Breitburn Emerges from Bankruptcy

Former independent producer Breitburn Energy Partners has successfully completed its Chapter 11 of the U.S. Bankruptcy Code, emerging as newly formed Maverick Natural Resources LLC, Kallanish Energy reports. The Los Angeles-based firm, majority-owned by EIG Global Energy Partners (EIG), is ready to start fresh with a debt significantly smaller. After the restructuring process, Maverick has a debt of roughly $105 million, compared to Breitburn’s $2.96 billion debt balance prior to the restructuring process. Breitburn filed for bankruptcy in May 2016. Maverick started operating on April 6, 2018. “Today marks a new beginning for our company and all of our stakeholders and the end of a difficult period managing through the steep and sustained decline in oil and natural gas prices,” Maverick’s CEO Halbert Washburn, said Thursday, announcing the new company. During the “extended” restructuring process, Washburn said focus remained on managing production, reducing costs and achieving a consensual plan of reorganization among key creditor groups. “We are pleased to close this chapter and focus on generating value for the Maverick platform,” said Clayton Taylor, managing director of EIG. He added the new firm “will emerge with low leverage, a simple balance sheet, and sufficient liquidity to remain adaptive to the ever-changing market conditions.” “Following a judicious review of the asset portfolio and cost structure, we believe Maverick is well-positioned to capitalize on cost reduction initiatives, to deploy capital to high growth prospects and to potentially build the platform through strategic acquisitions,” he added. Maverick’s asset portfolio includes an average production of 39,742 barrels of oil equivalent per day (BOE/d) in 2017, estimated proved reserves of 152.2 MMBOE/d and roughly 7,600 net oil and gas wells. The assets are located across the U.S., in regions such as Midwest, Midwest, Ark-La-Tex, Rockies, California, Permian Basin, Southeast and the Mid-Continent. Joseph Barone ShaleDirectories.com 610.764.1232 jbarone@shaledirectories.com www.shaledirectories.com

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