Armor Energy collapses: Australian shale gas exploration company goes into receivership
Shale gas exploration company Armor Energy has been placed into receivership.
The Brisbane-based company – which explores and produces gas, LPG and oil in Queensland, Victoria, South Australia and the Northern Territory – was an industry giant a decade ago.
However, it has struggled with financing in recent years and liquidators are now trying to sell its assets.
Armor Energy posted a loss of $11 million in the last fiscal year.
Shale gas exploration company Armor Energy has been placed into receivership
Richard Tucker and Robert Hutson of KordaMentha Restructuring, who have been appointed as administrators, say they expect “strong interest” in the company’s assets.
“The appointment by creditors follows failed attempts by the company to repay the outstanding senior secured notes,” said a statement from KordaMentha.
“Armour Energy delivered consistent quarterly production results and revenue of $15.0 million in FY23. However, there are significant benefits to both production volumes and sales revenues,” the statement said.
“With the Kincora Gas Project now in production and permits with significant reserves in Queensland, South Australia and Victoria, we expect there will be strong interest in Armor Energy’s assets,” Mr Tucker said.
“As we execute the sales process, we ask all suppliers and stakeholders to work with our team to ensure value is maintained. This is to the benefit of all creditors.’