Jeffrey Sheets
About Jeffrey Sheets
Independent director at Chord Energy (CHRD), age 67, serving since 2024; Audit & Reserves Committee Chair and Nominating & Governance Committee member, designated as an SEC “Audit Committee Financial Expert” . Background includes 45 years in oil and gas with roles at ConocoPhillips (EVP & CFO; prior SVP Planning & Strategy; VP & Treasurer) and early career as a process engineer at Phillips Petroleum . Education: BS Chemical Engineering (Missouri University of Science and Technology) and MBA (University of Houston) . CHRD discloses that all non‑employee directors (including Mr. Sheets) are independent under Nasdaq standards .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| ConocoPhillips Company | Executive Vice President & Chief Financial Officer | 2010–2016 | Led financial reporting, capital markets, and strategy functions |
| ConocoPhillips/Predecessors | SVP Planning & Strategy; VP & Treasurer | Various prior roles | Financial planning, strategy, treasury oversight |
| Phillips Petroleum Company | Process Engineer | Began in 1980 | Technical operations foundation |
External Roles
| Organization | Role | Tenure | Notes |
|---|---|---|---|
| Schlumberger Limited | Director | 2019–Present | Current public company directorship |
| Westlake Chemical Corporation | Director | 2018–Present | Current public company directorship |
| Enerplus Corporation | Director | 2017–2024 | Prior public board; Enerplus combined with CHRD on May 31, 2024 |
| DCP Midstream Partners LP | Director | 2010–2011 | Prior public board |
Board Governance
- Committee assignments: Audit & Reserves (Chair); Nominating & Governance (Member); designated “Audit Committee Financial Expert” by CHRD .
- Independence: All non‑employee directors except Brown and Dundas are independent; Board annually assesses independence per Nasdaq .
- Attendance/Engagement: Board met 18 times in 2024; Audit & Reserves met 5; NG met 4; average director attendance 99%; 100% of directors attended 2024 annual meeting .
- Board leadership and practices: Separate Chair/CEO; regular executive sessions of independent directors; robust governance program including proxy access and clawback policy .
| Committee | Role | 2024 Meeting Count | Independence/Expertise |
|---|---|---|---|
| Audit & Reserves | Chair | 5 | All members independent; Sheets, Brooks, Holroyd, Polzin designated as “Audit Committee Financial Experts” |
| Nominating & Governance | Member | 4 | All members independent |
Fixed Compensation
| Component | Amount | Notes |
|---|---|---|
| Cash fees (2024 actual) | $68,250 | Pro‑rated post‑Enerplus closing; includes committee service/chair fees |
| Committee chair fee (Audit & Reserves) | $25,000 | Annual chair fee schedule |
| Committee member fee (NG, or other) | $10,000 | Annual member fee schedule |
Additional director compensation schedule elements: Board Chair cash retainer $70,000; equity retainer $70,000 (for Chair) . Directors reimbursed for travel/education; no meeting fees disclosed .
Performance Compensation
| Grant Type | Grant Date | Grant-Price Basis | Grant Date Fair Value | Vesting |
|---|---|---|---|---|
| Restricted Stock/RSUs (Director equity retainer) | Aug 19, 2024 | $153.40 closing price | $99,250 | Vests May 1, 2025 (pro‑rated equity retainer due to mid‑year appointment) |
- CHRD’s non‑employee director program emphasizes equity to align interests; 2024 director equity awards were restricted stock/RSUs with time‑based vesting; no options disclosed for directors .
- Company policy notes options repricing not permitted under LTIP without shareholder approval (executive program context); directors’ awards tracked separately in director compensation section .
Other Directorships & Interlocks
| Potential Interlock | Status | Notes |
|---|---|---|
| Transactions with entities where Sheets serves | None disclosed | CHRD’s independence review highlighted ordinary‑course transactions for other directors (PAA; Summit Midstream), but did not flag Mr. Sheets . Related‑party transactions are reviewed under CHRD’s RPT Policy with Audit & Reserves oversight . |
Expertise & Qualifications
- Financial reporting & accounting, capital allocation, corporate governance; designated Audit Committee Financial Expert .
