Chesapeake Energy 2Q16: Huge $1.8B Loss, Bleeding Slows

Chesapeake EnergyChesapeake Energy, the second largest natural gas producer in the United States (thanks to co-founder Aubrey McClendon), issued its second quarter 2016 update yesterday. Depending on which media source you read, the update shows a company in full recovery, to a company that’s doomed. A few facts from the update: Chessy lost (on paper) $1.8 billion in 2Q16. Which is huge. But it’s much better than the $4.1 billion they lost in 2Q15–so we do see progress. Chesapeake’s debt reduction program continues. So far this year they’ve paid down another $1 billion in debt. Another good sign. As for drilling, Chesapeake currently operates 10 rigs–three each in the Eagle Ford, Haynesville and Mid-Continent plays, and one in the Utica. They’re not operating any rigs in the Marcellus at present. The company says it plans to spend close to $1.8 billion this year on drilling and will drill another 100 wells by the end of the year. Here’s the update from the biggest shale driller on the planet…

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