The Oklahoma-based oil and natural gas company Chaparral Energy Inc had set to miss the interest payment due last April 1. The company's payment is tied to a $300 million bond as the key people divulged.
According to Oil and Gas Investor, Chaparral Energy Inc. has not made the interest payment that is due in April 1st, 2015. In its annual report, the company, which acquires and develops oil and natural gas properties in different states including Oklahoma, Texas and Kansas, might seek for a possible rendition to use the Chapter 11 bankruptcy in their current dire situation. It should be known that the company has already missed a separate $16.5 million interest payment dating back to March 1, therefore kicking a 30-day grace period.
Yahoo wrote that a spokesperson has not responded to requests for comments by the media. The sources refused to be identified, reasoning they are not authorized to speak to the media regarding the situation faced by the Chaparral Energy Inc. Chaparral Energy Inc's case of filing bankruptcy is an addition to the 40 other energy companies that sought court protection from other creditors last year after the prices of oil have plunged down.
Reuters reported that consulting firm Deloitte said the figure of closing down oil and natural gas companies could eventually led to a massive 175 this year. Chaparral has lost $1.3 billion in the year that ended Dec. 31, 2015 and has a debt amount of $1.6 billion as the annual report indicated.
Furthermore, the company already drew down the balance on its $548 million line of credit in the month of February. The lenders decided to redetermine its credit facility on May 1 and the Oklahoma-based company expects its borrowing base to hit down the toilet. Following this, Chaparral Energy Inc. will be given a 30 days again or a 6-month installment to pay the balance it has.
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