Oilsands Quest files for Chapter 15 protection in U.S.
(Reuters) - Canada's Oilsands Quest Inc BQI.A filed for Chapter 15 protection from creditors in a U.S. bankruptcy court, after the troubled Calgary-based company failed to find buyers for its Wallace Creek assets in Alberta.
The company has $100 million to $500 million in assets and $1 million to $10 million in liabilities, it said in a filing with the U.S. bankruptcy court in Southern District of New York.
Chapter 15 protection in the U.S. grants a foreign company protection from creditors and helps avoid conflicts that arise between jurisdictions.
Last week, the Calgary-based explorer said it obtained a debtor-in-possession financing of C$3.8 million for funding company expenses during the proceedings.
Oilsands continues to manage its properties and operate its businesses under the supervision of the Alberta Court, after it received a court order in November to protect it from creditors.
The case is In re: Oilsands Quest Inc, Case No. 12-10476, U.S. Bankruptcy Court, Southern District of New York.
(Reporting by Aftab Ahmed in Bangalore; Editing by Supriya Kurane)
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