EnCana Corp. said Thursday that it intends to consolidate its corporate structure through a vertical short-form amalgamation with its subsidiary Alberta Energy Company Ltd. (AEC). EnCana said the amalgamation will not require any public securityholder vote. The company said the consolidation is expected to be effective on Jan. 1, at which time, EnCana will be the successor issuer in respect of AEC’s previously issued debt securities and will be responsible for all of AEC’s contractual obligations. The amalgamation is subject to the receipt of all necessary consents and regulatory approvals. EnCana said it would comment more after the first of the year.

Assure Energy Inc. said Thursday night that it has begun a multi-well drilling program that includes the initial drilling, completion and exploration of the company’s core property in the Lloydminster area of Western Canada. Through its subsidiary Assure, Energy has acquired certain oil and natural gas rights averaging 50% interest in approximately five sections of land (each section is 640 acres) totaling 3,200 acres which comprises its Lloydminster Property. On neighboring lands, the Colony, Sparky and Dina sandstones have produced natural gas and the Colony, McLaren, Waseca, Sparky, General Petroleum, Rex, Lloydminster and Cummings sandstones have produced heavy oil. “We are excited about exploring a property like this with the potential for oil and gas discoveries in so many different zones,” said Harvey Lalach, president of Assure. Under its initial exploration program, Assure plans to drill eight locations believed to bear economic reserves of oil in the Sparky, McLaren, and General Petroleum formations and map for gas where indicated by logs. In addition, the company said it anticipates completing and tieing in two wells to produce gas from the Colony and Sparky formations on the Lloydminster Property as well as drilling one potential gas well in the Hamburg, Alberta area.

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