Chesapeake Energy Corp. (NYSE: CHK) beat expectations with its second Haynesville sale in less than a month.
An affiliate of Covey Park Energy LLC agreed to pay about $465 million for a chunk of Chesapeake’s Haynesville acreage and producing properties in northern Louisiana. The sale includes roughly 41,500 net acres with about 50 million cubic feet per day of gas production, net to Chesapeake.
Chesapeake’s sale is a positive on earlier than expected timing and better than expected valuation, Tudor, Pickering, Holt & Co. (TPH) said in a Dec. 20 report.
The deal works out to about $7,500 per acre, after netting of an estimated $150 million of production value, TPH analysts said.