Environment, Education, Energy: Policy to People

Justice Department is Probing Chesapeake Energy Land Deals

The U.S Department of Justice is examining whether Chesapeake Energy and Encana colluded to avoid bidding against each other in a public land auction in Michigan, an unnamed source tells Reuters.

The Oklahoma City natural gas giant and Ecanana, Canada’s largest natural gas company, were among the largest bidders for land leases in Michigan’s Collingwood shale play, the news service reported last week.

The DOJ probe follows a separate antitrust investigation by the Michigan Attorney General and that state’s Department of Natural Resources, which oversees such auctions.

“Our commitment is to ensure the integrity of the auction process and to receiving fair market value for public land,” Michigan DNR spokesman Ed Golder tells reporters Diane Bartz and Brian Grow.

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