EnCana Wants Out Of $6M Xtreme Oil Rig Suit

By Christopher Norton (March 31, 2010, 4:27 PM EDT) -- EnCana Oil & Gas USA Inc. has asked for summary judgment on Xtreme Coil Drilling Corp.'s claims that EnCana breached an oil contract, and still owes $4 million, after one of Xtreme's rigs was damaged.

Encana notified Xtreme in writing several times that its operations failed to meet the contractual performance standards, EnCana said in the U.S. District Court for the District of Colorado on Tuesday.

Xtreme experienced a high rate of turnover of rig crews, its employees tested positive for using illegal drugs and, when its equipment was not down for mechanical failures, Xtreme was unable to meet reasonable performance...

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