• 3 minutes Australian power prices go insane
  • 7 minutes Wind droughts
  • 11 minutes  What Russia has reached over three months diplomatic and military pressure on West ?
  • 38 mins Is Europe heading for winter of discontent with extensive gas shortages?
  • 1 day GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 mins Hopes Are Dashed For International Oil Companies In North Iraq
  • 5 hours 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 1 day "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 3 hours The United Nations' AGENDA 2030 - The vision for One World Governance ...an article by the famous Dr Robert Malone
  • 4 days Changing Gazprom ADRs to Russian shares
  • 2 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
The U.S. Becomes World’s Top LNG Exporter

The U.S. Becomes World’s Top LNG Exporter

A perfect storm of growing…

Gas Shortage Sparks Energy Security Fears In Asia

Gas Shortage Sparks Energy Security Fears In Asia

Russia’s invasion of Ukraine has…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Will Shale Giant Chesapeake Go Bankrupt?

U.S. shale gas pioneer Chesapeake Energy  said on Monday it was evaluating a Chapter 11 bankruptcy protection reorganization—along with other options--as the low oil and gas prices weigh heavily on its finances and substantial outstanding debt.

Chesapeake Energy—which helped propel the shale gas revolution in the late 2000s with leading positions in the Marcellus, Barnett, and Haynesville shale basins—is now facing tough times trying to heal its balance sheet, on which US$9.7 billion in total debt weighs. Even before the price crash in March 2020, the company had warned in November that the depressed oil and natural gas prices raise “substantial doubt about our ability to continue as a going concern.”  

Chesapeake Energy had removed the ‘going concern’ warning in the annual report for 2019 in February, but now the warning is back to its filing with the SEC, and Chesapeake (NYSE: CHK) shares slumped by 3.54 percent in pre-market trade on Monday.  

The company said today that “Based on our current forecast, we do not expect to be in compliance with our financial covenants beginning in the fourth quarter of 2020.”

“We expect to see continued volatility in oil and natural gas prices for the foreseeable future, and such volatility, combined with the current depressed prices, has impacted and is expected to continue to adversely impact our business,” Chesapeake Energy said.

On Friday, Chesapeake Energy said that it had revised its compensation structure and performance metrics after deciding, together with advisors, that they would “not be effective in motivating and incentivizing the Company’s workforce.” 

Chesapeake pre-paid 21 senior executives and named executive officers a total of $25 million, for which they waived their participation in the company’s 2020 annual bonus plan and waived their rights to all equity compensation awards with respect to 2020.     

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Maxander on May 11 2020 said:
    The shale gas wave is yet to come in a bigger way.
    Right now, only shale oil wave gone & it wasn't a big one really as Shale oil reserves are not large enough.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News