Sino-Singapore Jingwei client, June 23, according to the British Financial Times, on the 23rd, some studies showed that as operators began to account for the impact of the plunge in oil prices on their balance sheets, starting in the second quarter, American shale oil companies This year it may be forced to write down $300 billion in assets, which will trigger bankruptcy and restructuring.
According to reports, this study by Deloitte Touche Tohmatsu shows that this large-scale writedown accounts for about half of the net worth of real estate, plant and equipment of these companies, and will increase the leverage ratio of the shale oil industry from 40% to 54%. , Triggering bankruptcy and reorganization.
Duane Dickson, vice chairman of Deloitte's US oil and gas business, said this wave of asset write-downs may prompt the industry to experience unprecedented deep integration over the next 6 to 12 months.
The report said that the write-down of $35 per barrel of oil prices would once again hit the oil industry that had suffered the worst oil price collapse in decades. As operators shut down oil wells, idle rigs and fire oilfield workers, US crude oil production has plummeted.
According to calculations by consulting firm Rystad Energy, shale oil producers suffered about $38 billion in impairment in the first quarter.
Haibo International Law Firm stated that as of the end of May, 18 exploration and production companies had declared bankruptcy this year. Denver-based Extraction Oil&Gas also recently declared bankruptcy; Chesapeake Energy, a pioneer in the shale oil industry, may soon also go bankrupt.
Deloitte estimates that an oil price of US$35 per barrel means that nearly one-third of shale oil producers are insolvent, that is, unable to repay longer-term debt with free cash flow.
The shale oil industry is likely to be integrated. Deloitte believes that only 27% of shale oil companies can provide sufficient value to buyers. And only large independent oil companies or super giants such as Chevron and Exxon Mobil still have the financial resources to make acquisitions.
The report said that the vulnerability of the industry stems from the extremely rapid decline in shale oil production, which means that new oil wells must be continuously drilled to compensate for the sudden decline in production of other oil wells.
But investors have lost interest in shale oil now, and Wall Street is unlikely to fund a new round of recovery or pay for what analysts say the industry needs to restructure. (Sino-Singapore Jingwei APP)