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A summary of our exploration and development, acquisition and divestiture activities in 2015 by operating division is as follows: Gross Wells Drilled

Net Wells Drilled

Southern .......

537

258

Northern .......

277

170

Total.........

814

428

Exploration and Development $

1,833

Acquisition Acquisition of Unproved of Proved Properties Properties ($ in millions) $ 120 $ —

1,220 $

3,053

334 $

454

Sales of Unproved Properties

Sales of Proved Properties

$

$

(128)

— $

(1,026)

(91) $

(219)

$

Total(a) $

799

(3)

1,460

(1,029)

$ 2,259

___________________________________________ (a)

Includes capitalized internal costs of $196 million and related capitalized interest of $410 million. Acreage

The following table sets forth our gross and net developed and undeveloped oil and natural gas leasehold and fee mineral acreage as of December 31, 2015. "Gross" acres are the total number of acres in which we own a working interest. "Net" acres refer to gross acres multiplied by our fractional working interest. Acreage numbers do not include our unexercised options to acquire additional acreage. Developed Leasehold Gross Net Acres Acres Southern .................. Northern .................. Total ................

5,420 1,885 7,305

2,704 1,424 4,128

Undeveloped Fee Minerals Leasehold Gross Net Gross Net Acres Acres Acres Acres (in thousands) 1,205 579 164 30 4,932 2,996 701 438 6,137 3,575 865 468

Total Gross Acres 6,789 7,518 14,307

Net Acres 3,313 4,858 8,171

Most of our leases have a three- to five-year primary term, and we manage lease expirations to ensure that we do not experience unintended material expirations. Our leasehold management efforts include scheduling our drilling to establish production in paying quantities in order to hold leases by production, timely exercising our contractual rights to pay delay rentals to extend the terms of leases we value, planning noncore divestitures to high-grade our lease inventory and letting some leases expire that are no longer part of our development plans. The following table sets forth as of December 31, 2015 the expiration periods of gross and net undeveloped leasehold acres. Acres Expiring Gross Net Acres Acres (in thousands) Years Ending December 31: 2016 ............................................................................................................................ 2017 ............................................................................................................................ 2018 ............................................................................................................................ After 2018 ................................................................................................................... Total(a) ...................................................................................................................

1,691 1,084 425 2,937 6,137

1,067 663 169 1,676 3,575

___________________________________________ (a)

Includes 1.565 million gross (797,272 net) held-by-production acres that will remain in force as our production continues on the subject leases, and other leasehold acreage where management anticipates the lease to remain in effect past the primary term of the agreement due to our contractual option to extend the lease term.

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Profile for Chesapeake Energy

2015 Annual Report  

2015 Annual Report