You are here

Oil company BPZ Resources files for bankruptcy in US court

Tuesday, March 10, 2015 - 07:15

OILAFP51.jpg
BPZ Resources Inc , a Texas-based oil producer with operations in Peru, filed for bankruptcy protection on Monday, becoming the latest energy company to fold amid low oil prices.

[LIMA] BPZ Resources Inc , a Texas-based oil producer with operations in Peru, filed for bankruptcy protection on Monday, becoming the latest energy company to fold amid low oil prices.

BPZ said that it would continue to operate its businesses to pay off its debt.

The company has a 51 per cent stake in Peru's offshore oil block Z-1, which it is developing together with junior partner Pacific Rubiales Energy Corp. BPZ also controls 100 per cent of three onshore oil blocks in Peru.

"Given the industry downturn and our inability to find a suitable financing resolution to our current debt maturity and interest payments, it has become necessary to pursue the Chapter 11 process," Chief Executive Manolo Zuniga said in a statement.

sentifi.com

Market voices on:

Oil prices have slid some 50 per cent since June.

BPZ filed its voluntary petition in the US Bankruptcy Court for the Southern District of Texas. It said none of its subsidiaries were seeking protections under Chapter 11 of the US bankruptcy code.

REUTERS

Nespresso
Pair your daily business read with the perfect cup of espresso.

Subscribe to The Business Times today to receive your very own Nespresso Inissia coffee machine worth $188.

Find out more at btsub.sg/btdeal

Powered by GET.comGetCom