The US Bankruptcy Court approved the Third amended plan of reorganization of Reostar Energy Corp. on September 4, 2012. The debtor has filed its modified third plan on August 24, 2012.

The administrative expenses, priority tax claims and professional fees will be paid in full. Allowed secured tax claims of $0.02 million and secured non tax claims of BT and MK Energy and Commodities LLC of $7.5 million will be paid in full in cash, respectively. Priority non tax unsecured claims will be paid in full in cash.

The general unsecured claims will be paid 20% of the allowed claims. The equity interest will be cancelled. The new equity will be issued to BTMK. The plan will be funded from cash and sale of new equity to Russco Energy LLC.