Exhibit 12

CHESAPEAKE ENERGY CORPORATION

RATIOS OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS

(dollars in 000’s)

	Year Ended Dec. 31, 1998			Year Ended Dec. 31, 1999		Year Ended Dec. 31, 2000		Year Ended Dec. 31, 2001			Year Ended Dec. 31, 2002		Three Months Ended March 31, 2003
EBITDA
Income before income taxes and extraordinary item		(920,520	)		35,030		196,162		438,365			67,140		114,711
Interest		68,249			81,052		86,256		98,321			111,280		35,027
Writedown of oil and gas property		826,000			—		—		—			—		—
Writedown of other assets		55,000			—		—		—			—		—
Risk Management Income (Loss)		—			—		—		(84,789	)		88,018		(27,710	)
Impairments of investments in securities		—			—		—		10,079			—		—
Gain on sale of Canada		—			—		—		(27,000	)		—		—
Loss on investment in Seven Seas		—			—		—		—			17,201		—
Loss on repurchases of Chesapeake debt		—			—		—		—			2,626		—
Gothic Stand-by Credit Facility Costs		—			—		—		3,392			—		—
DD&A		154,720			102,854		108,772		181,565			235,198		80,298
EBITDA		183,449			218,936		391,190		619,933			521,463		202,326
Income before income taxes and extraordinary item	$	(920,520	)	$	35,030	$	196,162	$	438,365		$	67,140	$	114,711
Interest		68,249			81,052		86,256		98,321			111,280		35,027
Amortization of capitalized interest		12,240			1,047		1,226		1,784			1,804		522
Bond discount amortization (a)		—			—		—		—			—		—
Loan cost amortization		2,516			3,338		3,669		4,022			4,962		1,618
Earnings	$	(837,515	)	$	120,467	$	287,313	$	542,492		$	185,186	$	151,878
Interest expense	$	68,249		$	81,052	$	86,256	$	98,321		$	111,280	$	35,027
Capitalized interest		6,470			3,356		2,452		4,719			4,976		1,927
Bond discount amortization (a)		—			—		—		—			—		—
Loan cost amortization		2,516			3,338		3,669		4,022			4,962		1,618
Fixed Charges	$	77,235		$	87,746	$	92,377	$	107,062		$	121,218	$	38,572
Preferred Stock Dividends
Preferred Dividend Requirements	$	12,077		$	16,711	$	8,484	$	2,050		$	10,117	$	3,526
Ratio of income before provision for taxes to Net Income (b)		N/A			1.05		N/A		1.66			1.67		1.61
Subtotal—Preferred Dividends	$	12,077		$	17,597	$	8,484	$	3,411		$	16,861	$	5,687
Combined Fixed Charges and Preferred Dividends	$	89,312		$	105,343	$	100,861	$	110,473		$	138,079	$	44,259
Ratio of Earnings to Fixed Charges		—			1.4		3.1		5.1			1.5		3.9
Insufficient coverage	$	914,750		$	—	$	—	$	—		$	—	$	—
Ratio of Earnings to Combined Fixed Charges and Preferred Dividends		—			1.1		2.8		4.9			1.3		3.4
Insufficient coverage	$	926,827		$	—	$	—	$	—		$	—	$	—
RATIO OF EBITDA TO INT. EXP
EBITDA		183,449			218,936		391,190		619,933			521,463		202,326
Interest expense		68,249			81,052		86,256		98,321			111,280		35,027
Ratio		2.7			2.7		4.5		6.3			4.7		5.8
RATIO OF EBITDA TO INT. EXP plus DIVIDENDS
EBITDA		183,449			218,936		391,190		619,933			521,463		202,326
Dividends on preferred stock		12,077			16,711		8,484		2,050			10,117		3,526
Interest expense		68,249			81,052		86,256		98,321			111,280		35,027
Ratio		2.3			2.2		4.1		6.2			4.3		5.2
Financial Results—Non Guarantors
Income from Continuing Ops.		(5,964	)		5,565		5,189		3,440			1,412		(64	)
Interest		382			96		35		2			10		—
Writedown of oil and gas properties		8,000			—		—		—			—		—
DD&A		126			475		181		80			1,820		525
EBITDA		2,544			6,136		5,405		3,522			3,242		461
PRO FORMA FINANCIAL DATA—ratio of ebitda to interest expense (Restr. Subs. Only)
EBITDA		180,905			212,800		385,785		616,411			518,221		201,865
Interest expense—actual		67,867			80,956		86,221		98,319			111,270		35,027
Interest expense—new issue									—			—		—
Ratio		2.7			2.6		4.5		6.3			4.7		5.8
PRO FORMA FINANCIAL DATA—ratio of ebitda to interest expense and dividends (Restr. Subs. Only)
EBITDA		180,905			212,800		385,785		616,411			518,221		201,865
Interest expense—actual		67,867			80,956		86,221		98,319			111,270		35,027
Interest expense—new issue
Preferred Stock Dividend		12,077			16,711		8,484		2,050			10,117		3,526
Total interest expense and preferred stock div		79,944			97,667		94,705		100,369			121,387		38,553
Ratio		2.3			2.2		4.1		6.1			4.3		5.2

(a) Bond discount excluded since its included in interest expense

(b) Represents income (loss) before income taxes and extraordinary item divided by income (loss) before extraordinary item, which adjusts dividends on preferred stock to a pre-tax basis.

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