During 2012 First Three Quarters, Company Adds New Net Proved Reserves of 3.9 Tcfe through the Drillbit; Total Proved Reserves Decrease 14% to 16.2 Tcfe, or 2.7 Bboe, Due to Downward Price-Related Revisions and Net DivestituresThe company's September 30, 2012, proved reserves were 16.2 trillion cubic feet of natural gas equivalent (tcfe), or 2.7 billion barrels of oil equivalent (bboe), a 14% decrease from year-end 2011. Chesapeake added 3.9 tcfe, or 650 million barrels of oil equivalent (mmboe), of new proved reserves (net of 596 bcfe of non-price related revisions) through the drillbit at a drilling and completion cost of $1.92 per mcfe, or $11.52 per barrel of oil equivalent (boe) during the first three quarters of 2012. Primarily as a result of lower U.S. natural gas prices, the company also recorded downward revisions of 4.9 tcfe, or 810 mmboe, during the first three quarters of 2012, largely associated with the removal of proved undeveloped reserves (PUDs) in the company’s Barnett and Haynesville Shale plays. Additionally, during this period, Chesapeake recorded net divestitures of 507 bcfe, or 85 mmboe.
|Pricing Method||Natural Gas Price ($/mcf)||Oil Price ($/bbl)||Proved Reserves (tcfe)||PV-10 (billions)||Proved Developed Percentage|
|Trailing 12-month avg (SEC) (a)||$2.83||$95.05||16.2||$18.5||59%|
|9/30/12 10-year avg NYMEX strip (b)||$4.80||$88.58||22.2||$29.5||52%|