HTML Document View

Full title: Amended Debtor-In-Possession Monthly Operating Report for Filing Period ending 3/31/2021, $2,794,793.48 disbursed (Filed By Castex Energy 2005 Holdco, LLC, Castex Energy 2005, LLC, Castex Energy Partners, LLC, Castex Offshore, Inc. ). (O'Connor, Ryan) (Entered: 06/04/2021)

Document posted on Jun 3, 2021 in the bankruptcy, 11 pages and 0 tables.

Bankrupt11 Summary (Automatically Generated)

CASE NAME:Castex Energy 2005 Holdco, LLC, et al.Matthew Okin IRM NAME: Okin Adams DDRESS: 1113 Vine St #240 I certify under penalty of perjury that the following completeITY, STATE, ZIP: Houston, TX, 77002 Monthly Operating Report (MOR), consisting of MOR-1 throughELEPHONE/FAX: (713) 228-4101 MOR-9 plus attachments, is true and correct. March 2021 Includes $1,542,130 in total Restricted Cash; comprised of Unsecured Claims Cash Account $750,000, Dormant Investment Account $5,239 and withheld Royalty Interest Suspense funds of $786,891. OTAL $1,142,959.10 $460,459.10 $0.00 $0.00 $0.00 $682,500.0 AGING OF ACCOUNTS RECEIVABLE MONTH MONTH MONTH MONTH MONTH CASE NUMBER: 21-30710 CASH RECEIPTS AND DISBURSEMENTSNOTES: 1. Includes $1,542,130 in total Restricted Cash; comprised of Unsecured Claims Cash Account $750,000, Dormant Investment Account $5,239 and withheld Royalty Interest suspense funds $786,891.

List of Tables

Document Contents

CASE NAME:Castex Energy 2005 Holdco, LLC, et al. PETITION DATE: February 26, 2021CASE NUMBER:21-30710 ONTHLY OPERATING REPORT SUMMARY for March 2021 MONTH Feb 27-28, 2021 Mar-21 EVENUES (MOR-6) $0.00 $2,205,236.05 COME BEFORE INT; DEPREC./TAX (MOR-6) $0.00 -$2,997,723.39 ET INCOME AFTER BANKRUPTCY COSTS (LOSS) (MOR-6) $0.00 $22,722,931.95AYMENTS TO INSIDERS (MOR-9) $0.00 30,194.56 AYMENTS TO PROFESSIONALS (MOR-9) $0.00 0.00 OTAL DISBURSEMENTS (MOR-7) $0.00 $2,794,793.48 **The original of this document must be filed with the United States Bankruptcy Court**CIRCLE ONE Are all accounts receivable being collected within terms? Yes NoEQUIRED INSURANCE MAINTAINED EXP. Are all post-petition liabilities, including taxes, being paid within terms? Yes No AS OF SIGNATURE DATE DATE Have any pre-petition liabilities been paid? Yes Noeneral Liability 4/30/2021 If so, describe Per Cash Collateral Ordermbrella Liability 4/30/2021 Are all funds received being deposited into DIP bank accounts? Yes Noxcess Liability 4/30/2021 Were any assets disposed of outside the normal course of business? Yes Nonergy Package 5/1/2021 If so, describe nvironmental/ Pollution 6/1/2021 Are all U.S. Trustee Quarterly Fee Payments current? Yes Noviation Liability 6/1/2021 What is the status of your Plan of Reorganization? TBDirectors and Officers Liability 9/14/2021 harterer's Liability 12/6/2021 aritime Employers Liability 12/6/2021 TTORNEY NAME: Matthew Okin IRM NAME: Okin Adams DDRESS: 1113 Vine St #240 I certify under penalty of perjury that the following completeITY, STATE, ZIP: Houston, TX, 77002 Monthly Operating Report (MOR), consisting of MOR-1 throughELEPHONE/FAX: (713) 228-4101 MOR-9 plus attachments, is true and correct. SIGNED (ORIGINAL SIGNATURE) Douglas J. Brickley 04/21/21 (PRINT NAME OF SIGNATORY) DATE

