PetroChina deal falls through

Article Excerpt

ENCANA CORP. $29.53 (Toronto symbol ECA; Shares outstanding: 739.8 million; Market cap: $22.0 billion; TSINetwork Rating: Average; Dividend yield: 2.6%; www.encana.com) has cancelled a deal to form a 50/50 joint venture with PetroChina to operate its Cutbank Ridge natural-gas property on the B.C./Alberta border. Under the terms of the deal, PetroChina would have paid $5.4 billion for half of Encana’s Cutbank Ridge assets, and assumed half of the future development costs. However, the two sides were unable to agree on the final terms. Encana will now look for new partners to help it develop Cutbank Ridge and its other promising untapped gas deposits. Encana is still a buy. buy…