Opening in May 2014, the plant will play a key role in supplying low-cost, clean-burning LNG fuel to Western Canada's high horsepower industries.

CALGARY, Alberta, April 24, 2014 /CNW/ - Ferus Natural Gas Fuels, Inc. (Ferus NGF), a North American leader in LNG and CNG fueling solutions, today announced it has completed the purchase of Encana Corporation's 50 percent interest in the Elmworth, Alberta 190,000-litre per day liquefied natural gas ("LNG") production facility, retaining key Encana technical and management personnel.

Phase one of the Elmworth LNG facility, which was constructed as a 50/50 joint venture partnership between Ferus NGF and Encana, will be operational in May 2014. It is strategically located in close proximity to the active Alberta-BC Deep Basin oil and gas region and will produce LNG fuel for use in drilling rigs, pressure pumping services, and heavy-duty trucks. Other high horsepower applications for this LNG supply include rail, mining, and remote power generation.

"Our experience with LNG has demonstrated significant cost savings and environmental benefits. Encana remains a key customer of Ferus and has committed to a multi-year LNG supply agreement to service our field operations," said David Hill, Encana's Executive Vice President, Exploration & Business Development. Selling our interest in the Plant allows us to focus on our core business and the execution of our new strategy."

Richard Brown, President and CEO of Ferus NGF said, "We are pleased to continue working closely with Encana as we jointly lead the adoption of LNG fuel by the western Canadian oil and gas industry. In addition to Encana's commitment to using LNG fuel, we are adding experienced Encana personnel to our team to ensure a seamless transition and exceptional service to our customers in the region."

As a result of this transaction, Ferus NGF is the 100 percent owner/operator of the newest and largest merchant LNG plant in Canada and has significant plans to expand beyond that. Ferus NGF is focused on supplying domestically produced LNG and CNG fuel, which provides cost savings and environmental advantages to the oil and gas, trucking, mining, rail, marine and remote power generation markets.

About Ferus Natural Gas Fuels

Ferus Natural Gas Fuels (Ferus NGF), formerly Ferus LNG, is privately held by The Energy & Minerals Group. Ferus NGF provides end-to-end LNG and compressed natural gas ("CNG") fueling services including production, transportation, storage and delivery to our customers in all end-use industries. Ferus NGF supplied the first LNG fueled well fracturing job in North America, is jointly building two LNG liquefaction facilities with ENN Canada in Edmonton, AB, and Vancouver, BC, and is an equal partner in Eagle LNG Partners, a consortium dedicated to building out LNG infrastructure across the United States. For more information, visit www.ferus.com.

About The Energy & Minerals Group

EMG is the management company for a series of specialized private equity funds. EMG focuses on investing across various facets of the global natural resource industry including the upstream and midstream segments of the energy complex. EMG has approximately $13.3 billion of Regulatory Assets Under Management (RAUM) and approximately $5.1 billion in commitments have been allocated across the energy sector since inception. For additional information on EMG, please contact Alexandra Coolidge at 713-579-5029

Media Contact:

Blaire Lancaster
Director, External Relations
403-695-3881
blairelancaster@ferus.com

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SOURCE Ferus Natural Gas Fuels, Inc.

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