Total Oil Patch Bankruptcies Now Exceed $100 Billion

 Oil Patch Bankruptcies

Bankruptcies in the North American oil patch have surged during the past two years. Companies who wrongly assumed that the price of oil would remain above $100 a barrel until the end of time, and borrowed heavily to fund exploration activity, have had the rug pulled out from under them as creditors flee the sector. According to law firm Haynes and Boone’s Oil Patch Bankruptcy Monitor, as of September 7, 2016, 58 producers have filed bankruptcy so far this year, representing approximately $50.4 billion in cumulative secured and unsecured debt. Haynes and Boone has tracked 102 North American oil and gas producers that have filed for bankruptcy since the beginning of 2015.

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