Aubrey McClendon is back. The founder and former CEO of Chesapeake Energy is about to close on $1.8 billion in equity and debt financing for a new exploration and production company, according to investors in the company, which is named American Energy Utica.
As its name implies, the company will be buying and developing land in the southern Utica Shale area that's rich in natural gas and natural gas liquids. McClendon's new company will be closing on the purchase of 80,000 acres in the Utica Shale in three separate transactions. With $1.35 billion in equity, along with $450 million in debt, having been raised, it's expected to move quickly to start the process of production with hopes of having 12 rigs operating within two to three years, according to investors in the company.