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Denver’s Emerald Oil Inc. has joined the ranks of other struggling Colorado energy companies in seeking bankruptcy protection.

Publicly traded Emerald announced Wednesday that it filed Chapter 11 paperwork with the U.S. Bankruptcy Court in Delaware and that it was pursuing a sale to Latium Enterprises Inc.

Emerald’s filing follows a string of bankruptcies for Denver-area energy companies as the price of oil has dropped. , and all filed bankruptcy in the past six months.

Last week, Denver-based oil driller , listing $1 billion in debt.

The Deloitte Center for Energy Solutions estimates that nearly 35 percent of the world’s exploration and production companies are at high risk for bankruptcy, according to a released in February.

Benchmark U.S. crude oil tumbled Wednesday, closing down $1.66, or 4 percent, at $39.79 a barrel in New York. Brent crude, the benchmark for international oils, slid $1.32, or 3.2 percent, to close at $40.47 a barrel in London.

“The plan we are announcing today will provide for continuity in Emerald’s current and future business operations,” Emerald president and CEO McAndrew Rudisill said in a statement. “This process is the only path going forward and should enable the business to execute a turnaround in the current low oil price environment.”

If acquired by Latium, the company’s operations in North Dakota would be able to continue, officials said. Latium has hubs in Manchester, England, and New York. Emerald also has operations in Montana.

Emerald officials could not be reached for additional comment.

In the Chapter 11 petition filed Tuesday, Emerald, which has 27 full-time employees, reported that debts in the range of $100 million to $500 million. As of Dec. 31, the company had $291 million in assets and $337 million in debt, company officials said in court filings.

U.S. Bank is Emerald’s largest unsecured creditor, showing a claim of $148.5 million for the company’s credit facility, which Emerald defaulted on earlier this year.

Other unsecured creditors with claims above $1 million include Denver-based Liberty Oilfield Services, Dakota Midstream and Stoneham Drilling Corp.

Emerald said it secured $20 million in debtor-in-possession financing, which, if approved by the court, would provide the company with enough cash to continue operating through the Chapter 11 process.

Alicia Wallace: 303-954-1939, awallace@denverpost.com or @aliciawallace