Easy Access to Money Keeps U.S. Oil Pumping

Nasdaq ^ | 31 May 2015

[Lorianne]

Wall Street's generous supply of funds to U.S. oil drillers helped create the American energy boom. Now that same access to easy money is keeping them going, despite oil prices that are languishing around $60 a barrel.

The flow of money into oil has allowed U.S. companies to avoid liquidity problems and kept American crude production from falling sharply. Even though more than half of the rigs that were drilling new wells in September have been banished to storage yards, in mid-May nearly 9.6 million barrels of oil a day were pumped across the country, the highest level since 1970, according to the most recent federal data.

Helped by a ready supply of money, the flow of oil from the U.S. could keep crude prices low for the remainder of 2015 and beyond.

[SunkenCiv]

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[thackney]

Same article from WSJ a couple days ago.

Comments from that earlier thread at:

Easy Access to Money Keeps U.S. Oil Pumping
http://www.freerepublic.com/focus/f-news/3295551/posts