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Pacific Exploration Extends Deadline for Affected Creditors
Pacific Exploration & Production Corp. has extended its proxy and election deadline until 5:00 p.m. on August 12, 2016. The deadline, related to the upcoming meeting of affected creditors on August 17, was originally set for 10:00 a.m. on August 10. PricewaterhouseCoopers is the court-appointed monitor of the proceedings and has signed off on the change to allow affected creditors additional time.
The embroiled Canadian energy sector giant received a $500 million debtor-in-possession financing facility from a Ontario court in April after filing for creditor protection. At the same time the Ontario Superior Court of Justice approved a letter-of-credit facility for $134 million, in addition to a second-priority lien over assets under the facility, according to Reuters. In the United States, Pacific Exploration was granted Chapter 15 protection in June under the U.S. Bankruptcy Code.
The firm formerly had a 40% share of the most lucrative oil field in Colombia, named Campo Rubiales. But after the state-controlled Colombian oil company Ecopetrol announced last year, it took back Pacific’s share on July 1 under a long-term agreement this summer. After learning of Ecopetrol’s intention, the Toronto-based Pacific changed its name from Pacific Rubiales to Pacific Exploration & Production, signaling its big lose in the Andean nation and need to make strategic shifts.
The new deadline applies to the following, per Pacific Exploration:
- Beneficial holders of Pacific Exploration’s notes to submit their voting instructions to their participant holder or intermediary and, if applicable, to submit a cash election through ATOP
- General creditors to submit their “General Creditor Proxy” and, if applicable, their “General Creditor Cash Election Form”
- Beneficial holders of Pacific Exploration’s notes who validly signed and returned the support agreement to submit the “Application for Early Consent”
In a note to creditors, Pacific Exploration said that signing a support agreement does not constitute a vote in favor of the announced plan. To receive any additional consideration they would otherwise be entitled to, such “supporting noteholders” must comply with the everything contained in the plan — as well as the orders of the Ontario Superior Court of Justice. This includes voting in favor of the plan and submitting the “Application for Early Consent Consideration” before the new deadline.
“Affected creditors who have not yet voted are encouraged to submit their votes and complete the related forms using the instructions provided on the proxy materials mailed last month,” said the company in a statement.
Those affected can also contact Kingsdale Shareholder Services by phone (1-877-659-1821 in North America or 1-416-867-2272 outside of North America) or email ([email protected]). Shareholders can also direct any remaining questions or concerns to [email protected]orp.energy.
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