Exco Resources Inc. (NYSE: XCO) said on May 13 it formed a special committee to evaluate strategic alternatives, including in-court or out-of-court restructuring.
Exco joins dozens of U.S. shale companies forced to restructure debt after a near-60% slump in oil prices since mid-2014 eroded cash flows.
The Dallas-based company had long-term debt of $1.32 billion as of March 31, according to a regulatory filing.
The special committee will also evaluate options such as divestitures and restructuring of its gathering, transportation and certain other contracts, the company said.
The company has principal operations in the Haynesville and Bossier shales in East Texas and North Louisiana, the Eagle Ford Shale in South Texas and the Marcellus Shale in the Appalachian Basin.
Exco has retained Akin Gump Strauss Hauer & Feld LLP as its legal adviser.
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