Each one in plain English, with the numbers worked through for a shareholder.
10 Nov 2015bankruptcy or receivership▼ BadMajor
Far East Energy filed for Chapter 7 liquidation on 10 November 2015 after failing to sell or restructure itself, handing control to a trustee to sell off the assets. The filing defaulted every borrowing at once - $23.2 million on the 2011 facility, $10.8 million on the working capital loans and $89.1 million on the 13% notes, about $123 million in all - and both remaining officers ceased to hold office immediately. Fourteen years of Chinese coalbed methane exploration ended without commercial production.
Standard Chartered sold its position out of the 2011 facility to the same lender group behind the working capital loans, and the new holders extended the maturity to March 2016. The original bank was gone; the company's fate now sat with a single group of distressed lenders.
A $16.3 million unsecured facility was arranged, $8.8 million of it simply to refinance the three working capital loans taken since February. New money was being raised almost entirely to repay recent borrowing.
A thirteenth and final extension carried the bank loan to 8 October 2015 with interest deferred once more - the last of a year of month-by-month reprieves.
The February working capital loan was extended a second time and a third $4 million unsecured facility was taken from the same lenders - the company now rolling three separate stopgap loans at once.
With the bank loan unpayable, the company took a $1.4 million three-month unsecured working capital loan from a group of lenders - borrowing to keep the lights on rather than to drill.
For the first time the bank deferred the interest itself, not just the principal: the November payment was rolled into a new maturity of 31 December 2014. The company had stopped being able to service the loan at all.
The Standard Chartered facility was extended again, to April 2014, with interest now payable monthly instead of quarterly - a lender shortening its leash.
CUCBM extended Shouyang exploration to June 2016 over 1,103 square kilometres, but only in exchange for a commitment to drill at least 39 more wells - more time bought with spending the company had no obvious way to fund.
