BANKRUPTCY PLAYS

[barnyarddog]

Bankruptcy filings are triggered when the E&P companies no longer get funding from Wall Street or from their banks to continue with their perennially cash-flow negative operations and service their debts. And this is what is happening now. Wall Street and the banks have started to demand that these companies stick to an entirely new mantra in the fracking business: “live within cash flow.”

The Great American Shale Oil & Gas Bust: Fracking Gushes Bankruptcies, Defaulted Debt, and Worthless Shares
by Wolf Richter • Jan 22, 2020

https://wolfstreet.com/2020/01/22/the-great-american-shale-oil-gas-bust-fracking-gushes-bankruptcies-defaulted-debt-and-worthless-shares/