Scanrock Oil and Gas, Inc. and nine affiliated entities are oil and gas exploration and production companies operating in the Smackover Formation and Todd Deep Field in Texas, along with ranch properties including a 44,328-acre ranch in Oregon and a 1,740-acre ranch in Texas. The Odessa, Texas-based companies employ approximately 18 people plus 12 independent contractors. The Debtors filed Chapter 11 on February 3, 2025 in the Northern District of Texas (Case No. 25-90001) to address approximately $50 million in secured debt owed to Prosperity Bank and over $6 million in unpaid royalty interests. The joint consolidated plan of reorganization contemplates funding through asset sales, including a $68 million sale agreement for the Oregon ranch and the $25 million Texas ranch. Prosperity Bank authorized use of cash collateral under strict budget controls and adequate protection provisions. The plan was confirmed on September 3, 2025 with an effective date of September 20, 2025. Equity interests were retained under the plan.
