|
|
|
|
|
Bankrupt Texas Retail Provider Seeks Court Order To Compel Mediation With Wholesale Supplier
The following story is brought free of charge to readers by EC Infosystems, the exclusive EDI provider of EnergyChoiceMatters.com
Pogo Energy, LLC (Debor) filed a motion in its bankruptcy proceeding seeking a court order to compel mediation with Luminant Energy Company, its credit facility provider and QSE
In the motion, Pogo said, "Because the Debtor acquires all of its electricity through Luminant,
the Debtor was eventually faced with an invoice to Luminant in the amount of $26 million for the
Storm Uri days that it was unable to pay from its operating revenue. This unpaid invoice to Luminant
was the primary basis for the Debtor seeking relief in chapter 11, and a settlement with Luminant
would likewise form the basis of the Debtor’s path out of bankruptcy."
In the motion, Pogo said, "Recognizing the critical nature of reaching an agreement with Luminant in order to
resolve Luminant’s claim and establish a path to emerge from chapter 11, the Debtor has sought to
engage in settlement negotiations with Luminant since the time it filed its petition. In that time, the
Debtor and Luminant have made a number of good-faith attempts to resolve the dispute between
them, including (1) a full-day settlement conference in Dallas on July 20, 2021, (2) the exchange of
several term sheet proposals, and (3) ongoing discussions between the business leaders on both sides.
Unfortunately, the parties have been unable to finalize an agreement, and at this point in the
proceedings, the Debtor believes that the involvement of a neutral third-party mediator is necessary
to reach an agreement, which will be in the best interests of the estate and its creditors."
"By this Motion, the Debtor seeks entry of an order, substantially in the form
attached hereto, pursuant to section 105(a) of the Bankruptcy Code and Local Rule 9019-2 directing
the Debtor and Luminant to participate in mediation. The Debtor acknowledges that there is no
practical way for the it to successfully emerge from chapter 11 bankruptcy absent and agreement with Luminant, and is of the belief that mediation will provide the most efficient path to such an
agreement," Pogo said
ADVERTISEMENT Copyright 2010-21 Energy Choice Matters. If you wish to share this story, please
email or post the website link; unauthorized copying, retransmission, or republication
prohibited.
September 27, 2021
Email This Story
Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
NEW Jobs on RetailEnergyJobs.com:
• NEW! -- Senior Sales Executive -- Retail Supplier
• NEW! -- Power Analyst
• NEW! -- Financial Analyst
• NEW! -- Environmental Commodity Analyst
• NEW! -- Gas Analyst
• Energy Pricing Analyst -- Retail Supplier
• Senior Account Operations Analyst -- Retail Supplier
• Energy Procurement Manager
|
|
|
|