North America: Oil and Gas Company Bankruptcy Rapidly Increases

North America: Oil and Gas Company Bankruptcy Rapidly Increases

Americas

February 13, 2020

North America: Oil and gas companies

The operating environment of North American oil and gas companies is deteriorating.

United States Bankruptcy Code Article 11:

The number of applications under Article 11 of the US Bankruptcy Code is:

24 cases in 2017,
28 cases in 2018,
The number jumped to 42 in 2019.

Law Firm: Haynes & Boone Investigation

Oil prices plummeted in late 2018.

Since then, an increasing number of independent exploration and production (E & P) companies have been stalled by financing and forced to go bankrupt.

Between 2015 and 2019, E & P companies have filed a total of 208 Federal Bankruptcy Laws / Applications with total debt of $ 121.7 billion.

Bankruptcy by state: Since 2015

Texas has the largest number of oil and gas development companies, with 94 cases,
11 in Louisiana,
11 in Colorado,
New York has 10 cases.
In Canada, there have been 18 bankruptcies since 2015.

By company:

Texas Independent / EP Energy, headquartered in Houston, Texas, had the largest debt of $ 7.3 billion in 2019.

EP Energy:

Shale’s oil and gas development business in Texas (Eagleford and Permian) and Utah (Altamont Feel).

-JETRO

https://www.jetro.go.jp/biznews/2020/02/659419a866bcdc40.html

HAYNES AND BOONE, LLP

OIL PATCH BANKRUPTCY MONITOR January 17, 2020

https://www.haynesboone.com/-/media/Files/Energy_Bankruptcy_Reports/Oil_Patch_Bankruptcy_Monitor

US Shale Player EP Energy Files For Bankruptcy | Hart Energy

https://www.hartenergy.com/exclusives/us-shale-player-ep-energy-files-bankruptcy-183234?amp