Chesapeake at a Glance
Second-largest independent producer of U.S. natural gas:
We are the third-largest U.S. natural gas producer and we own an interest in approximately 39,200 oil and natural gas wells that are currently producing approximately 2.3 bcfe per day, 92% of which is natural gas.
Most active driller of new wells in the U.S.:
During the 2008 first quarter, Chesapeake
continued the industry's most active drilling program and drilled 478 gross (400 net)
operated wells and participated in another 422 gross (48 net) wells operated by other companies utilizing an average of 140 operated rigs and an average of 93 non-operated rigs. The company's drilling success rate was 100% for company operated wells and 98% for non-operated wells during 2007.
Top-tier growth profile:
Chesapeake has delivered exceptional growth and created substantial shareholder value. From 2002 through 2007, we increased our proved reserves at a 38% annualized rate to 10.9 tcfe, our average daily production at a 32% annualized rate to 2.2 bcfe/d and our fully diluted adjusted earnings per common share at a 42% annualized rate to $3.21 per share. Chesapeake has achieved outstanding financial and operations results through the 2008 first quarter, having increased proved reserves to 11.5 tcfe and average daily production to approximately 2.3 bcfe/d and also achieving adjusted earnings per fully diluted common share of $1.09.
The largest U.S. unconventional gas resource play:
We have built an industry leading position of 13.9 million net acres of U.S. onshore leasehold and 20.0
million acres of 3-D seismic data. On this very large acreage position that is focused on the industry's leading unconventional gas resource plays, we have identified an estimated 33,700 net drilling sites, representing a backlog of more than ten years of future drilling opportunities at current drilling rates.