Chesapeake Energy Forced to Shift its Focus

By Taylor Muckerman and Joel South – Nov 30, 2012 at 12:00PM

OTC: CHKA.Q

Chesapeake Energy

With the sustained low price of natural gas, Chesapeake Energy is shifting gears to focus on liquids.

In this video, Motley Fool energy analysts Taylor Muckerman and Joel South discuss Chesapeake Energy's (NYSE: CHK) new and balanced resource attack. With the sustained low price of natural gas the company is moving to more profitable liquid plays, including oil and natural gas liquids, such as propane and butane.

At over 190% growth in liquids production over the past 24 months through Sept. 30, it is easily the fastest grower in this area over peers EOG Resources (NYSE: EOG), SandRidge Energy (NYSE: SD), and Continental Resources (NYSE: CLR), all of which are also showing strong growth of between 116% and 125%.

Additionally, good things are on the way in the upcoming quarters, as the company continues to reduce debt by selling off assets as part of refocusing on more strategic plays.

Joel South owns shares of SandRidge Energy. Taylor Muckerman has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. 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.