By all indications, it appears the split of the EnCana Corporation into two separate entities will proceed smoothly in the Drumheller area.
In May of this year, EnCana announced it was planning to split into two separate companies; one focused on their gas operations, with a working name of GasCo, while the other will focus on the integrated oil business, with the working name IOCo (Integrated Oil Company).
The company has laid out a timetable that will see the restructuring completed by early 2009. According to Luigi Vescarelli, community relations advisor in Drumheller, the split may be good news for Drumheller.
“By many measures the split has already been a success,” said Vescarelli. “In the Drumheller area for approximately the past two years, EnCana has had two divisions, basically operating independently.”
In the Drumheller area, the split will essentially be geographic. The one division, known as the Canadian Foothills division, operating in the Drumheller, Hanna, Coronation and Vulcan area will become part of the new gas company, which is expected to retain the EnCana name, while the Canadian Plains division will become part IOCo. It involves communities east of Drumheller.
“Both divisions have been achieving strong performance results,” said Vescarelli.