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Oil & Gas Bankruptcy Code Commercial Bankruptcy

Holland & Knight LLP

Distressed Investing in Energy: Strategies and Risks in a Nutshell

Holland & Knight LLP on

From a U.S. bankruptcy perspective, distressed debt investing is often based on two fundamental principles in the bankruptcy system: 1) a secured creditor is entitled to the value of its collateral in a given bankruptcy case...more

Morgan Lewis - Power & Pipes

Delaware Bankruptcy Court Finds Violation of the Automatic Stay with Reservation of Rights Letters Sent to Non-Debtors

US Bankruptcy Judge Mary F. Walrath of the District of Delaware entered an order on April 21 in In re Nine Point Energy Holdings, Inc., Case No. 21-10570 (MFW) (Bankr. D. Del. Apr. 21, 2021), finding that Caliber Measurement...more

Morgan Lewis - Power & Pipes

Assumption and Rejection of Midstream Agreements in Bankruptcy

Is a midstream contract treated the same as other executory contracts in bankruptcy, subject to assumption and rejection pursuant to the US Bankruptcy Code? An executory contract is any contract of the debtor where both the...more

Jones Day

Energy Sector Update: More Bankruptcy Courts Join the Fray in Dispute Over Rejection of Gas Gathering Agreements

Jones Day on

In a leading precedent handed down in 2018—Sabine Oil & Gas Corp. v. Nordheim Eagle Ford Gathering, LLC (In re Sabine Oil & Gas Corp.), 734 Fed. Appx. 64 (2d Cir. May 25, 2018)—the U.S. Court of Appeals for the Second Circuit...more

A&O Shearman

Additional Guidance for Drafting Dedications: Delaware Bankruptcy Court Rejects Southland Dedication

A&O Shearman on

The oil and gas industry in the United States is highly dependent upon an intricate set of agreements that allow oil and gas to be gathered from privately owned land. Historically, the dedication language in oil and gas...more

Jackson Walker

“Parties’ Words Matter” – New Houston Bankruptcy Court Decision in Chesapeake-ETC Dispute Provides Alternative Paths for...

Jackson Walker on

Over the past five years, bankruptcy courts have analyzed whether oil and gas producers’ contracts with midstream oil, gas, and produced water companies may be rejected if they create covenants running with the land. Through...more

A&O Shearman

International Considerations – Buying Assets from Distressed U.S. Companies

A&O Shearman on

The oil price plunge starting on March 6 seems like a sucker-punch to the oil and gas industry after the price decreases and market unrest as a result of COVID-19. However, for those with capital to spend, including...more

Holland & Knight LLP

Midstream Providers Can Prepare for the Next Wave of Restructurings

Holland & Knight LLP on

Even before coronavirus concerns, the slump in oil demand placed considerable financial stress on oil exploration and production companies. With Saudi Arabia and Russia unable to reach an agreement on crude production, oil...more

Jones Day

Oil and Gas Industry Update - Sabine Oil Not the Last Word on Treatment of Gathering Agreements in Bankruptcy

Jones Day on

In a leading precedent handed down in 2018—Sabine Oil & Gas Corp. v. Nordheim Eagle Ford Gathering, LLC (In re Sabine Oil & Gas Corp.), 734 Fed. Appx. 64 (2d Cir. May 25, 2018)—the U.S. Court of Appeals for the Second Circuit...more

Jones Day

The Year in Bankruptcy: 2019

Jones Day on

Except for disastrous fires that sparked the largest bankruptcy filing of the year, liabilities arising from the opioid crisis, the fallout from price-fixing, and corporate restructuring shenanigans, economic, market, and...more

Skadden, Arps, Slate, Meagher & Flom LLP

A Look at 2019 Court Decisions That May Shape Restructuring Issues in the Year Ahead

A series of decisions over the past year — on issues such as make-whole premiums, intercreditor agreements, backstops for rights offerings and nonconsensual third-party releases — will likely have a significant impact in 2020...more

King & Spalding

Bankruptcy Court Rules that Dedications Within Gathering Agreements "Run with the Land”

King & Spalding on

On December 20, 2019, the Bankruptcy Court for the Southern District of Texas in Alta Mesa Holdings, LP v. Kingfisher Midstream, LLC (In re Alta Mesa Resources, Inc.) held that dedications in gathering agreements create...more

Pillsbury Winthrop Shaw Pittman LLP

A Sabine Alternative: Colorado Bankruptcy Court Holds Midstream Gathering Agreement Constitutes Covenant Running with the Land...

