• 3 minutes Biden Seeks $2 Trillion Clean Energy And Infrastructure Spending Boost
  • 5 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 8 minutes Gazprom fails to exempt Nord Stream-2 from EU market rules
  • 2 hours The Truth about Chinese and Indian Engineering
  • 3 hours Trumpist lies about coronavirus too bad for Facebook - BANNED!
  • 1 hour China wields coronavirus to nationalize American-owned carmaker
  • 1 hour China's impending economic meltdown
  • 4 hours Why Oil could hit $100
  • 19 hours The World is Facing a Solar Panel Waste Problem
  • 11 hours Pompeo upsets China; oil & gas prices to fall
  • 3 hours Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 6 hours Brent above $45. Holding breath for $50??
  • 2 hours Open letter from Politico about US-russian relations
  • 1 day Sell Natural Gas Benefits to Grow the Market!
  • 2 days The Core Issue Of US Chaos..Finally disclosed
  • 1 day Trump Suggests Delaying Election Amid Fraud Claims
  • 2 days Rational analysis of CV19 from Harvard Medical School
A Worrying Sign For Two Major Oil Hotspots

A Worrying Sign For Two Major Oil Hotspots

Two of the world's most…

COVID Fears Drive Oil Prices Downwards

COVID Fears Drive Oil Prices Downwards

Despite significant oil inventory declines…

Editorial Dept

Editorial Dept

More Info

Premium Content

Is U.S. Shale Finally Cash Flow Positive?

Friday, August 23, 2019

1. Shale ekes out slight positive cash flow

- The U.S. shale industry may have posted a very slight positive cash flow figure for the second quarter, depending on the companies included in the analysis. The swing into positive territory puts the industry into a novel position, after years of hefty red ink.

- According to Rystad Energy, a survey of 40 U.S. shale companies revealed a $110 million in positive cash flow in the second quarter. “That is an industry first,” Rystad Energy senior analyst Alisa Lukash said in a statement. “The five dollar increase in the average WTI oil price from the first to the second quarter of 2019, coupled with operators’ efforts to keep spending within their initial budgets, resulted in a slight surplus of adjusted CFO for total capex.”

- Cash flow is now paramount, as investors grow skeptical of shale. No company has made a public offering since 2017, and new bond issuance fell to just $4.8 billion in the first half of 2019, down 70 percent from the $16.4 billion semiannual average over the last five years.

- A separate survey by IEEFA and the Sightline Institute found $26 million in positive cash flow from 29 shale companies in the second quarter. “There were winners and losers this quarter, but overall, the oil and gas sector is still underperforming on virtually every financial measure,” said Clark Williams-Derry from Sightline Institute.

2.…





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News