MDN told you in May that Halcon Resources, a Utica Shale driller that “guessed wrong” by leasing 140,000 Utica Shale acres in the northern part of the play (in Ohio) and currently doesn’t drill on any of that acreage, was preparing to file for bankruptcy (see Another One Bites the Dust: Halcon Resources Filing for Bankruptcy). In June Halcon outlined how they will go about filing–converting some $1.8 billion of debt into shares of stock/ownership in the company (see Halcon Resources Strikes Deal to File Chapter 11 Bankruptcy). It’s called a “pre-packaged bankruptcy” because the company gets all of the debtholders to agree before the plan is filed. Stockholders (i.e. owners) on the other hand, get screwed. Their stocks become worthless at the end of the process. On Friday Halcon issued a statement outlining their progress. They now have enough debtholders signed up to move forward with filing the pre-packaged bankruptcy…
