Chesapeake Energy Corporation Announces Substantial Progress in Achieving Its 30/25 Plan

Chesapeake Energy Corporation (NYSE:CHK) today announced substantial
progress in achieving its long-term debt reduction goal set forth in its
30/25 Plan announced in January 2011. Chesapeake′s long-term debt (net
of cash) as of year-end 2011 was approximately $10.3 billion, a
reduction of $1.4 billion from the September 30, 2011 level of $11.7
billion and a reduction of $2.2 billion from the year-end 2010 level of
$12.5 billion. Chesapeake′s 30/25 Plan calls for the company′s long-term
debt (net of cash) to be approximately $9.5 billion as of year-end 2012
and the company fully intends to achieve this level by year-end 2012,
regardless of the price of natural gas during the year. In the first
year of the plan, Chesapeake achieved more than 70% of its two-year goal
and reduced its long-term debt (net of cash) per unit of proved reserves
from $0.73 per thousand cubic feet of natural gas equivalent (mcfe) to
approximately $0.55 per mcfe, a debt per mcfe reduction of 25% in just
one year.

The 30/25 Plan also calls for the company to increase its production by
30% during the two-year period ending December 31, 2012, net of property
divestitures. The Plan′s original goal of 25% production growth was
increased to 30% in July 2011. During 2011, Chesapeake increased its
annual production by 15% to an average of approximately 3.27 billion
cubic feet of natural gas equivalent per day. However, if natural gas
prices remain at currently depressed levels, Chesapeake will further
reduce its drilling capital expenditures on dry natural gas plays, which
would likely decrease its projected natural gas production and could
reduce its two-year production growth target below 30%.

Despite the divestiture of approximately 2.8 trillion cubic feet of
natural gas equivalent (tcfe) of proved reserves, Chesapeake announced
preliminary estimated year-end 2011 proved reserves of approximately
18.8 tcfe, an increase of 10% from year-end 2010 levels.

In addition, Chesapeake provided an update on its hedging position and
disclosed it has downside protection in place on approximately 44% of
its projected liquids production for the first half of 2012 at an
average price of $101.72 per barrel (bbl) and approximately 25% of its
projected liquids production for the second half of 2012 at an average
price of $102.59 per bbl.

Chesapeake Energy Corporation is the second-largest producer of
natural gas, a Top 15 producer of oil and natural gas liquids and the
most active driller of new wells in the U.S.Headquartered
in Oklahoma City, the company's operations are focused on discovering
and developing unconventional natural gas and oil fields onshore in the
U.S.Chesapeake owns leading positions in the Barnett,
Haynesville, Bossier, Marcellus and Pearsall natural gas shale plays and
in the Granite Wash, Cleveland, Tonkawa, Mississippi Lime, Bone Spring,
Avalon, Wolfcamp, Wolfberry, Eagle Ford, Niobrara, Three Forks/Bakken
and Utica unconventional liquids plays.The company has
also vertically integrated its operations and owns substantial
midstream, compression, drilling, trucking, pressure pumping and other
oilfield service assets directly and indirectly through its subsidiaries
Chesapeake Midstream Development, L.P. and Chesapeake Oilfield Services,
L.L.C. and its affiliate Chesapeake Midstream Partners, L.P. (NYSE:CHKM).Chesapeake′s stock is listed on the New York Stock Exchange under
the symbol CHK.Further information is available at www.chk.com
where Chesapeake routinely posts announcements, updates, events,
investor information, presentations and news releases.

This news release includes 'forward-looking statements' that give
Chesapeake's current expectations or forecasts of future events,
including estimated net long-term debt, production and proved reserves.
Although Chesapeake believes the expectations and forecasts reflected in
these forward-looking statements are reasonable, it can give no
assurance they will prove to have been correct. They can be affected by
inaccurate assumptions or by known or unknown risks and uncertainties.
Factors affecting Chesapeake′s business are described under 'Risk
Factors? in Chesapeake's 2010 Form 10-K filed with the U.S. Securities
and Exchange Commission on March 1, 2011. Chesapeake cautions you not to
place undue reliance on its forward-looking statements, which speak only
as of the date of this news release, and undertakes no obligation to
update this information.

Chesapeake Energy Corporation

Investor Contacts:

Jeffrey L.
Mobley, CFA, 405-767-4763

jeff.mobley@chk.com

or

John
J. Kilgallon, 405-935-4441

john.kilgallon@chk.com

or

Media
Contacts:

Michael Kehs, 405-935-2560

michael.kehs@chk.com

or

Jim
Gipson, 405-935-1310

jim.gipson@chk.com