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3q’15 earnings

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3q’15 earnings November 4, 2015


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Forward-looking statements This presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are statements other than statements of historical fact. They include statements that give our current expectations or forecasts of future events, production and well connection forecasts, estimates of operating costs, planned development drilling and expected drilling cost reductions, capital expenditures, expected efficiency gains, our ability to improve margins, reduce operating and G&A expenses, optimize base production, use leading-edge technology to drive capital efficiency, the timing of anticipated noncore asset sales and proceeds to be received therefrom, projected cash flow and liquidity, business strategy and other opportunities, plans and objectives for future operations (including restructuring of midstream gathering agreements), and the assumptions on which such statements are based. Although we believe the expectations and forecasts reflected in the forward-looking statements are reasonable, we can give no assurance they will prove to have been correct. They can be affected by inaccurate or changed assumptions or by known or unknown risks and uncertainties. Factors that could cause actual results to differ materially from expected results include those described under "Risk Factors” in Item 1A of our annual report on Form 10-K and any updates to those factors set forth in Chesapeake's subsequent quarterly reports on Form 10-Q or current reports on Form 8-K (available at http://www.chk.com/investors/sec-filings). These risk factors include the volatility of oil, natural gas and NGL prices; write-downs of our oil and natural gas carrying values due to declines in prices; the availability of operating cash flow and other funds to finance reserve replacement costs; our ability to replace reserves and sustain production; uncertainties inherent in estimating quantities of oil, natural gas and NGL reserves and projecting future rates of production and the amount and timing of development expenditures; our ability to generate profits or achieve targeted results in drilling and well operations; leasehold terms expiring before production can be established; commodity derivative activities resulting in lower prices realized on oil, natural gas and NGL sales; the need to secure derivative liabilities and the inability of counterparties to satisfy their obligations; adverse developments or losses from pending or future litigation and regulatory proceedings, including royalty claims; the limitations our level of indebtedness may have on our financial flexibility; charges incurred in response to market conditions and in connection with actions to reduce financial leverage and complexity; drilling and operating risks and resulting liabilities; effects of environmental protection laws and regulation on our business; legislative and regulatory initiatives further regulating hydraulic fracturing; our need to secure adequate supplies of water for our drilling operations and to dispose of or recycle the water used; federal and state tax proposals affecting our industry; potential OTC derivatives regulation limiting our ability to hedge against commodity price fluctuations; impacts of potential legislative and regulatory actions addressing climate change; competition in the oil and gas exploration and production industry; a deterioration in general economic, business or industry conditions; negative public perceptions of our industry; limited control over properties we do not operate; pipeline and gathering system capacity constraints and transportation interruptions; cyber attacks adversely impacting our operations; and interruption in operations at our headquarters due to a catastrophic event. In addition, disclosures concerning the estimated contribution of derivative contracts to our future results of operations are based upon market information as of a specific date. These market prices are subject to significant volatility. Our production forecasts are also dependent upon many assumptions, including estimates of production decline rates from existing wells and the outcome of future drilling activity. Expected asset sales may not be completed in the time frame anticipated or at all. We caution you not to place undue reliance on our forward-looking statements, which speak only as of the date of this presentation, and we undertake no obligation to update any of the information provided in this presentation, except as required by applicable law. 2 3Q'15 EARNINGS


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3Q’15 financial and Operational results Includes stock-based compensation Adjusted for asset sales Oil and NGLs collectively referred to as “liquids” Note: Reconciliation of non-GAAP measures to comparable GAAP measures appear on pages 11 – 12 3 3Q'15 EARNINGS


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Near-Term Strategy 3Q'15 EARNINGS 4


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Financial stability maximizing liquidity Proactively working to increase liquidity Amended credit facility agreement maturing in 2019 Noncore divestitures expected to total $200 – $300mm by 1Q’16 Maintaining capital discipline during challenging commodity environment On target to beat February production guidance for FY 2015 despite: $500mm capital spending reduction Average voluntary curtailment of ~35,000 boe/d YTD 3Q'15 EARNINGS 5 Portfolio strength and flexibility provides financial stability; spending less and producing more


