SEC Gets the Word—-PostRock Energy is Broke







It wasn’t an April Fool’s Day move by Oklahoma City-based PostRock Energy when it filed for Chapter 11 bankruptcy. In a filing with the Securities and Exchange Commission, stated it filed in the United States Bankruptcy Court for the Western District of Oklahoma “for an orderly wind-down of its operations.”

Subsidiaries, including PostRock Energy Services Corporation, PostRock Eastern Production, LLC, Postrock Holdco, LLC, PostRock MidContinent Production, LLC and STP Newco, Inc. were listed in the filing.

Constellation Energy Partners Management, LLC, another subsidiary of the company filed a voluntary petition for liquidation under Chaprter 7 of the bankruptcy code in the same court.

Under Case No. 16-11230, the filing indicated that the directors of the company resigned as members effective upon the appointment of a trust by the court.

“The resignations are not the result of any disagreement with the company regarding the company’s operations, policies or practices, but are because of the filing of the bankruptcy cases,” states the SEC filing. It said that upon appointment, the trustee will assume control over the assets of the company, effectively eliminating the authority and the powers of the Board of Directors.