OREANDA-NEWS. October 07, 2014. Encana Corporation ("Encana") (TSX: ECA)(NYSE: ECA) and PrairieSky Royalty Ltd. ("PrairieSky") (TSX: PSK) announced today the completion of the secondary offering of 70,200,000 common shares of PrairieSky at a price of USD 36.50, for aggregate gross proceeds to Encana of approximately USD 2.6 billion (the "Offering").

The Offering was made on a bought deal basis through a syndicate of underwriters co-led and joint bookrun by TD Securities Inc., CIBC, BMO Capital Markets and RBC Capital Markets. Encana no longer holds any interest in PrairieSky.

"The creation of PrairieSky has unlocked significant value from Encana's royalty business and the successful closing of the secondary offering marks a major milestone of the strategy we announced last November. The proceeds significantly increase the strength of our already healthy balance sheet, leaving us well positioned as we continue to aggressively pursue our strategy," says Doug Suttles, Encana President & CEO.

The securities of PrairieSky have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws. Accordingly, these securities may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or except pursuant to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of PrairieSky's shares in the United States.