Chesapeake Energy Fails To Make $13.5 Million In Interest Payments This Week - $9 Billion In Debt

[hatrack]

Last edited Tue Jun 23, 2020, 09:14 AM - Edit history (1)

Chesapeake Energy Corp., which has warned that it's unsure if it can survive much longer, failed to make $13.5 million in interest payments that came due this week, according to a federal filing.

The pioneering energy company grew to become one of the largest natural gas producers in the U.S., but it's racked up nearly $9 billion in debt. The Oklahoma City driller warned in May that "there is substantial doubt about the company's ability to continue as a going concern" with natural gas losing about a quarter of its value this year alone.

Chesapeake had struggled for years before the pandemic hit. Now, demand for energy has fallen in tandem with global economic growth due to a global pandemic. That has exacerbated weaknesses across the energy sector.

If Chesapeake fails to make its interest payments within 30 days, it could be declared in default, according to a regulatory filing with the Securities and Exchange Commission.

EDIT

https://www.eenews.net/energywire/2020/06/22/stories/1063429553

[Squinch]

1. They better not bail that shit out with my money.