Georgia natural gas marketer Catalyst Energy Group and two affiliates have filed for Chapter 11 bankruptcy protection after losing a required credit line and contracted fuel supply.
Privately owned Catalyst and affiliates Catalyst Natural Gas LLC and Catalyst Supply Services Inc. estimated assets of less than $50,000 and liabilities of between $1 million and $10 million owed to 49 or fewer creditors, according to court documents. The companies serve about 34,000 residential and commercial gas customers throughout Georgia, including the Atlanta metropolitan area.
Filings indicate that Catalyst intends to operate its business as a debtor in possession. The Georgia Public Service Commission (PSC) is to begin considering Friday whether to allow Catalyst to continue selling gas in the state. Customers could be randomly assigned to other gas marketers, the PSC said.
“Under no circumstance will Catalyst’s customers’ natural gas service be disrupted, nor will they lose their right to select a marketer of their choice,” the PSC said.
Catalyst was certified to do business in Georgia on Feb. 7, 2006. According to a bankruptcy filing, Catalyst also is certified to do business in Texas.
Catalyst CEO Fernando de Aguero blamed the bankruptcy on the financial meltdown on Wall Street, according to an Associated Press report.
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