Greeley energy company files for bankruptcy

GREELEY —  Smith Energy Corp., a Greeley-based energy company, has filed for Chapter 7 bankruptcy.

The company filed for bankruptcy Thursday afternoon in U.S. Bankruptcy Court in Denver, listing assets of $334,611 and liabilities of $773,000. The company stated that it had up to 49 creditors.

Smith Energy stated in the filing that it is in possession of real property that requires “immediate attention,” identifying the Running Creek 11 property in Elbert County. An “oil leak occurred on property and was identified by the Colorado Oil & Gas Conservation Commission,” the company stated, adding that the area will be cleaned pursuant to state regulations under the orphan-well program.

Smith stated that the Running Creek 11 property is not insured, but attorney Mark Larson of the Larson Law Firm LLC in Louisville, which represents Smith Energy, said the company had filed bonds on the property as required by state law.

Larson said that Smith was affected by Anadarko Petroleum Corp.’s shutdown of a feeder pipeline related to the 2017 explosion in Frederick, preventing Smith Energy from delivering its products. He said the closure of Smith Energy, which is based at 12076 Shiloh Road in Greeley, will affect two employees.

Smith Energy constitutes the second Greeley-based energy company to announce closure in the past two weeks. Energes Services Inc., a Greeley oil-rig servicing company, announced Oct. 30 that it would shut down, eliminating 121 jobs.

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