Houston’s Fairway Files Chapter 11

November 28, 2018

 

Fairway Energy LP has filed for bankruptcy protection.

The Houston company filed Chapter 11 papers in Delaware on Monday, saying the company will go up for sale as part of the restructuring.

The Wall Street Journal said the company cited cost overrruns on a project south of downtown Houston among other reasons, causing near-default in $100 million in loans.

Fairway is a Harvard University-backed crude oil underground cavern storage and infrastructure connectivity projects company, according to its website.

Law360 noted Wednesday that Fairway has won court approval to “tap the first $6 million of a $20 million Delaware Chapter 11 loan.”