One of the shale gas pioneer companies in the United States said earlier this month that depressed oil and natural gas prices may force it to breach loan covenants over the next year and that a massive debt pile threatens its ability to “continue as a going concern.” Chesapeake Energy—which helped propel the shale gas revolution in the late 2000s with leading positions in the Marcellus, Barnett, and Haynesville shale basins—is now facing tough times trying to heal its balance sheet, on which US$9.7 billion in total debt weighs. The company is looking to improve its balance sheet and is evaluating multiple options to reduce debt and to become, finally, free cash flow positive next year. Chesapeake Energy’s troubles are indicative of the current woes of the whole U.S. shale patch —firms now have to focus on generating free cash flow and successfully manage the debt they had taken […]