Letter from the CEO

Committed to Continuous Improvement

Innovation, continuous improvement, responsible development and sound corporate governance lie at the heart of how Encana does business. While we are proud of our accomplishments in 2016, we constantly strive to enhance our performance.

By every measure, 2016 was a pivotal year as we positioned the company to create value and return to growth in 2017. We met or exceeded our targets, delivered industry-leading operations performance, significantly lowered our costs and demonstrated that we can deliver attractive returns at today’s commodity prices. In addition, for the third consecutive year, we strengthened our balance sheet and delivered record safety performance.

Throughout 2016, we remained focused on safety, minimizing our environment impact and continuing to effectively engage with the members of the communities in which we operate. These considerations are integral to advancing our strategy and are embedded throughout our planning, decision-making and operational processes.

Our commitment to continuous improvement helped make 2016 our strongest year for health and safety performance. Our teams achieved the lowest total recordable injury frequency in company history, for the third year in a row. Ensuring that our people return home safely every day remains our top priority and we aim to improve on these accomplishments in 2017.

Our ability to engage with stakeholders, communities and regulatory agencies is integral to our success. New prescriptive, stringent regulations at the state, provincial and federal levels are challenging our competitiveness in certain regions. We work with regulators to support policy development that allows for industry innovation to achieve defined goals.

We place great emphasis on how we engage with communities and stakeholders connected to our operations. Effective community engagement helps us advance our strategy. It’s also important to our staff, many of whom live in the communities in which we operate. These activities are often tailored to specific local concerns and we work hard to ensure our communities benefit economically and socially from our operations.

Innovation, continuous improvement, responsible development and sound corporate governance lie at the heart of how Encana does business. Encana is committed to conducting our business in a manner that is ethically, environmentally and socially responsible. We believe this approach delivers strong financial performance, value to our shareholders and responsible and affordable energy for consumers.

DOUG SUTTLES
PRESIDENT & CEO
August 1, 2017

ECA stock price

TSX $15.12 Can 0.200

NYSE $11.85 USD 0.160

As of 2017-11-17 16:02. Minimum 15 minute delay