Can anyone tell me what’s happening in Washington county Texas with Chesapeake
As you probably know, about eight months ago Chesapeake acquired Wildhorse who had been very active in the west side of Washington County and Burleson County. They’ve followed through on completing several Washington County wells Wildhorse had permtted and built pads for before Chesapeake took over but then moved their rigs out of the county. They’ve filed at least three new permits but so far haven’t brought a rig back to do any more drilling.
Last week Chesapeake issued a press release, and there was an article about it in the Wall Street Journal, saying they may not be able to stay in business unless crude and natural gas prices improve fairly soon. They are cutting back on drilling and other capital expenditures and trying to sell assets. Nearly all of the E&P companies are struggling these days but with over $9 billion in debt Chesapeake may be one of the most vulnerable ones.