1

CASE NAME: Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER: 21-30710 COMPARATIVE BALANCE SHEETS
Table 1 on page 2. Back to List of Tables
ASSETS FILING DATE 1
February 26, 2021
MONTH 2
February 2021
MONTH
March 2021
CURRENT ASSETS
Cash 3 $ 4 ,654,232.59 $ 4 ,654,232.59 $ 4 ,527,087.64
Accounts Receivable, Net 3,833,052.55 3,833,052.55 7,101,214.94
Prepaid Expenses 62,042.00 62,042.00 62,042.00
TOTAL CURRENT ASSETS 8,549,327.14 8,549,327.14 11,690,344.58
OTHER ASSETS
Receivables From Insiders 4 1,322,471.00 1,322,471.00 1,322,471.00
Stock Investments 5 59,279,684.80 59,279,684.80 85,478,155.34
Apache Judgement 69,500,000.00 69,500,000.00 69,500,000.00
FIXED ASSETS
O&G Property and Equipment 0.00 0.00 0.00
Less Accumulated Depreciation 0.00 0.00 0.00
Net Book Value of PP&E 6 0.00 0.00 0.00
TOTAL FIXED ASSETS 0.00 0.00 0.00
TOTAL ASSETS $138,651,482.94 $138,651,482.94 $167,990,970.92
NOTES: 1. Per Schedules and Statement of Financial Affairs created from the Debtor’s books and records. 2. No additional activity in February 27-28, 2021. 3. March 2021 Includes $1,542,130 in total Restricted Cash; comprised of Unsecured Claims Cash Account $750,000, Dormant Investment Account $5,239 and withheld Royalty Interest Suspense funds of $786,891. 4. Insurance premium refund ($1,142,026) due to the Debtors and former suspense funds ($180,445) due to the Debtors by Talos, both of which are being improperly held by CEI. 5. Investment in stock received in conjunction with the sale of properties to Talos Energy marked up to the market value as of the end date in each month listed above. 6. Debtors’ books and records are lacking and/or incomplete. For example, in connection with the Talos sale in August of 2020, a proper purchase price allocation has yet to be made. Due to the lack of updated books and records, the resulting real property value has been reported as $0.00. The net total book value for all fields, after certain deductions, is estimated to be roughly $140,000,000. MOR-2

2

CASE NAME: Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER: 21-30710 COMPARATIVE BALANCE SHEETS
Table 1 on page 3. Back to List of Tables
LIABILITIES & OWNER'S
EQUITY
FILING DATE 1
February 26, 2021
MONTH 2
February 2021
MONTH
March 2021
LIABILITIES
POST-PETITION LIABILITIES(MOR-4) $0.00 $0.00 $1,142,959.10
PRE-PETITION LIABILITIES
Secured Debt 199,585,956.00 199,585,956.00 199,585,956.00
Priority Unsecured Debt 0.00 0.00 0.00
Unsecured Debt 9,148,184.85 9,148,184.85 9,148,184.85
TOTAL PRE-PETITION LIABILITIES 208,734,140.85 208,734,140.85 208,734,140.85
TOTAL LIABILITIES 208,734,140.85 208,734,140.85 209,877,099.95
OWNER'S EQUITY (DEFICIT)
PREFERRED STOCK 0.00 0.00 0.00
COMMON STOCK 40,001,931.00 40,001,931.00 40,001,931.00
CONTRIBUTED CAPITAL 0.00 0.00 0.00
ACCUMULATED RETAINED EARNINGS: -109,213,269.27 -109,213,269.27 -105,293,491.98
NET INCOME (LOSS) Cumulative YTD -871,319.64 -871,319.64 22,722,931.95
TOTAL OWNER'S EQUITY (NET WORTH) -70,082,657.91 -70,082,657.91 -41,886,129.03
TOTAL
LIABILITIES &
OWNERS EQUITY
$138,651,482.94 $138,651,482.94 $167,990,970.92
NOTES: 1. Per Schedules and Statement of Financial Affairs created from the Debtor’s books and records. 2. No additional activity in February 27-28, 2021. MOR-3