Dedication language is critical in determining whether a gathering agreement creates a covenant running with the land. Midstream companies now have a roadmap for ensuring that a debtor remains subject to a midstream...more

Troutman Pepper Locke

We Are Off and Running (With the Land) Again

Troutman Pepper Locke on

On December 20, 2019, Judge Marvin Isgur of the United States Bankruptcy Court for the Southern District of Texas became the second court this year to limit the reasoning of In re Sabine Oil & Gas Corp., 550 B.R. 59 (Bankr....more

Jackson Walker

Texas Bankruptcy Court – Applying Oklahoma Law – Concludes That Gathering Agreements Created Covenants Running With the Land and...

Jackson Walker on

On December 20, 2019, the United States Bankruptcy Court for the Southern District of Texas (Marvin Isgur presiding) entered a memorandum opinion and order finding that midstream gathering agreements created covenants running...more

King & Spalding

Bankruptcy Court Rules that Dedications Within Gathering Agreements "Run with the Land"

King & Spalding on

On December 20, 2019, the Bankruptcy Court for the Southern District of Texas in Alta Mesa Holdings, LP v. Kingfisher Midstream, LLC (In re Alta Mesa Resources, Inc.) held that dedications in gathering agreements create...more

A&O Shearman

Midstream Companies Have Renewed Hope: Running-with-the-Land Oil and Gas Dedication Survives a Bankruptcy Challenge, Offering...

A&O Shearman on

The oil and gas industry in the United States is highly dependent upon an intricate set of agreements that allow oil and gas to be gathered from privately owned land. Historically, the dedication language in oil and gas...more

Jackson Walker

Major Decision in Energy-Related Bankruptcies: Colorado Court in Monarch Midstream Case Departs from Sabine Oil and Finds...

Jackson Walker on

A Colorado bankruptcy court has departed from the widely reported holding in Sabine Oil that permitted a debtor to reject a certain midstream gathering agreement. On September 30, 2019, the United States Bankruptcy Court for...more

Gray Reed

Bankruptcy Ruling Sides With Oil Field Realities

Gray Reed on

Nabors Offshore Corp. v. Whistler Energy II LLC  is the rare bankruptcy case where the outcome was consistent with the realities of operating in the oil patch rather than the artificial constraints of the Bankruptcy Code. The...more

Jones Day

Oil and Gas Industry Update: Second Circuit Upholds Rejection of Sabine Gas Gathering Agreements

Jones Day on

In a highly anticipated decision—Sabine Oil & Gas Corp. v. Nordheim Eagle Ford Gathering, LLC (In re Sabine Oil & Gas Corp.), 734 Fed. Appx. 64, 2018 WL 2386902 (2d Cir. May 25, 2018)—the U.S. Court of Appeals for the Second...more

Jones Day

Business Restructuring Review | September–October 2018

Jones Day on

In This Issue: Caveat Emptor—Anti-Assignment Clause Renders Transferred Claim Unenforceable - In In re Woodbridge Group of Companies, LLC, 2018 WL 3131127 (Bankr. D. Del. June 20, 2018), the bankruptcy court ruled...more

Holland & Hart LLP

Rejection of Gathering Agreements in Bankruptcy Affirmed by Second Circuit in Sabine Oil & Gas

Holland & Hart LLP on

On May 25, 2018, the United States Court of Appeals for the Second Circuit confirmed in re Sabine Oil & Gas Corp. that a midstream gathering agreement did not create a real covenant that ran with the land, and therefore, a...more

Jones Day

The Year in Bankruptcy: 2017

Jones Day on

The initial year of the Trump administration colored much of the political, business, and financial headlines of 2017, both in the U.S. and abroad. Key administration-related developments in 2017 included U.S. withdrawal from...more

McCarter & English, LLP

Third Circuit Ruling Impacts Oil & Gas Industry

The United States Circuit Court of Appeals for the Third Circuit issued a decision that significantly affects the rights of upstream producers. Applying Delaware law, the Third Circuit explained that the upstream producers...more

Gray Reed

Rejecting Midstream Agreements in Bankruptcy – the Journey Continues

Gray Reed on

One of the hottest issues from 2016 was whether an E&P debtor can reject, under section 365 of the Bankruptcy Code, an above-market midstream contract. Given the potential for a “no-win” situation, in all but one case where...more

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