Magnum Hunter files for Chapter 11 bankruptcy

IRVING, Texas -- Magnum Hunter Resources and certain of its wholly owned subsidiaries have filed voluntary petitions for relief under chapter 11 of the U.S. Bankruptcy Code to facilitate the restructuring of their consolidated balance sheet through a prearranged restructuring plan. 

The company has also entered into a restructuring support agreement with lenders that hold, in the aggregate, approximately 75% in principal amount of the company's funded debt claims. 

Specifically, the parties to the restructuring support agreement hold substantially all of the company's first lien debt, approximately 66.5% in principal amount of the company's second lien debt, and approximately 79% in principal amount of the company's senior unsecured notes.  

"At a very challenging time for the entire energy industry, when many of our competitors have been forced to either file for bankruptcy without a plan to emerge in place or continue to attempt to restructure with creditors without an 'end game,' our global restructuring accomplishment is definitely an outlier," Gary C. Evans, chairman and CEO of Magnum Hunter, said in a statement.