Canadian oil producer Pacific Exploration & Production Corp said on Wednesday that a majority of its creditors approved a restructuring plan, which will help it emerge from bankruptcy.
The company had filed for creditor protection in Canada in April as it grappled with a prolonged slump in oil prices.
Pacific Exploration said the restructuring plan was approved by 98.4 percent of the affected creditors, including Canadian private equity firm Catalyst Capital Group, which represented 97.2 percent in value of the eligible voting claims.
Pacific Exploration said it intends to seek an order from the Ontario Superior Court of Justice for sanctioning of the restructuring plan at a hearing scheduled for August 23.
The company said it expects to implement and complete the restructuring transaction late in the third quarter or early in the fourth quarter of 2016.
(Reporting by Ankit Ajmera in Bengaluru; Editing by David Gregorio)
(This story has been edited by Kirk Falconer, editor of PE Hub Canada)
Photo courtesy of Pacific Exploration & Production Corp