• Trouble Down the Pipeline? What Sabine Oil & Gas Corp. May Mean For The Midstream Service Sector
  • June 7, 2016 | Author: James P. Roberts
  • Law Firm: Burr & Forman LLP - Birmingham Office
  • Recently, the Bankruptcy Court for the Southern District of New York issued an opinion in In re Sabine Oil & Gas Corp.1 that permitted the debtor, Sabine Oil & Gas Corporation (“Sabine”) to reject certain gathering and condensation agreements as executory contracts under 11 U.S.C. § 365. Because the midstream service sector finances the construction of pipelines, the costs of which are recovered over the life of gathering agreements, the Court’s decision has the potential to lead to considerable upheaval in the energy sector.