Posted on 12/26/2016 11:51:26 AM PST by Lorianne
Bonanza Creek Energy Inc and two other energy firms announced on Friday plans to file for bankruptcy in coming weeks, joining a long list of U.S. energy companies that have succumbed to a drop in oil prices.
Oil and gas producers Bonanza Creek and Memorial Production Partners LP and oilfield services provider Forbes Energy Services Ltd each said they had a plan to reduce debt and transfer ownership to creditors.
Global oil prices have fallen more than 50 percent since mid-2014, eroding cash flows of oil producers and crimping their ability to meet debt and interest payments.
As of Dec. 14, 114 oil and gas producers had filed for bankruptcy in 2016 with $57 billion in total debt, more than double the number of filings in 2015, according to Haynes & Boone, a law firm that specializes in energy restructuring.
Among companies like Forbes that provide well-site services to energy exploration firms, 110 had filed for Chapter 11 protection with $17 billion of debt as of Dec. 14, also more than double the 2015 number, according to Haynes & Boone.
(Excerpt) Read more at rigzone.com ...
You mean Regular Companies go Bankrupt also?? Hell I thought it was only Donald Trump that ever went Bankrupt.
Does this mean Bush and Cheney are going broke?
that’s not the part that bothers me. The idea of a possible bailout of the bigger companies concerns me.
Doubt Trump will bail them out.
First order of business after inauguration on 1/20/2017: Initiate the program to make America energy independent and start building refineries, power plants and LNG processing and exporting facilities.
That won’t happen, but a tariff on everything would make outside oil quite a bit more expensive.
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