Encana plans to spend between $200 to $300 million in 2017 as it ramps up production of its liquids-rich holdings in B.C.'s Montney formation.
The company laid out its plans for the basin in a presentation in New York on Oct. 5, telling investors liquids production in the Montney is estimated to grow four to five times, while gas production doubles over the next five years.
According to the presentation, liquids production is slated to grow to 50,000 barrels per day by the end of 2018, and growing to 70,000 barrels in 2019. Gas production, meanwhile, will grow to 1.2 billion cubic feet per day by 2019.
Much of the production will be focused in the Tower, Dawson South, and Pipestone areas. The company, meanwhile, is currently building its South Central Liquids Hub south of Dawson Creek.
Overall, Encana plans to spend between $1.4 to $1.8 billion in 2017 in its Permian, Montney, Eagle Ford, and Duvernay plans.
The lion’s share, up to $1 billion, will be directed to the Permian in the U.S., with spending in Duvernay and Eagle Ford projected to be between $300 to $450 million combined.
