Flip a coin. It's up to the bankruptcy judge. Since SDR is completely dependent on SD, I would guess it would be drawn in (there are lots of creditors to try and satisfy including Uncle Sam).
Thank Morgan Stanley, Raymond James and BofA Merrill Lynch for giving us SDR for $546,000,000 forty-five months ago.
It's now worth $68,000,000 (maybe). Guess who got the difference? If you like intangible assets, you will love SDR.
SandRidge Energy has $750 million of bonds maturing in 29 months. If you think the company can refinance at that time, consider buying SandRidge bonds at seven cents on the dollar.
SDR had net income of $9 million 3Q15. Income is dropping rapidly. Spend some time on the Morningstar website. Google Dominion Resource Black Warrior Trust to see what will happen to SDR soon.
The funeral was held on January 6, 2016. SD is now officially worth zero but some shorts might pay you one cent for the paper if you are lucky.
Read the latest SDR 10K and 10Q carefully. Liquidation starts when distributions fall to $5 million if I remember correctly. Also, when SD files bankruptcy, bad things happen to SDR.
The ownership of revenue streams will be up to a judge. You won't like the ruling!
I like your number crunching. You are trying to understand something the sellers understood two years ago.
Check the number when liquidation starts. Sixteen years of additional distributions is a pipe dream. Talk with the lawyers suing SandRidge. If you are long SDR you have been had.