Case No. 09-10785 (KC) : Section 327 (E) of The Banuptcy Code, Rule 2014 of The
Case No. 09-10785 (KC) : Section 327 (E) of The Banuptcy Code, Rule 2014 of The
Case No. 09-10785 (KC) : Section 327 (E) of The Banuptcy Code, Rule 2014 of The
) )
) )
)
Chapter 1 i
Objection Deadline: April 24,200 at 4:00 p.m. (Eastern) Hearing Date: May 1, 2009 at 1:00 p.m. (Eastern)
APPLICATION OF THE DEBTOR PURUANT TO SECTION 327(E) OF THE BANUPTCY CODE, RULE 2014 OF THE FEDERAL RULES OF BANUPTCY PROCEDUR AN LOCAL RULE 2014-1 FOR AUTHORIZATION TO EMPLOY AN RETAI DEVLIN JENSEN
AS SPECIA CANADIAN COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION NUC PRO TUC TO THE PETITION DATE
The above-captioned debtors and debtors in possession herein (the "Debtors"),
request entr of an order pursuant to section 327(e) of title 11 of
special Canadian counsel for Pacific Energy Resources Ltd. (the "Application"). In support of
this Application, the Debtors rely on the Affidavit ofH.C. Ritchie Clark, Q.C. in Support of
Application (the "Clark Affdavit"), and respectfully represent as follows:
) The Debtors in these cases, along with the last four digits of each ofthe Debtor's federal tax identification
number, are: Pacific Energy Resources Ltd. (3442); Petrocal Acquisition Corp. (6249); Pacific Energy Alaska
Holdings, LLC (ta 1.D. # not available); Caneros Acquisition Corp. (5866); Pacifc Energy Alaska Operating LLC (7021); San Pedro Bay Pipeline Company (1234); Caneros Energy, Inc. (9487); and Gotland Oil, Inc. (5463). The
mailng address for all of
the Debtors is 111 W. Ocean Boulevard, Suite 1240, Long Beach, CA.
68773 -002\DOCS_LA:200021. I
Jurisdiction
1. The Cour has
This proceeding is a core proceeding with the meang of28 U.S.C. 157(b)(2)(A) and (0).
2. Venue of
Baclround
4. The Debtors commenced these cases by each filing a voluntary petition on
March 9, 2009 (the "Petition Date"). The Debtors have continued in the possession of
their
property and have continued to operate and manage their business as debtors in possession
pursut to sections 1107(a) and 11 08 of
the appointment of a trstee or an examiner in these cases. On or about March 19, 2009, the U.S.
acquisition, development and exploitation of oil and gas propertes in the western United States.
The Debtors' curent oil and gas assets are located offshore near Californa and principally
offshore in Alaska. The Debtors acquied their CWTent oil and gas assets in transactions
occurng in the four quarer of
2006 and durng 2007, and their existing secured debt is related
to these acquisitions. The Debtors' revenue is largely dependent on the market price for the
68773.002\D_LA:200021.1
underlying crude oil produced, in addition to the level of production. Their revenue for 2008
was approxiately $226.2 millon.
held Delaware corporation. Its common stock trades on the Toronto Stock Exchange. It is
headquarered in Long Beach, California, and also has offces in Anchorage, Alaska, and
7. PERL leases oil and gas producing assets located in the Beta Unit (the
"Beta Assets") from the Minerals Management Servce ("MMS") of
Deparment of Interior. The Beta Unit is located in federal waters approximately nine miles off
the coast of
tu owns:
(2) One-half of
68773..02\DOCS_LA:200021.1
operates the pipeline (the "SPBPCo Pipeline") from the Beta Unit to shore, where it connects to
another pipeline (not operated by SPBPCo) that connects to the ConocolPhillps refinery located in
Los Angeles, Californa. In addition to transporting oil from the Beta Assets, the SPBPCo Pipeline
transports oil from a thrd par platform in the Beta Unit.
