On Brink Of Collapse, Fracking Giant Chesapeake Energy Slashed Royalties To Property Owners

By Nick Visser

ProPublica’s Abrahm Lustgarten reports:

This story was co-published with The Daily Beast.

At the end of 2011, Chesapeake Energy, one of the nation’s biggest oil
and gas companies, was teetering on the brink of failure.

Its legendary chief executive officer, Aubrey McClendon, was being
pilloried for questionable deals, its stock price was getting hammered and the company
needed to raise billions of dollars quickly.

The money could be borrowed, but only on onerous terms. Chesapeake,
which had burned money on a lavish steel-and-glass office complex in Oklahoma
City even while the selling price for its gas plummeted, already had too much
debt.

In the months that followed, …read more

Source: Huffington Post Green

    

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