EnCana shareholders have approved a plan to split Canada's biggest independent oil and gas company into two by an overwhelming majority, according to reports.
The approval, by 99% of the company's investors, comes 18 months after the proposal was first announced. EnCana was forced to abandon the plan in October last year after energy prices tumbled and global economies slumped. The company resurrected the idea in September.
Under the plan, EnCana will focus on natural gas, while Cenovus Energy will operate the company's oil sands business.
Prior to the vote, some investors expressed concern that the individual companies could become takeover targets, while others said they didn't want to see one strong company split into two smaller ones.
EnCana now expects to complete the transaction by the end of this month.
