Navigate this market better. Subscribe for FREE stock alerts and information.

Monday, December 22, 2014

Encana to sell some natural gas facilities in British Columbia, (TSE: VSN.TO)

Canada's Encana Corp will sell some natural gas gathering and compression facilities in British Columbia it owns jointly with a unit of Mitsubishi Corp to Veresen Midstream LP. Encana said it would receive about C$412 million ($354 million) from the sale and actual costs accrued in 2015.The facilities include a 500-kilometer pipeline and compression facilities of 675 million cubic feet per day.Veresen Midstream will provide gathering and compression services to Encana and Cutbank Ridge Partnership, its partnership with a Mitsubishi unit, for a fee.Veresen Midstream, a joint venture of Veresen Inc and KKR & Co LP, will also invest up to C$5 billion to support development in the Montney shale.

Veresen Inc. is a Canada-based company which manages its pipeline transportation, midstream services, and power generation businesses. Shares of VSN traded higher by 1.6% or $0.25/share to $15.89. In the past year, the shares have traded as low as $13.80 and as high as $19.80. On average, 441136 shares of VSN.TO exchange hands on a given day and today's volume is recorded at 546457.