Swift Energy (ticker: SFYWQ) joined the 2015 group of oil and gas producers to file for bankruptcy on Dec. 31, making it the final oil and gas company to do so last year. Swift’s total debt amounted to $1.18 billion, comprised of $302 million in secured debt, and $875 million in unsecured debt.
Swift received U.S. bankruptcy court approval this week to borrow up to $15 million, giving the company time to negotiate a refinancing deal. At the companies hearing in Wilmington, Delaware, lawyers stressed the importance of moving the Houston-based company’s reorganization quickly, reports Reuters. Swift is quickly approaching a deadline for refinancing a $330 million loan, the main obstacle to its plan to emerge from bankruptcy in about four months.
The final count for oil and gas bankruptcies totals 42 companies
Swift’s Chapter 11 filing brings the total number of oil and gas companies to file for bankruptcies in 2015 to 42. The combined debt of these companies is $17.85 billion, split about 50.4% secured to 49.6% unsecured debt.
Source: Haynes & Boone LLP, Bloomberg. Compiled by EnerCom Inc.
The majority of bankruptcies in the oil and gas sector took place in August of this year, with ten companies filling. Swifts filing on the final day of the year made filings in the December the second highest this year.
The average debt for the oil and gas companies that filed for bankruptcies in 2015 was $425 million. The average secured debt totaled $224.8 million, while the averaged unsecured debt was $221.5 million.
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