Louisiana Tech Energy Systems Conference November 5, 2009

2 Chesapeake Energy Industry Leader in the exploration and development of domestic deep shale gas resources “Best-Managed Energy Company” Forbes, January 2007 Fortune 100 Best Companies to Work For 2008 & Oklahoma Governor’s Pinnacle Award (Safety and Health) 2009 Compass Award (Outstanding Ethics) 2009 Natural Gas STAR Production Partner of the Year

3 Chesapeake Energy ● Industry’s most active drilling program during The company is currently using 105 operated drilling rigs to develop its inventory of approximately 35,500 net drillsites ● Exceptional drilling success rate – 99% ● One of the largest independent producers of natural gas; bcfe (Q3) ● Exclusively onshore and domestic ● Focused on natural gas ● Growth through drill bit and acquisitions ● Founded in 1989 NYSE: CHK

4 Domestic Natural Gas Exploration and Production From Deep Shale Formations is Chesapeake’s Focus and Expertise Scale: 1 inch = ≈275 miles CHK field offices Counties with CHK leasehold Thrust Belt CHK OKC headquarters CHK operated rigs (~94} Mississippian & Devonian black shales CHK non-operated rigs (~40) ● Gas-focused ● Well-diversified ● All onshore U.S. ● Not in the GOM (high and dry) ● Not in the Rockies (fewer political/environmental hassles, better natural gas prices) ● Not international (lower political risk) Anadarko Basin Barnett Shale South Texas Texas Gulf Coast Permian Basin Laramide Thrust Belt Ouachita Thrust Belt Eastern Overthrust Belt Delaware Basin Barnett and Woodford Shale Plays Fayetteville Shale Marcellus Shale Lower Huron & Other Appalachia Haynesville Shale Ark-La-Tex

5 Haynesville Shale - Overview ● CHK discovered in 2007, the Haynesville Shale is likely to become one of the two largest natural gas fields in the U.S. – Play encompasses approximately a 3.5 mm acre area in northwest LA and east TX ● CHK is the largest leaseholder in the play with ~620,000 acres under control, primarily focused in the core – Currently operating 35 rigs in the play; plan to top out at ~40 in ‘10 ● Currently producing ~330 net mmcfe/day (450 mmcfe gross operated) and anticipates exceeding ~370 net mmcfe/day (500 mmcfe gross operated) by year-end By the end of 2010, ~500 net/ 670 gross. By the end of 2011, ~690 net/930 gross

6 Haynesville Shale – Last 12 Months ● Significant accomplishments since October, 2009 – Increased rig count from 14 to 35 operated rigs (32% of industry total) –Increased proved reserves from 135 to 714 bcfe –Reduced average spud to rig release from 64 to 47 days –Decreased average well cost from $9.5 million to $6.9 million –Increased highest to-date IP rate from 14 mmcfe/day to 29 mmcfe/day –Increased net production from ~50 mmcfe/day to ~330 mmcfe/day –Increased total acreage to 620,000 acres –Increased drilled and completed horizontal wells to 137 –Increased 3D seismic acquired from 53 sq miles to 348 sq miles –Currently permitting or shooting 830 sq miles of additional 3D seismic data ● Secured 1.3 bcfe/day of firm transportation capacity for CHK production ● Created 1.1 bcfe/day of gathering capacity ● Over the past two years, CHK has rapidly shifted from exploration to full-scale development and increased its rig count from 1 rig to 35 rigs and is on its way to 40 rigs

7 CHK is King of the Haynesville Core ● CHK discovered the Haynesville and from the beginning targeted the Core ● In the past three years, CHK has built the dominant leasehold position in the Core ● CHK has already HBP’d 88,000 net acres (17%) of total 510,000 net acres – Estimated HBP by YE’09 ~109,000 net acres (from CHK operated wells only) – Estimated HBP by YE’10 ~218,000 net acres (from CHK operated wells only) – Estimated HBP by YE’11 ~330,000 net acres (from CHK operated wells only) ● 150 million years old ● feet thick ● miles below surface ● Targeted EUR of bcfe per well (6.5 bcfe mid-point EUR)

