EXHIBIT 99.1
                                                                    ------------


                CHESAPEAKE ENERGY CORPORATION DECLARES QUARTERLY
                      COMMON AND PREFERRED STOCK DIVIDENDS

OKLAHOMA  CITY,  OKLAHOMA,  December  21, 2004 - Chesapeake  Energy  Corporation
(NYSE:CHK) today announced that its Board of Directors has declared a $0.045 per
share  quarterly  dividend  that  will be paid on  January  18,  2005 to  common
shareholders  of record on January 3, 2005.  Chesapeake  has  approximately  291
million common shares outstanding.

Chesapeake's  Board has also declared a quarterly cash dividend on  Chesapeake's
4.125% Cumulative Convertible Preferred Stock, par value $0.01. The dividend for
the  4.125%   preferred  stock  is  payable  on  March  15,  2005  to  preferred
shareholders  of record on March 1, 2005 at the  quarterly  rate of $10.3125 per
share.  Chesapeake has 313,250 shares of 4.125% preferred stock outstanding with
a liquidation value of $313.3 million.

Chesapeake's  Board has also declared a quarterly cash dividend on  Chesapeake's
5.0% Cumulative  Convertible  Preferred Stock, par value $0.01. The dividend for
the  5.0%  preferred  stock  is  payable  on  February  15,  2005  to  preferred
shareholders  of record on February 1, 2005 at the  quarterly  rate of $1.25 per
share.  Chesapeake has 1.725 million shares of 5.0% preferred stock  outstanding
with a liquidation value of $172.5 million.

Chesapeake's  Board has also declared a quarterly cash dividend on  Chesapeake's
6.0% Cumulative  Convertible  Preferred Stock, par value $0.01. The dividend for
the 6.0% preferred stock is payable on March 15, 2005 to preferred  shareholders
of record on March 1, 2005 at the quarterly rate of $0.75 per share.  Chesapeake
has 4.0 million shares of 6.0% preferred  stock  outstanding  with a liquidation
value of $200 million.  On November 30, 2004,  Chesapeake  announced an offer to
exchange its common stock for any and all of the  outstanding 4.0 million shares
of its 6.0% preferred  stock.  The exchange offer will expire at 12:00 midnight,
New York City time, on Tuesday,  December 28, 2004,  unless  extended or earlier
terminated by Chesapeake.


CHESAPEAKE  ENERGY  CORPORATION  IS THE SIXTH  LARGEST  INDEPENDENT  PRODUCER OF
NATURAL GAS IN THE U.S. HEADQUARTERED IN OKLAHOMA CITY, THE COMPANY'S OPERATIONS
ARE FOCUSED ON EXPLORATORY  AND  DEVELOPMENTAL  DRILLING AND PRODUCING  PROPERTY
ACQUISITIONS IN THE MID-CONTINENT,  PERMIAN BASIN, SOUTH TEXAS, TEXAS GULF COAST
AND ARK-LA-TEX  REGIONS OF THE UNITED STATES.  THE COMPANY'S INTERNET ADDRESS IS
WWW.CHKENERGY.COM.