• 5 minutes Covid-19 logarithmic growth
  • 8 minutes Why Trump Is Right to Re-Open the Economy
  • 12 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 14 minutes China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 7 mins Which producers will shut in first?
  • 8 mins Washington doctor removed from his post, over covid
  • 4 hours TRUMP pushing Hydroxychloroquine + Zpak therapy forward despite FDA conservative approach. As he reasons, "What have we got to lose ?"
  • 5 hours Shale Legs
  • 4 hours How to Create a Pandemic
  • 11 mins The Most Annoying Person You Have Encountered During Lockdown
  • 7 hours Real Death Toll In CCP Virus May Be 12X Official Toll
  • 12 hours WE have a suicidal player in the energy industry
  • 3 hours KSA taking Missiles from ?
  • 4 hours Trump eyes massive expulsion of suspected Chinese spies
  • 7 hours Did Trump start the oil price war?
  • 12 hours Eight Billion Dollars Wasted on Nuclear Storage Plant
Alt Text

America’s Shortage Of This Metal Keeps Trump Up At Night

Everything from the 5G revolution…

Alt Text

COVID-19 In A Civil War

Why Haftar Isn’t Going to…

Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

Oklahoma Shale Gas Icon Indicted For Rigging Lease Auction

The former head of Chesapeake Energy has been indicted on antitrust charges by the U.S. Department of Justice.

Aubrey McClendon made a name for himself at Chesapeake Energy, turning it into the largest natural gas producer in the United States.

A federal grand jury indicted him on charges that he conspired with an unnamed company to manipulate the price of oil and gas leases in Oklahoma. The allegations describe McClendon and another company deciding ahead of time who would win a lease auction, rigging the bids to keep prices low. If Chesapeake won a lease, it would give the competing company a slice of the winnings. Related: Oil Finds Some Support As U.S. Output Falls

Chesapeake was one of the most aggressive in acquiring land during what was a land rush in the years during his tenure between 2007 and 2012. Chesapeake controlled over 16 million acres in multiple states across the country at one point. McClendon became one of the highest profile CEOs in the industry, an icon of the shale gas revolution.

“The charge that has been filed against me today is wrong and unprecedented,” Mr. McClendon said in a statement. “All my life I have worked to create jobs in Oklahoma, grow its economy, and to provide abundant and affordable energy to all Americans. I am proud of my track record in this industry, and I will fight to prove my innocence and to clear my name.” Related: A Shrewd Approach To Oil Investing

The charges carry a maximum sentence of 10 years in prison and a $1 million fine. Chesapeake itself is not expected to be hit with any charges.

McClendon left Chesapeake Energy in 2012 after shareholders revolted against his management. His aggressive expansion also left the company with low levels of cash and a high debt burden. Shareholders, including activist investor Carl Icahn ousted him. After McClendon left he setup American Energy Partners LP, a competing shale gas driller that would focus on drilling in the shale basins in Texas, Oklahoma, Pennsylvania, and Ohio.

By Charles Kennedy of Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage






Leave a comment
  • matt on March 02 2016 said:
    Yeah,
    And now he is dead.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News