Chesapeake, struggling to survive, skips $13.5M in payments

OKLAHOMA — Chesapeake Energy, the struggling shale gas driller which was once one of the largest natural gas producers in the U.S., has missed $13.5 million in interest payments due this week.

The Oklahoma City company is saddled with almost $9 billion in debt. It warned in May that “management has concluded that there is substantial doubt about the company’s ability to continue as a going concern.”

The coronavirus pandemic drained energy demand around the world, forcing oil and gas companies to slash jobs and expenses. The pandemic has exacerbated the problems of debt-laden companies like Chesapeake and others in the energy sector.