Big Oil Is Burning Through Cash

Oppenheimer has been looking at the oil sector this month.

So far, the group has released research reports covering the sustainability of Big Oil’s dividends and Big Oil’s net asset values if the price of oil falls to $40/bbl. Oppenheimer has also put out a report warning that the third quarter will see Big Oil’s worst quarterly result in years.

This week Oppenheimer has put out yet another report on the oil sector covering industry cash flow, capital spending and dividend metrics.

Big Oil: Record year

Oppenheimer notes that 2008 was a record operating cash flow year, with the big four majors (Exxon, Chevron, Shell and BP) racking up operating cash flows of $174 billion. Exxon reported...