Creditor
Prepetition Secured Lenders2
Subordinated Unsecured
Approx. Amount
Im
Noteholder3
Unsecured Lender4
2 The "Prepetition Secured Lenders" are an affliate of financing under thee credit ageements consisting of
Alaska fit lien facilty (the "Alaska First Lien Facilty"); and (c) Alaska second lien facilty (the "Alaska Second Lien Facilty"), which are discussed below The Prepetition Secured Lenders (or their affliates) are also significant owners of common shares and warants in PERL. An affliate of Goldman Sachs is the counterpar with PERL for the commodity swaps (the tota value of PERL's derivatives was approxiately net $3.8 milion estimated as of Goldman Sachs and Silver Point also hold Overrding Royalty Interests in Beta Assets Petition Date). Affliate of the Petition Date, PERL's obligations to the Prepetition Secured Lenders were estimated and Alaska Assets. As of approximately: (a) $39.1 milion as borrower under the Beta Facility, which is secured by a fir lien on to consist of PERL's assets; and (b) $322.0 millon as guarantor ofPEAO's obligation under the Alaska substantially all of
Second Lien Facilty, which is secured by a second lien on substantially all of
guarnty the Alaska First Lien Facilty. PERL's estimated plugging and abandonment obligations of$126.7 milion
as of March 31, 2014, which are the subject of
the Beta Trust: are not included in the char The char also does not
include approximately $2.0 milion of royalties and $6.9 milion of ea out amounts related to the Beta Assets
(estiated as of
3 On or about August 24, 2007, PERL issued an unsecured accreting pricipal note (the "Forest Oil Note") to Forest
the Alaska Assets, which was an acquisition (though PEAH Oil Corporation in connection with the acquisition of of membership interests in the predecessor of PEAO. The Forest Oil Note is subordinated to the PrepetitIon Secured Lenders' loans and contains no fmancial covenants.
4 In April
2008, PERL received a $1.0 millon unsecured loan from a shareholder, Bateman & Co.
68773..02\DOCS_LA:200021.1
Unsecured Obligations
TOTAL
10. PEAO's estimated liabilties as of
accrued
Creditor
Prepetition Secured Lenders5
Chevron6
Approx. Amount
Im
Guarty of Subordinated
Unsecured Noteholder7
Unsecured Obligations
TOTAL
11. By this Application, the Debtors seek to employ and retain Devlin Jensen
as special Canadian counsel with regard to the securties issues related to PERL and the
Canadian banptcy proceeding of
Rule 20 i 4-1 authorizing the Debtors to employ and retan Devlin Jensen as special Canadian
counsel to perform the legal services that will be necessar durg these chapter 1 i cases solely
5 As of
the Petition Date, PEAO's obligations to the Prepetition Secured Lenders are estimated to consist of
approximately: (a) $90.9 milion as a coborrower with PEAH under the Alaska First Lien Facilty, which is
secured by a fist lien on substantially all ofPEAO's and PEAH's assets (subject to Chevron's first pnority lien on certin ofPEAO's assets); and (b) $322.0 milion as a co-borrower with PEAR under the Alaska Second Lien Facilty, which is secured by a second lien on substantially all ofPEAO's and PEAH's asset. The chart does not include approximately $1.6 milion of royalties related to the Alaska Assets (estimated as of the Petition Date).
6 As stated above, an affliate of Chevron has a fist priority lien on each of the Alaska Assets ofPEAO that Chevron operates. Such lien predates the loans to PERL, PEAH and PEAO from the Prepetition Secured Lenders. 7 PEAO and PEAH guaranteed the Forest Oil Note on an unsecured basis.
68773-O2\DOCS_LA:200021. i
in connection with Canadian securities matters and the Canadian inolvency proceeding pursuat
to the terms set fort in the Application and the Clark Affdavit.
the
Fir's experience in representing PERL in Canadian securities matters for fifteen yea before
the Petition Date and the Fir's knowledge of
insolvency law. The Debtors believe, pursuant to their business judgment, that Devlin Jensen is
unquely situated to represent PERL as its Canadian counel in these matters in the most effcient
and cost-effective maner available to the Debtors, and that the retention of
and insolvency law makes it unquely qualified to represent PERL. Therefore, the Debtors
believe that the Firm's retention is in the best interest ofthe estates. A copy of
the reswnes of
the attorneys who will be primarly involved in the Debtors' cases is attched to this Application
as Exlbit A.
Scone of
14. The professional services that Devlin Jensen wil render to the Debtors
b.
68773-002\DOCS_LA:200021.i
in Canada, and completes financings in Canada through its transfer agent, located in Vancouver,
British Columbia. A majority of
orders of
the Cour made in these chapter 11 cases. Such applications were made pursuant to
Section i 8.6 of the Companies' Creditors Arrangement Act, a federal Canadian insolvency
statute, which section permits a Canadian cour to make such orders as it considers appropriate to
British Columbia.
Principal amongst those orders was a stay of proceedings agait the Petitioners and their
Canadian directors, an order directed to the company's tranfer agent ancilar and corollar to
the Claims and Equity Transfer Restictions Order, and the appointment of a Monitor to report to
6877J-002\DS_LA:200021.1
the Canadian Cour from time to time on the progress of the US proceedings. It is not
contemplated that a plan will be presented in the Canadian proceedings or that meetings of
Canadian shareholders or creditors will be held, unless that is necessar to implement the re~
under the Companies' Creditors Arrangement Act. The Monitor, Todd McMahon Inc., is a firm,
licensed as a Trustee in Banptcy in Canada, and was appointed Monitor as an offcer of the
Cour by Order of the Supreme Cour of British Colwnbiamade the 12th day of
March, 2009.
