UP Energy announces 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, 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, 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.

KeyFacts Energy Industry Directory: UP Energy