Natural gas titan Chesapeake Energy (NYSE:CHK) has put more than 28,000 net acres of drilling fields in Oklahoma up for sale, according to reports.
According to a listing on the Meagher Energy Advisors website, Chesapeake's 28,360 net acres in southwest Oklahoma have a total of 117 wells, including 113 producing. The listing says Chesapeake's drilling budget "is not sufficient to fully develop its leasehold in this area."
The Wall Street Journal quotes a Chesapeake spokesman as saying the property for sale is a "small, noncore package of acreage and not connected to our significant Hogshooter discovery."
The nation's second-largest natural gas producer has been pressured to reduce spending as gas prices remain low. Chesapeake has aimed for up to $14 billion in sales of current assets this year to make up for the low prices, complemented by a $5 billion target next year.
Dan Carroll has no positions in the stocks mentioned above. The Motley Fool has the following options: long JAN 2013 $16.00 calls on Chesapeake Energy, long JAN 2013 $25.00 calls on Chesapeake Energy, short JAN 2014 $17.00 puts on Chesapeake Energy, long JAN 2014 $20.00 calls on Chesapeake Energy, and long JAN 2014 $30.00 calls on Chesapeake Energy. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.