• 3 minutes Cyberattack Forces Shutdown Of Largest Gasoline Pipeline In United States - Zero Hedge
  • 6 minutes Renewable Energy Capacity Jumped 45% Worldwide In 2020; IEA Sees 'New Normal'
  • 11 minutes Forecasts for Natural Gas
  • 51 mins U.S. Presidential Elections Status - Electoral Votes
  • 3 hours Electric vehicle market growth is a blessing for some metals — and not a big worry for oil
  • 1 hour GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 hour .
  • 3 hours Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
  • 1 day CRAPPIFORNIA DOES IT AGAIN! California proposes to steer new homes from gas appliances
  • 1 day Сryptocurrency predictions
  • 1 day Joe Biden's Presidency
Is The Global Oil Industry Relying Too Much On China?

Is The Global Oil Industry Relying Too Much On China?

Chinese oil imports remain the…

Oil Markets Stable Despite Major Pipeline Outage

Oil Markets Stable Despite Major Pipeline Outage

While the Colonial pipeline outage…

Oil Prices Rebound As Global Oil Glut Drains

Oil Prices Rebound As Global Oil Glut Drains

Oil prices rebounded on Friday…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

U.S. Oil Bankruptcies Shoot Up In Q1 2021

The number of North American producers that filed for bankruptcy protection in the first quarter of 2021 reached the highest number for a first quarter since 2016, yet the wave of bankruptcies has significantly slowed since the peaks in the second and third quarter of 2020, law firm Haynes and Boone said in its latest tally to March 31.

The Oil Patch Bankruptcy Monitor showed that eight producers filed for bankruptcy this past quarter, which was the highest Q1 total since 2016 when 17 oil producers in North America sought protection from creditors.

Texas accounted for 50 percent of the total producer filings in the first quarter of 2021, with four in total, Haynes and Boone said.

The law firm noted that there were no producers with billion-dollar bankruptcies in Q2 2021, which had not happened since the third quarter of 2018.

The total debt for producers that filed in the first quarter was just over $1.8 billion—the second-lowest total for a Q1 after $1.6 billion in Q1 2019, according to Haynes and Boone.

Even though the number of first-quarter 2021 bankruptcies was the highest for a Q1 since 2016, it showed the trend of slowing filings after 18 oil and gas producers filed in the second quarter of 2020 and another 17 in the third quarter, the two quarters in which the oil price crash and the crisis were most severely felt by indebted producers.

Apart from eight producers, the first quarter of 2021 also claimed five oilfield services companies that filed for bankruptcy, Haynes and Boone data showed. This number is the third-lowest Q1 total since 2015, and much lower than 27 filings in Q3 2020 and another 17 filings from oilfield services companies in Q4 2020.

The aggregate debt for oilfield services companies that filed in Q1 2021 was over $7.2 billion—the third-highest Q1 total since 2015, but one company, Seadrill Limited, accounted for 99.8 percent of the aggregate debt for the quarter, Haynes and Boone said.    

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




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