Apollo-, Ares-Owned Oil Firm Files for Bankruptcy in the U.S.

June 18, 2020, 8:51 AM

Chisholm Oil & Gas, owned by private equity firms Apollo Global Management and Ares Management Corporation, filed for bankruptcy in the U.S. late on Wednesday, according to court documents.

The Tulsa, Oklahoma-based company sought Chapter 11 protection from creditors in U.S. Bankruptcy Court in Delaware.

Chisholm has estimated liabilities between $500 million and $1 billion and assets ranging from $1 billion to $10 billion, according to a court document dated June 17.

Representatives at Apollo and Ares were not immediately available to reply to calls and emails seeking comment outside office hours.

Apollo acquired oil and gas exploration and production company Chisholm in 2017 and merged it with Ares-backed rival Gastar Exploration LLC last year. The combined company has net production of around 20,000 barrels of oil equivalent per day, according to a statement. Ares took control of Gastar after the company filed for Chapter 11 proceedings in the U.S. in 2018.

The case is Chisholm Oil and Gas Operating II, LLC, 20-11592, U.S. Bankruptcy Court for the District of Delaware.

To contact the reporter on this story:
Fabian Graber in London at fgraber2@bloomberg.net

To contact the editor responsible for this story:
Vivianne Rodrigues at vrodrigues3@bloomberg.net

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