On March 22, 2016, Emerald Oil, Inc. and certain of its subsidiaries (collectively, “Emerald” or the “Debtors”) filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Delaware in Wilmington. According to the declaration of Emerald’s Chief Financial Officer, Ryan Smith (the “Smith Declaration”), Emerald anticipates a sale of a material portion or substantially all of its assets to Latium Group or any other party who prevails at the auction. Emerald and Latium have executed a Non-Binding Term Sheet pursuant to which Latium would serve as a “stalking horse” in a sale process. See Smith Declaration at 64.Emerald is a Denver-based independent exploration and production company focused on acquiring acreage and developing wells in the Williston Basin of North Dakota. Emerald’s assets include leasehold interests which provide them with the right to drill and maintain wells in specific geographic areas. They hold approximately 76,000 net acres in the Williston Basin and operate approximately 100 percent of the total acreage. See Smith Declaration at 14, 38.The Debtors’ liabilities total approximately $337 million which includes (i) $111 million owed on account of a 2014 Amended and Restated Credit Agreement with Wells Fargo Bank, N.A., as Administrative Agent, and (ii) $148.5 million on account of a 2015 Indenture between Emerald and U.S. Bank, National Association maturing April 2019. See Smith Declaration at 29-33.The Debtors are seeking to have their bankruptcy cases jointly administered under the lead bankruptcy case In re Emerald Oil, Inc., et al., Case No. 16-10704. A copy of the Smith Declaration can be accessed here: Download Smith Declaration.For further information, please contact a Thompson & Knight Bankruptcy and Restructuring Attorney. For more information on the Thompson & Knight’s Bankruptcy and Restructuring Practice, please visit www.tklaw.com/bankruptcy-and-restructuring/.