The amount of secured and unsecured debts, such as loans and bonds, listed in bankruptcy filings in the third quarter by US oil and gas companies, at $34 billion, pushed the total oil-and-gas bankruptcy debt for 2020 to $89 billion, according to data compiled by law firm Haynes and Boone. And this nine-month total already surpassed the full-year total of oil-bust year 2016.
But then came Phase 2 of the Great American Oil-and-Gas Bust in late-2018, with the price of WTI in the futures market eventually collapsing briefly to minus $37 a barrel in April 2020. In recent weeks, WTI has been hovering around $40 a barrel, at which the US oil industry is still burning millions of barrels of cash per day, so to speak:
A billion here, a billion there, and pretty soon…. The cumulative amount of secured and unsecured debts that the 490 US oil and gas companies disclosed in their bankruptcy filings from January 2015 through September 2020 has now jumped to nearly $300 billion:The Great American Oil & Gas Massacre: Bankruptcies Hit New Milestone as Bigger Companies Let Go | Wolf Street