Energy & Exploration CEO and chairman to resign; settlement reached

By Caroline Salls

Pittsburgh, April 7 – Energy & Exploration Partners, Inc. president and chief executive officer and chairman B. Hunt Pettit will step down from those roles in connection with the company’s restructuring, according to a Wednesday filing with the U.S. Bankruptcy Court for the Northern District of Texas.

Pettit was also the founder of Energy & Exploration.

“In light of various critical operational decisions that must be made prior to the debtors’ emergence from Chapter 11, including certain personnel reductions, the parties have also determined that it is in the best interests of the debtors, their estates and creditors for the transition in leadership to commence promptly and in advance of the effective date of the plan,” the company said.

On April 1, the company and Pettit entered into a settlement agreement, which sets the terms for Pettit’s termination and resolves any disputes that currently exist or may arise as a result of the termination.

Under the settlement, Pettit will resign from his posts as an officer and director, effective April 6, but will still be an employee of Energy & Exploration until the settlement is approved by the court.

After Pettit resigns, current independent director Peter Hill will serve as the company’s interim president and chief executive officer.

Pettit will receive a settlement payment of $1 million, payable in four monthly installments beginning on May 2.

In addition, the company agreed to reimburse Pettit for premiums paid to obtain health coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985 for up to 60 days following the termination date. In addition, Pettit will receive a $25,000 lump sum payment to cover future health insurance costs.

Energy & Exploration Partners is an oil and natural gas exploration and production company based in Fort Worth, Texas. The company filed for bankruptcy on Dec. 7 under Chapter 11 case number 15-44931.

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