The Comeback Kid
Who doesn’t love a Cinderella story? Reese Energy Consulting today sends a big shout out to Okla. City-based Chaparral Energy, which just celebrated its entry on the NYSE. The company’s plans to transition from a privately-held to publicly-traded oil and gas producer began in 2005 but falling natural gas prices a year later suggested otherwise. Four years later, Chaparral tried again when it proposed merging with United Refining Energy, which was already publicly traded. But that deal soured in the wake of energy prices practically on life support. Six more years would pass before the company attempted its third try. This time, commodity prices had virtually collapsed leaving Chaparral to seek bankruptcy protection. But like they say, you can’t keep a good man down. Chaparral struck a deal with its bondholders and lenders and steadily rose from the ashes. Last year, it became publicly traded in the OTCQB Venture Market, and just last week officials rang the opening bell on Wall Street. Now, with 119,000 acres in the STACK, the company looks to recover a potential 900 MMBoe. Now, that’s some fairytale.