Stone Energy Corp. (NYSE: SGY) said April 11 it retained Petrie Partners LLC to assist its board with determining the strategic direction of the Lafayette, La.-based company.
The decision follows Stone Energy's exit from Chapter 11 bankruptcy in February and the $527 million sale of its Marcellus and Utica acreage to EQT Corp. (NYSE: EQT). Through its reorganization, the company eliminated about $1.1 billion of debt, leaving roughly $236.3 million of outstanding debt.
The board intends to explore all potential avenues to increase stockholder value, according to a company press release. This may include the acquisition of additional assets, accessing external capital, a business combination or another strategic transaction.
RELATED: Stone Energy Files For Bankruptcy To Restructure Debt
"We are committed to increasing stockholder value and, as a newly appointed board of directors, we believe that engaging a financial advisor to help us assess the company and its strategic alternatives will best enable us to establish an appropriate course," Neal Goldman, chairman of Stone Energy's board, said in a statement.
Stone Energy's portfolio is focused on low-cost deepwater Gulf of Mexico where the company has about 35 million barrels of oil equivalent of estimated proved reserves as of year-end 2016.
Currently, no decision has been made with regard to any alternatives, and there can be no assurance that this assessment will result in any transaction, the release said.
Recommended Reading
Air Liquide Eyes More Investments as Backlog Grows to $4.8B
2024-02-22 - Air Liquide reported a net profit of €3.08 billion ($US3.33 billion) for 2023, up more than 11% compared to 2022.
Chevron Adds to Carbon Capture Tech Portfolio with ION Investment
2024-04-04 - Chevron New Energies led a funding round that raised $45 million in Series A financing for ION Clean Energy, according to a news release.
Bobby Tudor on Capital Access and Oil, Gas Participation in the Energy Transition
2024-04-05 - Bobby Tudor, the founder and CEO of Artemis Energy Partners, says while public companies are generating cash, private equity firms in the upstream business are facing more difficulties raising new funds, in this Hart Energy Exclusive interview.
Matador Resources Declares Quarterly Dividend
2024-02-14 - Matador Resources will pay a $0.20 dividend on March 13 to shareholders of record by Feb. 23.
Reactive Downhole Tools Appoints COO, CTO
2024-02-14 - Reactive Downhole Tools is also developing a new R&D test center in Abu Dhabi.