HOUSTON, Sept 18 (Reuters) - Chesapeake Energy's ( CHK ) $7

billion acquisition of rival natural gas producer Southwestern

Energy ( SWN ) is expected to close early in the fourth quarter, CEO

Nick Dell'Osso said on Wednesday.

The deal was delayed earlier this year after the U.S.

Federal Trade Commission requested additional information from

the two. Chesapeake originally expected the acquisition to close

by June 30.