Harvest Energy Trust buying $395 million in assets from Encana

Harvest Energy Trust agreed to buy conventional oil and gas assets producing 16,800 boe/d from EnCana Corp. for $395 million. Both companies are based in Calgary.

July 16, 2004

By OGJ editors
HOUSTON, July 16 -- Harvest Energy Trust agreed to buy conventional oil and gas assets producing 16,800 boe/d from EnCana Corp. for $395 million. Both companies are based in Calgary.

The transaction, expected to close by Sept. 1, involves properties in east central and southern Alberta producing predominantly medium and heavy oil.

"This sale is one in a series of planned divestitures of conventional oil and gas assets, following our acquisition of Tom Brown Inc.," said Randy Eresman, EnCana's chief operating officer.

Earlier this year, EnCana agreed to buy Tom Brown Inc. for $2.7 billion, including the assumption of debt (OGJ, May 3, 2004, p. 44).