Black Elk Energy eyes exclusivity extension amid talks, investigation

By Caroline Salls

Pittsburgh, Dec. 3 – Black Elk Energy Offshore Operations LLC requested an extension of its exclusive periods for filing and soliciting votes on a Chapter 11 plan, according to a motion filed Thursday with the U.S. Bankruptcy Court for the Southern District of Texas.

The company wants to extend its exclusive filing period through March 1 from Dec. 30 and the solicitation period through May 1.

Black Elk said it spent weeks negotiating a settlement that released bond collateral to the company and has been negotiating a debtor-in-possession loan with noteholders. Black Elk said it expected to file the DIP financing motion by Dec. 4.

According to the motion, the company is continuing to negotiate with its creditors in an effort to develop a business plan going forward and is continuing to explore all reorganization efforts and other options available to it.

Black Elk said it is also in the process of investigating pre-bankruptcy transactions with its affiliates and others. The company said that investigation is expected to require significant effort on the company’s part and may bring substantial value to the estate.

Black Elk Energy is a Houston-based oil and gas company that filed for bankruptcy on Sept. 15. The Chapter 11 case number is 15-34287.

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