Blaming volatility in the oil and gas markets, Vanguard Natural Resources has returned to bankruptcy for the second time in two years, according to 10/12 Industry Report.
The exploration and production company, which counts reserves in the Gulf Coast basin of Louisiana among its assets, voluntarily filed for Chapter 11 bankruptcy April 1 in the Southern District of Texas, Houston Division as it works to restructure $882 million in debt.
In August 2017, Vanguard emerged from Chapter 11 after a bankruptcy reorganization and began selling assets, starting with properties in North Dakota and Montana.
The company is seeking court approval of $130 million debtor-in-possession financing, which contemplates $65 million in new money, up to $20 million of which will become immediately available, according to a statement the company issued yesterday. The remaining $65 million will roll up obligations for revolving loans under the company’s existing credit agreement.
In addition to its properties in Louisiana, Vanguard maintains producing and non-producing oil and natural gas reserves in Wyoming, Colorado, West Texas, New Mexico, Oklahoma, Alabama and Montana. Read the full story.