Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following table provides information for financial assets (liabilities) measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016:

	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Total Fair Value
			($ in millions)
As of March 31, 2017
Derivative Assets (Liabilities):
Commodity assets	$	—	$	10		$	3		$	13
Commodity liabilities	—		(163		)	—			(163		)
Total derivatives	$	—	$	(153	)	$	3		$	(150	)
As of December 31, 2016
Derivative Assets (Liabilities):
Commodity assets	$	—	$	1		$	—		$	1
Commodity liabilities	—		(495		)	(10		)	(505		)
Foreign currency liabilities	—		(73		)	—			(73		)
Total derivatives	$	—	$	(567	)	$	(10	)	$	(577	)

A summary of the changes in the fair values of Chesapeake’s financial assets (liabilities) classified as Level 3 during the Current Quarter and the Prior Quarter is presented below.

	Commodity Derivatives			Supply Contracts
	($ in millions)
Balance, as of January 1, 2017	$	(10	)	$	—
Total gains (losses) (realized/unrealized):
Included in earnings(a)	12			—
Total purchases, issuances, sales and settlements:
Settlements	1			—
Balance, as of March 31, 2017	$	3		$	—
Balance, as of January 1, 2016	$	(91	)	$	297
Total gains (losses) (realized/unrealized):
Included in earnings(a)	25			33
Total purchases, issuances, sales and settlements:
Settlements	18			(13		)
Balance, as of March 31, 2016	$	(48	)	$	317

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(a)	Oil, Natural Gas and NGL Sales				Marketing, Gathering and Compression Revenue
	2017		2016		2017		2016
	($ in millions)
Total gains (losses) included in earnings for the period	$	12	$	25	$	—	$	20
Change in unrealized gains (losses) related to assets still held at reporting date	$	5	$	21	$	—	$	20

The following table provides fair value measurement information for the above-noted financial assets (liabilities) measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016:

	Quoted Prices in Active Markets (Level 1)			Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value
				($ in millions)
As of March 31, 2017
Financial Assets (Liabilities):
Other current assets	$	55		$	—	$	—	$	55
Other current liabilities	(56		)	—		—		(56		)
Total	$	(1	)	$	—	$	—	$	(1	)
As of December 31, 2016
Financial Assets (Liabilities):
Other current assets	$	49		$	—	$	—	$	49
Other current liabilities	(51		)	—		—		(51		)
Total	$	(2	)	$	—	$	—	$	(2	)