White Star Petroleum LLC, founded by late oilman Aubrey McClendon, filed Tuesday for chapter 11, days after unpaid vendors tried to push the energy company into an involuntary bankruptcy, the WSJ Pro Bankruptcy reported. The Oklahoma City-based oil and gas producer also plans to put its assets up for sale, according to a filing in U.S. Bankruptcy Court in Wilmington, Del. The company said it has been stressed financially in recent years, partly due to low production volumes and higher-than-expected operational costs. The chapter 11 filing comes after lenders reduced access to cash amid failures to make required payments. White Star’s debts include a $274 million secured revolving credit line, a $58 million secured term loan from EnLink Oklahoma Gas Processing LP, and $10 million in unsecured bonds. Read more.
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