Goodrich Petroleum Corp., Houston, says it has emerged from bankruptcy “with the same assets and having substantially reduced its total long-term debt and cost structure.”
The firm, which filed Chapter 11 in April, has completed its plan of reorganization after working with creditors and other stakeholders (OGJ Online, Apr. 15, 2016). Goodrich received $40 million in new capital through the issuance of convertible second lien senior secured notes due 2019.
Of that amount, $20 million of was used to pay down the firm's outstanding borrowings under its previous senior credit facility to $20 million. The other $20 million of the new capital will fund initial development of its Haynesville shale drilling program in northeast Texas and northwest Louisiana.
Goodrich’s 54,000 gross (26,000 net) acres in the Haynesville as of June 30 are primarily centered on Angelina and Nacogdoches counties, Tex., and DeSoto and Caddo parishes, La. Net production volumes from its Haynesville wells represented 65% of the firm’s total equivalent production on a boe basis for the second quarter.
In addition to the Haynesville, Goodrich’s operations primarily lie in the Tuscaloosa Marine Shale (TMS) of eastern Louisiana and southwestern Mississippi, and the oil-window of the Eagle Ford shale trend of South Texas.
The firm held 255,000 gross (185,000 net) acres in the TMS as of June 30. At that time, it had 2 gross (1.7 net) TMS wells drilled and waiting on completion. Its net production volumes from the TMS wells represented 33% of the firm’s total equivalent production on a boe basis and 100% of its total oil production for the second quarter.
Goodrich closed the sale of its Eagle Ford proved reserves and a portion of the associated leasehold in September 2015, retaining 17,000 net acres of undeveloped leasehold, all of which is prospective for future development or sale, the firm says.
Overall, the firm owns working interests in 260 producing oil and gas wells in 43 fields in eight states.