3

CASE NAME: Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER: 21-30710 SCHEDULE OF POST-PETITION LIABILITIES
Table 1 on page 4. Back to List of Tables
FILING DATE
February 26, 2021
MONTH 1
February 2021
MONTH
March 2021
TRADE ACCOUNTS PAYABLE $0.00 $0.00 $460,459.10
TAX PAYABLE
Federal Payroll Taxes 0.00 0.00 0.00
State Payroll Taxes 0.00 0.00 0.00
Ad Valorem Taxes 0.00 0.00 0.00
Sales Taxes 0.00 0.00 0.00
TOTAL TAXES PAYABLE 0.00 0.00 0.00
SECURED DEBT POST-PETITION 0.00 0.00 0.00
ACCRUED INTEREST PAYABLE 0.00 0.00 0.00
ACCRUED PROFESSIONAL FEES 2 0.00 0.00 682,500.00
OTHER ACCRUED LIABILITIES 0.00 0.00 0.00
TOTAL POST-PETITION LIABILITIES (MOR-3) $0.00 $0.00 $1,142,959.10
NOTES: 1. No additional activity in February 27-28, 2021. 2. Professional Fees are estimates and based on end of month calendar year. MOR-4

4

CASE NAME:Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER:21-30710 AGING OF POST-PETITION LIABILITIES As of March 31, 2021 DAYS TOTAL TRADE FEDERAL STATE AD VALOREM, PROFESSIONAL ACCOUNTS TAXES TAXES OTHER TAXES FEES 1 -30 $392,043.05 $392,043.05 $0.00 $0.00 $0.00 $0. 1-60 750,916.05 68,416.05 0.00 0.00 0.00 682,500.0 1-90 0.00 0.00 0.00 0.00 0.00 0. 1+ 0.00 0.00 0.00 0.00 0.00 0. OTAL $1,142,959.10 $460,459.10 $0.00 $0.00 $0.00 $682,500.0 AGING OF ACCOUNTS RECEIVABLE MONTH MONTH MONTH MONTH MONTH February 2021 2 March 2021 April 2021 May 2021 -30 DAYS $0.00 $2,688,304.46 1-60 DAYS 0.00 1,247,337.43 1-90 DAYS 1,192,639.64 0.00 1+ DAYS 2,640,412.91 3,165,573.05 OTAL $3,833,052.55 $7,101,214.94 OTES: . Professional Fees are estimates and total reflects the cumulative amount outstanding. . No additional activity in February 27-28, 2021. OR-5

5

CASE NAME: Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER: 21-30710 STATEMENT OF INCOME (LOSS)
Table 1 on page 6. Back to List of Tables
MONTH 1
Feb 27-28, 2021
MONTH
March 2021
FILING TO
DATE
REVENUES (MOR-1) $0.00 $2,205,236.05 $2,205,236.05
OPERATING EXPENSES:
Lease Operating Expenses 0.00 1,970,017.82 1,970,017.82
Administrative Expense 0.00 3,232,941.62 3,232,941.62
Occupancy Costs 0.00 0.00 0.00
Insurance 0.00 0.00 0.00
Legal / Accounting 0.00 0.00 0.00
Management Fees 0.00 0.00 0.00
Other Operating Expense 0.00 0.00 0.00
TOTAL OPERATING EXPENSES 0.00 5,202,959.44 5,202,959.44
INCOME BEFORE INT, DEPR./TAX (MOR-1) 0.00 -2,997,723.39 -2,997,723.39
Amortization 0.00 0.00 0.00
Depreciation 0.00 0.00 0.00
Accretion Expense 0.00 -575,000.00 -575,000.00
Interest Income 0.00 0.00 0.00
Interest Expense 0.00 0.00 0.00
Other Income 2 0.00 26,978,155.34 26,978,155.34
Other Expense 0.00 0.00 0.00
Vendor refunds offset against expenses 0.00 0.00 0.00
TOTAL INT, DEPR, & OTHER ITEMS 0.00 26,403,155.34 26,403,155.34
NET INCOME BEFORE TAXES 0.00 23,405,431.95 23,405,431.95
TAXES 0.00 0.00 0.00
BANKRUPTCY FEES AND RELATED COSTS 0.00 682,500.00 682,500.00
NET INCOME (LOSS) AFTER BK FEES/COSTS (MOR-1) $0.00 $22,722,931.95 $22,722,931.95
NOTES: 1. No additional activity in February 27-28, 2021. 2. Amount listed in March 2021 represents the market appreciation in Talos Energy equity investment from 1/1/2021 to 3/31/2021. MOR-6