8 Bossier Shale Overview ● CHK has the industry’s largest combined resource potential in the Haynesville and Bossier Shales ● CHK is the largest leasehold owner in the play ● CHK currently owns ~175,000 net acres of leasehold prospective for Bossier Shale ● CHK’s initial Bossier Shale test, the Blackstone 26 H-1 had an initial production rate of 9.4 mmcfe/day on August 2, 2009; averaged 8.1 mmcfe/day in the first 30 days ● CHK’s leasehold position in the Bossier Shale has risked unproved reserves of ~2.3 tcfe and unrisked proved reserves of ~9 tcfe ● Currently drilling second Bossier Shell well, Muench 10H-1, in southern DeSoto Parish ● Two additional industry Bossier Shale horizontal wells are currently producing

9 CHK is also King of the Haynesville/Bossier Shale Overlap Core ● From Barnett to Haynesville to Marcellus, CHK has always focused on leasing the highest quality rock – dividends from this policy will pay off for decades to come ● CHK anticipates having an interest in roughly 80% of the wells drilled in the Haynesville and Bossier Core area ● CHK is concentrated in geologically stable areas where faulting and depth issues are minimized ● Haynesville Core area has the best reservoir characteristics within the entire Haynesville play ● All of the wells that have IP’d at >20 mmcfe/day are in the Haynesville Core ● In addition, at 175,000 net acres, CHK has the dominate leasehold position in the emerging Bossier Shale Core and especially where the two Core areas overlap in LA

10 Haynesville Shale – Emphasis on Superpads ● Design of drilling program minimizes surface impact and maximizes getting leases held-by-production ● Superpads – Reduced surface impact – Fewer rig moves – 8 wells per superpad – 16 wells per superpad in Haynesville/Bossier stacked fairway – 1 superpad per section ● Wells – 80-acre spacing (8 per section) – 660’ nominal wellbore spacing – Single 4,500’ lateral – Oriented north-south ● No current plans to drill multi-lateral stacked horizontals due to too much operational risk ● Gathering systems east-west along section lines between superpads

11 Haynesville/Bossier Shale - Summary ● CHK has the #1 position in the #1 play in the U.S. ● Haynesville/Bossier Shale will likely become one of the two largest natural gas fields in the U.S. ● CHK is the largest leaseholder in the Haynesville and Bossier Shale plays – CHK will likely end up participating in roughly 50% of all wells in the play ● Overall project has the potential to add ~39 tcfe of unrisked unproved reserves to CHK – Haynesville Shale upside is ~30 tcfe of unrisked unproved reserves to CHK – Bossier Shale upside is ~9 tcfe of unrisked unproved reserves to CHK ● CHK net production projected to increase to ~370 mmcfe/day by the end of 2009, ~500 mmcfe/day by the end of 2010 and ~690 mmcfe/day by the end of 2011

12 Impact of the Haynesville Shale ● Chesapeake currently conducts business with over 250 local Louisiana companies for our operations in the Haynesville ● Industry’s Economic Impact in 2008 – Generated approximately $2.4 billion in new business sales within the state of Louisiana. – Created nearly $3.9 billion in household earnings. – Generated an increase of 32,742 new jobs within the state in As a reference point, this is slightly larger than total employment in all of Louisiana’s banks and credit unions. The job multiplier is remarkably large in this case due to the fact that $3.2 billion in lease and royalty payments were injected into the state’s economy by the extraction firms. – Increased state and local tax revenues by at least $153.3 million due to the extraction activities in the Haynesville Shale. ● Chesapeake’s Community Activity – Together WE ALL WIN! – Growing list of partners in NW Louisiana – Scholarships, vehicle donations, and community sponsorships,

