Oklahoma City, Oklahoma – Chesapeake Energy Corporation, a leading energy company, participated in the JP Morgan Energy, Power, and Renewables Conference on June 18, 2024. The President and CEO, Domenic Dell’Osso, engaged in a fireside chat with Michael Johnson from JP Morgan.

Dell’Osso provided insights on the timing of the Southwestern merger, noting that the company expects it to be completed in the second half of the year. Despite challenges such as a second request from the FTC, the company remains committed to the process. The decision to curtail production and reduce CapEx was strategically made to align with market dynamics, ensuring value creation for shareholders. Dell’Osso emphasized the importance of flexibility in responding to supply-demand dynamics in the industry.

The conversation delved into the company’s approach to managing production declines, highlighting the changing market perceptions around declining production and the company’s ability to adapt with a healthier balance sheet. Dell’Osso discussed the factors influencing the company’s decision-making, such as operational efficiencies and market demand forecasts. The company’s strategies for unwinding curtailments and capital reductions were also explored, providing insights into the different phases of production restoration.

Regarding market access and pipeline infrastructure, Dell’Osso expressed confidence in the company’s ability to reach various markets and optimize gas deliveries. Discussions on LNG market exposure and hedging strategies shed light on the company’s risk management approach and future outlook. The conversation also touched on Chesapeake’s focus on lowering breakevens, maximizing revenue opportunities, and maintaining a disciplined capital return framework.

The Q&A session addressed industry challenges, market outlooks, and Chesapeake’s production profiles, revealing the company’s strategic responses to market dynamics and operational uncertainties. Dell’Osso’s insights on industry trends, regulatory challenges, and future growth opportunities provided valuable perspectives on Chesapeake Energy Corporation’s position in the market.

As the discussion concluded, both parties highlighted the importance of continuous adaptation, prudent decision-making, and maintaining a strategic focus on long-term value creation for stakeholders. The insights shared during the conference call underscored Chesapeake Energy Corporation’s commitment to operational excellence, financial discipline, and sustainable growth in a rapidly evolving energy landscape.