The No. 1 offshore rig operator in the world, Valaris plc, is seeking Chapter 11 protection in Houston, beset by the devastating impacts of Covid-19.

oil gas rig count

The London-based operator, whose corporate office is in Houston, is seeking to wipe out an estimated $7 billion in debt. The voluntary bankruptcy filing was made in the U.S. Bankruptcy Court for the Southern District of Texas. 

“The substantial downturn in the energy sector, exacerbated by the Covid-19 pandemic, requires that we take this step to create a stronger company able to adapt to the prolonged contraction in the industry, and to continue to enhance our position as overall market conditions improve,” said CEO Tom Burke.

“We have taken several steps to right-size and streamline our organization in line with our goal...