Chesapeake Energy Corporation and CNOOC Limited Announce Closing of Niobrara-Focused DJ Basin and Powder River Basin Project Cooperation Agreement

The link to the article is here. In a nutshell Chesapeake has sold 33% interest of its 800,000 acres in the DJ and Powder River Basins to the largest Chinese Oil company for 570 million in cash to support “accelerating the development of this large domestic oil and natural gas resource”.

Lets theorize, if those acres were contiguous, 800,000 / 640 (1 sq mi) with at least 1 well per section, then that’s 1250 wells. …And we know with horizontal drilling there will be more than 1 hole per section. Folks, this play is going to be a BIG!

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