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Pipelines Commercial Bankruptcy

Morgan Lewis - Power & Pipes

Assumption and Rejection of Midstream Agreements in Bankruptcy

Is a midstream contract treated the same as other executory contracts in bankruptcy, subject to assumption and rejection pursuant to the US Bankruptcy Code? An executory contract is any contract of the debtor where both the...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights: Issue 25, July 2020

Top Court Seeks Trump Administration Input on PennEast Pipeline - "The U.S. Supreme Court asked the Trump administration for input on a PennEast Pipeline Co. appeal that aims to jump-start a planned natural-gas line by...more

King & Spalding

Energy Newsletter - June 2020

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The Impact of COVID-19 on Nuclear Electricity Sales Contracts in France - The electricity sector, like numerous others in France, has been heavily affected by the economic shutdown due to the COVID-19 pandemic. The...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - April 2020 #2

China Resumes LNG Imports from the U.S. - "Chinese buyers have resumed imports of liquefied natural gas from U.S. exporters, as Beijing started granting waivers to a 25% import tariff." Why this is important: In the...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - April 2020

FERC: No Rehearing on Potomac Pipeline - "A federal commission this week turned down a request to rehear its approval for a proposed natural-gas pipeline under the Potomac River." Why this is important: In 2018, the Federal...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - March 2020 #2

The Drop in Oil was Perhaps the ‘Final Straw’ for U.S. Credit Markets, Strategist Says - "The credit market is sensitive to moves in oil because a 'very large portion' of high-yield bonds in America are issued by...more

Flaster Greenberg PC

Are Northern California’s Blackouts An Image Of Our Energy Future?

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Pacific Gas and Electric provided its customers in northern California with a glimpse of the future last week. Due to extremely dry conditions coupled with the prospect of strong winds, and cognizant of last year’s massive...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - September 2019 #3

FERC Proposes to Modernize PURPA Regulations - "The Federal Energy Regulatory Commission proposed to modernize its regulations governing small power producers and cogenerators under the Public Utility Regulatory Policies...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - May 2019 #3

PA Supreme Court Upholds Decision Allowing Drilling in All Districts Under a Local Zoning Ordinance as Long as They Meet Standards - "This case is one of several recent decisions in Commonwealth Court and the PA Supreme...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - February 2019 #3

NY Natural Gas Moratorium Due to Lack of Pipelines, but Some in Denial - "The slowing of economic development resulting from New York's political actions is a testament to what happens when energy becomes politicized." ...more

Jones Day

Oil and Gas Industry Update: District Court Upholds Rejection of Sabine Gas Gathering Agreements

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In a highly anticipated decision—HPIP Gonzales Holdings, LLC v. Sabine Oil & Gas Corp. (In re Sabine Oil & Gas Corp.), 2017 BL 83510 (S.D.N.Y. Mar. 9, 2017)—Judge Jed S. Rakoff of the U.S. District Court for the Southern...more

Gray Reed

Rejecting Midstream Agreements in Bankruptcy – the Journey Continues

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One of the hottest issues from 2016 was whether an E&P debtor can reject, under section 365 of the Bankruptcy Code, an above-market midstream contract. Given the potential for a “no-win” situation, in all but one case where...more

Troutman Pepper

Coming Down the Pipeline: Mitigating the Payment Risk in Oil and Gas Construction Through Lien Claims

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Since 2015, the oil and gas market has experienced significant distress. Recent reports have tracked at least 114 North American oil and gas producers and 16 midstream companies that have filed for bankruptcy since the...more

Troutman Pepper

Drilling Deeper: The Intersection of Producer Bankruptcies and Gathering Agreements

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The issue of whether gathering agreements are subject to rejection in bankruptcy as executory contracts and whether certain provisions of those agreements run with the land and survive rejection will impact ongoing bankruptcy...more

Orrick, Herrington & Sutcliffe LLP

Distressed Download

Lessons from Sabine - In March, Bankruptcy Judge Shelley Chapman held that Sabine Oil & Gas Corp. satisfied the standards for rejection of several gathering and handling agreements between Sabine and its midstream...more

Burr & Forman

Trouble Down the Pipeline? What Sabine Oil & Gas Corp. May Mean For The Midstream Service Sector

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Recently, the Bankruptcy Court for the Southern District of New York issued an opinion in In re Sabine Oil & Gas Corp. that permitted the debtor, Sabine Oil & Gas Corporation ("Sabine") to reject certain gathering and...more

McGuireWoods LLP

R&I Update: Hot Topics in Oil and Gas Restructurings, Volume 3: Yes, Gathering Agreements Can Be Rejected as Executory Contracts...

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Reuters recently reported that “the rout in crude prices is snowballing into one of the biggest avalanches in the history of corporate America, with 59 oil and gas companies now bankrupt[.]” In March, we described how surging...more

Baker Donelson

Oil and Gas Gathering Contracts: Contracts Running With the Land or Running On Empty?

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In a much anticipated ruling, Bankruptcy Judge Shelley Chapman has granted the motion of Sabine Oil and Gas Corporation (No. 15-11835, USBC SDNY) to reject certain executory contracts with Nordheim Eagle Ford Gathering, LLC...more

Skadden, Arps, Slate, Meagher & Flom LLP

"Recent Case Highlights Opportunity for Distressed Exploration and Production Companies"

On March 8, 2016, a bankruptcy court in the Southern District of New York issued a much-anticipated decision, In re Sabine Oil & Gas Corporation, that will undoubtedly influence the reorganization strategies of certain...more

Kelley Drye & Warren LLP

Ruling on Pipeline Agreements in Sabine Chapter 11 Case Indicates Battles That Lie Ahead in Energy Company Bankruptcy Cases

U.S. Bankruptcy Judge Shelley Chapman ruled last week in the chapter 11 case of Sabine Oil & Gas that Sabine could utilize the U.S. Bankruptcy Code to “reject” certain agreements with pipeline operators. This decision will...more

McGuireWoods LLP

R&I Update: Hot Topics in Oil and Gas Restructurings, Volume 2 Can Gathering Agreements Be Rejected as Executory Contracts?

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“The carnage is going to be terrible,” cried a recent Dallas Morning News headline. “It’s a hellacious problem,” lamented another article. It’s no secret the energy sector has come upon hard times. Oil prices are down 70...more

Orrick, Herrington & Sutcliffe LLP

Burst Pipeline? Bankruptcy Court Rules Sabine Can Reject Midstream Contracts

Bankruptcy Judge Shelley Chapman held that Sabine Oil & Gas Corp. has satisfied the standards for rejection of several gathering and handling agreements between Sabine and its midstream counter-parties, Nordheim Eagle Ford...more

King & Spalding

Bankruptcy Court Rules Gathering Agreements Can Be Rejected - Potential Significant Impacts on Midstream Companies

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On March 8, 2016, the United States Bankruptcy Court for the Southern District of New York (the “Court”) ruled from the bench in In re Sabine Oil & Gas Corp. in a case of first impression that a midstream gathering agreement...more

Jackson Walker

Sabine Court Gives 'Non-Binding' Ruling That Gathering Agreements Are Not Covenants Running with the Land Under Texas Law

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After extensive briefing and hearing oral arguments related to Sabine's motion to reject two gathering agreements with Nordheim Eagle Ford Gathering as well as two gathering and handling agreements with HPIP Gonzales...more

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