Chesapeake projects 20% capex decline in 2014

|About: Chesapeake Energy Corporation (CHK)|By:, SA News Editor

Chesapeake Energy (CHK) says it expects to spend ~20% less on capital improvements in 2014, projecting a capex budget of $5.2B-$5.6B.

After adjusting for 2013 asset sales, CHK expects to generate 8%-10% production growth this year, consisting of 8%-12% oil production growth, 44%-49% natural gas liquids production growth and 4%-6% natural gas production growth.

As a result of ongoing cost control initiatives, CHK sees lower per-unit production and G&A expenses; production expenses are expected at $4.25-$4.75/boe, down ~10% Y/Y.

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