The fees of the Monitor will be directed to Devlin Jensen, paid by PERL, on application by
Devlin Jensen pursuant to the terms of
of
the fuctions of
the Monitor, is
20. The corporate securties services which Devlin Jensen will render to the
Petitioners include assisting with the preparation and the filing of Anual Information Form and
National Intrent 51-101 Anual Filings, correspondence with the stock exchange and
agent, Computershare, and varous stockholders, preparation of materials and related matters for
an upcoming Anual Genera Meeting and any services related to any potential rights offering or
68773-002\D_LA:200021.i
ComDensatIon
21. Subject to Cour approval in accordance with section 330(a) of
the
Banptcy Code, compensation will be payable to Devli Jensen on an hourly basis, plus
reimbursement of actul, necessar expenses and other charges incured by Devlin. The curent
stadard hourly rates of lawyers resident in Devlin Jensen's offce range from a low of Canadian
One Hundred and Seventy Five (Cdn $175.00) per hour for junor lawyers to as much as
Canadian Four Hundred dollars (Cdn $400.00) per hour for certain senior lawyers, and the
curent standard hourly rates oflega! assistats and document clerks resident in Devlin Jensen's
offce range from a low of
Kathleen MacInnes
H. C. Ritchie Clark, Q.C.
b.
c.
d.
Hour Rahani-Gorji
Vanesa Domingo
23. The hourly rates set forth above are subject to periodic adjustments to
reflect economic and other conditions. Oter attorneys and paregals may from time to time
serve the Debtors in connection with the matters described herein.
l t
24. The hourly rates set fort above are the Fir's stadard hourly rates for
work of
the natue set forth herein. These rates are set at a level designed to fairly compensate
68773-002\DS_LA:200021.1
Devlin Jensen for the work of its attorneys and paralegals and to cover fixed and routine
overhead expenses.
25. The Debtors understand that Devlin Jensen intends to apply
to this Cour
Banptcy Rules, the Local Rules and fuher orders of ths Cour, propose to pay Devlin Jensen
hourly at its customary rates for the services to be rendered by the Fir, as set forth in the Clark
Affdavit, and to reimburse the Firm including the invoices ofthe Monitor according to its
customar reimbursement policies, and submit that such rates are reasonable.
Devlin Jensen Holds No Interest Adverse to the Debtors or the
Estates on the Matters for Which Devlin Jensen Is to be Retained and Emploved
27. The Clark Affdavit, executed on behalf of
attached hereto as Exlbit B and incorporated herein by reference. The Debtors' knowledge,
information, and belief regarding the matters set fort in this Application are based on, and made
the Clark Afdavit, Devlin Jensen has not represented PERL's equity securty holders or any
68773-002\DOCS_LA:200021.1
10
other paries in interest, or their respective attorneys, in any matter relating to the Debtors or
these chapter 11 cases.
represent any interest adverse to the Debtors' estates with respect to the matters as to which
Devlin Jensen is to be employed, except as otherwse set forth in the Clark Affidavit. See In re
AroChem Corp., 176 B.R. 610, 622 (2d Cir. 1999) (emphasizing that, under section 327(e),
potential conficts must be evaluated only with respect to the scope of
The Debtors have been inormed that Devlin Jensen will conduct an ongoing review of its files to
ensure that no disqualifying circumstaces arse and, if any new relevant facts or relationships
are discovered, the Firm wil supplement its disclosure to the Cour.
30. Devlin Jensen's employment is necessar and in the best interests of
the
31. Devlin Jensen has received payments durng the year prior to the Petition
Date as set forth in the Clark Affidavit from the Debtors in connection with its pre-petition
representation of PERL.
32. Based on the foregoing, and the disclosures set fort in the Clark
Afdavit, the Debtors maitain that Devlin Jensen does not hold or represent any interest
adverse to the Debtors or the Debtors' estates with respect to the matters for which the Firm is to
be employed.
68773..02\D_LA:200021. i
11
327(e) provides for the appointment of special counsel for a specific purose where the proposed
counel does not possess any interest adverse to the debtors with regard to the matter(s) that will
II D.S.C. 327(e). Moreover, section 1107(b) provides that "a person is not disqualified for
employment under section 327 of
the case."
11 D.S.C. 1107(b).
retention of counsel who previously represented a debtor prepetition provided that: (a) the
appointment is in the best interest of
adverse to the estate with respect to the matter for which counsel is to be employed, and ( c) the
specified special purose for which counsel is being retained does not rise to the level of
conducting the banptcy case for the debtor in possession. See In re De Vlieg, Inc., 174 B.R.
