Chesapeake Energy’s credit rating was downgraded by Standard & Poor’s to BB-, which is defined as, “Less vulnerable in the near-term but faces major ongoing uncertainties to adverse business, financial and economic conditions.” The downgrade caused the stock to tumble to its lowest point since March 2009.
Read More “Chespeake’s Credit Downgraded by S&P, Stock Hits 3-Year Low”
Chesapeake Energy CEO Aubrey McClendon held yet another investor conference call yesterday morning, this one to quell concerns over Chesapeake’s “emergency loan” of $3 billion from Goldman Sachs on Friday. Among the things to come out of the phone conference were two (really) big pieces of news, one of which will directly affect landowners in the Marcellus and Utica Shale, the other which will potentially affect all landowners with Chesapeake leases no matter where they live.
Read More “Monday’s Chesapeake Investor Call: Two Big News Items”
On Friday the federal Environmental Protection Agency (EPA) released its results of testing for the fourth and final batch of water wells in Dimock, PA. The results are the same as the first three batches: There is and has been no contamination of the area’s water supply by chemicals from nearby hydraulic fracturing of Marcellus Shale gas wells.
Read More “EPA’s Final Batch of Testing for Dimock Water Wells Released”
In an attempt to boost investor confidence and boost the stock price, Chesapeake Energy received a $3 billion unsecured loan last Friday from Goldman Sachs. They also provided a quick update on efforts to sell off their assets in the Permian Basin and their Mississippi Lime joint venture, hoping to raise upward of $10 billion, part of which will be used to pay back the short-term Goldman loan.
From the Chesapeake press release:
Read More “Chesapeake Energy Gets $3 Billion Loan from Goldman Sachs”
Has T. Boone Pickens, Texas oil billionaire and author of “The Pickens Plan” that calls for America to use natural gas to reduce our dependency on OPEC oil and as a bridge to a renewable energy future, now turned his back on natural gas? His investment company, BP Capital Management, has sold off all of its Chesapeake Energy stock. Pickens’ comment on the reason for selling off Chesapeake was a tad strange:
Read More “Boone Pickens Sells Chesapeake Stock, Strange Comment on NatGas”
CONSOL Energy has started work on its first drill pad in Mahoning County, OH. And although the landowner where they’re drilling sold his mineral rights years ago and will receive next to nothing in the way of royalties or lease payments, he’s still happy about it.
Read More “CONSOL Starts Work on Their First Well in Mahoning County, OH”
In late March, seven Beaver County, PA families (18 people) filed a lawsuit in Common Pleas Court accusing O&G Investments of Wooster, Ohio of not drilling on their land—and not paying them—for the past seven years. The leases were sold to Chesapeake Energy and at the eleventh hour, just before the leases were set to expire, Chesapeake attempted to initiate drilling to retain the leases, which prompted the lawsuit (see this MDN story for background). Late last week O&G countersued the families:
Read More “O&G Countersues Landowners Claiming Lease Slander”
We now know the specific location of a previously announced $400 million shale gas collection and processing plant being built in Columbiana County, Ohio by a joint venture between Chesapeake Energy, M3 Midstream and EV Energy Partners.
Marathon Petroleum President Gary Heminger, speaking at the Hancock County Republican Party Century Club Dinner in Ohio on Thursday, predicted a great future for Utica Shale oil. He also offered some interesting insights into how much, and where, Utica Shale oil Marathon will be refining this year and next.
A representative from Chevron told Logan Township supervisors and residents at a meeting on Thursday that Chevron has no plans to drill on a Logan site for which they previously received a permit. Logan is located in Blair County, near Altoona, PA. The permit expires today and Chevron said there are no plans, at present, to apply for a new one.
Read More “Chevron Tells PA Town No Plans to Drill – For Now”
Columbiana County, OH received four new drilling permits last week from the Ohio Department of Natural Resources (ODNR). Three of the permits went to Chesapeake Energy. So far, Columbiana County has received permits to drill 32 horizontal wells in the Utica Shale.
Read More “Columbiana County, OH Utica Shale Drilling Expands Again”
Gastar Exploration released first quarter operating results and financials yesterday. Among the news for Gastar: although they had a net loss of $6.3 million for the first quarter, their production of natural gas, oil and natural gas liquids was up 32 percent from the first quarter of last year. Why the huge increase in production?
Read More “Marcellus Shale Plays Starring Role in Gastar Q1 Results”
Last December, the PA Department of Environmental Protection (DEP) started investigating methane in three water wells in Franklin Township (Susquehanna County), PA. Since there are several gas wells being drilled by WPX Energy a few thousand feet away, wells that were cited for improper casing, the DEP asked WPX to install methane venting systems for the families of the three wells in question while the DEP investigates (see this MDN story). WPX is also investigating, and their results conclusively show the methane in the water wells isn’t coming from WPX’s gas wells.
Read More “WPX Water Well Test Results for Franklin Twp, PA”
Dominion Resources, the third-largest public utility in the U.S., held its annual shareholder’s meeting in Pittsburgh on Tuesday where president & CEO Thomas Farrell announced plans to expand natural gas pipeline and processing projects in every state where there is Marcellus and Utica Shale.
Ten company-endorsed candidates were voted on and approved for the board of directors. But six shareholder proposals, largely anti-drilling in sentiment, were voted down:
Read More “Dominion Announces Marcellus/Utica Shale Expansion”
Yesterday, the largest outside shareholder of Chesapeake Energy stock (with 13.6 percent)—Southeastern Asset Management—sent a letter to CEO Aubrey McClendon and the board of directors with a loud and clear message: “We urge the board to be open to any offers to acquire the whole company.” Ouch. Not exactly a ringing endorsement. The letter also included some other “friendly” advice on how Chesapeake ought to be running its business (gotta love those investors, eh?).
Here’s the entire letter, as filed with the Securities and Exchange Commission:
Read More “Chesapeake’s Largest Shareholder Says: Consider Selling”
Driller Magnum Hunter Resources has struck it “Magnum rich” in Tyler County, WV. A well recently drilled and fracked by Magnum yielded more than 7 million cubic feet of gas in a single day earlier this year. Not only that, it also yielded 651 barrels per day of natural gas liquids.
Read More “Magnum Hunter Strikes it “Rich” in Tyler County, WV”