Exhibit 12

CHEAPEAKE ENERGY CORPORATION

RATIOS OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS

(dollars in 000’s)

	Year Ended December 31, 1999		Year Ended December 31, 2000		Year Ended December 31, 2001		Year Ended December 31, 2002		Year Ended December 31, 2003
EARNINGS:
Income before income taxes and cumulative effect of accounting change	$	35,030	$	196,162	$	361,698	$	67,140	$	500,952
Interest expense (a)		81,052		86,256		98,321		111,280		147,817
Loss on investment in equity investees		—		—		—		—		409
Amortization of capitalized interest		1,047		1,226		1,784		1,804		2,519
Bond discount amortization (c)		—		—		—		—		—
Loan cost amortization		3,338		3,669		4,022		4,962		4,254
Earnings	$	120,467	$	287,313	$	465,825	$	185,186	$	655,951
FIXED CHARGES:
Interest expense	$	81,052	$	86,256	$	98,321	$	111,280	$	147,817
Capitalized interest		3,356		2,452		4,719		4,976		13,041
Bond discount amortization (c)		—		—		—		—		—
Loan cost amortization		3,338		3,669		4,022		4,962		4,254
Fixed Charges	$	87,746	$	92,377	$	107,062	$	121,218	$	165,112
Preferred Stock Dividends
Preferred Dividend Requirements	$	16,711	$	8,484	$	2,050	$	10,117	$	22,469
Ratio of income before provision for taxes to net income (b)		1.05		N/A		1.66		1.67		1.61
Subtotal – Preferred Dividends	$	17,597	$	8,484	$	3,411	$	16,861	$	36,240
Combined Fixed Charges and Preferred Dividends	$	105,343	$	100,861	$	110,473	$	138,079	$	201,352
Ratio of Earnings to Fixed Charges		1.4		3.1		4.4		1.5		4.0
Insufficient coverage	$	—	$	—	$	—	$	—	$	—
Ratio of Earnings to Combined Fixed Charges and Preferred Dividends		1.1		2.8		4.2		1.3		3.3
Insufficient coverage	$	—	$	—	$	—	$	—	$	—

(a) Excludes the effect of unrealized gains or losses on interest rate derivatives.

(b) Amounts of income before provision for taxes and of net income exclude the cumulative effect of accounting change.

(c) Bond discount excluded since it is included in interest expense.