The last time we checked in on Chesapeake Energy
Chesapeake's new Niobrara partner, China's CNOOC
The per-acre valuation works out to around $4,750 before discounting for the time value of money. That's less than half of what CNOOC paid to earn in to the Eagle Ford down in South Texas, as well as what companies like Williams
The simplest answer is that the Niobrara is at a much earlier stage of development than either of the aforementioned plays. The data points are encouraging, but limited to a relatively small number of early wells drilled by the likes of Noble Energy
The Chesapeake tide is lifting other Niobrara boats today, including Samson Oil & Gas
Fool contributor Toby Shute doesn't have a position in any company mentioned. Check out his CAPS profile or follow his articles using Twitter or RSS. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Motley Fool Alpha owns shares of Chesapeake Energy. The Motley Fool has a disclosure policy.