On October 28 Judge David Jones, US Bankruptcy Court for Southern District in Houston, issued a memorandum opinion in Chesapeake Energy’s bankruptcy (Case No. 20-33233), granting Chesapeake’s motion to reject its contract to sell gas to ETC Texas Pipeline. The Bankruptcy Code allows a debtor in bankruptcy to “reject” an…
Another recent bankruptcy court ruling may bode ill for producers and royalty owners in Texas in light of the collapse of oil prices and increased risks of bankruptcy of producers and oil purchasers. In Re: First River Energy, LLC, 2019 WL 1103294(US Bankr. W.D. Tex., March 7, 2019), also highlights…
The oil and gas industry is at the beginning of a significant downturn. Oil and gas prices are down, supply is up, demand is flat. Another in the never-ending cycle of a boom-and-bust industry, now exacerbated by appearance of a potential coronavirus world epidemic and a sharp reduction in demand…
Here is a list of bankruptcy cases filed in Texas federal bankruptcy courts this year, from the Houston Business Journal, compiled by Haynes & Boone: Energy bankruptcies filed in Texas courts in 2016 by month Company (Texas court filed); debt January Aurora Operating LLC (Southern); $2.35 million MOG Producing LP…
The price downturn has finally pushed exploration companies to resort to bankruptcy. According to The Dune, the following companies have filed for bankruptcy protection: RAAM Global Energy Endeavour International Corp. Quicksilver Resources Inc. Sabine Oil & Gas Corp. Hercules Offshore Inc. Cal Dive International Inc. Dune Energy Inc. BPZ Resources…