- 45 years in oil & gas; senior C‑suite experience at a supermajor; technical background (chemical engineering) .
Equity Ownership
| Policy/Status | Detail |
|---|---|
| Director stock ownership guideline | 5x annual Board cash retainer; directors must hold shares until met |
| Compliance | CHRD discloses all directors currently meet or exceed guidelines |
| Hedging/Pledging | Prohibited for directors under Insider Trading Policy; short sales prohibited |
Note: CHRD’s proxy does not disclose individual director beneficial ownership counts for Mr. Sheets in the reviewed sections; Security Ownership appears later in the document; not available in the extracted chunks .
Governance Assessment
- Strengths: Independent audit chair with CFO experience and SEC financial expert designation; robust committee oversight of audit, reserves and cybersecurity; strong board governance (separate Chair/CEO; proxy access; clawback) supporting investor confidence .
- Alignment: Director equity retainer in RSUs, with CHRD requiring 5x cash retainer ownership; CHRD states directors meet/exceed guidelines; hedging/pledging prohibited, improving alignment .
- Engagement: High board/committee meeting cadence with 99% average attendance; 100% at annual meeting; regular independent executive sessions .
- Conflicts/Related parties: No related‑party transactions disclosed for Mr. Sheets; CHRD runs an RPT policy with Audit & Reserves review; independence affirmed for non‑employee directors .
- Investor signals: 2024 say‑on‑pay passed with ~96.25% approval, and shareholder outreach included invitations to >50% of shares with ~20% engagement, indicating broad support for compensation governance .
Director Compensation (Detail for 2024)
| Name | Fees Earned/Paid in Cash ($) | Stock Awards ($) | Total ($) |
|---|---|---|---|
| Jeffrey Sheets | $68,250 | $99,250 | $167,500 |
- Pro‑rated equity retainer for directors joining from Enerplus after May 31, 2024; Sheets’ grant uses Aug 19, 2024 closing price $153.40; vesting May 1, 2025 .
Board Governance (Committee Charters – Key Responsibilities)
| Committee | Selected Responsibilities |
|---|---|
| Audit & Reserves | Oversees integrity of financial statements, internal audit, reserves estimation, reservoir engineers, compliance, cybersecurity; appoints and oversees external auditor |
| Nominating & Governance | Board/committee nominations; Board/committee evaluations; governance guidelines; compliance program oversight; shareholder proposals; bylaws changes |
Risk Indicators & RED FLAGS
- RED FLAGS: None disclosed specifically for Mr. Sheets in independence or related‑party sections .
- Watchpoints: Given current external boards (Schlumberger; Westlake), monitor for any future ordinary‑course transactions that could require Audit & Reserves review under RPT Policy; CHRD’s process requires recusal and robust review if such transactions arise .
Say‑on‑Pay & Shareholder Feedback
| Item | Outcome/Detail |
|---|---|
| 2024 Say‑on‑Pay (votes on 2023 pay) | ~96.25% approval |
| 2024 Outreach | Invited >50% of shares; ~20% engaged; feedback supportive of program and ESG integration |
Compensation Peer Group (Executive Program Context)
| Selected Peers | Notes |
|---|---|
| Civitas (CIVI), Diamondback (FANG), Matador (MTDR), Permian Resources (PR), SM Energy (SM), Magnolia (MGY), Marathon (MRO), Ovintiv (OVV), Northern Oil & Gas (NOG), Callon (CPE) | Used for executive benchmarking and relative TSR PSU peer set (company and index/ETF entities treated as single peers for TSR) |
Summary
Jeffrey Sheets brings deep financial and industry expertise as CHRD’s independent Audit & Reserves Chair and NG member, with strong independence credentials and high board engagement, aligning with investor expectations for robust oversight. Director equity and ownership policies enhance alignment, and no conflicts involving Mr. Sheets are disclosed; overall governance posture and say‑on‑pay results support investor confidence .