More from Chesapeake's (CHK) conference call: Acting CEO Steven Dixon says CHK had been locking...

More from Chesapeake's (CHK) conference call: Acting CEO Steven Dixon says CHK had been locking in prices for this year's gas sales and hedging for 2014 at prices "well above $4" per Mbtu. However, the immediate impact will be limited because CHK has already hedged 72% of this year’s expected revenues, after 2012 revenues had been hammered by not hedging before gas prices fell to 10-year lows. (also)

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Comments (5)
  • wigit5
    , contributor
    Comments (4365) | Send Message
    so 72% of this years gas has been hedged at 2012 prices? sounds great!
    1 Apr 2013, 02:59 PM Reply Like
  • Sir. Monaco
    , contributor
    Comments (362) | Send Message
    interesting, contract selling given the hurt they took last year. - Keep in mind that this also limits any upside, and if investors want value creation they are not getting it here...


    This just confirms the fact that the downside is more likely than any upside in natural gas pricing, - and that it coming straight from the CHK top,


    I do sincerely hope he does a great job as any new ceo should only be judged by their performance at a later date,


    With respect to building a company rather than a gambler, I like their contracting for safety, but fear it only shows their hand to the marketplace.


    I encourage readers to take a look at some of the instablogs we've posted on the pricing direction...
    1 Apr 2013, 03:27 PM Reply Like
  • iknow777
    , contributor
    Comments (32) | Send Message
    The real issue is how long will Mr. Icahn hang around? If he bails there are a lot of other plays. If he stays there is reason to believe that all the cards are not on the table and that CHK is worth the wait.
    1 Apr 2013, 04:39 PM Reply Like
  • Sir. Monaco
    , contributor
    Comments (362) | Send Message
    Yes. Generally speaking, I'm really not worried one bit about Carl. Actually from a shareholder's point of view Carl is the best thing (and you actually want him), however from a debt holders point of view he's trouble.


    However, with all that said, I'm looking at the market price of natural gas and CHK as a secondary event to the price fluctuations. Therefore, Carl really doesn't come into the equation, unless you're coming at if from who can extract more value and who can protect the company, yet as prices are too high in general I think it will be nice to look back at the charts and say "I wish I had sold back when natural gas was at $4.00, because right now we are at $3.00." It will take your breath away at how fast the tide will/can turn.
    1 Apr 2013, 05:16 PM Reply Like
  • nicholasblack
    , contributor
    Comments (46) | Send Message
    If we consider the long view then the trajectory of CHK becomes quite apparent:
    2 Apr 2013, 05:36 PM Reply Like
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