2020-08-25 | 02:32
[size=18]The bankruptcy circle has expanded in the US oil sector, after the Corona epidemic destroyed demand, but oil shale companies were struggling before the (Covid-19) virus strikes, which led to an increase in their debts before the price collapse.
Law Firm Heinz and Boone have monitored nearly 500 bankruptcies between oil and gas companies since 2015, with 60 cases so far this year, and 18 cases in July alone.
He expected[url=https://www.alsumaria.tv/Entity/3909516101/%D8%A8%D8%A7%D8%AF%D9%8A %D9%83%D9%84%D8%A7%D8%B1%D9%83/ar/]Paddy Clark[/url], Co-chair of the company's energy practice, increasing bankruptcies, as it represents his company that takes from Dallas Headquartered, oil and gas clients are in bankruptcy court, and primarily, creditors, such as commercial banks and private equity firms.
Clark confirmed that oil prices were rising above $ 140 a barrel when hydraulic fracturing techniques were mastered, which led to the emergence of a new highly leveraged industry overnight, and oil prices are now hovering around $ 42 a barrel.
In statements to the Associated Press, Clark said, "The oil industry will not recover soon, and there will be more obstacles and difficulties, especially with no treatment for the epidemic."Corona The future is unclear. "
It is possible that prices will rise slightly, but may not be high enough or fast enough for a number of companies that are still filing for bankruptcy.
Clark added that companies struggled a lot in the face of severe losses, as they borrowed, then prices collapsed, and an epidemic broke out.Corona There are billions of dollars owed in the next two or three years.
It is expected that bankruptcy cases will be recorded in the United States, their highest in 10 years, this year, as companies suffer from the repercussions of the virusCorona .
According to a report issued by Standard & Poor's Global, 424 American companies have filed for bankruptcy protection from the beginning of this year until August 9 this year.
This number exceeds the bankruptcies of public and private sector companies, during any similar period, since 2010, as the US economy shrinks and the virus affectsCorona In many industries, especially those that depend on consumer spending.