April 2011 Vol. 238 No. 4

Projects

BHP Billiton Buys Chesapeakes Fayetteville Shale Interests

BHP Billiton will acquire all of Chesapeake Energy Corp. interests in the Fayetteville Shale, including the midstream pipeline system, for US$4.75 billion.

This includes 487,000 acres of leasehold and producing natural gas properties in Arkansas. This is the second-largest position in one of the largest gas fields in the world and increases BHP Billiton’s net reserve and resource base by 45%. These assets produce over 400 MMcf/d of gas and include development options that will support substantially higher production over a 40-year operating life.

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