Feb. 11--PetroQuest Energy Inc. in Lafayette has emerged from bankruptcy reorganization, having eliminated $295 million in debt and preferred equity obligations from its financial balance sheet.
The company's balance sheet now includes $130 million of debt. Its estimated cash balance is about $23 million.
The Gulf Coast and offshore oil and gas company entered Chapter 11 bankruptcy protection in November, with President and CEO Charles Goodson saying at the time that the restructuring would address financial challenges that made it difficult for the company to compete and would allow it to resume investments in growth, most notably to develop its Cotton Valley assets in east Texas as well as onshore assets in central and south Louisiana.
The reorganization was confirmed by the U.S. Bankruptcy Court for the Southern District of Texas at the end of January.
The company's board of directors, appointed by its largest shareholders, are comprised of management and directors. The directors are Neal P. Goldman, chairman; Goodson; John "Brad" Juneau; Harry Quarls; and David I. Rainey.
The company will have about 9.2 million shares of Class A common stock outstanding and said its stock will be listed on the Over the Counter Pink Market. The OTC market connects broker-dealers electronically. There is no trading floor, and quotations also are done electronically.
The company ended 2018 with about 130.3 billion cubic feet of equivalent oil and natural gas reserves, made up of 82% natural gas, 5% oil and 13% natural gas liquids. In addition, about 47% of the reserves were proved developed.
The company was pummeled in recent years by low oil prices, like other energy companies. In May 2018, the New York Stock Exchange delisted PetroQuest because its market capitalization fell below $15 million for a 30-day period.
The company was granted multiple grace periods last year to pay overdue debt after choosing not to make a $14.2 million interest payment in August to preserve liquidity while negotiations were underway with lenders.
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