The financial pressure on indebted oil and gas companies continues to mount, putting them in a bind as they try to mend their deteriorating balance sheets.As their debt rises, drillers have had to divert more of their operating cash flow to servicing that debt. Or, put another way, as cash flow declines, a greater share of those resources are swallowed up by debt payments.According to an analysis by the EIA, a group of 44 onshore oil and gas operators, responsible for 2.7 million barrels of oil production, are increasingly struggling to deal with falling oil prices. Between July 2014 and June 2015, an estimated 83 percent of the operating cash flow from these companies is dedicated for debt payments.
Prometheus TweetsMy Tweets
- Sandy 5 Years Later: Is the Northeast Closer to Grid Resilience?
- Ohio’s Clean Energy Mandates Are Back on the Chopping Block [GTM Squared]
- How Big Dollars Are Catalyzing India’s Small-Scale Solar Market
- Electric Cars in China Are On Track for a Record Year
- The People’s Republic of Storage? [GTM Squared]
- Why Local Means Nimble in the Volatile Solar Manufacturing Space
- Oil and Gas Gets an Invite to the Marine Renewables Party
- FERC Faces Barrage of Comments on DOE’s Coal, Nuclear Cost-Recovery Rule
- Renewables May Become the Netflix of the Energy Sector
- AMS Beefs Up Leadership Team With SolarCity’s Grid Services Guru