Texas from Freeport-McMoRan Oil & Gas LCC, a subsidiary of Freeport-McMoRan Copper & Gold Inc. (OGJ Online, May 7, 2014).
The Eagle Ford acreage produced 53,000 boe/d in the first quarter and has an estimated drilling inventory of more than 400 locations. The deal doubles the company's current oil production.
Encana Oil & Gas (USA) Inc. has also closed on the majority of the previously reported sale of certain properties primarily in Leon and Robertson counties of East Texas, having received $427 million of the total anticipated purchase price of $530 million (OGJ Online, Apr. 29, 2014). The company says it expects to close the balance of the transaction in the third quarter.