6

CASE NAME:Castex Energy 2005 Holdco, LLC, et al. CASE NUMBER: 21-30710 CASH RECEIPTS AND DISBURSEMENTS
Table 1 on page 7. Back to List of Tables
MONTH
Beginning Date:
Ending Date:
February
2/27/2021
2/28/2021
March
3/1/2021
3/31/2021
FILING TO
DATE
1CASH-BEGINNING OF MONTH1 $4,654,232.59 $4,654,232.59 $4,654,232.59
RECEIPTS:
2Collection Of Accounts Receivable 0.00 2,667,648.53 2,667,648.53
3Other Revenue (Ie, Hedging Profit Or Loss) 0.00 0.00 0.00
4Loans & Advances (Attach List) 0.00 0.00 0.00
5Equity Contribution 0.00 0.00 0.00
6Refunds And Vendor Credit 0.00 0.00 0.00
TOTAL RECEIPTS 0.00 2,667,648.53 2,667,648.53
DISBURSEMENTS: None None
7Logistics/Freight 0.00 183,193.85 183,193.85
8Oilfield Supplies/Services 0.00 21,505.97 21,505.97
9Partner Disbursements - JIBs 0.00 1,097,055.19 1,097,055.19
10Partner Disbursements - Revenue 0.00 885,373.03 885,373.03
11Fuel 0.00 0.00 0.00
12Company Operators - Schooner O&G 0.00 385,000.00 385,000.00
13Service Contractors 0.00 173,325.47 173,325.47
14Other Operating Disbursements 0.00 13,630.07 13,630.07
TOTAL DISBURSEMENTS FROM OPERATIONS 0.00 2,759,083.58 2,759,083.58
15Professional Fees 0.00 0.00 0.00
16Professional Fees - UCC 0.00 0.00 0.00
17AFE/Cash Calls/CV 0.00 0.00 0.00
18Tax Fees 0.00 0.00 0.00
19Insurance 0.00 0.00 0.00
20Interest Expense & Bank Fees 0.00 3,833.76 3,833.76
21Adequate Protection 0.00 0.00 0.00
22Other Disbursements 0.00 31,876.14 31,876.14
TOTAL OTHER DISBURSEMENTS 0.00 35,709.90 35,709.90
TOTAL DISBURSEMENTS 0.00 2,794,793.48 2,794,793.48
23NET CASH FLOW 0.00 -127,144.95 -127,144.95
24CASH - END OF MONTH (MOR-2) $4,654,232.59 $4,527,087.64 $4,527,087.64
NOTES: 1. Includes $1,542,130 in total Restricted Cash; comprised of Unsecured Claims Cash Account $750,000, Dormant Investment Account $5,239 and withheld Royalty Interest suspense funds $786,891. MOR-7

