While some E&P companies have relied on various restructuring techniques to weather these challenges, not all have successfully navigated those options, seeking bankruptcy protection instead. If commodity prices remain low, E&P companies will have to continue to work through these financing constraints or seek to restructure through the bankruptcy process.

During the past year many E&P companies have taken steps beyond cost cutting to improve their liquidity and reduce their leverage. Strategies include taking on first, second or third-lien secured debt; issuing unsecured notes; exchanging unsecured notes for new secured debt at a discount; buying back notes at a discount; issuing equity; selling noncore assets; and entering into joint venture or similar agreements to share costs of developing mineral interests. However, as the financial crisis for E&P companies has continued, the options available to such companies have become more limited.

COLOSSUS Team can help you navigate frequently used restructuring strategies.

 

Commercial Services: Request For Services

Let us know today how we can support your technical team in resolving the challenges peculiar to your region.

Invalid Input
Please type your full name.
Invalid email address.
Invalid Input
Invalid Input
Invalid Input
Briefly tell us about your company...
Please tell us how big is your company.
Invalid Input
Please select a date when we should contact you.
Invalid Input


Why Review Asset Valuation ?