The Strategist

US Chesapeake Energy files for bankruptcy

06/29/2020 - 06:36

Chesapeake Energy, a US-based shale oil producer, filed for bankruptcy, the company’s website reads. The company requested protection under Chapter 11 of the United States Bankruptcy Act, which allows for the reorganization of activities.

The company's debt is estimated at approximately $ 7 billion. The company entered into an agreement with lenders, according to which it will be allocated a loan of $ 925 million, and lenders and holders of secured bills should allocate $ 600 million to the company.

Chesapeake Energy is one of the pioneers in the US oil shale industry. The company was founded in 1989 by Aubrey McClendon. In 2016, he died in an accident.

It was previously reported that US shale oil producers wrote off up to $ 300 billion in the second quarter. In the first quarter of this year, US shale oil producers wrote off assets worth $ 38 billion.