Oil Firms Braces for a Credit Crunch as Lender Patience Wears Thin
- More than $100 billion of energy debt comes due by end of 2023
- Capital markets remain closed to E&Ps as investors flee sector
Photographer: Daniel Acker/Bloomberg
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Troubled energy companies have had a rough ride this year, but the worst may not be over as a pile of debt starts coming due about a year from now.
North American oil and gas producers have about $93 billion of debt coming due by the end of 2023, according to data compiled by Moody’s Investors Service in October 2018, the most recent available. It’s a refinancing wall not seen since the last energy crisis began in 2014, when oil plunged from record highs and sent dozens of companies toward bankruptcy.