July 29 Chesapeake Energy Corp said it
would spend $1.26 billion to buy back all of the outstanding
preferred shares issued by its CHK Utica unit to simplify its
balance sheet and eliminate about $75 million in annual dividend
The natural gas producer also said it would exchange some
acreage in Wyoming's Powder River Basin with a private oil and
gas producer RKI Exploration & Production LLC to consolidate its
holdings in the southern portion of the basin.
Chesapeake will pay RKI $450 million as part of the deal.
CHK Utica holds acreage in Ohio's Utica share field.
(Reporting by Swetha Gopinath; Editing by Ted Kerr)