Permian Basin pure-play Halcon Resources Corp. has emerged from bankruptcy, eliminating more than $750 million of debt and over $40 million in annual interest expenses to give it a better financial foothold.

With its exit from Chapter 11, the Houston independent said it has $147 million available under its new senior secured revolving credit facility, including $3 million in cash, $1 million in letters of credit and $130 million of borrowing. The company also has more than 16 million shares of common stock outstanding.

Emerging from voluntary bankruptcy “has been the culmination of a lot of hard work from the entire team, including our legal and financial advisers,” CEO Richard Little said. “We remain focused on creating value and enhancing the financial flexibility we have achieved in this process."

Halcon, which also filed for Chapter 11 in 2016, sought restructuring in August after exploring its strategic options earlier this year. The company’s review began after long-time CEO Floyd Wilson and other executives left the company.

With restructuring complete, the company has appointed Daniel P. Rohling as COO and executive vice president, replacing Jon Wright. Rohling most recently was asset vice president at Ajax Resources LLC until it sold most of its assets in 2018 to Diamondback Energy Inc.

Rohling began his career at EP Energy Corp. and earned a bachelor of science degree from Texas A&M University. Rohling “has a great track record of delivering results safely and efficiently with a focus on capital discipline and overall program economics,” Little said.

Halcon produced 18,055 boe/d in 2Q2019, compared with volumes of 12,709 boe/d in 2Q2018. Net losses in the quarter totaled $640.9 million (minus $4.03/share), versus net income of $16.3 million in 2Q2018.

Perella Weinberg Partners and Tudor, Pickering, Holt & Co. acted as Halcon’s financial advisers during the  restructuring, while Weil, Gotshal & Manges LLP was legal counsel and FTI Consulting Inc. was restructuring adviser. Ducera Partners LLC was financial adviser and Paul, Weiss, Rifkind, Wharton & Garrison was legal adviser to the senior note holders.

As of mid-August, about 26 North American explorers had filed for bankruptcy, according to Haynes & Boone LLC.

Eagle Ford Shale operator Sanchez Energy Corp filed for bankruptcy in August at the same time as Halcon. Houston-based independent Alta Mesa Resources Inc., which works in Oklahoma, sought protection last month, along with Denver-Julesburg Basin pure-play PetroShare Corp. EP Energy joined the list this week.