Kogas Canada Ltd. and EnCana Corporation sign $565 million Farmout agreement

Date Closed: 03/01/2010

Value: $565 million

On March 1, 2010, Kogas Canada Ltd. (Kogas), a wholly owned subsidiary of Korea Gas Corporation, entered into a farmout agreement with EnCana Corporation (EnCana) pursuant to which Kogas has agreed to invest up to $565 million over three years to earn 50% of EnCana's working interest in a portion of its N.E. British Columbia's Horn River and Montney properties. Korea Gas Corporation is the world's largest liquefied natural gas importers and EnCana is a leading North American unconventional natural gas company.

Kogas was represented by its in-house Korean general counsel, Jeong Hwan Oh and by BLG with a team that included Edward Tapuska, Michael Perkins, Jay Shin, Darryl Douglas (oil and gas/corporate), Colin MacDonald, (competition) and Lindsay Holmes (tax).