According to documents filed with the U.S. Bankruptcy Court, Chaparral Energy and ten affiliated debtors filed for Chapter 11 protection in Wilmington, DE. The Company, which operates as an independent oil and natural gas exploration and production company, is represented by Mark D. Collins of Richards, Layton & Finger.
Chaparral Energy announced that the bankruptcy will facilitate the restructuring of its balance sheet as the Company continues to negotiate a debt to equity exchange with its bondholders and lenders with the objective of reducing bondholder debt by approximately $1.2 billion.
C.E.O. Mark Fischer comments, “The dramatic decrease in oil and natural gas prices over the last two years has presented numerous challenges for the industry as a whole. Chaparral continues to believe in the outstanding potential of our employees and our Mid-Continent assets and EOR programs. The continued depressed price environment, however, coupled with our existing debt levels have severely limited the company’s overall operational ability.” Read more oil & gas bankruptcy news.