Since the assets are worthless. The bankruptcy creditors committee has voted to go after the Norse Energy executives that allegedly crooked investors, welshed on road repairs, missed financial filing dates, could not find a gashole with both hands – and just generally ran Norse Energy into the ground. What a fracking surprise.
Norse Energy helped turn “frack” into a four letter word in Norwegian and English.
Creditor Committee Motion
26 August 2013
Norse Energy Corp. ASA (“NEC” ticker Oslo Stock Exchange, Norway) announces that bidding on its 363 (bankruptcy) asset sale resulted in less than expected bid values. The Company is now evaluating all of its options, including continuing the 363 (bankruptcy) sale process.
Also, as part of the bankruptcy proceeding, the creditors’ committee is seeking authority to pursue claims against the parent companies of Norse USA, certain Company officers and directors and others.
The Company will advise the market of significant developments.
For further information, please contact:
Or just have a tipstaff hit him with a summons. That might get his attention. . .
Meanwhile, Norse shares are now officially worth one US penny:
Loan Conversion Notification
28 August 2013
Norse Energy Corp. ASA (“NEC”) has received a notification of conversion of NOK 400,000 of its NOK 7,100,000 convertible loan at aconversion price per share of NOK 0.075, representing issue of a total of 5,333,333 new shares. The conversion will be effected as soon as possible.
As part of their bankruptcy restructuring agreement, Norse Energy Corp. held an auction of its assets that did not yield any sales, leaving officials uncertain as to the company’s next step.
“The activity was less than what we expected, and we’re evaluating our options,” said Norse chief legal officer Dennis Holbrook. “That’s sort of where we stand right now.”
The auction — or 363 asset sale — is a tool used by distressed companies to sell their assets. Buyers get on board to purchase assets at potentially low prices. These are viewed as efficient compared to sales that take place as part of a reorganization plan, and can provide buyers with benefits that can’t be obtained in a sale outside of a bankruptcy. Norse, which had been headquartered in Blasdell, declared bankruptcy on Dec. 6.
Holbrook said that last week Norse was unable to sell 130,000 net acres of land in Western and Central New York, plus rights of way pipeline construction associated with that leased acreage, and six wells that were drilled but not online.
For years, the company had been busy selling parts of its business and re-investing that money in New York to develop the Marcellus Shale formation in New York. In 2008, the company consolidated operations in Blasdell and in 2010 planned to hire 40 scientists, Ph.Ds, lawyers and others to grow their business. However, New York doesn’t allow the shale to be drilled, and is still awaiting results of a state environmental review.
“We had pinned all our assets in New York state, but it’s been an expensive proposition, waiting on New York for a number of years,” he said.