Jones Energy, Inc., a Texas energy company with heavy exploration and production efforts in Oklahoma and the Texas Panhandle says it plans to file for Chapter 11 bankruptcy.
The filing, which has yet to be made allows the company to restructure its finances. The company indicated it is in the process of an agreement that would allow it to equitize nearly $1 billion of its debt.
The company made a 422 page 8-K filing with the SEC earlier in the week.
Jones Energy expects to file in the United States Bankruptcy Court for the Southern District of Texas by April 15, 2019. The company expects to meet the requirements for confirmation of the plan and to emerge from bankruptcy within two weeks after filing.
In the interim, it will be business as usual for Jones Energy as the company states it will continue to operate in the normal course and its business operations will not be disrupted by the restructuring process.
Jones Energy engages in the exploration and development of oil and natural gas properties in the Anadarko basin of Oklahoma and Texas.
The firm celebrated its 30th anniversary in 2018. In 2007, it soled its Hansford Company to Laredo for $75 million. A year later, Jones sold its Shattuck Field to Noble for $292 million. In 2009, the company acquired Crusader Energy Group for $240.5 million while in 2012, Jones acquired Chalk’s Cleveland assets in a $250 million deal.
In 2013, Jones made an IPO and entered the New York Stock Exchange while in the same year, it acquired Sabine’s Anadarko assets for $193.5 million. In 2014, Jones raised $500 million of 6.75 percent senior notes in an upsized offering.
Jones sold its Arkoma Basin assets in 2017 for $65 million.