Chesapeake Energy's stock surges after production outlook tops expectations
Shares of Chesapeake Energy Corp. surged 2.5% in premarket trade Wednesday, after the oil and gas company provided a fourth-quarter production outlook that was above expectations. The company said it estimates production for the latest quarter of 462,000 to 464,000 barrels of oil equivalent (BOE) per day, compared with the FactSet consensus of 448,000 BOE per day. Oil production is estimated to range from 86,000 to 87,000 barrels of oil per day, above the FactSet consensus of 85,200. Separately, the company said it reduced total debt by about $1.8 billion since the end of 2017. For 2019, the company said it expects to cut capital expenditures by lower its rig count by 20% to an average of 14 rigs. The company is expected to report full fourth-quarter results in the second half of February. The stock has tumbled 49.7% over the past three months through Tuesday, while the SPDR Energy Select Sector ETF has dropped 21.3% and the S&P 500 has shed 10.6%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.