497 (N.D. IlL. 1994). See also In re AroChem, 176 B.R. at 622 (noting that "where the interest of
the special counsel and the interest of the estate are identical with respect to the matter for which
special counsel is retained, there is no confict and the representation can stand") (emphasis in
origial). Each of
f,
these facts is satisfied with respect to the Debtors proposed retention and
68773.o02\D_LA:200021.1
12
35. First, the employment and retention ofDevlIn Jensen is in the best Interest
of
the Debtors' estates. Devlin Jensen is famliar with facts and circumstaces concernng the
the Debtors or the Debtors' estates with respect to the parcular matters for which it is to be
employed.
37. Finally, the specified special purose for which Devlin Jensen is to be
employed does not rise to the level of "conductig the chapter 11 cases" for the Debtors. The
special matters for which the Debtor seeks to retain the Firm involve only specialized Canadian
law issues, and the recognition, by the Canadian Cours of
cases, as set fort herein. Moreover, the Debtors note that Pachulski Stag Ziehl & Jones LLP
("PSZ&J"), which the Debtors are seeking to retain a general banptcy counsel, and Devlin
Jensen, which the Debtors hope to retain as special Canadian counel, will play very different
roles in these chapter 11 caes because PSZ&J does not have any expertse in Canadian law and
Devlin Jensen has no expertse in U.S. banptcy law. Therefore, the Debtors' proposed
employment and retention of
38. Accordingly, the Debtors believe that the proposed retention ofDevlIn
the
Banptcy Code.
68773-002\DOCS_LA:200D21.1
13
Notice
39. Notice of
this Motion has been given to the following paries or, in lieu
Offcial Committee of
for the Debtors' prepetition and postpetition secured lenders; and (iv) all other pares that have
fied a notice of appearance and demand for service of papers in these banptcy cases.
40. The Debtors submit that, in light of the natue of the relief
requested, no
WHREFORE~ the Debtors respectfully request that this Cour grant the
Application and such other and fuer relief as it deems just and proper under the circumstaces.
68773-002\DOCS_LA:20002 i. i
14
James E. O'Neil (DE Bar No. 4042) Kathleen P. Makowski (DE Bar No. 3648)
919 Nort Market Street, i 7tI Floor P.O. Box 8705 Wilmington, DE 19899-8705
Telephone: 302/652-4 i 00
Facsimile: 310/652-4400
Email: ijones~pszjiaw.com
ikharch~pszjiaw.com
smcfarland~pszjlaw.com rsaunders~pszjlaw.com joneil(pszjlaw.com
kmakowsk.~szjlaw.com
(Proposed) Counel for Debtors and Debtors in Possession,
~r
6877H02\DOCS_LA:200021.1
15
Debtors.
Objection Deadline: April 24,200 at 4:00 p.m. (Eastern) Hearing Date: May 1,2009 at 1:00 p.m. (Eastern)
NOTICE OF APPLICATION OF THE DEBTOR PURUANT TO SECTION 327(E) OF THE BANUPTCY CODE, RULE 2014 OF THE FEDERA RULES OF BANKUPTCY PROCEDUR AN LOCAL RULE 2014-1 FOR AUTHORIZATION TO ElVLOY AND RETAI DEVLIN JENSEN
AS SPECIA CANADIAN COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION NUC PRO TUNC TO THE PETITION DATE
TO: (i) the Offce of
the United States Trustee; (ii) counsel to the Offcial Commttee of Unsecured Creditors appointed in these cases; (il) counsel to the agents for the Debtors'
prepetition and postpetition secured lenders; and (iv) all other paries that have fied a
notice of appearance and demand for servce of papers in these banptcy cases.
2014-1 for Authorization to Employ and Retain Devlin Jensen as Special Canadian Counsellor
the Debtors and Debtors in Possession Nunc Pro Tunc to the Petition Date (the "Application")
with the United States Banptcy Cour for the Distrct of
i The Debtors in these cases, along with the last four digits of each of the Debtor's federal tax identification
number, are: Pacific Energy Resources Ltd. (3442); Petrocal Acquisition Corp. (6249); Pacific Energy Alaska Holdings, LLC (tax J.D. # not available); Caneros Acquisition Corp. (5866); Pacific Energy Alaska Operating LLC
(7021); San Pedro Bay Pipeline Company (1234); Caneros Energy, Inc. (9487); and Gotland Oil, Inc. (5463). The
mailng address for all of
the Debtors is 111 W. Ocea Boulevard, Suite 1240, Long Beach, CA.
