CALGARY – Encana Corp. (TSX:ECA) said Tuesday it is paring down its management ranks, making good on a promise new CEO Doug Suttles made two weeks ago when he unveiled the natural gas giant’s new strategy.
Five executives are leaving the company, including top executives in Encana’s U.S. business.
USA division president Jeff Wojahn is retiring after 23 years with the company. Eric Marsh, a senior vice-president with the USA division and the executive vice-president in charge of spurring new natural gas demand, is departing after 13 years.
Also retiring are Encana’s chief accounting officer, chief corporate officer and executive vice-president of corporate development, environment, health and safety and reserves.
Mike McAllister, previously head of the Canadian division, has been promoted to chief operating officer. David Hill will be focused on identifying and securing top tier resources for Encana in his new role of executive vice president, exploration and business development.
“This is a simpler organizational structure with clear accountabilities across the company that are directly tied to the areas we need to focus on to be successful,” Suttles said in a news release. “I’m looking forward to working with such a talented group of people that share a passion for the industry and excitement for Encana’s future.”
In a presentation last month to investors, Suttles signalled big changes to Encana’s management team would be coming.
“Our existing organization — both its structure and its size — is aligned with the past and not the future,” he said at the time.
“It’s built around a bigger capital program and higher cash flow than we have today and we need to get that realigned.”
Suttles, a former BP executive who was appointed CEO in June following a lengthy search, has also said Encana intends to trim its vast holdings and invest less in dry natural gas.