Chesapeake Energy Corp. has completed sales of its Permian Basin properties, which allows it to reduce the outstanding balance on existing term loans to $1.2 billion from $4 billion by the end of this month. The company said it plans to fully repay the term loans by the end of the year. The assets sold produced close to 21,000 b/d of liquids and 90 MMcf/d of natural gas in 2Q2012, or about 5.7% of Chesapeake’s production during the period. The multi-sales package was announced in September (see Shale Daily, Sept. 13). SWEPI LP, a subsidiary of Royal Dutch Shell plc, bought the southern Delaware Basin assets, while the northern Delaware Basin portion was sold to Chevron U.S.A. Inc., a subsidiary of Chevron Corp. The producing assets in the Midland Basin were sold to affiliates of Houston-based EnerVest Ltd.

Summit Midstream Partners LLC closed its $207 million acquisition of ETC Canyon Pipeline LLC from La Grange Acquisition LP, a subsidiary of Energy Transfer Partners LP. Canyon gathers and processes gas in the Piceance and Uinta basins in Colorado and Utah. The system consists of more than 1,600 miles of pipe, 44,000 hp of compression, processing assets with capacity of 97 MMcf/d, and two natural gas liquids (NGL) injection stations. The Canyon assets will be held in Red Rock Gathering Co. LLC, a subsidiary of Summit Investments, which also owns a gathering system in the Sand Wash Basin in northern Colorado that was acquired in the second quarter of 2012. “…[T]his acquisition provides the company with increased exposure to the liquid-rich parts of the Mancos and Niobrara Shale formations in the Piceance Basin, where Canyon and Summit Midstream Partners LP, through its ownership of the Grand River natural gas gathering system, operate,” said Summit Investments CEO Steve Newby. Red Rock has two new fee-based commercial agreements with WPX Energy Rocky Mountain LLC and Black Hills Exploration and Production Inc. Each includes long-term acreage dedications.