Top US Natural Gas Producer Chesapeake Energy Starts Laying Off Employees After Its Divestment of Eagle Ford Assets

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Chesapeake Energy, a leading natural gas producer in the United States, has started laying off employees this week following the completion of divestiture of its Eagle Ford oil assets last year.

Top US Natural Gas Producer Chesapeake Energy Starts Laying Off Employees After Its Divestment of Eagle Ford Assets
Chesapeake Energy, a leading natural gas producer in the United States, has started laying off employees this week. NICHOLAS KAMM/AFP via Getty Images

Chesapeake Energy Conducts Job Cuts

According to Reuters, the Oklahoma City-based company clarified that these layoffs were unrelated to its upcoming merger with Southwestern Energy. The company did not disclose the number of employees affected by this decision.

Earlier in 2023, Chesapeake sold a portion of its Eagle Ford assets to INEOS Energy for $1.4 billion and completed the divestiture by selling the rest to SilverBow Resources for $700 million.

Upcoming Merger Between Chesapeake Energy and Southwestern Energy

Chesapeake is currently finalizing a $7.4 billion merger with Southwestern Energy, which is expected to be completed in the second half of this year. This timeline was extended after the US Federal Trade Commission requested additional information.

As part of the merger, Chesapeake will see a leadership change, with its General Counsel Benjamin Russ being replaced by Southwestern General Counsel Chris Lacy, as indicated by a regulatory filing on May 7.

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Natural gas, Chesapeake Energy, United States, US, Chesapeake Energy Corp

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