Energy and Exploration Partners Inc. said Nov. 27 that on Nov. 25, certain unsecured creditors filed an involuntary bankruptcy petition in the United States Bankruptcy Court for the Northern District of Texas against one of its operating subsidiaries.
ENXP continues regular day-to-day operations, and is not in bankruptcy. The company has 21 days to respond to the petition.
The filing initiated a process through which the company and its stakeholders can resolve, and the company has certain protections under the law from enforcement actions.
"We are aware of the petition filed by certain of our oilfield service suppliers," said Hunt Pettit, founder and CEO. "The sharp and protracted period of depressed commodity prices, resulting from OPEC's decisions exactly one year ago has created difficult conditions for the entire industry and we are no exception. We are in the final stages of discussions with our lenders to provide new capital to fund operations and capital investments,” he added.
“We value our long-term business relationships with our suppliers and while we are disappointed by their actions, we intend to respond to the petition filed in due course. Most importantly, we will continue to manage our business and daily production operations without interruption. I look forward to providing an update of our progress."
Energy and Exploration Partners Inc. is based in Fort Worth, Texas.