Chesapeake turns focus towards natural gas assets with plans to exit Eagle Ford Shale
Friday, August 5, 2022
Chesapeake Energy is continuing its shift away from oil in favor of its natural gas assets in the Haynesville and Marcellus shale plays with plans to exit the Eagle Ford Shale and simplify its operations, Natural Gas Intelligence reported.
“The Eagle Ford has become non-core to our future capital allocation strategy and we believe that we will be a better company if we focus all of our resources – both capital and human – on the Marcellus and Haynesville,” said CEO Nick Dell’Osso during a call Wednesday to discuss the company’s financial results.
Chesapeake plans to increase its drilling budget for the Haynesville shale in Louisiana during the second half of 2023. It will shift two rigs to the Haynesville Shale, adding to its five already operating there, and increase capital spending by 15% to $1.75-1.95 billion. The company also plans to focus on its operations in the Marcellus shale in Pennsylvania.
Learn more: Natural Gas Intelligence > Chesapeake Energy Exiting Eagle Ford Shale in Pivot Toward Natural Gas Assets
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