13 Astute Federal Policies Will Allow Natural Gas to Be the Clean Energy “Bridge” ● Natural gas is an affordable alternative to imported oil and gasoline and supports the use of such intermittent renewables as wind and solar with clean baseload ● When used directly as CNG, natural gas provides – Up to 30% fewer C02 emissions – Up to 70% fewer smog-forming pollutants – An answer to a carbon regulated world  Transportation sector emissions represent 40-70% of all pollution OR ● Natural gas can be used indirectly as the power behind the “plug” – PHEV’s and EV’s will require “clean” power for optimal environmental benefit

14 Compressed Natural Gas (CNG) - The Energy Answer! CLEAN – Produces 93-95% less overall toxics and reduces greenhouse emissions by 20-30% compared to gasoline and diesel vehicles. AMERICAN – 98% of the natural gas use is produced in North America. We purchase 70% of our oil from foreign nations. ABUNDANT – Natural gas reserves continue to be discovered and increase each year. The U.S. has enough natural gas to last for 120 years and beyond. AFFORDABLE – CNG costs on average are over one third less than conventional gasoline at the pump.

15 NATIONAL SECURITY ● The U.S. controls 4% of the world’s oil reserves yet we consume 25% of the total global production – American producers control all of our needed natural gas reserves. Compressed Natural Gas (CNG) – The Energy Answer! ENVIRONMENTAL ● 40 – 70% of emissions are from the transportation sector – Non-attainment will adversely affect economic stability. – Health problems created by transportation pollution will increase medical costs. AMERICAN ECONOMY AND THE AMERICAN CONSUMER ● Create jobs and new businesses

16 ● Louisiana CNG Legislation – CNG legislation increases the personal income tax credit from 20% to 50% for conversion equipment on vehicles – 20% to 50% credit increase on fueling infrastructure – Increases income tax credit to $3000 for purchase of dedicated vehicles. – Repeals prohibition for a business to receive both a Quality Jobs income tax credit and our CNG credit. This landmark legislation will be an adrenaline shot to the market in Louisiana – propelling Louisiana to a leading clean energy state Shreveport –Bossier City as model “Clean City” in the U.S.??? Louisiana’s Leadership – Paving the Way for Clean Natural Gas Vehicles Using NGVs in the Heavy Duty Class Will Enable Stable Supply and Demand Growth While Reducing Emissions and Keeping Billions Of Dollars in the US Empowering America Current examples of natural gas vehicles

17 Compressed Natural Gas (CNG) – The Energy Answer! 1Argentina 1,650,000 (12%)1,4001,180 2Pakistan 1,550,000 (54%)1, Brazil 1,425,513 (26%)1, Italy 432,900 (12%) India 334,820 (34%)3211,043 6Iran 263,662 (82%)1791,472 7Colombia 203,292 (65%) USA 146,876 (9%)1, China 127,120 (24%) Ukraine 100,000 (33%) STATIONSCNG VEHICLES (Annual Growth Rates ) NGVs / STATION Growing Markets: Germany, Sweden, Japan

18 Recent Developments SporTran/Bossier/CATS AT&T to Invest up to $565 million in natural gas, hybrid vehicles – AT&T will purchase 15,000 new vehicles over the next 10 years. The majority of vehicles acquired will be natural gas vehicles, especially the heavier trucks. Louisiana Act 469 – Will increase personal and corporate income tax credits for use of CNG NAT GAS Act of 2009 – Sponsored by Rep. Dan Boren (D-OK) and John Larson (D-CT) Congressional Natural Gas Caucus

19 “Phill” is Right at Home ● Using the home refueling station, fuel costs drop to approximately 60% of gasoline ● State and federal tax credits can offset or even completely cover the initial purchase price. ● Benefits: – Convenient – re-fuels a typical compact car overnight. – Quiet – produces no more noise than an air-conditioning unit. – Economical – uses no more electricity than an average small appliance. – Flexible – easily mountable inside or outside a garage.

20 QUESTIONS?

21 Contact Us J. Kevin McCotter Director – Corporate Development