Loading articles...

'Another nail in the coffin': reaction comes in to Encana leaving Canada

Last Updated Oct 31, 2019 at 10:50 am MST

A worker adjusts hoses at an Encana Corp. gas well, near Mead, Colo. THE CANADIAN PRESS/AP, Brennan Linsley

CALGARY (660 NEWS) – It’s another nail in the coffin for the Canadian energy industry according to an investment analyst.

On Thursday morning, Encana Corp. announced it intends to move to the United States and rebrand under the name Ofintiv.

READ MORE: Encana announces intentions to move to U.S.

According to Tim Pickering with Auspice Capital Advisors, Encana won’t be the only company leaving.

“Company after company, whether they’re directly in the energy business or the investment business having to look at the larger U.S. market that is a lot more healthy than Canada.”

He argues many companies have looked at moving for greener pastures and greener currency.

“It’s becoming increasingly hard to not look at the U.S. from a business and a work perspective but also from a capitalization and investment perspective.”

Pickering argues there are a few people to blame for this happening.

“Losing Encana from Calgary and Canada is such a massive blow. It really illustrates that our environment is not up to par. It also illustrates that the political leadership federally and possibly even provincially are not finding the right solutions.”

Mayor Naheed Nenshi tweeted his response to the news calling it a loss for Calgary and Alberta.

Energy Minister Sonya Savage also responded to the news.

In a statement posted to Twitter Savage said she’s deeply troubled by the news.

“Sadly, I cannot say I am surprised, as Encana has been shifting its efforts to the U.S. for years, in large part due to harmful policies in Canada.”