“Chesapeake to Pay Down Bulk of $4 Billion Term Loan”
Filed by KOSU News in State Impact.
October 25, 2012
Chesapeake is planning to pay off more than half of its “pricey” bridge loan after netting $2.8 billion from selling off some oil and gas properties in the Permian Basin, Reuters reports.
The loan, made in May, was a lifeline at the time for the U.S. energy company that was staring at a funding shortfall of about $10 billion. So far this year, Chesapeake has sold about $12 billion of its assets, a situation that has alleviated its liquidity crunch. Chesapeake will reduce the existing amount on the loan to $1.2 billion in about a week and plans to pay its full balance by the end of the year, the Oklahoma City, Oklahoma, company said.
Read more at: www.reuters.com
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