68773-002\DS_LA:200021.1
PLEASE TAK FURTHER NOTICE that at the same time, you must also
serve a copy ofthe response or objection so that it is received not later than April
24, 2009, at
4:00 p.m., prevailng Eastern time, by (a) (proposed) counel to the Debtors, (1) Pachulski Stag
Ziehl & Jones LLP, 919 North Market Street, 17th Floor, Wilmigton, DE 19899~8705, Att:
Laura Davis Jones, Esq.; Fax: 302-652-4400, e-mail: ljones~pszjlaw.com and (2) Pachulski
Stang Ziehl & Jones LLP, 10100 Santa
Att: Ira D. Kharasch, Esq; Fax: 310-201-0760, e-mail: ikharash~pszjlaw.com; (b) counsel to
the Lenders: Goldman Sachs (1) Bingham McCutchen, 399 Park Avenue, New York, NY
Jacobson, Esq.; Fax: 312-407-8511, e-mail: seth.jacobson~skadden.com and (c) the Offce of
the United States Trustee, J. Caleb Boggs Federal Building, 844 N. King Street, Suite 2207,
Lock Box 35, Wilmngton, Delaware 19801, Att: Joseph McMahon, Esq. and (d) counsel for
the Offcial Committee of
2121 Avenue ofthe Stars, 28th Floor, Los Angeles, CA 90067; Att: Katherine C. Piper, Esq.,
68773-002\DOCS _LA:200021 . l
DELAWAR 19801
ACCORDANCE WITH THIS NOTICE, THE COURT MAY GRAT THE RELIEF
REQUESTED BY THE APPLICATION WITHOUT FURTHR NOTICE OR HEARG.
Ira D. Kharasch (CA Bar No. 109084) Scotta E. McFarland (DE Bar No. 4184, CA Bar No. 165391) Robert M. Saunders (CA Bar No. 226172) James E. O'Neil (Bar No. 4042)
Katheen P. Makowski (DE Bar No. 3648)
joneiI~pszjlaw.com kmakowskipszjlaw.com
(Proposed) Counel for the Debtors and Debtors in Possession
68773-002\DOCS_LA:20001. I
EXHIBIT A
Page 1 ofl
. .:.::;_"t
~ ". '. .1 .
": .
LitIgation
tlE.VL N
JEIl5EIl
lDi.i"Ii~Ml
Born, Toronto, OntarIo, JUly 10th, 1949 Honours B.A., R.oyal Miltary College of Canada, 1970
Court of Appeal, the Provincial, Supreme or Divisional Court of Nova Scotia, Saskatchewan, Albert and Ontario and before the Supreme
Court of Canada. Mr. Clark has also appeared before an extensive
Over the course of his career, Mr. Clark has pleaded numerous Clses
In all areas of the law - civil, criminal and administrative. with some conslderable degree of emphasIs on commercial matters. Ritchie Is
wetl versed In both trial and appellate admlnlsttlve law. Mr. Clark has latterly developed a particular expertise and reputation as
Insolvem;y counsel and has been Involved In numerous well-known and seminal cases Involving recognlzatlon legislatIon, although his
In 1998.
htt://ww.devlinjensen.comlclark.htrl
06/04/2009
Page 1 of 1
Kathleen C. MacInnes
JEll ~ I! H
tJ'r"'h~ r. ltnli'iinra
MacInnes has assIsted numerous clients In structring and completing IPOs, private placement flnandngs, public offrings,
mergers, acquisitions and RTOs ancl various other regulatory filings and applicatIons.
kmaclnnes(id evllnjensen.com
htt://ww.devlinjensen.com/macines.htr
06/04/2009
EXHIBIT B
NEWNAN DMSION
Inre:
PACIFIC ENERGY RESOURCES LTD.,
Chapter 11
Jointly Admtered
Judge Drake
Debtors.
AFFIDAVIT OF H.C. RITCllE CLAK, Q.C. IN SUPPORT OF MOTION OF DEBTORS TO RETAIN DEVLIN JENSEN AS CANADIA COUNSEL NUNC. PRO TUNC TO MACH 9, 2009
Pursuant to Rule 2014(a) of the Federal Rules of Banruptcy Procedure (the
"Banuptcy Rules"), H.C. Ritchie Clark Q.C., being duly sworn, deposes and says:
business
submit this Afdavit in support of the Motion of Pacifc Energy Resources Liited,
et. aI.. as debtors and debtors in possession herein (collectively, the "Debtors") to
retai Devli Jensen as Canadian Counsel in connection with these Chapter 11
cases nunc pro tunc to March 9, 2009 (the lIMotion"). The facts set forth in this Afdavit are personaly known to me and, if caled as a witness, I could and would
testi thereto.
2. The servces my fim proposes to render to the Debtors include the servces
described in the Motion.
~.
-2.
the natue for which Devli Jensen1s retention is sought in connection with these
4. Neither I, Devli Jensen, nor any principal of, associate of, or counsel to
Devlin Jensen represents any entity other than the Debtors in, or in connection
Debtors, in the 90 days prior to March 4, 2009 in payment for services rendered by
Devlin Jensen to such Debtors which is included in the sum of Canadian
$287,890.77 received in the year prior to March 4, 2009, for services rendered by
inquir, other than in connection with this case, neither I nor Devli Jensen has any
connection with the Debtors' signcant creditors, the United States Trustee, or
other Interested Parties in these Chapter 11 cases, or their respective attorneys or
accountants, except that (a) Devli Jensen may have appeared from time to time in the past, and may appear in the future, in other cases or matters unrelated to the
Debtors or their Chapter 11 cases where one or more of such parties may have been
or may be involved; and (b) Devli ~ensen may have been retaied by certai
creditors and other Interested Paries or their attorneys, accountants, or
" " " ~.,
professionals in other cases or matters unrelated t9 the Debtors or their Chapter 11 cases, and as set forth in Paragraph 8 hereof.
