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Bloomberg
Covia Holdings Corp, a supplier of sand and other mineral products to the oil and gas industry, filed for Chapter 11 bankruptcy in federal court in the Southern District of Texas.
The company has a restructuring support agreement with holders of the majority of its secured debt. It currently has cash reserves of about $250 million and US operations will continue as normal, according to a news release.
The Ohio-based company can use its cash collateral to fund its ongoing operations and bankruptcy, Judge David R Jones ruled in the company’s first-day hearing. Jones also approved other motions, including ones to pay wages and to continue to use its cash management systems.