Eagle Ford Operator, ZaZa Energy loses top leadership, according to a recent SEC filing.
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On January 8th, ZaZa filed a report with the Securities and Exchange Commission to notify the agency that six of the company's directors, including CEO Todd Brooks have turned in their resignation. Others who resigned included Herbert Williamson IV, Travis H. Burris, A. Haag Sherman, Gaston Kearby andJohn Hearn.
The report claims the company has been unable to pay the directors in more than a year due "deteriorating economic conditions" in the wake of the 2014-15 oil price decline. The company reported that it owes ~$14 million in unpaid compensation to its former employees and directors.
The company has been in trouble for awhile and has not issued financial reports on its website since 2013. In November the Mergers & Acquisitions News listed ZaZa Energy as one of the most distressed energy company in Texas.
“Over the course of late 2014 and 2015, the Company retained a number of financial advisors to undertake a full strategic review of the Company and to assist it with refinancing its debt, restructuring its balance sheet, and/or entering into a strategic transaction. Despite extensive marketing efforts, the Company’s financial advisors were unable to identify any counterparty willing to engage in such a transaction in the low commodity price environment.”