Triangle USA Petroleum Corp., an oil and gas explorer working one of the largest shale oil reservoirs in North America, filed for bankruptcy with a plan to restructure that will keep its parent company out of chapter 11, Bloomberg News reported today. Triangle USA is active in the North Dakota and Montana regions of the Williston Basin, where it uses horizontal drilling and hydraulic fracturing. The company and its affiliates fell victim to the price slump that began in 2014, and bankruptcy proceedings were started “with the objective of realigning their capital structure with new market realities,” Chief Restructuring Officer John Castellano said in papers in Delaware federal court. After several months of negotiations, the company reached an agreement with holders of 73 percent of its senior unsecured notes and plans to get out of bankruptcy by converting the debt into equity in a new, restructured business. Parent Triangle Petroleum Corp. and an oilfield services affiliate, RockPile Energy Services LLC, weren’t included in Wednesday’s chapter 11 filing. Read more.
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