U.S.-based energy company Erin Energy seeks chapter 11 protection to find a way to restructure
Erin Energy Corp. filed for chapter 11 without any set plan but with an overall goal to restructure the company. Headquartered in Houston, Erin Energy operates an independent oil and gas exploration and production company focused on resources in Africa. The company also looks for strategic partnerships that can help its business.
The company’s funded debt at the end of 2017 was roughly $312 million, which comprised $81.3 million outstanding under a credit facility with Zenith Bank, $66.5 million outstanding under a financing facility with Mauritius Commercial Bank, a $27.3 million promissory note with Allied, $61.4 million of 2014 convertible subordinated notes, $55.8 million under 2015 convertible notes with Allied and $19.1 million of notes with James Street Capital Partners.
Erin Energy’s assets comprise five licenses across Nigeria, Ghana and The Gambia, for a total of about 1.5 million acres.
No interim debtor-in-possession loan was requested along with the filing and the trajectory of the case remains unsure.
Read CEO Sakiru Adefemi’s declaration in support of the first day motions here.
View the Chapter 11 Petition here.
ECS Refining seeks bankruptcy protection as defense mechanism against secured lender
E-scrap processor ECS Refining filed for chapter 11 to avoid a forced takeover by an investment partner, Summit Bridge Capital. ECS Refining said that years ago the company took out a multimillion-dollar loan from Bank of America that subsequently was sold to Summit Bridge Capital in 2017. ECS Refining says that Summit Bridge Capital has been attempting to take over the company. After a year of negotiations, no agreement could be reached, so ECS Refining filed for chapter 11 as a defense.
As of the filing, the company listed $32.888 million of funded debt, $25.927 million of which is secured and $6.96 million of unsecured debt. The total assets were listed as $1 million to $10 million. The company’s case is to be funded by a loan from Sundance LLC.
Read President Jack Rockwood’s declaration in support of the first day motions here.
View the Chapter 11 petition here.
