The Financial Times reports that Chesapeake Energy and Southwestern Energy are in merger talks to become the single largest natural gas producer in the United States, with a combined value of around US$17 billion.

If the deal were to eventuate, it would fit the pattern of consolidation in the US industry over the past year, though most of the large deals in recent months have involved oil rather than gas. Chesapeake produced around 3.4 billion cubic feet of gas per day in the third quarter of 2023, while Southwestern produced around 4 billion. The share/stock price of both companies has lifted on the news.