TribLIVE

| Business


 
Larger text Larger text Smaller text Smaller text | Order Photo Reprints

Shale pioneer hires Chesapeake for drilling job

On the Grid

From the shale fields to the cooling towers, Trib Total Media covers the energy industry in Western Pennsylvania and beyond. For the latest news and views on gas, coal, electricity and more, check out On the Grid today.

By Bloomberg News
Friday, April 18, 2014, 9:27 p.m.
 

Aubrey McClendon, the pioneering shale wildcatter who helped usher in America's energy renaissance, has hired the company that fired him to drill wells for his latest natural gas venture.

A subsidiary of McClendon's American Energy Partners LP is paying between $23,500 and $26,000 a day to rent seven rigs from Chesapeake Energy Corp., the Oklahoma City-based gas producer he co-founded a quarter-century ago, according to a proxy filing.

Chesapeake, which terminated McClendon last year amid a shareholder revolt, signed the six-month deal in October, according to the filing. Chesapeake's rigs are drilling for American Energy-Utica LLC in the Utica shale formation that stretches beneath much of Ohio.

McClendon, 54, was forced out of Chesapeake by a group of activist shareholders that included billionaire Carl Icahn and O. Mason Hawkins amid investor discontent over management missteps and controversy over McClendon's use of personal stakes in company-operated wells to borrow hundreds of millions of dollars.

 

 
 


Show commenting policy

Most-Read Business Headlines

  1. Mini goes mainstream
  2. Faulty air bags in 30M vehicles
  3. First Niagara sets aside $45 million
  4. Amazon investors’ patience wears thin
  5. Toyota Yaris adds French flair for ’15
  6. Bond mutual funds continue to carry their weight
  7. Motoring Q&A: ‘Check engine’ light doesn’t reset itself
  8. Highmark seeks double-digit increase for more benefits, heavy use
  9. Sell-off reins in complacency
  10. Chevron puts $20M into educating, training Appalachian workers
  11. Toy sellers to enhance marketing as holidays approach
Subscribe today! Click here for our subscription offers.