Skip to content
Subscriber Only

Wall Street’s Love Affair With Energy Heats Up as Rigs Soar

  • January equity offerings at $6.64 billion, highest since 2000
  • Oil-service firms hard hit in rout grabbed a quarter of total
1479277837_norway oil rig
Photographer: Kristian Helgesen/Bloomberg
Updated on

Wall Street is throwing the most money at U.S. energy companies since at least 2000 amid growing confidence that the industry is emerging from the worst downturn in a generation.

Energy firms raised $6.64 billion in 13 equity offerings in January, drawn in by a rich combination of oil prices consistently above $50 a barrel and a rush to drill that’s doubled the rigs in use in the U.S. and Canada since May. The biggest change from last year: oilfield servicers that provide the rigs, fracking equipment and sand used by drillers.