Chesapeake Energy Corp, posted a bigger-than-expected quarterly loss on Aug. 6, hurt by lower production and natural gas prices, as well as higher production costs.
Average realized price for its natural gas fell 6.1% in the second quarter, while production cost per barrel of oil equivalent jumped 28.7%.
Natural gas makes up for a majority of Chesapeake's production. But the company has been shifting its focus to oil production as natural gas prices have been pressured due to a lack of takeaway capacity, which has not kept up with the surge in output.
Headquartered in Oklahoma City, Chesapeake's operations are primarily focused in the Eagle Ford, Haynesville and Marcellus shale plays as well as the Stack and Scoop plays within the Midcontinent region.
Adjusted net loss attributable to Chesapeake widened to $158 million in the quarter ended June 30 from $118 million a year earlier.
On a per-share basis, it reported a loss of 10 cents, while analysts had anticipated a loss of 6 cents, according to IBES data from Refinitiv.
Production fell to 496,000 barrels of oil equivalent per day (boe/d) from 530,000 boe/d.
Revenue rose 4.2% to $2.39 billion.
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