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Financial stability credit facility amendment 3Q'15 EARNINGS 6 Financial security and flexibility Borrowing base confirmed at $4.0 billion Facility maturing in 2019 Covenants restructured in light of low commodity prices $2.4 billion of additional secured debt available, should conditions warrant Operational flexibility Reduced commitments and continually improving capital efficiency positions Chesapeake to run a reduced capital program in 2016 to support liquidity focus Depth of portfolio allows for continued, methodical sales of noncore assets to enhance value


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Operational leadership 7 3Q'15 EARNINGS Enhanced base production of existing assets Generated an additional 7 mmboe net YTD Focused programs on compression and artificial lift Reduced downtime through enhanced winterization activities (1) Lateral lengths reported are drilled footage, not completed footage Development teams extending technological limits with operations program Drilled the longest laterals(1) in each of our major operating areas in 2015; significantly enhancing economics Long laterals improve capital efficiency ($/boe) by 20 – 25% companywide


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Portfolio strength and flexibility (2) Assumes NYMEX natural gas price of $3.00/mcf held constant (1) Assumes NYMEX oil price of $50/bbl held constant 8 3Q'15 EARNINGS (2) (1) Chesapeake’s diverse portfolio of highly efficient investments is built to withstand the current commodity price environment


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Chesapeake’s strategic scorecard 9 3Q'15 EARNINGS


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Appendix 3Q'15 EARNINGS 10


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Reconciliation of adjusted earnings per share 11 3Q'15 EARNINGS Adjusted net income available to common stockholders and adjusted earnings per share assuming dilution are not measures of financial performance under accounting principles generally accepted in the United States (GAAP), and should not be considered as an alternative to net income available to common stockholders or diluted earnings per share. Adjusted net income available to common stockholders and adjusted earnings per share assuming dilution exclude certain items that management believes affect the comparability of operating results. The company believes these adjusted financial measures are a useful adjunct to earnings calculated in accordance with GAAP because: Management uses adjusted net income available to common stockholders to evaluate the company's operational trends and performance relative to other oil and natural gas producing companies. Adjusted net income available to common stockholders is more comparable to earnings estimates provided by securities analysts. Items excluded generally are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the company generally excludes information regarding these types of items. Weighted average fully diluted shares outstanding include shares that were considered antidilutive for calculating earnings per share in accordance with GAAP.


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Reconciliation of adjusted ebitda Operating cash flow represents net cash provided by operating activities before changes in assets and liabilities. Operating cash flow is presented because management believes it is a useful adjunct to net cash provided by operating activities under GAAP. Operating cash flow is widely accepted as a financial indicator of an oil and natural gas company's ability to generate cash that is used to internally fund exploration and development activities and to service debt. This measure is widely used by investors and rating agencies in the valuation, comparison, rating and investment recommendations of companies within the oil and natural gas exploration and production industry. Operating cash flow is not a measure of financial performance under GAAP and should not be considered as an alternative to cash flows from operating, investing or financing activities as an indicator of cash flows, or as a measure of liquidity. Ebitda represents net income before interest expense, income taxes, and depreciation, depletion and amortization expense. Ebitda is presented as a supplemental financial measurement in the evaluation of our business. We believe that it provides additional information regarding our ability to meet our future debt service, capital expenditures and working capital requirements. This measure is widely used by investors and rating agencies in the valuation, comparison, rating and investment recommendations of companies. Ebitda is also a financial measurement that, with certain negotiated adjustments, is reported to our lenders pursuant to our bank credit agreements and is used in the financial covenants in our bank credit agreements. Ebitda is not a measure of financial performance under GAAP. Accordingly, it should not be considered as a substitute for net income, income from operations or cash flow provided by operating activities prepared in accordance with GAAP. Adjusted ebitda excludes certain items that management believes affect the comparability of operating results. The company believes these non-GAAP financial measures are a useful adjunct to ebitda because: Management uses adjusted ebitda to evaluate the company's operational trends and performance relative to other oil and natural gas producing companies. Adjusted ebitda is more comparable to estimates provided by securities analysts. Items excluded generally are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the company generally excludes information regarding these types of items. Accordingly, adjusted ebitda should not be considered as a substitute for net income, income from operations or cash flow provided by operating activities prepared in accordance with GAAP. 12 3Q'15 EARNINGS


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Corporate information 13 3Q'15 EARNINGS


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