Chesapeake Energy Corp. and BP America Inc. announced that BP will acquire all of Chesapeake's interest in approximately 90,000 acres in the Woodford Shale formation of Oklahoma's Arkoma Basin for $1.75 billion in cash.

Aubrey McClendon, Chesapeake's chief executive officer and co-founder, said in a prepared statement that the deal will allow Chesapeake to redeploy capital to its other properties, including its Marcellus Shale holdings. Those holdings are in West Virginia and several other Appalachian states.

Chesapeake purchased Columbia Natural Resources for $2.2 billion in 2005. Chesapeake's eastern division headquarters is in Charleston.

Chesapeake Energy Corp. and BP America Inc. announced that BP will acquire all of Chesapeake's interest in approximately 90,000 acres in the Woodford Shale formation of Oklahoma's Arkoma Basin for $1.75 billion in cash.

Aubrey McClendon, Chesapeake's chief executive officer and co-founder, said in a prepared statement that the deal will allow Chesapeake to redeploy capital to its other properties, including its Marcellus Shale holdings. Those holdings are in West Virginia and several other Appalachian states.

Chesapeake purchased Columbia Natural Resources for $2.2 billion in 2005. Chesapeake's eastern division headquarters is in Charleston.