7. Devlin Jensen has researched its client database to determine whether it has
any relationships with the following entities (collectively, the "Interested Partiest'):
counsel for the Debtors and are lited on Attachment 1 hereto. My review of the
results of the search of our client database with regard to the Interested Parties,
along with my communications with my fellow lawyers at Devli Jensen indicates
that Devlin Jensen has not previously represented those entities, their parent
companes, subsidiaries or afates except for the Debtors, for whom Devli Jensen
.
has acted frequently. It also reveals that one of the Directors of the Debtors is
Patrck Devli, a former pricipal of Devli Jensen. Mr. Devlin has resigned as a
pricipal of
Devli Jensen, effective October 31, 2007, and there remain unresolved
iss.ues and disputes arising out of his resignation, which disputes have not
interfered with and are irrelevant to Devlin Jensen's representation of
the Debtors.
representing the Debtors or other pars in interest are alo involved are totaly
10. The Debtors have several creditors and paries in interest. I anticipate that a
review of Devli Jensen's cUent database with regard to al of the Debtors' creditors
and paries in interest might diclose that Devli Jensen previously represented
.4.
and/or currently represents one or more creditors or parties in interest. My review
of the results of the search of our client database and communcation with our
current attorneys indicates, however, that any such other representation of a
..
creditor or party in interest would have been or would be in connection with matters
totall unrelated to the Debtors or their Chapter 11 cases.
11. Despite the efforts described above to identif and disclose Devli Jensen's
connections with the Interested Partes, and because the Debtors are part of an
12. To the best of my knowledge, information, and belief formed after reasonable
inquiy, neither I nor Devli Jensen holds or represents any interest adverse to the
Debtors' estates.
is. The Debtors have consented to the continued and future representation by
Devli Jensen of persons and entities .
these Chapter 11 cases on matters unelated to the Debtors and these Chapter 11
cases, and has waived any confct that might otherwise exist as a result of such
other unrelated representations.
14. Subject to the Court's approval of the Motion, Devli Jensen wil earn and
receive only those fees and other payments authorized by this Court.
15. The current standard hourly rates of lawyers resident in Devli Jensen's
offce range from a low of Canadian One Hundred and Seventy Five (Cdn $175.00)
per hour for junior lawyers to as much as Canadian Four Hundred dollars (Cdn
- 5.
$400.00) per hour for certain senior lawyers, and the current standard hourly rates
of legal assistants and document clerks resident in Devli Jensen's offce range from
a low of Canadian Forty Five dollars (Cdn $45.00) per hour to a high of Canadian
One Hundred (Cdn $100.00) per hour. The fim's standard hourly rates are subject
to occasional adjustment.
Jensen and any other person for a division of compensation for services rendered in
received in these cases with any entity other than its principals, counsel, and
associates. Accordingly, I bel ieve the proposed employment of Devli Jensen is appropriate under Section 327 of the Bankuptcy Code and is not prohibited by or
improper under Federal Rule of
professionals it employs are qualed to represent the Debtors in the matters for
r7 9.
A missioner for t ng
JULIEN A DAWSON
Bsnoter & So!dror
SUITE iS5Q.S55 WEST HASTiNGS STRE~
In re: )
1. Devlin Jensen, puruant to Rule 2016 of Procedure (the "Banptcy Rules") and section 329 of
Debtors. )
)
STATEMENT UNER RULE 2016 OF THE FEDERA RULES OF BANKRUPTCY PROCEDURE AN SECTION 329 OF THE BANKRUPTCY CODE
Code as amended (the "Banptcy Code"), states that the undersigned is special counel to the
above-captioned debtors and debtors in possession (the "Debtors") in these chapter 11 cases.
2. The services to be rendered include all those services set fort in the
Applicationfor an Order Under Section 327(e) of the Bankruptcy Code, Rule 2014 of
the
Federal Rules of Bankruptcy Procedure and Local Rule 2014-1 Authorizing the Employment and
Retention of Devlin Jensen as Special Canadian Counsel to the Debtors and Debtors in
legal services to be rendered in connection with these chapter 11 cases by Devlin Jensen as
special Canadian securities and insolvency counsel to PERL. The Debtors have agreed to pay
The Debtors in these cases, along with the last four digits of each of
number, are: Pacific Energy Resources Ltd. (3442); Petroea! Acquisition Corp. (6249); Pacific Energy Alaska
Holdings, LLC (ta LD. # not available); Caneros Acquisition Corp. (5866); Pacific Energy Alaska Operating LLC (7021); San Pedro Bay Pipeline Company (1234); Caneros Energy, Inc. (9487); and Gotland Oil, Inc. (5463). The mailng address for all ofthe Debtors is III W. Ocean Boulevard, Suite 1240, Long Beach, CA.
