Delphi Energy obtained an order from the Court of Queen’s Bench of Alberta granted in Delphi’s proceedings under the Companies’ Creditors Arrangement Act, extending the stay period to Oct. 9, 2020, approving interim financing arrangements intended to fund the company’s operations and expenses during the CCAA proceedings, and approving a claims process with a claims bar date of July 10, 2020.

ATB Financial will provide interim financing pursuant to an interim letter of credit facility, in an aggregate amount not to exceed $6.25 million, and Luminus Energy, an affiliate of a pooled investment vehicle of Luminus Management, also will provide interim financing pursuant to an interim loan facility, in an aggregate amount not to exceed $13.5 million.

ATB Financial and Luminus Energy have respectively been granted third and fourth ranking super-priority charges over Delphi’s and its subsidiaries’ assets and property in connection with such facilities. Luminus is a related party of Delphi which, through one or more of its pooled investment vehicles or affiliates thereof, holds 14,065,138 common shares, representing approximately 57% of Delphi’s outstanding common shares and approximately $58.7 million principal amount of Delphi’s second lien senior secured notes, representing approximately 49% of the outstanding second lien senior secured notes.

The extension of the stay period to Oct. 9, 2020 is expected to allow Delphi time to pursue restructuring efforts for the benefit of all stakeholders. The company currently intends to work toward developing a plan of compromise or arrangement under the CCAA to be voted on by its creditors.

Delphi Energy is a producer of liquids-rich natural gas.