Arsenal Energy Holdings Exits Bankruptcy at ‘Warp Speed’

Arsenal Energy Holdings LLC, a Wexford, Pa.-based natural gas producer, exits Chapter 11 after a speedy 10-day bankruptcy and over the objection of a federal watchdog.

“The speediness of the case is unusual, but not unprecedented,” Stephen M. Pezanosky, a partner with Haynes and Boone LLP, Ft. Worth, Texas told Bloomberg Law. “Prepack Chapter 11 cases can get through the courts quickly if all the proper work is done before the filing,” he said.

Arsenal Energy’s plan will allow the company to restructure by converting more than $861 million of debt into equity shares of stock, Chief Financial Officer Allen ...