Anyone trying to gauge the value of Canadian natural gas assets right now faces a difficult task. The signals in the past week have been wildly contradictory.
The industry’s undisputed heavyweight champion, Encana Corp., took a roundhouse to the jaw in its third-quarter earnings Wednesday morning – a $1.24-billion loss for the quarter. The cause? A $1.19-billion ceiling-test impairment charge on the company’s natural gas reserves.