Chesapeake Energy to buy Southwestern Energy in $7.4 Billion All-Stock Deal

Chesapeake Energy (CHK) and Southwestern Energy (SWN) announced Thursday they will merge to form what will likely be the largest U.S. natural gas producer. CHK is currently the second-largest U.S. independent natural gas-focused exploration and production company behind EQT Corp in market value and output. The CHK/SWN agreement to merge is in an all-stock deal valued at $7.4 billion at $6.69/share, forming a company with an enterprise value of ~$24 billion. Under the deal terms, Southwestern shareholders will receive a … Continue reading “Chesapeake Energy to buy Southwestern Energy in $7.4 Billion All-Stock Deal”

US Energy Producers Facing $5 to 10 Billion in Hedging Losses Due To Soaring Natural Gas Prices

The soaring natural gas prices have led to massive hedging losses a report by consultancy Rystad Energy shows at current prices of Henry Hub. The significant rise in hedged volume since the second quarter of 2021 was primarily driven by operators including Southwestern $SWN, Chesapeake $CHK, Range Resources $RRC and Comstock Resources $CRK. The Rystad analysis focus is on a peer group of shale-gas-focused producers that accounts for 35% of unconventional gas production and about 53% of shale gas production … Continue reading “US Energy Producers Facing $5 to 10 Billion in Hedging Losses Due To Soaring Natural Gas Prices”