Another Oil Company Files for Bankruptcy

Vanguard Natural Resources, based in Houston, filed for bankruptcy protection, with the intent of cutting $708 million of its existing $2.3 billion debt. Vanguard is a 10-year-old exploration and production company.

Vanguard Chief Executive Scott Smith indicated that restricting would help the company be “better positioned to weather this new lower-for-longer commodity price environment,” while helping improve the company’s financial security.

In 2015, Vanguard acquired Houston-based LRR Energy for more than $250 million, then acquired Eagle Rock Energy Partners, also in Houston, for $474 million. In 2016, the company sold approximately $280 million worth of Oklahoma oil patch holdings to Titanium Exploration Partners to help cut its debt. But Smith acknowledged it wasn’t enough.

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