Chesapeake To Sell Southern DJ Assets

Link here to Rigzone.

Chesapeake Energy will sell approximately 500,000 net leasehold acres and 29 operated and producing wells in the southern portion of the Denver-Julesberg (DJ) Basin in Colorado....

The company considers the area to be highly prospective, but no longer core to the company's operations....

The acreage for sale encompasses all of Chesapeake's holdings in northeastern Colorado, and will allow Chesapeake to concentrate on developing its 500,000 net acres of Niobrara leasehold in the Powder River Basin in east central Wyoming.

Chesapeake will continue to exit from non-core operations as it focuses on 10 areas it considers core, the spokesperson said. The sale will not impact the company's joint venture with CNOOC because all Niobrara drilling has been refocused into Powder River.

Note: this story says Chesapeake will focus on 10 areas it considers core. If readers remember, in its earnings call, Chesapeake said it was focusing on 11 core areas:

In fact, we think it's the best in the industry. We've now established #1 position in the Utica, Mississippi Lime, Granite Wash, Cleveland, Tonkawa, Powder River in the Niobrara, Marcellus, Haynesville and Bossier plays. In addition, we have established #2 positions in the Eagle Ford and the Barnett. No one else in the industry has assembled anything close to this scale and quality of an asset portfolio. In short, we've built a very strong foundation of 11 #1 and #2 positions in the nation's best plays.

So, either he misspoke saying 10 core areas, or they've eliminated another core asset. The Powder River was one of the "original" 11. Maybe I'm misreading this.