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Chesapeake stock down for week

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Chesapeake stock down for week

New leadership at Chesapeake Energy Corp. failed to rally the natural gas development company's stock.

Steven Dixon, a geologist who joined Chesapeake in 1991, emerged as interim chief operating officer to replace Aubrey McClendon, who announced he was departing in January after a storm of controversy. Chesapeake closed at $19.75 on Friday, down 3 percent for the week.

Mr. Dixon sought to calm investors on Monday, pledging not to exceed Chesapeake's planned drilling budget of $6 billion this year.

Mr. McClendon's departure was accelerated after a governance controversy and a cash crunch. Chesapeake invested heavily in gas and oil properties under Mr. McClendon before a collapse in natural gas prices.

Chesapeake plans to sell about $7 billion in energy-related properties this year to make up for losses.

The company's stock has advanced by about 17 percent this year, offsetting most of a 2012 decline of about 25 percent.

The Oklahoma City-based company holds mineral rights in the region and is a major gas-exploration company throughout the Marcellus Shale territory.


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