CHK@ Williston Basin

Scott Hanold - RBC Capital Markets Corporation

I guess I'll press to Williston a little bit here. So you all didn't say what you paid for the 100,000 acres. I know you disclosed the price in the Anschutz stuff. Can you kind of give us color on that? And maybe some indication, are you looking at Montana, North Dakota or both?

Aubrey McClendon

Scott, it's still pretty early. And that's a basin that, historically, we've not done well in. We've made a run on it Lyco in 2005 and Headington in 2008. We wanted -- both of those deals would've given us a really strong position in the Williston today, and we failed in both those opportunities. So we've been poking around. And we saw something that we liked, and we acquired it. It does not have any production on it. It's just acreage, and it's an idea that we have that it's a little early to talk about in any more detail. We suspect that it probably doesn't get to a size of needing a joint venture partner, but we'll see. But I can confirm it's in the Williston Basin, and it will be an oil play for us.

Scott Hanold - RBC Capital Markets Corporation

Is there a lot of industry activity around you? And obviously, it was almost 160 rigs in the basin. It's hard to believe there's a lot of acreage of oil production on that.

Aubrey McClendon

Yes, I mean, we didn't buy -- we don't buy fringe stuff. It's not really our style. We try to buy core acreage. But occasionally, we have a different idea than some folks about how the world works. And so we'll see how this plays out.

Chesapeak on ollut eturintamassa melkein kaikissa USA:n epätavanomaisissa resursseissa, paitsi Bakkenista, joka on mennyt heiltä käytännössä kokonaan ohi. Nyt CHK on kuitenkin "hankkinut" 100k eekkerin edestä oikeuksia Williston Basinissä. McClendon ei mainitse oikeuksille hintaa eikä käytä sanaa osta, mikä viittaisi siihen että hankinta on tehty muuten kuin rahalla kuten farm-in tai vaihto. Oikeuksien sijainti on varsin epämääräinen, koska WB ulottuu Montanaan, Etelä ja Pohjois-Dakotaan, Saskatchewaniin ja Manitobaan. CHK:n tapauksessa Kanadan voi melkeinpä sulkea pois, koska yhtiöllä ei ole toimintaa USA:n ulopuolella eikä yhtiö aio ilmeisesti laajentuakkaan ulkomaille tulevaisuudessa.

Tuon 100k pläntin lisäksi Chesapeakin pitäisi tuoda piakoin julki uusi resurssi, jonka alueella yhtiöllä on miljoonan eekkerin edestä oikeuksia.