Edit ModuleShow Tags

Chesapeake Energy Corp. Completes Acquisition


Chesapeake Energy Corp. has completed its previously announced acquisition of Mid-Continent, Permian Basin, South Texas and onshore Gulf Coast natural gas assets from privately-owned Concho Resources Inc. for $420 million.

In addition, the company has completed the previously announced acquisition of two smaller producing property packages totaling $90 million.

Based on internal reservoir engineering estimates, Chesapeake believes that through these three transactions it has acquired approximately 320 billion cubic feet of gas equivalent (bcfe) of proved gas reserves, approximately 195 bcfe of probable and possible gas reserves and current production of approximately 70 million cubic feet of natural gas equivalent (mmcfe) per day. The acquisitions were funded 60% with common equity issued in January 2004 and 40% from cash on hand and borrowings from the company's revolving bank credit facility.

Edit ModuleShow Tags

Archive »Recent Articles

SKF, Hanbell To Develop Magnetic Chiller Compressors

SKF has signed a strategic cooperation agreement with Hanbell to jointly developing magnetic chiller centrifugal compressors.

GE To Pull Operations Out Of Waukesha

Reliability Concepts Picks Up Alignment Supplies

Reliability Concepts, a Michigan-based provider of predictive maintenance equipment, services and training, has purchased Alignment Supplies.

EIA: Natural Gas Prices Drop, Storage Increases

Natural gas prices dropped in most market locations across the United States during the Sept. 9 to Sept. 16 report week, according to the Energy Information Administration.

GE Upgrading Pemex Compressor Trains

GE Oil & Gas signed a contract with Avanzia Group to refurbish and upgrade four CO2 compression trains as well as all the auxiliaries and balance of plant (BOP) components of Mexico’s state-owned oil and gas company Petróleos Mexicanos’s (Pemex) nitrogen-based fertilizer facility.