BKKN Chapter 11 filing
I had a chance to look more at the case.
I downloaded the documents from pacer and through RECAP, the important ones are available to anyone. The link is here:
Recap listing for BKKN bankruptcy case
The important document is number 110, which is the statement of financial affairs.
The company filed December 2018, and just within a few days, had the Chapter 11 dismissed.
It looked like there are all kinds of lawsuits going on with the company listing 8 in the filing, plus all of the litigation around the Chapter 11 filing.
The company has $5.3 million in assets and about $1 million in liabilities.
The assets has about $1 million in cash, $1.9 million in oil and property rights and the rest in prepayments.
The company went into the filing owning a few hundred thousand in legal fees.
Revenue for the last three years was as follows:
2016 $800K
2017 $1.7 million
2018 $1.9 million
Apparently, whatever was going on, the company and everyone else came to some kind of agreement and the company filed to withdraw the bankruptcy.
The problem is that almost all of the cash is now needed to pay bills, meaning the company will have to start selling off assets to keep going.
There is also the problem in that the company seems to have been unable or unwilling to file its reports for a number of months, even though it only mostly owns oil rights and has little to no operations.
Louis J. Desy Jr.