7

CASE NUMBER:21-30710 CASH ACCOUNT RECONCILIATION of: Beginning Date: 2/27/2021 2/27/2021 2/27/2021 2/27/2021 2/27/2021b. 28, 2021 Ending Date: 2/28/2021 2/28/2021 2/28/2021 2/28/2021 2/28/2021K NAME Capital One Capital One Capital One Capital One Capital OneCEP - Unsecured CEP - Dormant CEP - Operating COI - Operating COI - Revenue OUNT NAME Claims Cash Account Investment Account Account Account AccountOUNT NUMBER 4670140585 382068223 4670140607 4670140623 4670140615OUNT TYPE Deposit Deposit Checking Checking Checking TOTAL K BALANCE $ 750,000.00 $ 5,239.07 $159,354.17 $2,900,394.36 $839,244.99 $4,654,232.59OSITS IN TRANSIT 0.00 TSTANDING CHECKS 0.00 0.00 0.00 0.00 0.00 0.00 JUSTED BANK BALANCE 750,000.00 5,239.07 159,354.17 2,900,394.36 839,244.99 4,654,232.59INNING CASH - PER BOOKS 750,000.00 5,239.07 159,354.17 2,900,394.36 839,244.99 4,654,232.59EIPTS 0.00 0.00 0.00 0.00 0.00 0.00 NSFERS BETWEEN ACCOUNTS 0.00 0.00 0.00 0.00 0.00 0.00 THDRAWAL) OR CONTRIBUTION BY IVIDUAL DEBTOR MFR-2 0.00 0.00 0.00 0.00 0.00 0.00 CKS/OTHER DISBURSEMENTS 0.00 0.00 0.00 0.00 0.00 0.00 ING CASH - PER BOOKS 750,000.00 5,239.07 $159,354.17 $2,900,394.36 $839,244.99 $4,654,232.59CASH ACCOUNT RECONCILIATION of: Beginning Date: 3/1/2021 3/1/2021 3/1/2021 3/1/2021 3/1/2021ar. 31, 2021 Ending Date: 3/31/2021 3/31/2021 3/31/2021 3/31/2021 3/31/2021K NAME Capital One Capital One Capital One Capital One Capital OneCEP - Unsecured CEP - Dormant CEP - Operating COI - Operating COI - Revenue OUNT NAME Claims Cash Account Investment Account Account Account AccountOUNT NUMBER 4670140585 382068223 4670140607 4670140623 4670140615OUNT TYPE Deposit Deposit Checking Checking Checking TOTAL K BALANCE $ 750,000.00 $ 5,239.07 $ 140,375.85 $ 1,937,508.87 $ 1,693,963.85 $ 4,527,087.64OSITS IN TRANSIT 0.00 TSTANDING CHECKS 0.00 0.00 0.00 0.00 0.00 0.00 JUSTED BANK BALANCE 750,000.00 5,239.07 140,375.85 1,937,508.87 1,693,963.85 4,527,087.64INNING CASH - PER BOOKS 750,000.00 5,239.07 159,354.17 2,900,394.36 839,244.99 4,654,232.59EIPTS 0.00 0.00 0.00 927,531.64 1,740,116.89 2,667,648.53 NSFERS BETWEEN ACCOUNTS 0.00 0.00 400,000.00 (400,000.00) 0.00 0.00THDRAWAL) OR CONTRIBUTION BY IVIDUAL DEBTOR MFR-2 0.00 0.00 0.00 0.00 0.00 0.00 CKS/OTHER DISBURSEMENTS 0.00 0.00 418,978.32 1,490,417.13 885,398.03 2,794,793.48ING CASH - PER BOOKS 750,000.00 5,239.07 140,375.85 1,937,508.87 1,693,963.85 4,527,087.64R-8

8

CASE NUMBER: 21-30710 PAYMENTS TO INSIDERS AND PROFESSIONALS
Table 1 on page 9. Back to List of Tables
INSIDERS: NAME/COMP TYPE MONTH
Feb 27-28, 2021
MONTH
3/1/2021
1 DANIEL A. GILLETT Board of Directors Fees & Expenses $0.00 $15,194.56
2 RICHARD SHERRILL Board of Directors Fees & Expenses 0.00 15,000.00
TOTAL INSIDERS (MOR-1) $0.00 $30,194.56
CASE NUMBER: 21-30710 PAYMENTS TO INSIDERS AND PROFESSIONALS
Table 2 on page 9. Back to List of Tables
PROFESSIONALS MONTH
Feb 27-28, 2021
MONTH
3/1/2021
1. The Claro Group $0.00 $0.00
2. Okin Adams 0.00 0.00
3. Thompson & Knight 0.00 0.00
4. Wright Close & Barger 0.00 0.00
5. Baker Hostetler 0.00 0.00
6. Professional Fees - UCC 0.00 0.00
7. King & Spalding 0.00 0.00
8. Willkie Farr 0.00 0.00
TOTAL PROFESSIONALS (MOR-1) $0.00 $0.00
MOR-9

