Wow!
“”So, now the price of oil is down where it is, the shale gas producers might find they are unable to service their debt, so there would be a lot of non-performing loans,” Mr Strachan said.
“By some reports, $15 trillion of funds has been lent to this business, so it may well be in fact that it’s not the oil companies that are in trouble, it’s the banks.
“Over the next six months, I’ll be watching very closely to see how these banks react to their debt, if they come back to the company and say we want our money back, the company says we’ve got no way of repaying it, the bank will end up owning these oil and gas assets.”
The real issue is the state run oil companies around the world. Loss of revenues could cause riots and revolutions in nations like Venezuela. Not saying this is a bad thing. On the other hand Mexico has one too and low prices could send another few hundred thousand of Obamas orphans across the border.
Yep.