UPDATE 1-Flying J bankruptcy plan gets court approval

* Plan fully repays $1.4 billion owed to creditors

* Creditor claims distributions to start before July end

* Plan keeps equity intact

July 9 (Reuters) - A Delaware bankruptcy court has approved Flying J Inc's Chapter 11 reorganization plan, allowing the oil company to fully repay $1.4 billion owed to its creditors and keeping its equity intact.

Flying J said it expects to start making distributions on allowed claims of creditors this month, according to a statement on its website.

The Ogden, Utah-based oil company sold most of its assets, including its travel center and trucking operations, to pay back creditors. It also cut jobs to increase the funds available for creditors.

Flying J is an integrated energy company with operations in exploration, and refining and retailing of petroleum products.

It filed for bankruptcy in December 2008 in the wake of plummeting oil prices.

The case is In re: Flying J Inc, U.S. Bankruptcy Court, District of Delaware, No. 08-13384. (Reporting by Santosh Nadgir in Bangalore; Editing by Anne Pallivathuckal)