9

SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
Table 1 on page 10. Back to List of Tables
Accrued Professional Fees Month:
Beginning Date:
and Expenses1
Ending Date:
FILING DATE
2/26/2021
February 2021
2/27/2021
2/28/2021
March 2021
3/1/2021
3/31/2021
TOTAL
1. The Claro Group $0.00 $0.00 $200,000.00 $200,000.00
2. Okin Adams 0.00 0.00 200,000.00 200,000.00
3. Thompson & Knight 0.00 0.00 50,000.00 50,000.00
4. Wright Close & Barger 0.00 0.00 3,750.00 3,750.00
5. Baker Hostetler 0.00 0.00 3,750.00 3,750.00
6. Professional Fees - UCC 0.00 0.00 100,000.00 100,000.00
7. King & Spalding 0.00 0.00 100,000.00 100,000.00
8. Willkie Farr 0.00 0.00 25,000.00 25,000.00
TOTAL $0.00 $0.00 $682,500.00 $682,500.00
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
Table 2 on page 10. Back to List of Tables
Month:
Payments Beginning Date:
Ending Date:
FILING DATE
2/26/2021
February 2021
2/27/2021
2/28/2021
March 2021
3/1/2021
3/31/2021
TOTAL
1. The Claro Group $0.00 $0.00 $0.00 $0.00
2. Okin Adams 0.00 0.00 0.00 0.00
3. Thompson & Knight 0.00 0.00 0.00 0.00
4. Wright Close & Barger 0.00 0.00 0.00 0.00
5. Baker Hostetler 0.00 0.00 0.00 0.00
6. Professional Fees - UCC 0.00 0.00 0.00 0.00
7. King & Spalding 0.00 0.00 0.00 0.00
8. Willkie Farr 0.00 0.00 0.00 0.00
TOTAL $0.00 $0.00 $0.00 $0.00
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
Table 3 on page 10. Back to List of Tables
Month:
Cumulative Amount
Beginning Date:
Outstanding as of:
Ending Date:
FILING DATE
2/26/2021
February 2021
2/27/2021
2/28/2021
March 2021
3/1/2021
3/31/2021
TOTAL
1. The Claro Group $0.00 $0.00 $200,000.00 $200,000.00
2. Okin Adams 0.00 0.00 200,000.00 200,000.00
3. Thompson & Knight 0.00 0.00 50,000.00 50,000.00
4. Wright Close & Barger 0.00 0.00 3,750.00 3,750.00
5. Baker Hostetler 0.00 0.00 3,750.00 3,750.00
6. Professional Fees - UCC 0.00 0.00 100,000.00 100,000.00
7. King & Spalding 0.00 0.00 100,000.00 100,000.00
8. Willkie Farr 0.00 0.00 25,000.00 25,000.00
TOTAL $0.00 $0.00 $682,500.00 $682,500.00
Notes: 1Accrued Professional Fees are estimates and based projections

10

CASE NUMBER:21-30710 US Trustee's Office Chapter 11 Quarterly Fee Calculation
Table 1 on page 11. Back to List of Tables
None Castex Energy 2005 Holdco, LLC [Holdco]
(Case No. 21‐30710)
Castex Energy 2005, LLC [Castex 2005]
(Case No. 21‐30711)
Castex Energy Partners, LLC [CEP]
(Case No. 21‐30712)
Castex Offshore, Inc. [COI]
(Case No. 21‐30713)
None 2/26/2021
Voluntary Filing Date
2/26/2021
Voluntary Filing Date
2/26/2021
Voluntary Filing Date
2/26/2021
Voluntary Filing Date
Period
Jan
Feb
Mar
Q1 2021 Total
Disbursements US Trustee Fees
N/A
N/A
$                              ‐
$                              ‐ $                       325.00
Disbursements US Trustee Fees
N/A
N/A
$                            ‐
$                            ‐ $                      325.00
Disbursements US Trustee Fees
N/A
N/A
$              418,978.32
$              418,978.32 $                   4,875.00
Disbursements US Trustee Fees
N/A
N/A
$           2,375,815.16
$           2,375,815.16 $                23,758.15
TOTAL Fees Owed $                       325.00 $                      325.00 $                   4,875.00 $                23,758.15 $                   29,283.15Total Disbursements Combined $           2,794,793.48 Total UST Fees Combined $                29,283.15FEE SCHEDULE FOR CALENDAR QUARTERS BEGINNING JANUARY 1, 2018 THROUGH MARCH 31, 2021

11