Extraction Oil & Gas has won a judge’s approval to restructure as a standalone company and could emerge from chapter 11 bankruptcy in early 2021, the Denver Business Journal reported. The Denver-based oil producer received confirmation of its reorganization plan from from Bankruptcy Judge Christopher Sontchi on Dec. 23. Extraction Oil & Gas filed for chapter 11 protection June 14 to reorganize and free itself from $1.7 billion in debt it couldn’t pay, either by negotiating a debt-for-equity swap with lenders, or by merging or being acquired by another oil and gas company. It failed to strike a deal with potential acquirers or partners in a merger. Extraction now has a court-approved plan to emerge from bankruptcy court protection as a standalone business.
