CANADA Briefs

April 16, 2014

Encana steps up in Duvernay shale

Encana Corp. is moving into full resource play hub mode in its Kaybob area in the northern portion of the Duvernay shale in Alberta, Canada. Operations have begun at the company's first multiwell pad in the play.

Two wells have been placed onto production at the planned eight-well pad, and drilling of the remaining six wells was set to begin in March. Encana said moving into continuous operations on multiwell pads is a key step to developing its position efficiently.

The company is running five rigs across its 253,000 net acre position in the Duvernay shale and expects to drill 15 to 20 net wells there in 2014. Plans call for spending $250 million to $300 million to the play in 2014, with the majority of funds going toward the Kaybob area. The remainder will be used on work to continue proving up the commerciality in the Willesden Green area.