Heavy Oil Producer

Heavy Oil Producer

Roles
Chief Financial Officer, Chief Restructuring Officer
  • Provided interim CRO and CFO
  • Company is operating as a standalone

The company is a $24MM exploration and extraction company that produces heavy oil. The company filed for bankruptcy to avoid foreclosure by lenders, who petitioned for the appointment of a Chapter 11 Trustee. CR3 Partners was engaged as CRO and CFO for the Chapter 11 Trustee and terminated all contracts with affiliates, outsourced administrative services, improved environmental health and safety, and executed new crude marketing agreements.

The Situation

  • $24MM exploration and extraction company that produced heavy oil
  • Company filed for bankruptcy to avoid foreclosure by senior secured lender
  • Lenders and other creditors, including regulatory authorities, petitioned for appointment of a Chapter 11 Trustee due to perceived mismanagement, misappropriation of funds, and negative environmental record
  • Prior to engagement, company was integrated with other related entities where crude was supplied to an affiliate which provided diluent, trucking services, workover rigs, vacuum trucks, and administrative services

The Work

  • CR3 Partners was engaged as CRO and CFO for Chapter 11 Trustee
  • Terminated all contracts with affiliates and outsourced administrative services
  • Improved environmental health and safety with new in-house hire and retained outside consultants
  • Executed new crude marketing agreements and purchased new and better diluent from third party
  • Post-petition financing was provided to bridge  company to a successful sale

The Results

  • CR3 Partners provided CRO and CFO services to lead company through a sale process
  • Company is operating as a standalone oil and gas production company with direct relationships with crude purchasers

Explore Insights

View All
CR3 Partners Honored with M&A Advisor Award
News

CR3 Partners Honored with M&A Advisor Award

CR3 Partners announced that the firm received the Award for "Restructuring of the Year ($10MM to $50MM)" by M&A Advisor in the "Chapter 11 Reorganization Award" category.

Read More
Learn How Fraud and Valuation Matters are Handled During Bankruptcy
External Link

Learn How Fraud and Valuation Matters are Handled During Bankruptcy

Dallas-based Partner Sugi Hadiwijaya recently teamed up with Jermaine Watson at Bonds Ellis on a podcast highlighting basic aspects of how fraud-related matters are managed in a bankruptcy context. Listen to the full podcast brought to you by AICPA's Forensic and Valuation Services Section.

View
The JCPenney Bankruptcy: An inside view from a shareholder perspective
External Link

The JCPenney Bankruptcy: An inside view from a shareholder perspective

Reed Smith's Keith Aurzada joins William Snyder and Dawn Ragan, both of whom served as financial advisors to the equity committee in the JCPenney case. Our speakers explain the valuation of JCPenney assets and how restructuring support agreements shaped this case.

View
The California Energy Industry: Extinction, Restructuring, or Rebirth?
Article

The California Energy Industry: Extinction, Restructuring, or Rebirth?

Tim Skillman, a Partner in CR3's Los Angeles office, investigates the future of the California energy industry. Is it doomed to extinction, or can something be done to mitigate its current downward trend?

Read More
CR3 Partners Expands Los Angeles and Houston Offices
News

CR3 Partners Expands Los Angeles and Houston Offices

CR3 Partners is proud to announce the expansion of its rapidly growing Los Angeles office by adding two Senior Associates, Alex Pettee and Ashtynn Baltimore. Along with the additions to the Los Angeles office, CR3 Partners would also like to announce its new Director, Avery Alcorn out of the Houston office.

Read More
CR3 Conversations: Oil & Gas During COVID-19
Video

CR3 Conversations: Oil & Gas During COVID-19

Timothy Skillman, a Partner in our Los Angeles office, talks about the difficulties the Oil & Gas industry is facing during COVID-19 and gives some advice on how to survive in this current climate.

View Video
CR3 Partners Honored with Two M&A Advisor's Awards
News

CR3 Partners Honored with Two M&A Advisor's Awards

Led by Dustin Lough, the engagement team for The NORDAM Group, a large international aerospace company, received the Restructuring of the Year ($250MM to $500MM) award as advisors to the lending group leading up to and including the Chapter 11 bankruptcy proceeding.

Read More
The Effect of Mechanic's Liens in the Oil and Gas Industry
Article

The Effect of Mechanic's Liens in the Oil and Gas Industry

Recent trends in the Oil and Gas industry, particularly the decrease in prices for crude and natural gas, suggest that mechanic's liens are quickly becoming a problem for exploration and production companies.

Read More
CR3 Partners Opens Los Angeles Office and Adds New Partner
News

CR3 Partners Opens Los Angeles Office and Adds New Partner

CR3 Partners is delighted to announce that Tim Skillman has joined as a Partner of the firm and will be heading the new CR3 Partners Los Angeles office.

Read More
CR3 Partners Honored with Two Turnaround Atlas Awards at 2019 Global M&A Network Annual Gala
News

CR3 Partners Honored with Two Turnaround Atlas Awards at 2019 Global M&A Network Annual Gala

CR3 Partners is pleased to announce that the firm was awarded two Turnaround Atlas Awards on May 20, 2019 at the Global M&A Network Annual Gala.

Read More
CR3 Partners Expands Chicago Team
News

CR3 Partners Expands Chicago Team

CR3 Partners is pleased to announce that Tim Shanahan has joined the CR3 Partners team and will be based in its Chicago office.

Read More
New Partner and Two More Executives Receive CTP Designation
News

New Partner and Two More Executives Receive CTP Designation

The CR3 Partners Board of Managers is delighted to announce that James Katchadurian has been promoted to Partner with the firm.

Read More
CR3 Partners Advises NEOPS Alongside SSG Capital on Sale of Debt
External Link

CR3 Partners Advises NEOPS Alongside SSG Capital on Sale of Debt

SSG Capital Advisors, LLC (SSG) acted as the investment banker to New England Orthotic & Prosthetic Systems, LLC and its affiliates in the sale of all of its outstanding senior debt to AHM Healthcare Strategies (AHM), an affiliate of Eschen Prosthetic and Orthotic Laboratories, Inc. (Eschen).

View
CR3 Partners Honored with Turnaround Award at 12th Annual Gala by M&A Advisor at 2018 Distressed Investing Summit
News

CR3 Partners Honored with Turnaround Award at 12th Annual Gala by M&A Advisor at 2018 Distressed Investing Summit

CR3 Partners, a Dallas-based national turnaround and performance improvement firm, today announced that the firm was awarded a 2018 Turnaround Award for "Ch 11 Reorganization of the Year for ($25-100MM)" by M&A Advisor in the "Chapter 11 Reorganization Award" category.

Read More
Industry Veterans Combine to Launch National Turnaround and Performance Improvement Firm
News

Industry Veterans Combine to Launch National Turnaround and Performance Improvement Firm

The leadership of CR3 Partners, LLC, today revealed the details of their newly-formed national turnaround and performance improvement firm.

Read More
Contact Us

CONTACT US

Do you have any further questions? How can we help you? Get in touch with us.

CONTACT US