'Excited about what this merger means': Chesapeake Energy CEO looks at company's future amid merger - KOCO Oklahoma City

Chesapeake Energy CEO Nick Dell'Osso looks at company's future amid merger

In life, there are ups and downs. The same can be said for Chesapeake Energy.

The Oklahoma City company grew to an incredible size and prestige only to fall to the point that three years ago, it had to file for Chapter 11 bankruptcy protection. But Chesapeake didn't just survive, in many ways, it is thriving.

| MORE | Chesapeake Energy announces merger with Southwestern Energy

Now, it stands ready to create a new identity. This week, the company's CEO discussed the new company they are creating and what it means for Oklahoma City.

"A friend of mine was just talking to me yesterday about Chesapeake," KOCO 5 anchor Evan Onstot said. "He's very familiar with the company, and he said that this is the best Chapter 11 bounce-back story, maybe in history. Is he right?"

"Well, I certainly would agree. I may be a little biased in that," Chesapeake CEO Nick Dell'Osso replied.

If there is anyone who can truly appreciate where Chesapeake Energy stands now, it is Dell'Osso. He took over the company after it emerged from Chapter 11 bankruptcy protection in 2021 and has been with Chesapeake since 2008.

So, what's changed about today's Chesapeake from the company Dell'Osso joined more than 15 years ago?

"There are so many things about the company that have never changed, and that's where I would really point to people," Dell'Osso said. "What has changed, of course, is that the company has evolved into an organization that is highly profitable, is very sustainable for the long term, will be a part of the economy and a part of this community for a very long time in a really productive way."

During his time in Oklahoma City, Dell'Osso watched Chesapeake go from aggressive growth to a shrinking company on the verge of bankruptcy. Under his leadership, the company has emerged from the Chapter 11 restructuring.

Although Chesapeake is smaller in personnel, it might be stronger than before.

In January, Dell'Osso announced that Chesapeake would merge with Southwestern Energy in Houston, making the newly combined company the country's largest natural gas producer.

"Through that struggle, we built the assets that we have today," Dell'Osso said about how the struggles became the company's bedrock. "We've built the capabilities. We built the presence in the market to be able to deliver on the promise of delivering energy to consumers today, which is lower carbon and more affordable, more reliable than all the other competitors."

There are still many unknowns with this merger and the still-to-be-named company it will create. But two things we do know are that Dell'Osso will stay on as CEO and the company will continue to be headquartered in OKC, a city that Chesapeake has for years had an oversized influence.

"I absolutely expect us to be hugely important to this city, hugely important to the oil and gas industry, hugely important to the economy right now," Dell'Osso said. "We're really proud to be here in Oklahoma City, and we're excited about what this merger means and solidifies that."

Dell'Osso would not get into specifics about the merger's potential new hires or layoffs, but he said he's excited about what this new company will mean for its employees.

He's also excited about where those OKC-based employees will soon do their work – a single building on the sprawling Chesapeake Energy campus in Nichols Hills. Dell'Osso said they will use as much square footage there as the company currently uses spread out over multiple buildings and will be a more modern, efficient workplace.

But what about the rest of the campus?

"The real estate is this campus is a spectacular asset that the company owns. We're very proud of this, and we live in this community. We work in this community. And what this represents to this community is really important to us," Dell'Osso said. "Not only is it a beautiful asset and one that we think is underutilized ... today, it sits in a really important part of the city and it's under development that's going on around here. And we're pretty excited to engage with our neighbors and the community at large to determine a better use for buildings that are underutilized today."

There's no concrete timeline for the merger to close, but both Chesapeake and Southwestern hope it closes in the second half of this year.

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And what does Dell'Osso want the people of OKC to think about when they think of Chesapeake?

"Chesapeake is a very healthy company that is fulfilling an enormous need in the energy industry. We are driving innovation, driving the delivery of energy to market where it is needed that we've had a hard time reaching today," he said. "And we're doing so with lower costs, which is great for consumers and creates more profitable, sustainable enterprise for this city as we create value for our shareholders. That creates value for the community around us. And we're really pleased to do that, and we're really proud to do it right now."

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