Encana Oil & Gas is to divest its North Texas natural gas-producing properties to partnerships managed by EnerVest for $975m.
The North Texas properties produce about 125 million cubic feet equivalent per day.
The properties also include associated gathering pipelines that cover a 202km² net area in the Fort Worth Basin.
With this divestment and other non-core assets sales, Encana expects to have net divestitures of approximately $1.7bn by the end of 2011.
The transaction will be complete by the end of this year and is subject to regulatory approvals.
Encana president and CEO Randy Eresman said that the firm will direct a greater portion of its capital investment towards developing its oil and natural gas liquids production from its North American acreage.
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