Emerge Energy Services Files for Bankruptcy
Emerge Energy Services LP has filed Chapter 11 Bankruptcy, the company announced Thursday.
The company, along with its subsidiaries and certain affiliates – one being sand hydraulic fracturing (fracking) producer Superior Silica Sands LLC – filed for relief under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware on July 15.
The Company received a commitment for debtor in possession (DIP) financing from its secured lenders for $35 million and authorization from the bankruptcy court for use of its on-hand cash as well as initial funding of $7.5 million of the DIP commitment. Final authorization for the full commitment is being sought in August 2019.
Emerge Energy Services said it will continue to operate as normal without interruption through the course of the bankruptcy proceedings.
On May 31, 2019, Emerge Energy Services was delisted by the NYSE for failing to satisfy the NYSE’s continued listing standard which requires listed companies to maintain an average global market capitalization over a consecutive 30 trading day period of at least $15 million.
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