Report: McClendon trying to force Chesapeake to drill wells it doesn't want


Nearly a year after Chesapeake Energy (CHK) ousted Aubrey McClendon after a governance scandal and a liquidity crisis, the former CEO retains financial ties to CHK and is using them to try to change company plans, according to a Reuters report.

McClendon is attempting to force CHK to drill 12 multimillion dollar wells in Louisiana's Haynesville Shale even as CHK tries to rein in spending and cut debt to focus on other shales, according to a CHK lawyer.

As a legacy of founding CHK, McClendon has personal stakes of 2.5% in nearly all of the tens of thousands of wells the company developed; he is also entitled to a slice of new wells, and he has asked Louisiana regulators to order CHK to follow his drilling plan.

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Comments (23)
  • al roman
    , contributor
    Comments (17589) | Send Message
     
    Bud's being real good to Aubrey.
    26 Feb 2014, 05:57 PM Reply Like
  • Detroit Bear
    , contributor
    Comments (303) | Send Message
     
    Lol, Aubrey!
    26 Feb 2014, 06:08 PM Reply Like
  • RHMASSING
    , contributor
    Comments (592) | Send Message
     
    This guy's greed is simply unbelievable! Should have prosecuted him on all the wrongdoings while he was the CEO instead of giving him millions to leave the co.
    26 Feb 2014, 06:11 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3360) | Send Message
     
    I thought they got rid of him?
    26 Feb 2014, 06:13 PM Reply Like
  • texaswiz says
    , contributor
    Comments (65) | Send Message
     
    Mac should have been hired by the Obama administration and put in charge of spending money the government does not have. He definitely has never embraced the old adage that "You need to get your costs in line with your sales."
    26 Feb 2014, 06:18 PM Reply Like
  • ECapo
    , contributor
    Comments (735) | Send Message
     
    I had been an investor in CHK and made some money. After Ichan got involved I got out with profits. Aubrey had a lot of investigations going on for doing his style of business. He has made a lot of money from companies in the past including CHK but left with profits. Ichan was the only reason things changed for a short time. CHK has a new management team but Aubrey still has his tentacles in CHK and that is why I have been out and not in for awhile. Aubrey has his old style way of doing business which is frowned upon. I was hoping of a good quarter to get back in but it just did not happen.
    26 Feb 2014, 06:20 PM Reply Like
  • fgilreath
    , contributor
    Comments (3) | Send Message
     
    Aubrey is a good oilman, finance was his Waterloo, when NG goes from 13.00 to 2.00 he was too leveraged and did not have backup. Give him credit he builted the largest NG company from scratch. I hope he comes back real strong he is a real asset to Oklahoma.
    26 Feb 2014, 06:22 PM Reply Like
  • papayamon
    , contributor
    Comments (1340) | Send Message
     
    Yes, just an incompetent buffoon with fingers in granny's retirement fund. At some point, you have to realize that it's about management, not growth. And you have to realize that once you take a company public, it is no longer your personal slush fund. It's other people's money, something he never grasped and the reason he was fired - and justifiably so.
    26 Feb 2014, 07:17 PM Reply Like
  • jmpbrown
    , contributor
    Comments (60) | Send Message
     
    You are right on about Aubrey, I think we would be better off if they would listen, and maybe make some changes to accommodate his wishes. Its his money to.
    26 Feb 2014, 07:44 PM Reply Like
  • justy727
    , contributor
    Comments (55) | Send Message
     
    Exactly papayamon. Not his personal bank account. Once your public, the company you once owned and ran, now belongs to shareholders. Must do whats best for shareholders long term, not your personal bank account at the expense of shareholders who made you rich to begin with...
    26 Feb 2014, 07:30 PM Reply Like
  • drdon
    , contributor
    Comments (214) | Send Message
     
    Aubrey personifies the greedy executive who looks upon the company as his personal slush fund. He should have been brought into court along with his gang of directors. He pillaged the company and is still at it. I am surprised that he can't be charged with breach of fiduciary responsibilities.
    26 Feb 2014, 07:49 PM Reply Like
  • Pgman701
    , contributor
    Comments (102) | Send Message
     
    Aubrey needs to buy some more maps!!!! LOL!!!! I am so glad I sold my position out last week. I might consider shorting CHK though.
    26 Feb 2014, 07:52 PM Reply Like
  • ateam
    , contributor
    Comments (3) | Send Message
     
    Aubrey is one super smart fellow . The man knows how to make money and that's what it's all about !!!
    26 Feb 2014, 08:55 PM Reply Like
  • Capt Jack Daniels
    , contributor
    Comments (1466) | Send Message
     
    Mcclendon is a bad example, he ran CHK as if he was the sole owner, very disrespectful considering he no longer was the only owner as he IPO'ed CHK.

     

    I wouldn't trust the man about as far as I could throw him.

     

    He lost a small fortune and then expected CHK to make him whole.
    26 Feb 2014, 10:50 PM Reply Like
  • Choosh
    , contributor
    Comments (598) | Send Message
     
    Louisiana is the right state to try and pull off something like that. I want to thank the three commenters above for defending Aubrey; it's a reminder for me to be wary of my fellow citizens.
    26 Feb 2014, 11:00 PM Reply Like
  • fed2782
    , contributor
    Comments (3) | Send Message
     
    A FED
    27 Feb 2014, 02:34 AM Reply Like
  • fed2782
    , contributor
    Comments (3) | Send Message
     
    Aubry was CHK they will be sold..he was a money maker!! not with Gas but with land.. CHK has some of the best leased land for shale gas in the world ..hopefuly CHK new mgmt can turn the land into ngl and condensate production...
    27 Feb 2014, 02:35 AM Reply Like
  • egmjpb
    , contributor
    Comments (30) | Send Message
     
    He is simply doing what the has a right to do as a WI owner. Remember, as a WI owner he also must pay 2.5% of the dry hole or completed we'll cost. It's not an ORRI. We certainly haven't seen CHK stock rally since Lawler has taken over even with improving commodity prices across the board.
    27 Feb 2014, 01:50 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3360) | Send Message
     
    $EAPH for Dry Hole
    27 Feb 2014, 01:52 PM Reply Like
  • B Scully
    , contributor
    Comment (1) | Send Message
     
    It's called assets and Aubry wants his assets developed. NG prices are in the $5's.
    27 Feb 2014, 02:18 PM Reply Like
  • Choosh
    , contributor
    Comments (598) | Send Message
     
    B Scully, capex and asset development to capture what is little more than a spot price is what got CHK in trouble. He's got enough money to buy assets off CHK and develop them on his own.
    27 Feb 2014, 03:05 PM Reply Like
  • 852456
    , contributor
    Comments (2) | Send Message
     
    What does EAPH have to do with CHF, company. I apologize, but I don't understand. I'm a newbee.
    27 Feb 2014, 04:43 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3360) | Send Message
     
    Sorry,

     

    Some humor here.

     

    But EAPH is a potentially lucrative spec play.

     

    It is focused on Dry Hole in particular.

     

    Apologies to others
    27 Feb 2014, 04:47 PM Reply Like
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