2 Capitalized terms not otherwise defined herein, shall have the meanings ascribed to them in the Application.
68773-002\DS_LA:200021.1
Devlin Jensen for the legal services rendered in connection with its representation of
the
Debtors' on an hourly basis as set fort in the Application and in the Affidavit ofH.C. Ritchie
Clark, Q.C. in Support of
Jensen for its actual and necessar expenses incured in connection with its representation of
PERL.
4. Devli Jensen has received payments durg the yea prior to the fiing of
business of
PERL.
5. Devlin Jensen will seek approval of
sections 330 and 331 of the Banptcy Code, the Bantcy Rules, the Local Rules of
Banptcy Practice and Procedure of
68773-002\DS_LA:200021.1
6. Devli Jensen fuer states that it .has neither shared nor agreed to share
(a) any compensation it has received or may receive with another par or person or (b) any
Devli Jensen
68773.0D2\DOCS_LA:2000il. i
Inre:
PACIFIC ENERGY RESOURCES LTD., et f:1
Debtors.
) ) ) )
)
Chapter 1 i
ORDER UNER 327(E) OF THE BANUPTCY CODE AUTHORIZING THE EMPLOYMNT AND RETENTION OF DEVLIN JENSEN AS SPECIA CANADIA
COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION
Upon the application (the "Application"i of
debtors in possession (the "Debtors"), seeking authonzation to employ and retain Devlin
Jensen as special Canadian counsel for the Debtors; and upon the Statement Under Rule 2016
and Banptcy Code Section 329 (the "Statement") and the Affdavit ofH.C. Ritchie Clark,
Q.C. in Support of
Application; and the Cour being satisfied, based upon the representations made in the
Application, the Statement and the Clark Afdavit that Devlin Jensen represents or holds no
interest adverse to the Debtors or the Debtors' estte with respect to the matters upon which
it is to be engaged, and is disinterested as that term is defined under section 101 (14) ofthe
Banptcy Code, as modified by section 11 07(b) of
employment of
The Debtors in these cases, along with the last four digits of each of the Debtor's federal ta identification
number, are: Pacific Energy Resources Ltd. (3442); Petroeal Acquisition Corp. (6249); Pacific Energy Alaska
Holdings, LLC (ta I.D. # not available); Caneros Acquisition Corp. (5866); Pacific Energy Alaska Operating LLC (7021); San Pedro Bay Pipeline Company (1234); Caneros Energy, Inc. (9487); and Gotland Oil, Inc. (5463). The mailng address for all of the Debtors is ILL W. Ocean Boulevard, Suite 1240, Long Beach, CA. 2 Capitalized terms, unless otherwise defined herein, shall have the meaings ascribed to them in the Application.
68773.Q02\DS_LA:200021.1
Debtors' estates; and it appearing that the Cour has jursdiction to consider the Application;
and it appearing that due notice of the Application has been given and no fuer notice need
be given; and upon the proceeings before the Cour; and afer due deliberation and good and
Debtors are authorized to employ and retain Devlin Jensen as special Canadian counsel to
PERL on the terms set forth in the Application, the Statement and the Clark Affdavit, nunc
the
the Cour
ORDERED that nothing in this Order shall be deemed to affect any and all
rights that the Offcial Committee of
68773-O2\DS_LA:200021. I
In re: )
list in the manner indicated:
Chapter 1 1
)
)
Debtors. )
I, James E. O'Neil, Esquire, hereby certify that on the 8th day of April
CERTIFICATE OF SERVICE
2009, I
caused a copy of the following document to be served on the individuals on the attached service
NOTICE OF APPLICATION OF THE DEBTOR PURSUANT TO SECTION 327(E) OF THE BANKRUPTCY CODE, RULE 2014 OF THE FEDERAL RULES OF BANKRUPTCY PROCEDURE AND LOCAL RULE 2014-1 FOR AUTHORIZATION TO EMPLOY AND RETAIN DEVLIN JENSEN AS SPECIAL CANADIAN COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION NUNC PRO TUNCTO THE PETITION DATE;
APPLICATION OF THE DEBTOR PURSUANT TO SECTION 327(E) OF THE BANKRUPTCY CODE, RULE 2014 OF THE FEDERAL RULES OF BANKRUPTCY PROCEDURE AND LOCAL RULE 2014-1 FOR AUTHORIZATION TO EMPLOY AND RETAIN DEVLIN JENSEN AS SPECIAL CANADIAN COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION NUNC PRO TUNCTO THE PETITION DATE;
(PROPOSED) ORDER UNDER 327(E) OF THE BANKRUPTCY CODE AUTHORIZING THE EMPLOYMENT AND RETENTION OF DEVLIN JENSEN AS SPECIAL CANADIAN COUNSEL FOR THE DEBTORS AND DEBTORS IN POSSESSION.
