This excerpt taken from the CHK 8-K filed Jul 2, 2008.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The companies believe that their expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove to have been correct. A number of factors could cause actual results in the Haynesville Shale play to differ materially from the projections, anticipated results or other expectations expressed in this news release, including drilling risks, uncertainties inherent in estimating reserves and future production and the ability to execute on production and development plans. See “Risk Factors” in the respective companies’ 2007 Annual Reports on Form 10-K and other filings with the Securities and Exchange Commission(SEC) for a more complete discussion of risk factors that could cause actual results to differ from those projected. The companies undertake no obligation to publicly update or revise any forward-looking statements.
Production forecasts are dependent upon many assumptions, including estimates of production decline rates from existing wells and the outcome of future drilling activity. Although the companies believe the expectations and forecasts reflected in these and other forward-looking statements are reasonable, they can give no assurance they will prove to have been correct. They can be affected by inaccurate assumptions or by known or unknown risks and uncertainties.
The SEC has generally permitted natural gas and oil companies, in filings made with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. The companies use the term "unproved" to describe volumes of reserves potentially recoverable through additional drilling or recovery techniques that the SEC's guidelines prohibit from appearing in filings with the SEC. These estimates are by their nature more speculative than estimates of proved reserves and accordingly are subject to substantially greater risk of actually being realized. While the companies believe their calculations of unproved drillsites and estimates of unproved reserves are reasonable, such calculations and estimates have not been reviewed by third-party engineers or appraisers.