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CHK » Topics » Capitalized Interest During Construction

This excerpt taken from the CHK 8-K filed Nov 1, 2005.

Capitalized Interest During Construction

 

The Company capitalizes interest on expenditures for significant exploration and development projects during construction (IDC), while activities are in progress to bring the assets to their intended use. The IDC rate was 4.6% and 4.2% for the periods ended December 31, 2004 and 2003, respectively. The amount of interest capitalized for the periods ended December 31, 2004 and 2003, was $237,087 and $17,224, respectively.

 

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