Chesapeake Energy Corp. has announced the closing of the sale of its assets in the Fayetteville Shale in Arkansas to BHP Billiton Ltd. of Australia.
Oklahoma City-based Chesapeake announced plans for the $4.75 billion cash sale in February.
Chesapeake CEO Aubrey McClendon said in a news release that the deal allows Chesapeake to make "substantial progress" in reducing its debt.
The sale includes Chesapeake's interests in 487,000 net acres of leasehold and producing natural gas properties. It also includes existing natural gas production of about 415 million cubic feet of natural gas equivalent per day and midstream assets with about 420 miles of pipeline.
Chesapeake will provide technical and business services for up to one year to BHP Billiton for an undisclosed fee.