Court Credits Debtor’s Asset Valuations but Rejects Chapter 11 Plan

BVLaw
Court Case Digests
March 9, 2018
1382 Oil and Gas Field Exploration Services
213112 Support Activities for Oil and Gas Operations
bankruptcy
discount rate, expert testimony, risk analysis, fair market value (FMV), going concern, net asset value approach (NAV), oil and gas interests, reorganization, solvency, precedent transactions analysis, creditor, debtor, cash flow projections

In re Breitburn Energy Partners LP
2018 Bank. LEXIS 691
US
Federal Court
Federal
United States Bankruptcy Court
Douglas A Fordyce (debtor); John F. Reader (equity committee)
Bernstein

Summary

Court finds debtor is hopelessly insolvent; court values two types of oil and gas assets under NAV and precedent transaction analyses, respectively, finding, in terms of NAV analysis, debtor’s expert is more credible on issues of pricing, forecasting, risking, and predicting costs.

See Also

In re Breitburn Energy Partners LP

Court finds debtor is hopelessly insolvent; court values two types of oil and gas assets under NAV and precedent transaction analyses, respectively, finding, in terms of NAV analysis, debtor’s expert is more credible on issues of pricing, forecasting, risking, and predicting costs.