Chesapeake Energy Corporation (CHK): The Utica’s Potential Glimpsed in Its Results

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Chesapeake’s operations in the Utica this year will be focused primarily on drilling within the play’s wet gas window, where it commands 450,000 net acres through a joint venture with TOTAL S.A. (ADR) (NYSE:TOT). In this portion of its acreage, the company is projecting ultimate reserve recoveries of 5 billion-10 billion cubic feet of gas equivalent per well, depending on location and commodity mix.

Though the company has acknowledged that the Utica will not play a major role in helping it meet its liquids production target for the year, Chesapeake Energy Corporation (NYSE:CHK) nonetheless remains optimistic about the play’s potential, with Dixon even characterizing its resource base as “prolific.”

The article The Utica’s Potential Glimpsed in Chesapeake’s Results originally appeared on Fool.com and is written by Arjun Sreekumar.

Fool contributor Arjun Sreekumar has no position in any stocks mentioned. The Motley Fool recommends Dominion Resources (NYSE:D) and TOTAL S.A. (ADR) (NYSE:TOT). The Motley Fool has the following options: Long Jan 2014 $20 Calls on Chesapeake Energy, Long Jan 2014 $30 Calls on Chesapeake Energy, and Short Jan 2014 $15 Puts on Chesapeake Energy.

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