the Debtors' federal tax identification number, are: Pacific Energy Resources Ltd. (3442); Petrocal Acquisition Corp. (6249); Pacific Energy Alaska Holdings, LLC (tax I.D. # not available); Cameros Acquisition Corp. (5866); Pacific Energy Alaska Operating LLC (7021); San Pedro Bay Pipeline Company (1234); Cameros Energy, Inc. (9487); and Gotland Oil, Inc. (5463). The mailng address for all of the Debtors is III W. Ocean Boulevard, Suite 1240, Long Beach, CA 90802.
i The Debtors in these cases, along with the last four digits of each of
Pacific Energy Resources Ltd. 2002 Service List Case No. 09-10785
Document No. 145745
Hand Delivery (United States Attorney) Ellen W. Slights, Esq. United States Attorney's Office District of Delaware
1007 N. Orange Street, Suite 700
Wilmington, DE 19801
Hand Delivery (Counsel for the Debtors and Debtors in Possession) Ian S. Fredericks, Esquire Skadden Ars, Slate, Meagher & Flom LLP One Rodney Square P.O. Box 636 Wilmington, DE 19899
Hand Delivery (Counsel for J. Aron & Company) Don A. Beskrone, Esquire Amanda M. Winfree, Esquire Ashby & Geddes, P.A.
500 Delaware Avenue, 8th Floor
((Proposed) Counsel for Debtors) Laura Davis Jones, Esquire James E. O'Neil, Esquire Kathleen P. Makowski, Esquire Pachulski Stang Ziehl & Jones LLP 919 North Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899-8705
Interoffice Pouch to Los Angeles ((Proposed) Counsel for Debtors) Robert M. Saunders, Esquire Ira D. Kharasch, Esquire Scotia E. McFarland, Esquire Pachulski Stang Ziehl & Jones LLP
10100 Santa Monica Blvd., 11 th Floor
Wilmington, DE 19899
Hand Delivery (Counsel for Union Oil Company of California, a California Corporation) Norman M. Monhait, Esquire Rosenthal, Monhait & Goddess, P A Citzens Ban Center, Suite 1401 919 Market Street, P.O. Box 1070 Wilmington, DE 19899
Hand Delivery (Counsel for Westchester Fire Insurance Company and Noble Energy Inc.) Tobey M. Daluz, Esquire Joshua E. Zugerman, Esquire Ballard Spah Andrews & Ingersoll, LLP 919 N. Market Street, 1 ih Floor Wilmington, DE 19801
Wilmington, DE 19801
Hand Delivery (Copy Service)
Parcels, Inc.
Wilmington, DE 19801
Hand Delivery (Counsel for Oxy Long Beach Inc.) David L. Finger, Esquire
Finder, Slanina Liebesman, LLC
13 13 Market Street
Wilmington, DE 19899
Hand Delivery (Counsel for Marathon Oil Company) Kevin J. Mangan, Esquire Womble Carlyle Sandridge & Rice, PLLC 222 Delaware Avenue, Suite 1501 Wilmington, DE 19801
Baltimore, MD 21201
Hand Delivery (Counsel for Cook Inlet Region, Inc.) Eric Lopez Schnabel, Esquire Dorsey & Whitney (Delaware) LLP
1105 North Market Street, Suite 16th Floor
Wilmington, DE 1980 I
Washington, DC 20549
Anchorage, AK 99501
Banptcy Coordinator
MMS / Denver Federal Center POBox 25165 Mail Stop 370B2 Denver, CO 80225
Baltimore, MD 21209
Greenwich, CT 06830
Unsecured
Creditors) Francis 1. Lawall, Esquire Pepper Hamilton LLP 3000 Two Logan Square Eighteenth & Arch Streets Philadelphia, PA 19103
E. Kathleen Shahan, Esquire U.S. Department of Justice 1 100 L Street, NW Washington, D.C. 20005
Unsecured
Creditors)
Filberto Agusti, Esquire
Steven Reed, Esquire Joshua Taylor, Esquire Steptoe & Johnson LLP 1330 Connecticut Avenue NW Washington, DC 20036
Unsecured
Creditors) Robbin Itkin, Esquire Katherine Piper, Esquire Kelly Frazier, Esquire Steptoe & Johnson LLP 2121 Avenue of the Stars, 28th Floor Los Angeles, CA 90067
Anchorage, AK 99501