NEW YORK (Reuters) – A judge approved the auction and bidding procedures for bankrupt SemGroup LP’s White Cliffs Pipeline unit, according documents filed with the U.S. Bankruptcy Court for the District of Delaware.
SemGroup, which is operating under Chapter 11 bankruptcy and provides gathering, transportation, storage and other midstream services for producers and refiners of petroleum products, had asked the court in October to approve the procedures to meet its creditor demands.
The court approved the request in a hearing on Monday, according to court filings.
Bids are due on Dec. 3 and the auction is expected to he held on Dec. 15. SemGroup said it reserves the right to select a stalking horse bidder received prior to the deadline. A stalking horse bid sets a minimum bid for assets, against which all following bids must meet or exceed.
At the time of the company’s bankruptcy filing, White Cliffs was constructing a 12-inch crude oil pipeline beginning near Platteville, Colorado, and ending near Cushing, Oklahoma. (Reporting by Chelsea Emery, editing by Leslie Gevirtz)Get your FREE trial or subscribe now to Buyouts to find new deal opportunities, super-charge your fundraising efforts and track top managers.