ENGLEWOOD, Colo., Sept. 16, 2020 (GLOBE NEWSWIRE) -- UP Energy, LLC (formerly known as UP Energy Corporation) (the “Company” or “Ultra”) today announced that on September 14, 2020 the conditions to effectiveness of its Chapter 11 Plan of Reorganization, which was confirmed by the United States Bankruptcy Court for the Southern District of Texas on August 22, 2020 (the “Plan”), were satisfied and Ultra emerged from bankruptcy. Pursuant to the Plan, UP Energy Corporation emerged as the ultimate parent entity and as a private company. The day after emergence, UP Energy Corporation converted from a Delaware corporation to a Delaware limited liability company and changed its name to UP Energy, LLC. Ultra Petroleum Corp., a Yukon corporation (“Ultra Petroleum”), will be dissolved in connection with the emergence process.
Through its financial restructuring, the Company eliminated approximately $2.0 billion of indebtedness from its balance sheet. The result is a go-forward enterprise that has the potential to generate significant free cash flow from a large-scale, low-cost base of natural gas and condensate production.
At emergence, the Company entered into a syndicated reserve-based revolving credit facility with a $60 million commitment amount and an initial borrowing base of $100 million.
Ultra’s President and Chief Executive Officer, Brad Johnson, commented, “We are excited about the future of Ultra. With a pristine balance sheet and a large-scale, low-decline asset base that generates cash flow, the Company is well positioned to effectively manage future commodity cycles and opportunistically pursue acquisitions that enhance our large proved developed producing reserve base. On behalf of our management team and the new Board of Managers, I want to thank each individual on the Ultra team for their dedication and focus as we successfully navigated the restructuring process.”
Upon emergence, a new Board of Managers of Ultra was appointed.
In connection with emergence, Ultra Petroleum filed a Form 15 with the Securities and Exchange Commission (the “SEC”) evidencing the termination of the registration of its securities under Section 12(g) of the Securities Exchange Act of 1934 (the “Exchange Act”) and suspending its reporting obligations under Section 15(d) of the Exchange Act. As a result of such filing, Ultra Petroleum will no longer be obligated to and will not file any further current or periodic reports with the SEC.
Centerview Partners served as financial advisor to the Company, Kirkland & Ellis LLP served as the Company’s legal counsel and FTI Consulting served as the restructuring advisors to the Company.
Evercore Group L.L.C. served as financial advisor, and Stroock & Stroock & Lavan LLP served as legal counsel, to an ad hoc group of Ultra’s senior creditors in connection with the restructuring.
About UP Energy
UP Energy, LLC is a private energy company engaged in domestic natural gas and oil exploration, development and production focused on developing its long-life natural gas reserves in the Pinedale and Jonah Fields of Wyoming’s Green River Basin. Ultra controls more than 117,000 gross (83,000 net) acres in and around the prolific Pinedale and Jonah Fields.
Additional information on the Company is available at www.ultrapetroleum.com.
For further information contact:
Investor Relations
303-708-9740, ext. 9898
Email: IR@ultrapetroleum.com