Philadelphia Energy Solutions filed for Chapter 11 bankruptcy protection in U.S. Bankruptcy Court in Delaware Sunday, about a month after a fire at its oil refinery caused an explosion.
The company said that it has entered into a proposed debtor-in-possession financing agreement with the companies debt holders that would provide the company with up to $100 million in new funding, if needed.
PES said it would need the liquidity to safely wind down its refining operations and "best position the company for a successful reorganization, the rebuilding of our damaged infrastructure, and a restart of our refining operations."
Following the blast, the refiner said the fire damage made continuing operations at the site impossible.
PES produced 335,000 barrels of crude oil a day when it was operational, making it the largest refinery on the East Coast at the time.
Request for comment from PES was not returned in time for publication.