If oil prices stay depressed, about 73 US energy companies could seek Chapter 11 bankruptcy protection this year, followed by another 170 firms in 2021, Rystad Energy predicts. "If these smaller players go bankrupt and their production is shut down, a lot more cash would be required to restart production by a potential new operator that picks up the lease," said Rystad upstream analyst Joachim Milling Gregersen.
Rystad: US energy sector could face wave of bankruptcies
Sign up for API SmartBrief
Oil and natural gas industry news
Get the intelligence you need: news and information that is changing your industry today, hand-curated by our professional editors from thousands of sources and delivered straight to your inbox.