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Penn Virginia tells SEC a bankruptcy filing is 'highly likely'

Penn Virginia Corp., the embattled Radnor oil and gas producer, stated Friday in a U.S. Securities and Exchange Commission filing that it is "highly likely" it will seek Chapter 11 bankruptcy protection to restructure $1.2 billion in debt.

Penn Virginia Corp., the embattled Radnor oil and gas producer, stated Friday in a U.S. Securities and Exchange Commission filing that it is "highly likely" it will seek Chapter 11 bankruptcy protection to restructure $1.2 billion in debt.

The company, which is among many U.S. oil and gas producers in financial trouble because of low energy prices, acknowledged in its first-quarter earnings report that it is in default under its revolving credit agreement. Its lenders have agreed not to declare default until May 10 if certain conditions have been satisfied.

Penn Virginia spent $7.8 million in the first quarter on financial advisers and $3.3 million to banks and unsecured note-holders in an effort to refinance the company.

amaykuth@phillynews.com

215-854-2947 @maykuth