Pioneer Oil and Gas Co. has received U.S. Bankruptcy Court permission to seek creditor approval for its proposed Chapter 11 reorganization plan.
The Salt Lake-based exploration company says the plan will allow it to pay off all of its creditors for approximately $300,000."We have several alternatives for raising the money," said company president Don J. Colton.
He said the company will be seeking help from its existing stockholders, who will be offered additional shares in the company.
It can also try to get debt financing or sell some of its assets, which include interest in 30 stripper wells in Wyoming, Colorado and Utah. Stripper wells produce under 10 barrels of oil a day.