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Oil company Quicksilver Resources files for bankruptcy protection

High Oil Prices Continue To Drive Gas Prices Steadily UpwardsHigh Oil Prices Continue To Drive Gas Prices Steadily Upwards

(Reuters) – Quicksilver Resources and its U.S. units filed for Chapter 11 bankruptcy protection on Tuesday, adding to a list of oil and gas producers who have folded amid low oil prices.

The company listed assets of $1.21 billion and liabilities of $1.35 billion in its bankruptcy petition in a Delaware court.

Quicksilver (KWK) said its Canadian units were not included in the chapter 11 filing.

Quicksilver Resources Canada has signed an agreement with its lenders for forbearance until June 16, 2015, of any default under the agreement arising from the chapter 11 filing.

Master limited partnership Crestwood Midstream Partners, which supplies Quicksilver’s operations in the Barnett shale, expects to actively participate in the bankruptcy proceedings.

Crestwood estimates it had not invoiced about $2.2 million of pre-petition services at the time of the filing.

The company plans to continue providing services to Quicksilver related to existing deals.

Oil prices have slid some 50 percent since June because of excessive supply, weighing down oil and gas companies’ cash levels and raising debt.

BPZ Resources, a Texas-based oil producer filed for bankruptcy protection on Monday, March 9. Oil and gas contractor Cal Dive also filed for bankruptcy protection earlier this month.