Boston, MA – (NYSEPOST) – 05/08/2014 – Last month, Chesapeake Energy Corporation (NYSE:CHK)’s Chief Executive Officer, Doug Lawler talked about the drilling prospects from Australia right up to China and from Africa upto Latin America. While delivering the speech at a meeting at the Rotary Club at Oklahoma City, the company’s CEO said that their engineers and geologists have all been analyzing the rock data from across the world. Aubrey McClendon, Doug Lawler’s predecessor during the interview in 2012 had ruled out any foreign exploration. Now, the new Chief Executive’s intention might take CHK to the 1 place that the deals-obsessed predecessor never ever wanted to go.
The overseas reach would also mark the stark contrast to the company’s growth strategy that was pursued by McClendon. In the speech at Oklahoma City’s Rotary Club, Lawler said that he wouldn’t be surprised at all if in the City they had a company that was returning to the global area in a matter of a few years. Lawler also added that as they continue to focus on their captured resources in the U.S, they also have the technical-capability, the leadership & operational expertise to extend this in the overseas areas. CHK’s Eagle Ford Shale operations, that are located in San Antonio, had averaged 87,000 barrels of oil-equivalent/ day during the Q4 of 2013.
The 2nd-largest United States gas producer has now been working to fix the company’s balance sheet as well as put its cost-cutting measures right in place to counteract high-spending programs that Aubrey McClendon, the former CEO had put into place. Doug Lawler said that they now aim to slash their spending by 20 percent in this year and sell-off some of the assets to take care of their $1B gap between their operating cash-flow & capital expenditures. The new Chief Executive Officer’s tenure so far has been completely marked by very disappointing profits, stalling the production growth and very costly disputes over gas-royalty payments with the landowners and politicians left-over from a McClendon era.